April 2019: Anatel does not see space for small providers in the 5G auction

This past Thursday (06/06), ABRINT 2019 took place, an event attended by a large audience in São Paulo. One of the speakers was Tawfic Awwad, advisor to the Superintendence of Granting and Resources to Provision. He spoke to those present about the 5G auction, scheduled for the first quarter of 2020. According to Awwad, the decision to keep regional providers out of the auction is based on the premise that the sale by national blocks, with national commitments, will be more suitable.

But that's not a case yet, Awwad. There will be a public consultation in the coming days, so that small providers can claim presence at the auction. For PPPs, the auction is scheduled for the second half of 2020, and will be based on leftover 2.5 GHz bands. The auction proposal is to sell “the remainder of the 700 MHz band (10MHz+10MHz in FDD) for the new technology. 90 MHz in the 2.3 GHz band (TDD), 50 MHz in the national block and 40 MHz in the regional block, a band that already has equipment on the market. 300 MHz in the 3.5 GHz band (TDD) and 3.2 GHz in the 26 GHz band (TDD).”

This proposal may be amended after public consultation. But, in Tawfic Awwad's own words, the price of the frequency itself, which is quite high, will drive regional providers away. However, this amount is still under discussion at the Federal Audit Court (TCU).

The objective is to expand 4G to previously inaccessible places and ensure fiber optic attachment where it does not yet exist. If the frequency sharing is not used within the specified period, a new sharing offer may be opened.