The online 2G spectrum auction organised by DoT, involving eight telecom bidders, began on Monday and is expected to last 2-3 days. Bidding starts at 9.30 am and typically ends at 7.30 pm every day, with around eight rounds and a 20-minute break between each round. Bids can be for any block of spectrum (minimum of 1 MHz) in the 900 MHz and 1800 MHz bands. Bidders can accumulate spectrum they win in each round across circles.
They can withdraw bids in between. Final spectrum allocation will only happen after the auction closes. In the interim, it is possible to know which player is bidding for which circles and how much gets sold in each circle. The progression from one round to another is based on several factors like bidding of all spectrum available in a particular circle, and a minimum bidding at the base price by all players. Once all circles receive a bid, the process progresses to the next round. In case not all the spectrum in a circle is bid for, it amounts to negative bidding, and the next round will see no rise in base price. However, in case there is overbidding for spectrum in a particular round, then the base price goes up by 1-2%, with a progressive base price increase at every round.