The Department of Telecom has said that applications have been received Adani Data Networks Ltd, Reliance Jio Infocomm, Vodafone Idea Ltd and Bharti Airtel Ltd for participation in upcoming 5G auction for rights to use spectrum in 600 MHz, 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2500 MHz, 3300 MHz and 26 GHz bands.
Here are 10 things to know about the upcoming 5G auction:
The telecom department said that the “this list is for information only and does not in any way imply that these applications have been processed or pre-qualified.”
The 5G auction will commence from July 26.
The winners will have the right to use spectrum will be of 20 years.
A total of 72,097.85 MHz of spectrum worth at least ₹4.3 lakh crore will be on the block during the auction.
The Cabinet, last month, approved 5G auctions at reserve prices recommended by the sector regulator Telecom Regulatory Authority of India (TRAI).
To attract bidders, the payment terms have been eased.
For the first time ever, there is no mandatory requirement to make upfront payment by the successful bidders.
Winners have to make payments in 20 equal annual installments to be paid in advance at the beginning of each year, a relaxation that is expected to significantly ease cash flow requirements and lower the cost of doing business in this sector.
Brokerages said Adani Group’s entry into spectrum bidding will intensify competition in upcoming auctions as well as the enterprise 5G space. “We are participating in the 5G spectrum auction to provide private network solutions along with enhanced cybersecurity in the airport, ports and logistics, power generation, transmission, distribution, and various manufacturing operations,” Adani group said last week.
Goldman Sachs analysts said that while the Adani group has said it does not intend to be in the consumer mobility space, “we believe if the Adani Group does end up buying spectrum in the upcoming auction, it could potentially increase competition in enterprise 5G, in addition to opening the doors for the Adani Group to expand into consumer mobile services over time.” (With Agency Inputs)
