Maran: Talk time

New Delhi, June 27: Communications minister Dayanidhi Maran is likely to raise the issue of high royalty paid by Indian CDMA service providers to the US-based technology firm Qualcomm with the company?s CEO Paul Jacob tomorrow.

The US-based CDMA chipmaker charges 7 per cent as royalty from manufacturers on the sale price of each handset in India, while it charges only 2 per cent in China and 3 per cent in Korea.

Sources said the glaring gap will figure high during the talks and it is expected that the government may tell Jacob that parity with the neighbouring country is a must as India is emerging as the fastest growing wireless market in the world. It would make sense for any technology provider to be here, they said.

India is adding about 4-5 million customers a month but most of them are on GSM technology, they said.

Sources said since the government wants a multiple-technology platform for telecom services, it would like to act as a facilitator in removing the perceived hindrances in rolling out alternate technology-based services so that the country does not move towards a single technology-based mobile service like Korea.

A single technology based mobile service can cause severe interoperability and roaming problems.

?There is no issue of talking on behalf or for anybody. We want to remain technology neutral but would act if there is any confusion on the road to this neutrality,? senior DoT officials said.

The issue is all the more important as CDMA operator Reliance Communications, despite its 2 crore mobile subscribers, is planning to expand on the GSM front, which is a loss to CDMA supporters.