Preparations for the launch of the 5G service in India have been completed. But in the open house discussion organized by TRAI regarding the rules of the 5G spectrum auction, the opinion could not be reached between all the telecom operators and satellite broadband companies like Reliance Jio, Bharti Airtel and Vodafone-Idea. In such a situation, the Telecom Regulatory Authority of India (Trai) has asked telecom companies and other service providers to submit all their additional submissions by February 15. TRAI has specifically directed to share the formula for spectrum valuation. On the other hand, satellite companies are opposing the auction of the 28GHz frequency band due to constraints in in-flight and maritime connectivity. Which is very important for aeroplanes.
The base price of the 5G spectrum did not matter
TRAI had recommended a base price of Rs 492 crore per MHz of unpaired spectrum for the 5G spectrum band 3,300-3,600 Mhz. Telecom operators buying radio waves for 5G will have to spend a minimum of Rs 9,840 crore to buy spectrum in the 3,300-3,600 MHz band. If the telecom operator demands spectrum in the medium bands, then the telecom operator will have to pay only Rs 492 crore base price. Reliance Jio Infocomm Chairman Ravi Gandhi and Bharti Airtel Chief Regulatory Officer Rahul Vats and COAI Deputy Director-General Vikram Tiwathia suggested that the regulator fix the base price of 5G spectrum in the mid-band and high-frequency bands using international benchmarks. needed.
5G spectrum most expensive in India
- India (3.3 to 3.6GHz) – Rs 492 crore
- Italy (3.7 GHz) – Rs 174.4 crore
- UK (3.4 GHz) – Rs 71.3 crore
- South Korea (3.5 GHz) – Rs 69.6 crore
- Spain (3.7 GHz) – Rs 20.2 crore
- Finland (3.5 GHz) – Rs 1.89 crore
Demand to fix the price according to global standard
Telecom operators suggested to TRAI that TRAI should do the pricing at the telecom circle level keeping in mind the metrics of users on average revenue and the country’s GDP. Gandhi said the base price of spectrum in the high-frequency band of 24.5 GHz to 29.5 GHz should be fixed at 1 per cent of the base price in the mid-frequency band. Telecom operators have demanded that the E and V band spectrum, which is used for data transmission in optical fibre, be extended. That frequency band should also be auctioned.
Air flight expected to be affected
The same satellite players are opposing the auction of the telecom operator’s high-frequency range of 27.5-28.5 Hz. Indian Space Association Director General AK Bhatt said that according to global practice, 27.5-28.5 Hz should not be auctioned in India. Gautam Sharma, managing director of satellite company Inmarsat India, said that the company provides in-flight service and maritime connectivity to 500 ships on 28 GHz. The auction of this frequency band will cause problems in the operation of the company’s flights and ships.
