Google ties up with MTNL for WiMAX in India

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As mentioned recently, Google plans to participate in the upcoming WiMAX auctions in India. India’s WiMAX auctions are set to take place in early 2010 will earn the Indian’s government around $5.1B. Foreign companies can take part in this auction through JVs with an Indian partner and can own a maximum of 74% stake in the JV.

Google plans to participate on a 50:50 basis with MTNL, which is a state owned, publicly listed corporate providing fixed line, mobile (2G/3G), ISP and digital TV provider. What is interesting is that the government is going to auction two blocks of the BWA/WiMAX spectrum in each circle while reserving one for BSNL or MTNL (which are both state-owned). By partnering with MTNL, Google might benefit due to the circles allotted to MTNL, which will include Delhi, Mumbai, Navi Mumbai and Thane, which are all urban, highly developed regions.

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