BSNL also has a first-to-market advantage when it comes to BWA (broadband wireless access) spectrum. While the BWA auctions are scheduled to take place the same time as the 3G licence awards, BSNL is already sitting on a chunk of pan-Indian 20MHz spectrum in the 2.5GHz band. Again, BSNL does not have to pay for its BWA spectrum until the BWA auctions take place. BSNL's 20MHz of BWA spectrum will cost the state-owned operator the same as the highest amount paid for the three remaining 20MHz BWA licences that are up for auction, two in the 2.3GHz frequency band and another at 2.5GHz.

BSNL is opting for mobile WiMAX for its BWA allocation and using kit supplier Soma Networks as a franchisee partner in the circles of Goa, Andhra Pradesh and Maharashtra, BSNL has passed over the WiMAX capex burden to Soma in exchange for a service revenue-sharing deal with the kit maker - 70/30 in favour of Soma.

Across the three states BSNL has WiMAX courtesy of Soma, the operator says it is targeting around three million subscribers within five years.

In separate news this week, Soma says it will be bidding to take the franchisee model to more BSNL circles and so extend its WiMAX commitment.

Source