Friday 9 February 2018

Telcos want govt to postpone 5G spectrum auctions till 2020

While India is gearing for 5G rollout, leading telcos like Airtel, Vodafone, Idea want government to postpone 5G spectrum auctions till FY2020 to give time for a devices ecosystem to develop and allow the industry to overcome its financial stress and consolidate completely.


Rajan Mathews, director general at Cellular Operators Association of India (COAI), said: “The government must not rush into any spectrum auction this year as the industry is reeling under acute financial duress, and auction of any spectrum band, including 5G, must be initiated "only once all consolidation has been announced and locked down."

COAI is the top industry grouping representing top telcos Bharti Airtel, Vodafone India, Idea Cellular and Reliance Jio Infocomm.

In this matter, telecom operators and the regulator TRAI are not on the same platform. TRAI, in its suggestion for the National Telecom Policy 2018, urged the government to swiftly identify and make available new spectrum bands in the backhaul and access segments for growth of 5G networks.

Mathews added: "Given that regulatory and technical standards for 5G are still under deliberation at the global level, 5G spectrum should be auctioned only after the ecosystem is developed, which is why, FY2020 may be an appropriate time to do so as there will be better use cases and apps for 5G, for which at least a year to 18 months are required."

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