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5G Spectrum Auction in 37-40 GHz Band
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The Telecom Regulatory Authority of India (TRAI) has approved the auction of 5G spectrum in the 37-40 GHz band, paving the way for enhanced high-speed connectivity, particularly in densely populated urban areas.
Key Highlights of TRAI’s Proposal
- Auction of ₹17,940 crore worth of 5G spectrum across all 22 telecom circles.
- The millimeter wave spectrum is crucial for boosting capacity in high-density areas.
- 3,000 MHz spectrum per circle available in the 37-40 GHz band.
- TRAI has recommended that the Department of Telecommunications (DoT) auction the spectrum with a validity of 20 years.
- Participation is open to mobile operators, Category ‘A’ and ‘B’ Internet Service Providers (ISPs), and Machine-to-Machine (M2M) service providers under a unified license.
- The 37-37.5 GHz band is designated for broadband mobile use, while the 37.5-40 GHz and 40-42.5 GHz bands support mobile and satellite gateway link applications.
- Spectrum cap set at 40% of total spectrum in the auction, with 100 MHz block size for bidding.
Significance of TRAI’s Recommendations
- TRAI, as the sectoral regulator, plays a key role in guiding the DoT’s spectrum auction process.
- The reserve price and auction modalities are finalised based on stakeholder feedback and market analysis.
- The 37-40 GHz band has device ecosystem support, making it viable for auction.
Timeline for the Next Spectrum Auction
- The government has not yet decided on the date for the next auction.
- The demand for additional spectrum is under evaluation based on telecom operators’ requirements.
- Despite the 2021 Cabinet decision to hold annual spectrum auctions, the 2022 5G auction saw record purchases worth ₹1.5 lakh crore, reducing immediate demand.
- The 2024 spectrum auction saw low participation, with only 1.3% of total available radio frequencies sold, amounting to 141.4 MHz of spectrum for ₹11,340 crore—the lowest since 2010.
With the approval for 5G spectrum auction in the 37-40 GHz band, India moves closer to expanding high-speed mobile connectivity in urban areas. However, uncertainties remain regarding telcos’ demand, government auction timelines, and financial feasibility. As the digital landscape evolves, the efficient allocation of spectrum will play a crucial role in shaping India’s 5G future.