This September, India is going to witness the biggest spectrum sale ever

This September gear up for biggest spectrum sale ever and top telecom companies are going to put in everything to emerge as a winner.

India's biggest spectrum sale will begin from September 29 and it is expected that Bharti Airtel will spend $700 million to $1 billion for plugging 3G/4G spectrum gaps.

Even Vodafone and Idea will not rally behind and are likely to bid a maximum $2 billion and $1.3 billion, respectively.

Brokerage Bank of America-Merrill Lynch said Bharti Airtel and Idea are expected to shell out $700 million and $500 million, respectively, to plug 3G/4G gaps.

The telecom department (DoT) on Monday released the Notice Inviting Application (NIA), or the legally binding document for the auctions.

The government will auction a whopping 2354.55 units of airwaves in the 3G bands of 900 MHz and 2100 MHz, and 4G bands of 700 MHz, 800 MHz, 1800 MHz, 2300 MHz and 2500 MHz. It is the largest quantum of airwaves being put up for sale, which may generate Rs 5,56,000 crore, or over five times the sum the Centre raised from last year's sale, provided all auctioned airwaves are sold at the base price.

"Operators will need to guard against getting swayed by competitive spirits and bid with long-term interests in mind in the September 2016 auction," said Kotak in a note.

Credit Suisse told ET, “”Since the telecom sector continues to be constrained on spectrum supply, new entrant Reliance Jio Infocomm's enviable (4G) spectrum portfolio is likely to nudge incumbents to bid.”

Nitin Soni, director at rating agency Fitch, told ET Vodafone India and Idea to selectively beef up 4G spectrum holdings in the 1800 MHz and 2300 MHz bands as the first would give them reach and latter, capacity.