In Short:
The Department of Space has released an additional 20 MHz spectrum in the 2500 MHz band for mobile use, benefiting Vodafone Idea. This will allow Vi to offer better quality 4G services with harmonized frequencies. The DoT plans to auction the airwaves in future sales to meet the needs of telcos for 5G and 6G services. Discussions are ongoing about reallocating spectrum from the broadcasting sector for 5G.
Department of Space Releases 20 MHz Spectrum in 2500 MHz Band for Mobility Use
New Delhi: The Department of Space has released an additional 20 MHz spectrum in the 2500 MHz band worth Rs 11,000 crore for mobility use, allowing the government to auction the airwaves in future sales, as confirmed by officials.
Benefit to Vodafone Idea (Vi)
The development is expected to benefit struggling operator Vodafone Idea (Vi), as it has received a contiguous block in the band, enabling the provision of better quality 4G services, according to the officials.
Earlier, Vi’s spectrum was fragmented into two non-contiguous blocks, but with the release of the additional spectrum, frequencies have been harmonised, and Vi now has all the frequencies together. Vi is the only private telco offering 4G in the 2500 MHz band.
Prior to this, Vi had two blocks – one of 20 MHz and another of 10 MHz in the band, but these blocks were not contiguous. With the additional 20 MHz spectrum released by the DoS, the total spectrum for mobile use in the 2500 MHz band has increased to 60 MHz, of which 40 MHz is now contiguous.
According to an official, Vi has been seeking this spectrum harmonisation for many years, and now that it is feasible, the government has combined the frequencies together.
Other Operators and Future Auctions
Aside from Vi, state-run Bharat Sanchar Nigam Ltd. (BSNL) also utilizes the 2500 MHz spectrum for its 4G services. Bharti Airtel and Reliance Jio have 40 MHz each in the 2300 MHz band to meet their 4G requirements.
The Department of Telecommunications (DoT) will be putting the additional spectrum up for sale in future auctions. Industry experts suggest that either Vi or BSNL would be interested in acquiring this 20 MHz spectrum in the 2500 MHz band to enhance their spectrum portfolio.
Government’s Focus on 5G and 6G
The DoT has been actively working to secure additional spectrum for mobility use, especially to meet the future needs of 5G and 6G services. The government is considering reallocating 100 MHz spectrum in the mid-band for telecom operators for 5G services, potentially taking it from the broadcasting sector.
While there have been concerns raised by the broadcasting sector, the DoT believes that the mid-band is the most suitable for 5G services and additional airwaves should be made available through auction for telcos.
Decision Making Process
The matter has been taken to the Committee of Secretaries so that different ministries of the government can collaborate in reaching a decision. The DoT aims to shift broadcasting firms from the 3700-4000 MHz band to the 4000-4200 MHz band to accommodate the spectrum needs for 5G services.
Last year, the DoT rejected TRAI’s recommendations to reserve 40 MHz in the 3700-3800 MHz band for captive private networks, asserting that the entire mid-band from 3300-4000 MHz is best suited for 5G services.
