5G Spectrum Price Likely to be Firmly Decided this Week: Report

The Cabinet will take the call on the 5G airwaves pricing this week and along with that decide on whether the spectrum would be auctioned for 20 years or 30 years. Once the Cabinet takes the call, the DoT will proceed to release the notice inviting application (NIA) by May 25. It usually takes around 54 days from the NIA to hold the spectrum auctions.

Highlights

  • 5G spectrum auctions is what every telecom enthusiast in India is waiting for.
  • The final call on whether the price for airwaves needs to be reduced or not will be taken by the cabinet.
  • The spectrum auctions could take place in July some time and then in August, Indian telcos could proceed with 5G network launch.

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5G spectrum auction is what every telecom enthusiast in India is waiting for. The telecom operators are looking forward to the decision of the Cabinet, which will finalise the spectrum pricing for the auctions. It is worth noting that the Digital Communications Commission (DCC), the top body of the Department of Telecommunications (DoT), had endorsed the pricing recommendations given by the Telecom Regulatory Authority of India (TRAI).
However, the final call on whether the price for airwaves needs to be reduced or not will be taken by the cabinet. The telecom sector stakeholders have expressed their dissatisfaction over the pricing, so it will be interesting to see what’s the final call of the Cabinet.

According to a Financial Express report, the Cabinet will take the call on the 5G airwaves pricing this week and, along with that, decide on whether the spectrum will be auctioned for 20 years or 30 years.

The Cabinet is likely to allow what TRAI had suggested, which was that the telcos could either opt for airwaves for 20 years or for 30 years at 1.5x the price suggested for 20 years. This is also something that the telecom operators are not very happy with.

5G Spectrum Auctions to Take Place in July

As per the report from the publication, once the Cabinet takes the call, the DoT will proceed to release the notice inviting application (NIA) by May 25. It usually takes around 54 days for the NIA to hold the spectrum auctions.

Thus, the spectrum auctions could take place in July sometime and then in August, Indian telcos could proceed with the 5G network launch. The Prime Minister’s Office (PMO) is looking for India to launch 5G networks by August 15, 2022. Thus, the telecom department will get to allocating the airwaves as soon as the auctions are over so that telcos can proceed to launch 5G fast.

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