The Department of Telecommunications issued a call for applications for the upcoming spectrum auction, slated to commence on May 20, as announced on Friday, March 8, 2024.

The auction will feature eight spectrum bands designated for mobile phone services, with a starting price of Rs 96,317.65 crore, equivalent to $11.6 billion.

Included in this auction are spectrum holdings of certain companies undergoing insolvency proceedings, along with frequencies set to expire this year. In February, the Union Cabinet approved these auctions and allowed interim allocations to telecom operators. All available spectrum in the 800, 900, 1800, 2100, 2300, 2500, 3300 MHz, and 26 GHz bands will be available for bidding.

A total of 10 GHz of radiowaves will be up for grabs, a decrease from previous auctions as telecom firms have already acquired adequate spectrum to meet their bandwidth needs.

Interested companies have until April 22 to apply for spectrum. A mock auction is scheduled for May 13 and 14, followed by the actual sale beginning on May 20.

Industry analysts anticipate a relatively subdued auction, as major Indian telecom companies currently have sufficient airwaves for their 5G requirements. It is expected that Bharti Airtel and Vodafone Idea will selectively purchase airwaves to renew their licenses in certain circles, with the possibility of the Adani group acquiring airwaves in lower spectrum bands.

The upcoming auctions are projected to benefit Reliance Jio, Bharti Airtel, and financially strained Vodafone Idea. In 2022, Jio emerged as the top bidder in the spectrum auction, contributing over $11 billion to the government's revenue.

Due to fierce competition in the telecom sector, analysts predict that bids for additional airwaves may not reach previous highs, potentially impacting the overall auction size. Airtel and Vodafone Idea need to renew airwaves in specific regions, while Reliance Jio does not have any spectrum renewals scheduled for this year.

Airtel's spectrum in five circles expired on February 9, with another set to expire in March. Vodafone Idea's spectrum in West Bengal and UP West also expired, necessitating permission for continued usage. Furthermore, the Cabinet approved reallocation and additional allocation of spectrum for the transportation system to enhance passenger safety.