Videocon Telecom plans to bid for an additional 2 MHz spectrum in the upcoming auctions for Punjab and Madhya Pradesh & Chhattisgarh telecom circles. At present, the operator holds 4.4 MHz spectrum in Punjab and 5 MHz spectrum in Madhya Pradesh & Chhattisgarh circles.

The additional spectrum would help the company garner bigger customer and revenue market shares, and help it accommodate a larger pie of the customer base, Videocon Telecom said in a statement.

The company, which is nearing peak capacity utilisation in some pockets and cities, sees merit in acquiring additional spectrum instead of deploying more sites.

“We have been contemplating the need for additional spectrum in Punjab and Madhya Pradesh & Chhattisgarh circles since there is always a trade-off between deploying additional sites and acquiring additional spectrum. However, considering our growth plans, business projections and the fact that we want to give the best experience to our customers, we are planning to acquire additional spectrum in these circles,” said Arvind Bali, Director & CEO at Videocon Telecom.

“Further, the incremental capacity created by the additional 2 MHz spectrum will be at least two times the existing capacity given trunking efficiency. Also, the planned 2 MHz additional spectrum in Punjab telecom circle being a liberalised one, will give us the option to offer 4G LTE Narrowband service there,” he added.

The company was planning to launch 4G services in 2014.

>rajesh.kurup@thehindu.co.in