Spain completes 5G auction in 700 MHz band

Spain completed 5G auction in the 700 MHz band. The bidding took only two days. The total proceeds from the auction exceed €1bn.

Third 5G auction in Spain

Spanish Ministry of Economy and Digital Transformation launched the spectrum auction in the 700 MHz band on 20 July. The auction closed on 21 July after 12 bidding rounds.

This was already the third 5G auction Spain organised. The first one in the 3.6-3.8 GHz band took place back in 2018. Another 20 MHz increased the operators’ spectrum holdings in the same band in February 2021.

The total spectrum offered amounted to 75 MHz, including 15 MHz for downlink only. The spectrum division in two paired 10 MHz blocks, two paired 5 MHz blocks and three unpaired 5 MHz blocks assumed award of seven licences with a duration ranging from 20 to 40 years. However, Spain completes 5G with no acquired unpaired block.

And the winners are…

Three operators participated in the auction. The winners are: Telefónica, Vodafone and Orange. Each of them ended up with the same spectrum amount – 20 MHz.

And here is how the operators did in the 5G auction:

  • Telefónica acquired a 2×10 MHz block for €310.089m.
  • Vodafone acquired a 2×10 MHz block for €350m.
  • Orange acquired two 2×5 MHz block for €175m each.

5G technology part of a bigger strategy

Spain completes this spectrum auction in a support of deployment of 5G technology. It also makes part of the component “Digital connectivity, boosting cybersecurity and deployment of 5G” within the Recovery, Transformation and Resilience Plan. The plan foresees a public investment of €1.5bn to accelerate 5G development. The award of licences in the 5G priority bands shall help in that.

5G technology will have a major impact on the Spanish economy and job creation. It will allow developing applications that will affect the way of production, distribution and consumption of products and services. In addition, 5G will boost digital transformation and help other technologies such as the internet of things, big data, robotics, virtual reality or artificial intelligence to develop all their capabilities.

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