5G Spectrum Auction: The Department of Telecommunications (DoT) commenced the auction of 10,500 megahertz (MHz) of mobile service radiowaves across eight bands on June 25, starting at 10 am. The spectrum bands up for auction include 800 MHz, 900 MHz, 1,800 MHz, 2,100 MHz, 2,300 MHz, 2,500 MHz, 3,300 MHz, and 26 gigahertz (GHz).
Key telecom players such as Reliance Jio, Bharti Airtel, and Vodafone Idea are participating, expected to collectively spend approximately ₹15,000 crore based on brokerage estimates, as reported by Mint earlier.
This marks the 10th spectrum auction since its initiation in 2010 and is notably the first under the stewardship of newly appointed Union Telecom Minister Jyotiraditya Scindia, who assumed office following the 2024 Lok Sabha Elections.
Despite being the 10th auction round, the scale is scaled back compared to the record-setting 5G bids in August 2022, which generated ₹1.5 lakh crore from 72,097.85 MHz of radio frequencies. The DoT anticipates selling approximately 17% of the spectrum at or near reserve prices, with overall expectations ranging between ₹4,000 and ₹16,600 crore in sales, according to previous reports from Mint.
The auction aims to augment existing telecom services and ensure continuity, aligning with the government’s commitment to providing affordable, high-quality telecom services across the nation.
Reliance Jio has deposited the highest earnest money of ₹3,000 crore for the auction, positioning it to bid for the maximum radio waves available. Bharti Airtel and Vodafone Idea have deposited ₹1,050 crore and ₹300 crore respectively as earnest money deposits.
The auction includes provisions such as a 20-year validity for bands purchased, options for flexible payment plans, and incentives for early spectrum payment without penalties, reflecting the government’s efforts to facilitate robust participation and ensure efficient spectrum utilization.
The absence of spectrum in the 600 MHz and 700 MHz bands in this auction underlines the strategic focus on other frequency bands crucial for enhancing 5G service capabilities and meeting growing data demands.
