The government of India launched a major telecom spectrum auction, with bids totaling approximately $1.32 billion placed on the first day across five rounds of bidding. The government offered 10,500 MHz of spectrum valued at $11.54 billion.
The Indian government derives a big chunk of revenue from spectrum auctions, which award telecom companies rights over airwaves for a particular period.
Participating telecom operators, including Reliance Jio, Bharti Airtel, and Vodafone Idea, showed interest in the 900 MHz, 1800 MHz, 2100 MHz, and 2500 MHz bands.
Bidding primarily occurred in the 900 and 1800 MHz bands. Reliance Jio deposited the highest earnest money of $359.7 million, followed by Bharti Airtel with $125.9 million, and Vodafone Idea with $36 million.
Telecom Minister Jyotiraditya Scindia emphasized the auction’s importance in facilitating affordable, quality telecom services and boosting innovation across India. This marks the 10th spectrum auction since the online bidding process began in 2010, with the previous auction held in August 2022, which included 5G spectrum for the first time.
The current auction offers spectrum in various bands: 800 MHz, 900 MHz, 1,800 MHz, 2,100 MHz, 2,300 MHz, 2,500 MHz, 3,300 MHz, and 26 GHz. The 3,300 MHz and 26 MHz bands are considered suitable for 5G services.
SP Kochhar, Director General of the Cellular Operators’ Association of India, highlighted the potential impact of the 5G auctions. He said that they would catalyze the rapid rollout of 5G services nationwide, enhancing coverage and connectivity. Kochhar emphasized that the auctions would help bridge the digital divide by bringing high-speed internet to remote areas, fostering economic opportunities and social advancement.
The auction is seen as a significant step toward achieving the goal of a digitally empowered India, aligning with the country’s “Viksit Bharat” (Developed India) vision. It is expected to lay a strong foundation for a prosperous and technologically advanced nation.
As the auction continues, industry observers anticipate sustained interest from telecom operators, with potential implications for the future of India’s telecommunications landscape and digital infrastructure.
