Live: India opts for administrative spectrum allocation amid Musk-Ambani spectrum dispute

The Indian government announced on Tuesday that it will allocate satellite broadband spectrum administratively rather than through auction. This decision follows criticism from Elon Musk, who described the auction approach sought by rival billionaire Mukesh Ambani as "unprecedented."

The allocation methodology for satellite spectrum in India has become a contentious issue, particularly as the market is projected to grow by 36 per cent annually, reaching $1.9 billion by 2030. Musk's company, Starlink, argues that administrative allocation aligns with global trends, while Ambani's Reliance insists that an auction is necessary to ensure a fair competitive landscape, given the absence of clear legal provisions for satellite broadband services in India.

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Elon Musk, CEO of Starlink, reacted strongly to reports that India may auction satellite broadband spectrum, labelling the move as "unprecedented." His comments follow news that billionaire Mukesh Ambani is lobbying for an auction, positioning the two billionaires in a contentious battle over the future of satellite services in the country. Musk's statement, made on X, addressed Ambani's claim that India’s telecom regulator mistakenly concluded that the spectrum should be allocated rather than auctioned.

Ambani's Reliance argues that an auction is essential for ensuring a level playing field, as foreign entities could potentially offer voice and data services that compete with established telecom operators.

"This spectrum was long designated by the ITU as shared spectrum for satellites," Musk noted, referencing the International Telecommunication Union, which regulates satellite spectrum usage. He emphasised that such an auction would diverge from global norms, where the administrative allotment of licenses is increasingly common.

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Telecom czar Sunil Bharti Mittal on Tuesday joined his rival Mukesh Ambani-led Jio, to make a strong case for satellite companies paying license fees as well as buying airwaves for their telecom services just like legacy companies do, in a bid to create a level playing field.

Speaking at the India Mobile Conference, Mittal, who heads India's second largest telecom firm Bharti Airtel, said existing telecom companies will take satellite services into the remotest parts.

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European shares scaled a fresh two-week high on Tuesday, while investors monitored the ongoing corporate earnings season and awaited further economic cues from the central bank's interest rate decision due later this week.

The pan-European STOXX 600 index .STOXX was up 0.2 per cent, as of 0710 GMT, with telecoms .SXKP and travel stocks .SXTP underpinning gains in morning trade.

British pay grew at its slowest pace in more than two years in the three months to August and vacanciesfell again, according official data that will probably be welcomed by the Bank of England as it considers when to cut interest rates again.

Average weekly earnings, excluding bonuses, were 4.9 per cent higher than a year earlier in the three months to the end of August, the Office for National Statistics said, in line with the median forecasts of economists polled by Reuters.

Japan's Nikkei share average rose above the 40,000-point level on Tuesday, to touch a three-month high, as Wall Street's strong finish overnight and a weaker yen buoyed investor sentiment.

The Nikkei .N225 hit 40,257.34, its highest since July 18, after Japanese markets reopened following a public holiday on Monday.

Oil prices slid 3 per cent during Asian trade on Tuesday on the back of a weaker demand outlook and after a media report said Israel is willing not to strike Iranian oil targets, which eased fears of a supply disruption.

Brent crude futures were down $2.35, or 3 per cent, at $75.11 per barrel at 0445 GMT, while US West Texas Intermediate futures fell $2.26, or 3.1 per cent, to $71.57 per barrel.

China's yuan slipped to a one-month low against the dollar on Tuesday, breaching a key threshold, pressured by a combination of weak domestic economic data and growing bets U.S. rate cuts will follow a measured pace in the near term.

While Chinese authorities have recently announced a myriad of support steps to spur economic growth, data has continued to underwhelm with export figures released on Monday highlighting the challenges bedevilling the Asian giant.

 Chinese banks are set to cut rates on 300 trillion yuan ($42.20 trillion) of deposits as soon as this week, Bloomberg News reported on Tuesday, citing people familiar with the matter.

Major banks including Industrial & Commercial Bank of China 601938.SS and China Construction Bank Corp 601939.SS will be guided by the central bank's interest rate self-disciplinary mechanism to lower the rates on a number of deposit products, the report said.

The world's total public debt is set to exceed $100 trillion this year for the first time, and may grow more quickly than forecast as political sentiment favors higher spending and slow growth amplifies borrowing needs and costs, the International Monetary Fund said on Tuesday.

The domestic bourses on Tuesday opened in green following positive cues from Asian peers, a record closing of the United States’ S&P 500, and a slump in crude oil prices. 

The BSE’s 30-share Sensitive Index (Sensex) opened 240 points or 0.29 per cent higher led by metal and IT stocks. 

Whereas the National Stock Exchange’s benchmark index was trading 66 points, or 0.26 per cent, higher in the early trading minutes. 

China's exports to Russia grew 15.7 per cent in September from a year earlier, the fastest pace in nine months and up from a 10.1% gain a month prior, Chinese customs data showed on Monday, following fresh agreements to expand economic cooperation.

By contrast the data, in yuan terms, showed that imports from Russia fell 9.2 per cent last month from a year earlier, compared with a 1.1% drop in August, following reports that Russian exporters were struggling to process payments with Chinese buyers.

Domestic shares are likely to open higher on Tuesday, tracking a climb in Asian peers, as traders gauged a record overnight finish on Wall Street and a slump in crude oil prices.

The Gift Nifty was trading at 25,236, as of 7:44 am, indicating that the benchmark Nifty 50 will open above Monday's close of 25,127.95.

Chinese stocks eased on Tuesday as the frenzied rally that drove them to multi-year highs a week ago subsides with investors stepping back to see when and where government support will be directed at the world's second-biggest economy.

The Shanghai Composite and the blue-chip CSI300 were down about 0.3 per cent each in morning trade and Hong Kong's Hang Seng fell 0.8 per cent.

Asian stocks were mostly higher on Tuesday, supported by a strong Wall Street close and investor optimism about corporate earnings, while the dollar held near a two-month top, aided by bets on a smaller US rate cut next month.

The much-anticipated initial public offering (IPO) of Hyundai Motor India (HMIL) is set to open for bidding on Tuesday, October 15. Valued at Rs 27,856 crore, it marks the largest IPO in Indian stock market history. 

The issue price is set between Rs 1,865 and Rs 1,960 per share, with a minimum lot size of seven shares. The bidding window will remain open until Thursday, October 19.
 

 Gold was flat on Tuesday as investors await fresh insights into the Federal Reserve's stance on U.S. interest rate reductions for further direction on prices.

Oil prices slid $2 in early Asian trade on Tuesday as OPEC lowered its outlook for global oil demand growth in 2024 and 2025 and a media report that Israel is willing to strike Iranian military and not nuclear or oil targets.

Brent crude futures LCOc1 were down $2.11, or 2.7 per cent, at $75.35 per barrel, while  US West Texas Intermediate CLc1 crude futures fell $2.07, or 2.8  per cent, to $73.76 per barrel as of 0045 GMT. Both benchmarks had settled about 2  per cent lower on Monday.
 

The US dollar touched a 10-week high on Monday in thin trading, extending its weeks-long bullish run sparked by data showing a modestly slowing economy that lined up with bets for moderate interest rate cuts by the Federal Reserve.

Volume was light with several markets, including Japan and Canada, closed on Monday. The US bond market is shut for Indigenous Peoples' Day.

Shares of Nvidia closed at their highest ever on Monday, putting the heavyweight AI chipmaker on the brink of dethroning Apple as the world's most valuable company.

With investors betting on strong demand for its current and next-generation AI processors, the Santa Clara, California company's stock climbed 2.4 per cent to end the day at $138.07.