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Telecom NewsLatest Telecom News
Telcos want 4G, 5G spectrum auctions in the second half of next fiscal
Telcos want to delay auctions due to ongoing consolidation and strain in the industry. Analysts feel that there is a lack of appetite for fresh spectrum in the present scenario.Gulveen Aulakh | ET Bureau | April 24, 2017, 08:32 IST
NEW DELHI: Telecom operators want the next spectrum auction of 4G and 5G airwaves to be held in the latter part of the next financial year starting April 1, 2018, over a year later than the government’s plans, pointing to the ongoing consolidation moves and the financial strife that the industry finds itself in.
Mobile phone operators and analysts explained that notwithstanding the timing, interest for the coveted 4G airwaves in the 700 MHz band will be generated only if the price is sharply cut from the Rs 1,475 crore per unit for pan-India spectrum rate set for the previous sale, when the bandwidth went unsold.
The views come on the back of the telecom department (DoT) last week asking the sector regulator to suggest the starting price for airwaves in the 4G bands of 700 MHz, 800 MHz, 1800 MHz, 2300 MHz and 2500 MHz, and for spectrum in the 3400 MHz to 3600 MHz bands that are used for 5G services. DoT wants to hold the auction later in the year.
“The timing (of the auction of any band) should be latter part of 2018 and early part of 2019 once all the consolidation has been announced and locked down. Only after that would companies look at any additional spectrum needs after they put their networks together,” said Rajan Mathews, director general of Cellular Operators Association of India (COAI) that represents Bharti Airtel, Vodafone India, Idea Cellular and Reliance Jio, among others. Prashant Singhal, global telecom leader at EY, said that the base price of 700 MHz band needs to be cut by 40-50% for generating any interest among telcos that have recently beefed up on their spectrum requirements across bands.
Reliance Jio: Telcos want 4G, 5G spectrum auctions in the second half of next fiscal, Telecom News, ET Telecom
Telecom NewsLatest Telecom News
Telcos want 4G, 5G spectrum auctions in the second half of next fiscal
Telcos want to delay auctions due to ongoing consolidation and strain in the industry. Analysts feel that there is a lack of appetite for fresh spectrum in the present scenario.Gulveen Aulakh | ET Bureau | April 24, 2017, 08:32 IST
NEW DELHI: Telecom operators want the next spectrum auction of 4G and 5G airwaves to be held in the latter part of the next financial year starting April 1, 2018, over a year later than the government’s plans, pointing to the ongoing consolidation moves and the financial strife that the industry finds itself in.
Mobile phone operators and analysts explained that notwithstanding the timing, interest for the coveted 4G airwaves in the 700 MHz band will be generated only if the price is sharply cut from the Rs 1,475 crore per unit for pan-India spectrum rate set for the previous sale, when the bandwidth went unsold.
The views come on the back of the telecom department (DoT) last week asking the sector regulator to suggest the starting price for airwaves in the 4G bands of 700 MHz, 800 MHz, 1800 MHz, 2300 MHz and 2500 MHz, and for spectrum in the 3400 MHz to 3600 MHz bands that are used for 5G services. DoT wants to hold the auction later in the year.
“The timing (of the auction of any band) should be latter part of 2018 and early part of 2019 once all the consolidation has been announced and locked down. Only after that would companies look at any additional spectrum needs after they put their networks together,” said Rajan Mathews, director general of Cellular Operators Association of India (COAI) that represents Bharti Airtel, Vodafone India, Idea Cellular and Reliance Jio, among others. Prashant Singhal, global telecom leader at EY, said that the base price of 700 MHz band needs to be cut by 40-50% for generating any interest among telcos that have recently beefed up on their spectrum requirements across bands.
Reliance Jio: Telcos want 4G, 5G spectrum auctions in the second half of next fiscal, Telecom News, ET Telecom