Explained: All you need to know about next month’s spectrum auctions | Explained News,The Indian Express

The Union Cabinet on Tuesday (June 14) cleared a proposal to auction 72,097.85 MHz of airwaves.

The government has invited applications from potential bidders for spectrum auctions planned next month, taking the first step towards rolling out 5G services in the country. The Union Cabinet on Tuesday (June 14) cleared a proposal to auction 72,097.85 MHz of airwaves.

A total 72,097.85 MHz of spectrum with a validity period of 20 years will be put on auction from July 26. The auction will be held for spectrum in the frequencies of 600 MHz, 700 MHz, 800 MHz, 900 MHz, 1,800 MHz, 2,100 MHz, 2,300 MHz, 3,300 MHz and 26 GHz bands.

“It is expected that the Mid and High band spectrum will be utilised by telecom service providers to roll out 5G technology-based services capable of providing speed and capacities which would be about 10 times higher than what is possible through the current 4G services,” an official statement said.

The e-auction will be conducted on a simultaneous multiple rounds ascending model. Bidders will have to submit an earnest money deposit ahead of the auction, on the basis of which each bidder will be allocated eligibility points. During the auction, the company will be able to place its bids using these eligibility points.

At reserve price, the entirety of the spectrum is valued at over Rs 5 lakh crore. Last year, the government had announced a telecom sector relief package, and some facets of the scheme have been included in the terms of this auction. A mandatory requirement to make upfront payment by the successful bidders has been done away with for the first time.

https://indianexpress.com/article/explained/explained-next-months-spectrum-auctions-7971717/

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