Telefonica gained a lot of spectrum destined for 5G in the 3.5 GHz band for 420 million reais (65 million euros) in the Brazilian frequency auction that began last Thursday.
The company thus acquires one of the 80 MHz regional batches in the main strip for the development of 5G in the South American country for which it has paid 30 % more than its starting price, as confirmed by Europa Press.
The block carries with it obligations to install base stations in a minimum proportion of one per 10,000 inhabitants, as well as to solve the problems that may arise for the reception of free-to-air television to those affected.
Likewise, it must participate in the implementation of the Integrated and Sustainable Amazonia (PAIS) program and in the Private Communication Network project of the Federal Public Administration.
Together with Telefonica, Claro and Telecom Italia, their two main rivals, have acquired equivalent blocks, which have paid respectively 338 million reais and 351 million reais (52 and 54 million euros), for 5.18 % and 9, 22 % above the starting prices.
The reason why Telefonica’s band is more expensive is because it is the one in the middle with which it has the possibility of reaching agreements to share a network and continue to maintain its continuous spectrum with its two competitors.
The auction is still ongoing and is expected to end this Friday when the regional stripes are also auctioned, as well as those that are left deserted in a first round.