As per Telecom Regulatory Authority of India or TRAI’s recommendation, a 5G auction is about to take place in India for the first time. Eight bands will be auctioned including the 5G super high-speed telephony.
It is assumed that the auction will work as a catalyst for IoT. Thus, the process of deploying artificial intelligence and machine learning will get acceleration.
According to a report, the next auction will offer Rs. 5.06 trn of airwaves. This will be the largest auction of the spectrum so far. Nonetheless, the government is allowed to sell airwaves worth Rs. 657 bl only.
The Department of Telecommunication or DoT will decide the time of the auction only after assessing the market. Though the telecom sector is witnessing financial troubles, most of the telecom companies have aligned with partners to roll out 5G so that they can compete with the global players.
Though TRAI has now suggested selling airwaves worth more than Rs. 5 trn, it has also informed that 900 MHz spectrum will also be available by the end of this year. An official said that DoT will soon identify the new brands that are planning to offer 5G.
The telecom industry body COAI has notified that telcos are happy because of the reduced price of spectrum. But it has also emphasized on the fact that the price reduction isn’t the only solution given the financial crisis telecom industry is going through.
As per most of the stakeholders and the regulators, the market should be allowed to settle down to cope with the phase of consolidation. Some stakeholders and regulators are in favor of holding the auction in 2019 when the telcos will be prepared to launch 5G service commercially in India.