No operators submit applications in 4G and 5G frequency auctions


MIC held an auction of the 2300MHz band, including three blocks of bands A1 (2300-2330 MHz), A2 (2330-2360 MHz), A3 (2360-2390 MHz) on May 15, May 25 and June 2 this year.

A worker of Viettel checks 5G equipment. 5G will enable Viet Nam to unlock its full potential, accelerating its digital transformation journey and adoption of the Fourth Industrial Revolution. — Photo courtesy of Viettel

Even though the deadline for submitting registrations to participate in the auction of 4G and 5G bands has expired, no operator has submitted an application and paid the deposit to register for the auction, reported the Ministry of Information and Communications (MIC).

MIC held an auction of the 2300MHz band, including three blocks of bands A1 (2300-2330 MHz), A2 (2330-2360 MHz), and A3 (2360-2390 MHz) on May 15, May 25 and June 2 this year.

However, by the end of the deadline, no enterprise had applied and paid a deposit to register for the auction.

Previously, the ministry issued and publicly announced the plan to organise an auction of the right to use frequency for the 2300MHz band on February 24.

After that, there were four telecommunications enterprises that submitted documents on auction conditions, including VNPT, Viettel, MobiFone and Vietnamobile.

These telecommunications units, after being appraised, have been granted certificates of eligibility to participate in the auction by MIC.

It is announced that the starting price of the 2300-2400 MHz frequency auction for three band blocks is VND17.4 trillion (US$).

Specifically, the A1 (2300 – 2330 Mhz), A2 (2330 – 2360 Mhz) and A3 (2360 – 2390 Mhz) band blocks all have a starting price of VND5.8 trillion and a shelf life of 15 years.

According to the Ministry of Information and Communications, Viet Nam currently has 125 million mobile subscribers and the market is starting to reach saturation.

Therefore, depositing large amounts of money is considered by many carriers.

Another statistic shows that each year, network operators are fighting for about 800,000 new subscribers to enter the market.

If in the previous 3G recruitment registration, the carriers brought a lively atmosphere to prepare the application documents, then with the auction of 4G and 5G frequencies this time, the atmosphere was quite quiet.

The current conditions are imperative that network operators will have to calculate carefully auction money and business efficiency.

In addition to the above reasons, the transition from license-free to paying for license is not easy for carriers. — VNS

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