5G is a very exciting technology, and while the other countries already have live 5G networks, India is still in the testing phase. However, for 5G to be successful in India, the telcos need to get it at a fair price. The 5G spectrum auctions are going to be very crucial for determining how well India progresses in the 5G era. Telecom operators have already said that they need the spectrum at an affordable price else their cost of network deployment will go up. The previous auctions should be an example for the government.
5G Spectrum In India Price Will Be Crucial
The operators have already ignored the 700 MHz spectrum in the previous 4G auctions because of its steep price. This suggests that even though the airwaves are important for the telcos, they will not buy them if they don’t get them for a fair price.
So what’s the fair price? A fair price is something that the operators can afford and is also in line with the global price. The 700 MHz spectrum was again ignored by the operators in the auctions held in March 2021 because the price wasn’t right.
The Cellular Operators Association of India (COAI) had also asked for the regulator and the government to reduce the price of the airwaves that will be offered to the telcos in the 5G spectrum auctions.
The 5G spectrum auctions are expected to take place during the first half of 2022. Every private operator is currently testing their 5G network and solutions in different parts of the country. If the operators don’t get the 5G spectrum at the right price, they can just go ahead with the Dynamic Spectrum Sharing (DSS) technology and refarm their 4G spectrum for 5G to offer next-generation connectivity services.
It is worth noting that Bharti Airtel has already done so in Hyderabad in February this year. Further, the results were great for the telco.