Chilean telecommunications regulator Subtel said it raised a total of CLP 249 billion (around USD 453 million) in a series of tenders of 5G frequencies held this month, culminating in the auction of 150 MHz of frequencies in the 3.5 GHz band. The record figure is over 500 percent higher than the USD 74 million collected by the state in previous nationwide spectrum tenders, said the watchdog, adding that Chile is the first South American country to free up 5G spectrum on a national scale.
The final tender saw the operators Movistar (Telefonica), Entel and WOM secure 50 MHz of frequencies each (5x10 MHz blocks) in the 3.5 GHz band after submitting the highest economic offers and outbidding rivals Claro (America Movil) and Borealnet. Subtel said Movistar, Entel and WOM bid CLP 117 billion (USD 163 million), CLP 100 billion (USD 139 million) and CLP 32 billion (USD 45 million) respectively for the frequencies. The process “exceeded all expectations, contributing a considerable amount to the state’s coffers,” said Undersecretary of Telecommunications Pamela Gidi, adding that the amount raised “reflects the attractiveness of Chile’s telecommunications sector.”
Coverage requirements for the 3.5 GHz licences include bringing high speed mobile data connections to 366 localities that are currently unserved or underserved as well as connecting a total of 199 hospitals, said Subtel.
Mobile operator WOM previously secured 30 MHz of spectrum in the AWS band and 20 MHz of spectrum in the 700 MHz band in the two earlier 5G tenders, while all three operators who expressed an interest in the 26 GHz band auction (Claro, Entel and WOM) were automatically awarded the 4x400 MHz frequencies thanks to the availability of sufficient bandwidth.
