New Delhi: The Union Cabinet, chaired by PM Narendra Modi, has approved a proposal by the Department of Telecommunications to conduct a spectrum auction through which spectrum will be allocated to the successful bidders for providing 5G services to the public and enterprise.
The Indian government has given final consent to a proposal for directly allocating airwaves to enterprises, paving the way for them to operate private 5G networks.
A government notification said 5G services, which are expected to be 10 times faster than 4G, will be rolled out soon, adding that over 72 GHz of spectrum will be auctioned for a period of 20 years.
“A total of 72097.85 MHz of spectrum with a validity period of 20 years will be put up for auction to be held by the end of July, 2022. The auction will be held for spectrum in various Low (600 MHz, 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz), Mid (3300 MHz) and High (26 GHz) frequency bands, “the statement said.
The government also said it would hold the 5G spectrum auction by the end of July. Several well-known players in the telecom sector are gearing up to participate in the auction. The three main telecom bidders in the country are Reliance Industries’ (RIL) Jio, Bharti Airtel Ltd., and Vodafone Idea (Vi). They would like to get the 5G project. The bidders would be given an option to surrender the spectrum after 10 years with no future liabilities with respect to balance installments.
The Cabinet also decided to enable the development and setting up of “Private Captive Networks” to spur a wave of innovation in new-age industry applications such as machine-to-machine communications, the Internet of Things (IoT), and Artificial Intelligence (AI) across automotive, healthcare, agriculture, energy, and other sectors.