The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved a proposal of the Department of Telecommunications (DoT) to conduct the auction for assigning 4G spectrum to successful bidders for providing commercial mobile services. The auction will be for spectrum in the 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz and 2500 MHz frequency bands. The spectrum will be assigned for a period of 20 years. A total of 2251.25 MHz is being offered with a total valuation of Rs 3.92 trillion at the reserve price. This will enable incumbent telecom service providers to augment their network capacity whereas new players will be able to launch services.