Global telecom companies take 2G battle to diplomatic level

Post-Supreme Court verdict that cancelled 122 2G licences, the telecom battle has shifted to the diplomatic level with global firms Telenor and Sistema seeking the government intervention to safeguard their investments.

Accordingly, Norway’s Information Technology Minister Rigmor Aasrud was in Delhi on Monday and sought an appointment with her Indian counterpart, Kapil Sibal. Government sources said the visit was pre-scheduled. “She has sought an appointment with Kapil Sibal. We do not have any information on when this meeting is taking place,” official sources said.

Norwegian government is the largest shareholder in Telenor, the company that is in a JV with Unitech set up Uninor, whose license too was scrapped.  The company has reportedly said they will participate in 2G spectrum auction but have also not ruled out the exit option from the Indian market.

Official sources said, like Norway, India is wedded to the rule of law. “This decision (to scrap licenses) is the outcome of a legal process. We hope our Norwegian friends would appreciate that,” official sources said.

Diplomatic sources said, Russia and another countries affected by the ruling has “so far not raised the issue through the diplomatic channel.”

“But we believe the Russian authorities are exploring legal options and soon be taking some measures,” sources insisted.
The Russian Federation owns less than 20% in Sistema Shyam, which lost its licences in all regions except Rajasthan.