Telecom sector now looks stable and seems back on its feet with initial investment proposal of over Rs 11,000 crore received in 2013. While government is hopeful of announcing mergers and acquisitions guidelines in January and a new policy on machine-to-machine communications in first quarter of 2014, in 2013 it was able to implement new licensing regime of Unified Licences, open up telecom sector for foreign investment by raising FDI limit to 100 per cent from 74 per cent.
The government in August approved 100 per cent foreign direct investment (FDI) in the telecom sector, meeting a key demand of the fund-starved industry. Earlier, the FDI cap in the sector was at 74 per cent. FDI during April-September 2013 period was only at Rs 197 crore. March saw poor performance of spectrum auction with only one company bidding for CDMA spectrum.