The government has raised Rs 40 billion on the second day of the 5G spectrum auctions, taking its total proceeds from the sale to Rs 1.49 trillion. Meanwhile, as per estimates, Airtel’s spending is expected to have gone up to around Rs 460 billion while that of Vodafone Idea Limited (Vi), to around Rs 190 billion. Besides, Adani Data Networks is estimated to have bid for around Rs 9-10 billion worth of spectrum in the high band, needed for its captive networks.
Addressing a press briefing, Ashwini Vaishnaw, Union Minister of Communications, Electronics and Information Technology, informed that after the end of the ninth round, the government has grossed about Rs 1.49 trillion. Moreover, the minister asserted the second day of 5G spectrum auction generated a good demand across geographical areas, with bids put for the areas which did not have demand on day one of the spectrum auctions.
The second day of the 5G spectrum auction witnessed intense bidding in the strategic areas of UP-East and Odisha circles in the 1800 MHz band. The event also observed a parallel duel transpired over mid-band airwaves amongst telcos in eight circles of Jammu and Kashmir (J&K), Northeast (NE), Karnataka, Kerala, UP-West, Rajasthan, Madhya Pradesh and Himachal Pradesh. Meanwhile, fairly intense bidding was seen for 26 GHz spectrum band in Kerala, where the likely buyer was Vi as it’s traditionally a key market for the operator.
Industry reaction:-
Commenting on the second day proceedings, Mahendra Nahata, managing director, Himachal Futuristic Communications Limited (HFCL), said, “The overwhelming response to 5G spectrum auction shows the industry’s confidence in the telecom sector, its continued growth and the government’s policies. Our honourable Prime Minister Shri Narendra Modi Ji has given a transparent government to our country. His policies of transparency and ease-of-doing business are being aptly followed by the Ministry of Communications under the able and dynamic leadership of Honourable Minister Shri Ashwini Vaishnav Ji. The relief package of Rs. 1.64 trillion for Bharat Sanchar Nigam Limited (BSNL) announced by the Honourable Minister of Communications will revive BSNL to become a strong business enterprise. A strong BSNL is vital for the country for its strategic reasons and crucial for the growth of the entire telecom sector of India. The current management of BSNL has a focussed approach to its revival. The announced relief package will strengthen the hands of BSNL management to transform it into a world-class telecom service provider that effectively competes with its peers. HFCL welcomes these vital government initiatives for strengthening the Indian telecom sector. We are excited about the 5G rollout becoming a reality soon and the vast opportunity that will unfold for Indian enterprises and consumers. The launch of the 5G network will enable telecom operators to start providing a new generation of high bandwidth services to customers. 5G will allow enterprises to embark on the Industry 4.0 journey, and it will help accelerate digital transformation across industries spanning manufacturing, retail, utilities, smart cities and more. The 5G revolution would contribute significantly in achieving our honourable PM’s vision of India becoming a $5 trillion economy, and it will aid in bridging the digital divide — thus making various services like healthcare, education, financial services, e-commerce and entertainment accessible to the bottom of the pyramid. HFCL has been on a transformation journey to become a leading high-tech enterprise and integrated next-gen communication product, provider. As one of India’s leading telecom equipment and optical fibre cables manufacturer, these recent announcements will open up the opportunity to offer our clients more India-made end-to-end solutions with open-source technology.”
