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Auction of 5G Spectrum : These 4 companies in the race for Buyers
Read Time:5 Minute, 20 Second
*With the introduction of 5G services in the country, the way for providing high-speed internet service will be cleared. 5G services will be about 10 times faster than existing 4G services.
Reliance Jio is expected to spend more during the auction.Bharti Airtel has deposited Rs 5500 crore and Adani has deposited Rs 100 crore. Vodafone Idea has deposited Rs 2200 crore. However, it has been made clear to the Adani group that they do not want to get into the telecom business and will use 5G to improve their business.
Table of Contents
What is meant by Spectrum Auction?
Spectrum could be better defined as “range of frequencies”, which can also be used in the industry of mobile communication. Spectrum consists of waves from “Radio waves” (the longest among all kind of waves) to Gamma Rays (the shortest among all kind of waves). Radios have been the best example to define spectrum, which consists of AM, medium wave and FM. These different waves depict to what megahertz or kilohertz one can go to. This enables us to experience various channels and their content, as there is a different frequency for every different channel.Similarly, there are different frequencies for 2G, 3G, 4G and 5G.
Every network is divided into different spectrum bands, and so is 5G network(s). It is divided into low, high and mid bands.The government has planned to auction the spectrum of 72 GHz, this time, which includes low spectrum (600 MHz, 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz), mid (3300 MHz) and high (26 GHz) spectrum.A statement issued by the government in June says, “It can be expected that mid and high band spectrum will be used by telecom companies based on 5G technology. Its speed can be 10 times higher than 4G.”.
What is the benefit of 5G for us?
5G, as the name suggests, is the fifth generation of mobile networks. This network operates at better frequencies, which will speed up the uploads and downloads.
The data rate in the later have turned considerably good, when it is compared between 3G to 4G. The cost for the operator came down due to which the data became cheaper and operators have added numerous other services as well. Services like “Mapping”applications will become better with 5G.
Mobile phone users in India often complain about cos drops to slow internet. A question might arise, whether these complaints will vanish with the advent of 5G? According to the Experts, it is believed that, there is an uncertainty in answering this question at the present moment.In those countries, where 5G has been already launched, it has been seen that the infrastructure of 5G mobile network is different. New radio technology with high bandwidth and low latency and a separate network will be needed, which will be different from 4G (LTE) and 3Gnetworks.
The speed of 5G is up to 10 Gbps, which is 100 times faster than the 100 Mbps speed of 4G. Technically 4G has remained only up to 3.8G. In present times, the expectations from 5G are high. The country awaits to encounter the service. 5G can also be looked as a useful tool for “Internet of Things” in future, if seen apart from it’s data speed.
What is “Internet of Things”?
Speed is only a part of 5G, its utility will increase in many areas in the coming time. It is possible that it can make your daily work easier.
Currently, a normal human being is using internet mostly on mobile phones and computers. But by connecting to 5G, one will also be able to connect Fridge, TV, Microwave Oven, Washing Machine and AC to the Internet at high speed and will be able to operate everything by connecting to the Internet.The latency of 5G will be very less.
(Note – Latency is the time of a command reaching the server from the device, that is, if one sends a signal from a device to something to do some work, then it will reach to that device at a very sharp speed, this will make many tasks easier.)
Though this might require a better infrastructure and the companies will take time to deliver it to their customers. It may take a few years to get such facilities in India, but companies are claiming that they will soon bring 5G. Some mobile phones have also become compatible for 5G.
5G in Stores by Next Year : Are there any Benefits of it?
For answering this question, lets take an example – Suppose one has a 5G phone, and lives in an urban area, then that person will be able to use services and data better. Things like e-learning would be better. If the person wants to locate services and locations, he will be able to do that easily. If things related to home automation are in the house, then we will be able to use them in a better way.Where if one lives in a rural area, then – e-governance and agriculture will get better.
One thing to note here is that this service needs a bundle of technologies before it’s institution. Hence, till these services are not made for them, it will not be of much use.
Will your phone bill go down?
The cost of 5G in the countrydepends on how much money companies spend in auctioning spectrum. But the competition among telecom companies in India is very less. That’s why the company that dominates may keep its prices higher.
However, it is important to note that the arrival of 5G will not stop 4G and 3G C services. The same will continue to run together.
Expected Revenue by the Auction to the Department of Telecommunications
With this auction, the industry expects that this process can go on for two days and the sale of spectrum will be around the reserve price. In this round of spectrum auction, apart from existing telecom service providers like Reliance Jio, Bharti Airtel and Vodafone Idea, the Gautam Adani’s company Adani Enterprises is also going to bid for 5G. The Department of Telecommunications is expected to get revenue in the range of Rs 70,000 crore to Rs 1,00,000 crore from the auction of 5G spectrum.
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