Although the auction ended relatively quickly and, despite coronavirus measures, it was completed in early November, the construction of 5G networks in the Czech Republic will probably not begin this year. The CTO will allocate the frequency only on the basis of an agreement, which will most likely not happen until the beginning of next year.
‘The Office must also, in the context of an administrative procedure concerning the applications of all participants in the auction, first decide to reject the applications of unsuccessful applicants. Only then, and after paying the price for the competed blocks of spectrum, will the CTU decide on the allocation of radio frequencies to successful applicants, ”spokeswoman Barbora Havelková told ČTK.
There will be no fourth operator
In total, seven participants applied for free frequencies for 5G mobile networks, but in the end only five of them were successful in the auction, as mentioned above. Of the four main units in category A, which includes the required 700 MHz band, two were acquired by Vodafone, one by T-Mobile and O2.
It was this band that was key to the development of the fifth-generation mobile network, and would also enable the creation of a new operator in the Czech Republic. T-Mobile paid the most in the auction (1.89 billion crowns), followed by Vodafone (1.568 billion crowns) and O2 (1.322 billion crowns).
All three mentioned operators also successfully participated in the auction in the 3400–3600 MHz band, but CentroNet and Nordic Telecom also managed to acquire free blocks here. On the contrary, the unsuccessful participants in the auction are Sev.en Innovations and PODA.
The 20 MHz units in the 3400-3600 MHz band, which competed for, are linked to a frequency lease commitment to support Industry 4.0.
More money was withdrawn
“The results of the auction phase and the interest in the frequencies offered show that we have set the conditions of the tender correctly to achieve their goals. In order to deepen competition, the good news is that the new entrants in the 3400-3800 MHz band will also strengthen their position. The total amount is 5.596 billion crowns, “CTO chairwoman Hana Továrková.
She emphasized that this was a higher amount than expected. According to the original estimates, the auction was to bring in only 5.4 billion crowns.