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5G spectrum

Reliance Jio

Reliance Jio Top Bidder in 5G Spectrum Auction, Auction Ends With Over Rs 1.5 Lakh Crore.

India’s largest ever auction of telecommunication spectrum recorded a 1.5 lakh crore worth of 5G spectrum bids. It was a 7-day auction that ended on Monday. Mukesh Ambani’s Jio reliance acquired nearly half of all the airwaves sold with an Rs. 88,078 crore Bid. 

“The auction has been completed and in the next few days, till August 12, all formalities incl approving and allocating, and taking upfront payments will be completed. It seems we would be able to launch 5G in the country by October”, said the Union telecom Minister. 

He said,” Government expect good nationwide 5G coverage in the next 2-3 years.

Source: www.livemint.com

The government introduced a total of ten bands in the spectrum but it did not collect any bids for airwaves in 600 MHz, 800 MHz, and 2300 MHz bands. some (two-thirds) of the bids were for the 5G 3300 MHz and 26 GHz bands whereas most (more than a quarter) of the demands were for the 700 MHz band. It is the band that was unsold in the previous auctions conducted in 2016 and 2021, surprisingly has a high demand in this auction which is being conducted in 2022. 

Reliance Jio
Image source: outlookindia.com

Mukesh Ambani’s Reliance Jio will be the only telecommunication company to offer 5G Internet connectivity using a 700Hz spectrum footprint. It has acquired the 700 Hz and 800 Hz bands around twenty-two circles. It will pay an amount of 7,877 crores per year throughout the next twenty years with an interest rate of 7.2 % per annum. 

Jio’s 5G solution is made in India, by Indians and to suit the need of every Indian. Jio is fully ready for 5G rollout in the shortest period of time because of its nationwide fibre presence, all-IP network with no legacy infrastructure, indigenous 5G stack and strong global partnerships across the technology ecosystem,” Jio highlighted in its statement.

Source: www.news18.com

With its unmatched 700 MHz spectrum footprint, Jio will be the only operator providing pan-India True 5G services with faster speeds, lower latency and massive connectivity,” Jio said in its statement.

Source: www.news18.com

“We will celebrate ‘Azadi ka Amrit Mahotsav’ with a pan India 5G rollout. Jio is committed to offering world-class, affordable 5G and 5G-enabled services. We will provide services, platforms and solutions that will accelerate India’s digital revolution, especially in crucial sectors like Education, Healthcare, Agriculture, Manufacturing and e-Governance and make another proud contribution to Honourable Prime Minister’s DIGITAL INDIA MISSION”, said Chairman of Reliance Jio, Akash M Ambani. 

Source: www.news18.com

Reliance Jio has purchased a low-band, mid-band, and mm-Wave spectrum, which strengthens stable and constant internet connectivity with the deep fiber network and inventive and resourceful technology platforms for customers along with business providers. 

The wrap-up from the 5G spectrum, capable of providing ultra-high speed smartphone connectivity, is approximately double at Rs. 77,815 crores worth 4G airwaves traded last year.

Gautam Adani’s Group, who participated as a rival of Mukesh Ambani’s Jio reliance, purchased a bid worth Rs. 212 Crore for 400 MHz, or less than 1% of the whole sold spectrum. This band was not used for providing public telecom services.  

The Indian Government has traded up to 71% of the whole spectrum, making Rs. 1,50,173 Crores. 

Along with offers to power ultra-low latency connections that allow a user to download full-length high-quality videos or movies to a smartphone in a flash even in crowded areas. 5G (fifth generation) would allow solutions such as e-health, deeply engaging augmented reality and metaverse experiences, connected devices, life-saving use cases, and innovative cloud gaming. 

5G spectrum

5G spectrum Auction Begins: These 13 Cities Will Get 5G Services First In India.

The auctions for the deployment of the 5G spectrum has initiated in India for a nationwide 5G roll-out. They are supposed to be concluded over the next few days and hopefully by the month-end. A spectrum with a 20-year time frame with a validity of over 72 GHz is up for auction. The spectrum auction includes spectrum in several frequency bands having both low (600 GHz, 700 GHz, 800 GHz, 900 GHz, 1800 GHz, 2100 GHz, and 2300 GHz) and high (26 GHz).

There have been claims about the speed of 5G by the government that it will be about ten times faster than the 4G we’re currently using. It will bring an enormous change to the telecommunication industry. Now, after speculation by DOT (Department of Telecommunication), the 5G service will be established in India in 2020 as you know, the auctions have already started.

It is also claimed by the department of telecommunications that the 13 cities all over the country will get the chance to establish 5G at first. Then it will slowly expand over the other parts of the country as there are many parts of the country where there are places with no 4G connectivity and last week Jio established 4G connectivity in a town named Pangong Lake in the Ladakh region. The cities that will get the 5G are Delhi, Gurugram, Gandhinagar, Mumbai, Pune, Jamnagar, Lucknow, Bengaluru, Chennai, Chandigarh, Hyderabad, Kolkata, and Ahmedabad.

5G spectrum
Image source: hindustantimes.com

Currently, there is no information about the telecom operator corporation, which will be the first to commercially and successfully deploy this 5G spectrum services in India. The leading telecom operator firms such as Airtel, Jio, and Vi (Vodafone and Idea) have already initiated setting up their trial sites in mentioned cities.

The Department of Telecommunication has collaborated with eight agencies that are IIT Bombay, IIT Delhi, IIT Hyderabad, IIT Madras, IIT Kanpur, IISC Bangalore, Society for Applied Microwave Electronica & Engineering, and Center of Excellence in Wireless Technology, for the national 5G test bed project initiated in 2018.

The Department anticipated a price range of 70,000 crores to 1,00,000 crores from the 5G spectrum auctions that would usher in great new age offerings and innovative business models which would enable high-speed connections, and generate high revenue for various enterprises, and provide employment emerging from the allocation of innovative use-cases and technologies. The biddings are expected to last for about two days. The 72 GHz will be worth 4.3 lakh crore INR.

It is also anticipated that Mukesh Ambani’s Jio will be leading the expense, followed by Bharti, and Airtel while there is meager participation seen from Vodafone Idea (Vi) and Adani Group. Reliance Jio has an Earnest Money Deposit of 14,000 crores, while its competitor Adani Group has made a minor deposit of 100 crore INR. There would be less chance of aggressive bidding as there are only four participants in the race. While Reliance Jio may be intensely bidding in the auctions, there is not any major bidding by Adani Group.

The government is searching for various measures to cut off the expense of performing business for Telecommunication Service Provider firms. It announced reforms in the telecom sector in September 2021, which will serve as a huge benefit for this spectrum auction. The reform comprises zero Spectrum Usage Charges (SUC) on the spectrum that will be purchased in the coming auctions. The telecom Service providers will be receiving a significant relief from SUC being the cause as it will reduce their operational costs for them. It will be seen as an immense revolution in the telecom industry, providing many opportunities for providers and consumers.