The first round of the highly anticipated 5G spectrum auction has ended and the process is now moving into the second round, sources familiar with the developments told CNBC-TV18.
The mega 5G spectrum auction started on Tuesday with Reliance Jio, Adani Group, Bharti Airtel and Vodafone Idea as participants in the race.
A total of 72 gigahertz (GHz) of 5G waves worth Rs 4.3 lakh crore are being offered with a validity period of 20 years in the country’s largest spectrum auction.
Reliance Jio submitted a serious money deposit (EMD) of Rs 14,000 crore, the highest to date while Bharti Airtel put in Rs 5,500 crore, followed by Vodafone Idea with Rs 2,200 crore. The newest in the telecommunications game, Adani Data, is last on the list at Rs 100 crore EMD.
EMD indicates a company’s intention on how much spectrum it wishes to purchase.
CNBC-TV18 previously reported that the government expected to earn between Rs 80,000 and 100,000 crore from auctioning 5G airwaves.
The auction takes place in the low (600 MHz, 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz), medium (3300 MHz) and high (26 GHz) frequency bands.
According to the sources, the auction will likely focus on mid- and high-band spectrum.
“It is expected that the mid- and high-band spectrum will be used by telecommunications service providers to deploy 5G technology-based services capable of delivering approximately 10 times the speed and capacity of what is possible through the services. current 4G,” the government said. said earlier.
It would levy a zero spectrum usage charge (SUC) on acquired spectrum and telecom operators would not be required to make an upfront payment. The membership fee can be paid in 20 equal instalments.
Spectrum allocation will most likely take place in August, after the auction.
First post: STI