Online Auction Of 5G Spectrum Started, First Round Completed, Companies Are Not Bidding Aggressively
It is believed that most of the bidding will be done for the mid-band and high-band spectrum. The 600 MHz, 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2500 MHz, 3300 MHz, and 26000 MHz bands are being auctioned in today's auction.
An online auction of the 5G spectrum has started today. The first round of auction has been completed and now the second round is going on. Telecom companies are not participating in the bidding by being aggressive. It is believed that most of the bidding will be done for the mid-band and high-band spectrum. The 600 MHz, 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2500 MHz, 3300 MHz, and 26000 MHz bands are being auctioned in today's auction. Altogether 72000 MHz Airwebs are being auctioned. The reserve price for this is estimated to be around Rs 4.3 lakh crore.
Reliance Jio, Bharti Airtel, Adani Group, and Vodafone Idea have participated in this auction process. The Department of Telecommunications is expected to get a revenue of Rs 70,000 crore to Rs 1,00,000 crore from the auction of the 5G spectrum. The industry expects spectrum to be sold around the reserve price. The introduction of 5G services in the country will pave the way for providing very high-speed internet services. 5G service will be about 10 times faster than existing 4G services.
Reliance Jio can spend the most
Reliance Jio is expected to spend more during the auction. Airtel is also expected to lead the race with limited participation from Vodafone Idea and Adani Enterprises. Reliance Jio has deposited an amount of Rs 14,000 crore with the department for the auction while Adani Enterprises has deposited Rs 100 crore.
Speed will be 10 times higher than 4G
The introduction of 5G services in the country will pave the way for providing very high-speed internet services. 5G service will be about 10 times faster than existing 4G services. Reliance Jio is expected to spend more during the auction. Airtel is also expected to lead the race with limited participation from Vodafone Idea and Adani Enterprises.
There is less chance of aggressive bidding
Market analysts say there is little hope of aggressive bidding during the auction. This is because the spectrum is available in sufficient quantity whereas there are only four bidders. Reliance Jio has deposited an amount of Rs 14,000 crore with the department for the auction while Adani Enterprises has deposited only Rs 100 crore.
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