Spain’s 5G Auction Sees Three Big Winners

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An announcement from the Spanish Ministry of Economic Affairs has declared the successful conclusion of its recent auction of 5G suitable frequencies. According to the report published by MobileWorldLive.com, auction proceeds rose approximately $17.6 million above the initial starting price. The frequencies offered up for bidding were all in the 700 MHz band and quickly snapped up by three competitors.

Available spectrum was divided into two blocks of 2×10 MHz and three of 5 MHz, which comprised a total of twelve rounds of bidding. Telefonica, already a local presence, spent $364.93 million for 2×10 MHz. Its faster rollout obligations allowed it to pay a slightly lower rate. Newcomers Vodafone Spain and Orange Spain each put out their own announcements detailing their advantageous acquisition of more spectrum.

According to Vodafone Spain, it intends to use the new frequencies to expand its reach and market share, offering better coverage both indoors and out. Vodafone reports that it spent $412.01 million on 2×10 MHz blocks, which it will pay in a single instalment. The company will also pay an annual licensing fee of $18.25 million. 

Orange Spain also scored a victory, obtaining the same amount for the same blocks. The company contends that it now has “most spectrum in the priority frequencies for 5G.” In addition to the 110 MHz in the 3.5 GHz it won in the last auction, Orange Spain says it has spent $615.67 million on 5G spectrum in Spain. 

Masmovil declined to participate in the latest 5G spectrum auction. An auction of 26 GHz spectrum is expected to occur later in 2021.

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