The DoT has released the end of day report for Day 1 of the auction. A total of 4 clock rounds were completed between 10 Am and 6 Pm. Out of the total 2308.80 MHz of spectrum that was put up for sale, DoT has received bids for 849.20 MHz on day 1, which is 60% of the available spectrum excluding the 700 MHz and 2500 MHz bands which did not see any demand on day 1. Interestingly all spectrum that was sold, went at base price only, as the demand did not exceed the availability in any circle in any band in all 4 rounds.
In the 850 MHz band 60% of the total spectrum that was put up for sale attracted bids from the operators. The demand was less than the availability in all circles except for Jammu & Kashmir, North East and Assam which saw no bids.
In 900 MHz band, 35% of the total spectrum attracted bids. The demand was equal to availability in Gujarat and Kerala and less than the availability in Bihar, Himachal Pradesh, North East, Odisha, Tamil Nadu, UP East and West Bengal circles. The remaining circles did not see any demand.
In the 1800 MHz band the demand was equal to availability in Odisha circle and less than the availability in all other circles except for Rajasthan which saw no bids in all 4 rounds.
In the 2100 MHz band the demand was less than the availability in Assam, North East and West Bengal circles, while all other circles did not attract any bids in all 4 rounds.
In the 2300 MHz band the demand was equal to the availability in all circles except Andhra Pradesh, Delhi, Karnataka, Kolkata, Mumbai and Tamil Nadu where the demand was less than the availability, but this is the only band which saw bids for all circles.
Even though there was no excess demand at the end of round 4, the bidding activity will continue tomorrow for maybe another 2 rounds which may be the last day of the Auction. We may see the provisional results as early as tomorrow.
In the last paragraph its wrongly mentioned as 2500 MHz (bold letter), it should be 2300 MHz.
Rectified
– Jio getting 10 MHz of Band 5 everywhere possible (I reckon spectrum trade with airtel in A.P, Mumbai, and Delhi)
– RCOM’s valid & liberated Band 5 spectrum to be abandoned by Jio as there might be issues with SUC and other trading deals with bankrupt telcos
– Haryana & MH to get Band 5 4G on airtel skipping Band 8
– Jio will continue to share Band 5 in N.E, Assam, and J&K as defence ministry is holding more than other circles or else Jio will continue with 5 MHz of Band 5
– Band 3 bought by Jio, airtel, and Vi wherever they felt necessary and it needs to be evaluated circle-wise. I also reckon pan India 10 MHz of B3.
– Band 8 bid by airtel in a few circles where they have less than 5 MHz of valid spectrum. Vi seems to be targetting only TN for Band 8
– airtel Gujarat doesn’t bid for sub GHz band yet another time. Only circle to remain so for airtel.
– 5 MHz of Band 1 spectrum to be acquired by airtel in circles like Assam, N.E, and W.B
– 10 MHz of Band 40 bought by Jio in metro, Cat-A circles
Hope it also answers other comments
@Esmail your thoughts?
Yes Either Jio has bid for the extra 850 MHz spectrum in Mumbai, Delhi, Andhra Pradesh, and plans to buy the shortfall spectrum from Airtel or Airtel may have bid for the spectrum to complete 5 Mhz in the circles where it got the spectrum from Tata and may or may not enter into a new spectrum sharing agreement with Jio for it.
Yes mostly Airtel will hold on to 5 MHz in band 5 in Maharashtra and Haryana coz Jio will hold 10 MHz and even here the two could explore a spectrum sharing agreement as it would make a combined block of 15 MHz.
Jio Rcom have active spectrum sharing in North East and Assam but not in J&K coz they had never entered into the agreement for that circle since the start. Jio will wait till 2024 to buy the 5 MHz together after 2.5 MHz of Rcom expires.
900 MHz Tamil Nadu had a total demand of 10 MHz so that might be 5 MHz each for Airtel and Vi.
Band 1 might be Jio as well in Assam and North East since they are lacking the additional 5 MHz in those circles in band 5. WB might be Airtel.
its airtel who has actively bid for band 5 in del.mum,and AP. and airtel doesnt have any option to bid in any other band of sub-ghz in Mah and haryana. so To become number 2 player in maharashtr, airtel has to bid in band 5.
One thing is very clear from my study of the Day 1 Report that All 3 operators have made a mutual understanding pact with each other not to bid against each other in this auction as it will lead to increase in the winning price and that will harm their profitability. If you see, all spectrum today has been sold only at base price, in no circle in no band has the demand exceeded the availability by even 1 block. Which just isn’t possible without an under the table settlement. Jio could easily have bid for 10 MHz in band 5 in Delhi since 12.5 MHz is available but it went for either 5 MHz leaving 3.75 for Airtel or 8.75 knowing that it could strike a deal with Airtel for either trading or sharing that 1.25 MHz later.
I felt the same as none have exceeded the winning price in the sheet. I felt that the new COAI chairman sat down with the main head of all 3 telcos, and begged them not to bid against each other in order to keep the bids at base price. Hopefully the same is done for the 5G auctions too…
I also hope VI gets of B41 in all the states. 10MHz in KA and TN for the time being, would be a boon for them in the long run.
Vi isn’t going for Band 41 this time. If it was interested it wouldn’t have sat silent and risked it for 4 consecuetive rounds.
What is problem with band 41, during 2010, it was given to bsnl than they returned voda and idea bidded bcoz band 40 nit available but till now vi hesitate for deployment in each bts and choose selected site. In2021 no one interested neither bsnl nor vi not jio not Airtel
BSNL had actually been allotted spectrum in band 7 in 3 circles 2008 which was FDD and BSNL surrendered that along with band 41 spectrum in 3 circles and MTNL surrendered band 41 in Mumbai and Delhi. Band 7 was after that discontinued in India. The issue with band 41 is that u need a large number of towers to have good coverage with such high frequency band. Though it can be used even for 5G deployment in the future if the operators want.
When Jio and Airtel are fierce rivals, then its clear they will not partner up for spectrum sharing.
Airtel already has 6 MHz in the sub GHz region in 900 MHz band, when Jio is going for a 10 MHz Pan India footprint in band 5 and there is 12.5 MHz available, why would it miss the opportunity and go for just 5 MHz? Has to be an understanding with Airtel, otherwise it wouldn’t make sense. Being rivals is one thing, working in a symbiotic way is another. If they don’t go for sharing then surely trading.
I didnt see Vi is even is looking anything other than TN. because deploying new frenecy in TN fo vi will cost more. thus skipping band 3.
Why vi is not bidding for AP is question?