In Short:
Reliance Jio, Bharti Airtel, and Vodafone Idea have applied to bid for the upcoming spectrum auction starting from June 6, 2024. The government will auction eight spectrum bands for mobile services at a base price of approximately Rs 963.17 billion. The spectrum includes various MHz bands. The DoT received applications from the three private telcos before the deadline, with no new companies applying this time. Successful bidders will have 20 years to use the spectrum and can make payments in 20 annual instalments. Ownership details of applicants will be published, and withdrawals can be made until May 17, 2024. Successful bidders must pay within 10 days of demand notice.
Mobile Giants Excited to Bid in Spectrum Auction!
Exciting news in the telecom world as Reliance Jio, Bharti Airtel, and Vodafone Idea Limited (Vi) gear up to participate in the upcoming spectrum auction set to kick off on June 6, 2024!
What’s on the Auction Block?
The government plans to auction eight spectrum bands for mobile services with a base price of approximately Rs 963.17 billion. All essential spectrum in the 800 MHz, 900 MHz, 1,800 MHz, 2,100 MHz, 2,300 MHz, 2,500 MHz, 3,300 MHz, and 26 GHz bands will be up for grabs.
Applications Received and Important Dates
The Department of Telecommunications (DoT) has confirmed receipt of applications from the three major telcos within the deadline. Notably, no new company has entered the fray this time around. However, a surprise bidder from the Adani group unit made an appearance at the last auction in 2022.
Ownership details of the applicants will be published by DoT on May 10, 2024. Withdrawal of applications will be accepted until May 17, 2024, with the final list of bidders to be revealed on May 20, 2024.
Key Details to Know
Successful bidders will secure spectrum for 20 years and can make payments in 20 equal annual instalments. They also have the option to surrender acquired spectrum after a minimum of 10 years. Moreover, no financial bank guarantees or performance bank guarantees are required, and there will be no spectrum usage charges (SUC) for the airwaves obtained in the auction.
Next Steps for Bidders
Once the auction concludes, successful bidders must submit the amount to DoT within 10 days of receiving the demand notice. Additionally, DoT will issue a frequency assignment letter specifying the frequencies to the winners within 30 days of payment receipt.
