Canada Concludes 3800 MHz Spectrum Auction, Awarding 4,099 Licences

ISED concludes successful 3800 MHz spectrum auction, awards 4,099 licenses to 20 bidders, enhancing 5G deployment and rural connectivity.

Highlights

  • The auction concluded on November 24, 2023, with 98 rounds of bidding.
  • 20 Canadian bidders, including 870 small and regional providers, acquired licences.
  • Winning bidders purchased licenses valued at CAD 2.16 billion.

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Canada Concludes 3800 MHz Spectrum Auction, Awarding 4,099 Licences
Innovation, Science, and Economic Development Canada (ISED) announced yesterday, November 30, 2023, the conclusion of the country’s 3800 MHz spectrum auction, resulting in 4,099 licenses awarded to 20 Canadian bidders, including 870 licenses to small and regional providers across the country. ISED said more spectrum made available through the 3800 MHz spectrum auction will mean a faster rollout of 5G services and improved rural connectivity.

Also Read: Canada’s 3800 MHz Spectrum Auction for 5G Services Attracts 22 Qualified Bidders




Payment Schedule

Bidding in the 3800 MHz spectrum auction began on October 24, 2023, and ended on November 24, 2023, with 98 rounds of bidding taking place over 21 business days. Winners purchased licenses valued at CAD 2.16 billion, which will be paid into the Consolidated Revenue Fund administered by the Receiver General of Canada. According to the Canadian Government, winning bidders have until January 17, 2024, to submit 20 percent of their total final payment, with the remaining 80 percent due on May 29, 2024.

Small Providers

ISED stated that when combined with the results of the 3500 MHz auction, small and regional providers have doubled their spectrum holdings, further strengthening their ability to offer competitive services. 95 percent of the licenses were allocated, including licenses in all rural and remote service areas, to companies that will provide mobile coverage and/or fixed wireless services to consumers across Canada.

Also Read: Canada Opens FTTH Networks to Competitors in Ontario, Quebec

"These auction results will improve Canada’s high-quality networks in every part of the country. They will also support the deployment of high-quality wireless services so consumers and businesses across Canada, including those in rural and remote regions, can enjoy the transformative benefits of the latest wireless technologies," said ISED in a statement.

Licenses include strong deployment obligations that require companies to “use or lose” the spectrum within ambitious timelines. The provisional results of the 3800 MHz Auction include the following:

  1. Telus: Acquired 1,430 licenses, paying CAD 619.64 million.
  2. Bell Canada: Acquired 939 licenses, paying CAD 518.07 million.
  3. Rogers Communications: Acquired 860 licenses, paying CAD 474.77 million.
  4. Videotron ltee: Acquired 305 licenses, paying CAD 298.90 million.
  5. Cogeco (Elite General Partnership): Acquired 99 licenses, paying CAD 190.29 million.
  6. Wightman Telecom (via NE&W SPC): Acquired 38 licenses, paying CAD 17.65 million.
  7. SaskTel: Acquired 45 licenses, paying CAD 10.19 million.
  8. Eastlink (Bragg Communications): Acquired 187 licenses, paying CAD 9.95 million.
  9. Novus: Acquired one license, paying CAD 6.34 million.
  10. Sogetel: Acquired 16 licenses, paying CAD 4.39 million.
  11. Cooptel: Acquired eight licenses, paying CAD 2.44 million.
  12. HuronTel: Acquired six licenses, paying CAD 2.03 million.
  13. Bruce Telecom Ontario: Acquired two licenses, paying CAD 1.19 million.
  14. Tbaytel: Acquired 26 licenses, paying CAD 790,667.
  15. City West Mobility: Acquired 71 licenses, paying CAD 380,700.
  16. Ecotel: Acquired 46 licenses, paying CAD 346,734.
  17. ABC Internet: Acquired 15 licenses, paying CAD 250,000.
  18. NWIC Inc.: Acquired two licenses, paying CAD 49,334.
  19. Indigitel Telecommunications: Acquired two licenses, paying CAD 24,000.
  20. MPVWIFI: Acquired one license, paying CAD 3,000.

Reported By

From Arts and Journalism background, Yashika closely monitors developments and updates in OTT Space.

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