Government of India has approved 5G spectrum auction. With this process, the government will officially launch 5G services for the public and enterprises in India. The dates have also been disclosed by the Department of Telecommunications (DoT) through a notice inviting applications. The auction of 5G spectrum will start from July 26, 2022. DoT has also disclosed the timetable for the auction process. Also Read – Volkswagen Vertus Launched in India at Rs 11.21 Lakh: Variants, Check Other Details
The last date for submission of applications is July 8 and the list of applicants will be made public on July 12. The mock auction will be held on July 22 and July 23. The DOT will also hold a pre-bid conference and the venue and date. /The time of the conference will be notified
Separately on the website of DoT. Also read- Government of India will launch indigenous 5G technology by August 2022: Devusinh Chouhan
A total of 72097.85 MHz spectrum with a validity period of 20 years will be auctioned by the end of July, 2022. The auction will be conducted for spectrum in various low (600 MHz, 700 MHz, 800 MHz). 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz), Mid (3300 MHz) and High (26 GHz) frequency bands. Also read- Vivo, ZTE under government scrutiny for financial irregularities: Report
It is expected that mid and high band spectrum will be used by telecom service providers to roll-out 5G technology-based services capable of delivering speeds and efficiencies comparable to those possible through current 4G services. Will be about 10 times more.
The spectrum auction will benefit from the telecom sector reforms announced in September 2021. The reforms include zero spectrum usage charge (SUC) on spectrum received in the upcoming auction, providing a significant relief to service providers in terms of operating costs. of telecommunications networks. In addition, the requirement of submitting a financial bank guarantee equivalent to one annual installment has also been dispensed with.
According to a statement by the Ministry of Communications, the 4G ecosystem created in the country is now moving towards 5G indigenous development. The government claims that the 5G test bed setup at eight of India’s top technology institutes is accelerating the launch of domestic 5G technology in India. Additionally, the launch of PLI (Production-Linked Incentive) schemes for mobile handsets, telecom equipment and the India Semiconductor Mission are expected to help create a strong ecosystem for the launch of 5G services in India.
The Government has announced that there is no mandatory requirement to make advance payment by successful first time bidders. The spectrum under this year’s auction can be paid for in 20 equal annual installments, to be paid in advance at the beginning of each year. The move is expected to significantly reduce the cash flow requirements and the cost of doing business in the sector, the government claims. The bidders will be given an option to surrender the spectrum after 10 years without any future liabilities in respect of the remaining installments.