MinTIC aims to award spectrum in the in the 700 MHz, 1.9 GHz, AWS, 2.5 GHz and 3.5 GHz bands
Colombia’s ICT ministry MinTIC authorized Claro, WOM, Tigo and Movistar to participate in an upcoming spectrum auction through which the former will award 5G frequencies.
With the auction, which will take place on December 20, the government of Colombia aims to raise up to $500 million.
“After analyzing the proposals presented and compliance with the established conditions, the ICT Ministry confirms that the four operators interested in participating in the auction were authorized to participate in the allocation process,” MinTIC said in a release.
Tigo and Movistar previously confirmed they have formed a joint venture (JV) in order to participate in the spectrum auction. The JV will be valid for a period of 22 years, counted from the date of the eventual granting of the spectrum use permit. Tigo and Movistar said they “will continue to act as independent market agents and there will be no restrictions to continue competing with each other.”
MinTIC aims to award spectrum in the in the 700 MHz, 1.9 GHz, AWS, 2.5 GHz and 3.5 GHz bands.
In the case of the 700 MHz band, a 10-megahertz block will be auctioned with a reserve price of COP 511.7 billion ($125.3 million).
For the frequencies in the 1.9 GHz band, MinTIC said that the reserve price is COP295.5 billion.
In the AWS band, three blocks of 10 megahertz will be auctioned for a reserve price of COP295.5 billion, while the process will also include three blocks of 10 megahertz in the 2.5 GHz band, with a reserve price of COP 156.8 billion each.
Meanwhile, for the 3.5 GHz band the government will auction four blocks, each of 80 megahertz, with a reserve price of COP317.71 billion.
Additionally, 8 blocks of 10 megahertz will be offered in the 3.5 GHz band for the winners of the 60 MHz blocks, so that they can complement the spectrum for the provision of 5G, MinTIC said.
In August, MinTIC had published the first draft of the process, with the technical and legal aspects of the spectrum auction and the mechanisms of the auction.
Local operators Movistar and Tigo have already carried out 5G trials in the country.
5G subscribers in Colombia are forecast to reach 37.8 million by 2030, up compared to 2.9 million in 2025, according to a recent report by telecom association GSMA.
The report showed that 5G penetration by 2025 is expected to reach 4% while it would expand to 43% by 2030.
GSMA also noted that 5G networks will cover 68% of the country’s population by 2030, up from 30% in 2025.
5G is forecast to reach 57% of the total mobile connections in Latin America in 2030, up from a current penetration of around 2%, according to a recent report by telecom association GSMA.
