5G spectrum auction extends to 3rd day; receives bids worth Rs 1.49 lakh crore on Day 2

New Delhi, July 27: India's first 5G auction on Wednesday received bids worth Rs 1.49 lakh crore on day two, as aggressive bidding across bands by players like Reliance Jio and Bharti Airtel pushed the sale over to the third day.

 

 

As many as five rounds of bidding were conducted on Wednesday for the 5G spectrum, capable of offering lag-free connectivity and ultra-high-speed internet. Telecom Minister Ashwini Vaishnaw said that 'good competition' was seen in almost all bands on offer. Vaishnaw expressed happiness at the response received for the 700 MHz band, which did not find any takers in the last two auctions held in 2016 and 2021. The coveted and expensive 700 MHz band is important for coverage of far-flung areas.

 

'The sector is coming with new energy, and that is reflected in response to 5G auctions,' Vaishnaw told reporters.

 

Firms run by tycoons Mukesh Ambani, Sunil Bharti Mittal and Gautam Adani as well as Vodafone Idea had put in bids worth Rs 1.45 lakh crore on the opening day on Tuesday when four rounds were held, and the incremental demand for airwaves came in five rounds held on Wednesday.

 

 

 

Vaishnaw said the bidding will continue on Thursday. 'I am happy to see good competition in the auction, good competition for almost all bands have come in,' he said, adding 'bids worth Rs 1,49,454 crore have been received so far at the end of the 9th round'.

 

As per the process, it will not be known until the auction concludes as to which company got how much airwaves. The response logged on the first day of Rs 1.45 lakh crore had exceeded all internal estimates of the government and breached the record levels of 2015, a year when revenue collection from auction had been Rs 1.09 lakh crore.

 

The bidding and demand seen on the second day is 87 per cent more than the government's internal estimates of Rs 80,000 crore, for the auction.

 

The minister has acknowledged that the response had gone 'far beyond our expectations'. Going by the current participation levels, auctions would surpass the budgeted provisions.

 

The target is to allocate the spectrum by August 14-15. In all, the auction is being held for spectrum in various low (600 MHz, 700 MHz, 800 MHz, 900 MHz, 1,800 MHz, 2,100 MHz, 2,300 MHz), mid (3,300 MHz) and high (26 GHz) frequency bands. A total of 72 GHz (gigahertz) of radiowaves worth at least Rs 4.3 lakh crore is up for bidding.

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