5G Auction: Reliance Jio emerges as the most aggressive bidder! Customers will get a big shock before the arrival of 5G.


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Reliance Jio emerges as the most aggressive bidder for the 5G auction:

India's first spectrum auction has been completed. Reliance Jio, Bharti Airtel, Vodafone, Idea, and Gautam Adani's data networks bid for a 5G spectrum in the seven-day auction. The government has earned ₹ 1,50,173 lakh crore from this auction. Which company bought how much MHz and we are going to tell you in this article.

The government has broken the previous record of income from spectrum auctions which was set in 2015. At that time the government had collected ₹1.9 lakh crore from the sale of spectrum. This time a total of 72 GHz spectrum worth ₹4.3 lakh crores has been put on the block in the auction. Whereas the validity will be 20 years. According to media reports, Reliance Jio has emerged as an aggressive market leader.

It is followed by Bharti Airtel, which bid for 5G in its priority circle. Vodafone also bid in the priority circle. Adani Data Networks bid for 5G airwaves in the 26 GHz band for its private data network. There was long bidding for the 1800 MHz spectrum in the UP east circle. The price per unit of this spectrum increased to ₹160.57 crore, which is about 76.5% higher than its base price of ₹91 crores per MHz's. 

There are 10 crore mobile subscribers in this circle. There was tough competition between Jio and Airtel regarding the airwaves. The 38th round of bidding for the 5G spectrum took place on Monday, taking the total purchase of 24740 MHz spectrum to over ₹ 88,078 crores. While Airtel spent over ₹ 43,084 crores for 19,867.7 MHz, Vodafone spent over ₹ 18799 crores for the 6228 MHz spectrum. Adani spent ₹ 212 crores on a 400 MHz investment.

Telecom Minister Ashwini Vaishnav said we may be in a position to launch 5G by October. In the next few days, whatever other formalities are, spectrum approval, and the upfront payment which the operators will deposit. All that will be complete around 10 -12 August and the operators from the state level have also made preparations.

Preparations are underway to install 5G in many parts of the country, so it seems that we will be in a position to launch 5G in the country in October. The reforms that were done in installing more fiber cables in the tower, now almost took more than a year. The permission to install the tower is now done in a few minutes.

If approvals come in a few hours, then permissions for more than 2.5 lakh towers are given in the meantime, so there will be an improvement in service quality in the coming months. After the arrival of 5G, the quality of service can also be good. Now let us tell you what is spectrum, and how it works. Airwaves are radio frequencies within the electromagnetic spectrum that can carry information wirelessly for many services, including telecommunications.

The government manages and allocates this Airwave. The 5G spectrum can be divided into bands ranging from low frequency to high frequency. High-frequency waves carry more data and are faster than lower-frequency waves. Lower frequencies can provide wider coverage. The introduction of the 5G generation of Internet networks will bring many benefits.

The first advantage of these would be that users would be able to use faster speeds. Video will be streamed without buffering or stopping. The voice will come without pause and clear in an internet call. A 2GB movie will be downloaded in 10 to 20 seconds. Drone use will be possible in the agricultural sector in the care of the fields; it will be easy to operate the metro without driver vehicles. It will be easier to use robots in factories.

Now the people of the country are waiting for 5G service. It is believed that Airtel can start 5G service by the end of this month. Airtel has got a spectrum of 19800 MHz's. These include the 900 MHz, 1800 MHz, 2100 MHz, 3300 MHz, and 26 GHz, bands. For this, the company will have to pay ₹ 43084 crores. Airtel has started action to start the service. 

The company has tied up with Nokia Ericsson for the 5G network, while the agreement with Samsung will come into effect this year. Under this agreement, work on the 5G network will be completed this month. This means that by the end of this month, Airtel can start the 5G service. That is, now the day is not far when everyone's mobile phone will have a 5G network. 

The speed of 5G is going to be 10 times faster than 4G. At present, the maximum speed of the 4G network will be 100 megabytes per second i.e. one Mbps to 100 Mbps and in 5G this speed will be 10 gigabytes per second i.e. 10 Gbps. Data download speeds up to 20 GB can be found in 5G network.

It takes 10 minutes to download a high definition movie through 4G technologies, while a high definition movie will be downloaded in a few seconds through 5G technology. After the arrival of 5G, your mobile experience will be completely changed. This artificial intelligence will bring significant changes in the robotics, automation, healthcare, and agriculture sectors.

With this technology, your content will be downloaded in a few seconds; 5G will give a tremendous boost to virtual reality and reality technology. If VI and AI technology will be better the possibilities in the entertainment and gaming industry will also increase. With the advent of 5G, your home will also become smart. You will be able to manage the home security system lighting and other equipment well. For example, if the refrigerator of your house is open or the AC is on, then you can off or on the AC wherever you are.

The message will come on your smartphone and you will be able to turn it on and off with one click. According to research company Gartner, the total contribution of 5G to the real global GDP growth by 2035 will be close to three and a half trillion dollars. That is, India's economy will get a new speed with the arrival of 5G.

Customers will get a big shock before the arrival of 5G:

The dream of 5G service is going to turn into reality very soon. The 5G spectrum auction has been completed and Jio Airtel and telecom operators have taken their 5G brand spectrum. The hope is being raised by the government among the people that 5G plans will be cheaper in India than in the rest of the world. Mobile users have bought 5G smartphones and are waiting. Indians hoping for the introduction of a 5G network but cheap recharge plans are going to get a big blow.

4G tariff can be increased before the start of 5G telecom services. But the question is, why will the 4G recharge be increased and how expensive will the 4G plan become? The prices of 4G recharge plans can be increased before the start of 5G telecom services in the country and the 4G recharge plan may increase by up to 30% in the coming few months.

Nomura and Goldman Sachs predict that companies will increase tariffs by 30% in 2022. Reliance Jio Airtel and VI recharge plans of all three companies are going to be expensive. Even after this, telecom operators will charge a premium tariff for the benefit. According to Crisil, the use of 5G services will depend on the premium above the 4G tariff.

Therefore, to ensure that people adopt 5G on a large scale, companies can increase the tariff of 4G services. Nomura Global Market Research estimates that companies can charge premiums of up to 30% on the tariff of 1.5 GB per day 4G plans. That is, a one and a-half GB plan of 239 will cost you 310 and a 666 one-a-half GB plan will cost you 866.

Nomura has said in a report that initially premium customers who have smartphones above ₹ 15,000 will subscribe to 5G services. In such a situation, we estimate that telecom companies will charge a premium tariff on 5G. On the other hand, Goldman Sachs said in a note that our first estimate has been that by the end of 2022, telecom companies will increase tariffs once again.

We believe that this sector will prove to be the next stop for earnings growth. It is worth noting that the government has earned ₹ 1.5 lakh crore from the auction of 5G airwaves. Reliance Jio has paid more than ₹88 crores to get spectrum, Bharti Airtel has paid more than ₹43 crores, VI has paid more than₹18,000 crore, and Jio is the only operator to buy 5G spectrum in 700 MHz bands in all 22 telecom circles.

According to telecom experts, due to the low-frequency band, its signals can reach inside the buildings. Hence it is beneficial for indoor coverage and Its outdoor coverage is also great. A 5G tower in the 700 MHz bands can provide coverage up to 10 km. You should know that 5G services are likely to start for select users like corporates and professionals by October-November or the end of the year. 

It may take 2 to 3 years for these services to reach the common people, as companies will have to make huge investments in creating the infrastructure and it will also take time. Apart from this, companies will increase the scope of 5G considering that the demand is increasing at this pace.



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