New Delhi: 4-Way race for $14 Billion 5G Spectrum starts today in which four applicants including Reliance Jio and Bharti Airtel to participate in bidding. Government hopes for Rs 1 lakh crore from sale. The bidding process will start from 10 am today and will continue till 6 pm. 72 GHz of spectrum up for grabs for 20 years. Jio is biggest contender. Rs 21,400 crore in earnest money deposit by four players.
Auction process can go on for 2 days
DoT sources said that how long the auction process lasts will depend on the incoming bids for spectrum and the strategy of the bidders.
The industry expects the auction process to go on for two days and spectrum will be sold around the reserve price. In this round of spectrum auction, apart from existing telecom service providers Reliance Jio, Bharti Airtel and Vodafone Idea, Gautam Adani’s company Adani Enterprises is also going to bid for 5G.
Adani Enterprises grew rapidly, this helped the group a lot
Gautam Adani said that Adani Enterprises has grown very fast. This has also increased people’s trust in the Adani Group. At the same time, the growth pace of the entire group has accelerated.
Department of Telecom expects revenue of Rs 1 lakh crore
The Department of Telecommunications is expected to get revenue in the range of Rs 70,000 crore to Rs 1,00,000 crore from the auction of 5G spectrum. The introduction of 5G services in the country will pave the way for providing very high speed internet services. 5G service will be about 10 times faster than existing 4G services.
What is the estimate about the bid
Reliance Jio is expected to spend more during the auction. Airtel is also expected to lead the race with limited participation from Vodafone Idea and Adani Enterprises. Market analysts say there is little hope of aggressive bidding during the auction. This is because spectrum is available in sufficient quantity whereas there are only four bidders.
Reliance Jio deposited Rs 14,000 crore
Reliance Jio has deposited an amount of Rs 14,000 crore with the department for auction while Adani Enterprises has deposited only Rs 100 crore.