French telecom authority Arcep has launched the first phase of the 5G award process for 3.5 GHz spectrum, in which the country's mobile network operators will each be able to acquire a block of 50 MHz. Candidates have around eight weeks to prepare their applications, before the deadline set on 25 February. Arcep expects to close this first stage of the procedure by mid-March and complete the second phase by the end of June.
At the end of November, the government said that each block of 50 MHz would be sold at a fixed price of EUR 350 million. After the allocation of the first four blocks, totalling 200 MHz, operators will have to bid for the remaining 110 MHz of 3.5 GHz spectrum available, in an auction that will see each block of 10 MHz selling for a starting price of EUR 70 million.
In their applications for the four 50 MHz blocks, candidates will need to make a number of coverage commitments, which will be then included in their 5G licences. Among their coverage obligations, operators will have to reach 3,000 5G sites in operation by 2022, rising to 8,000 in 2024 and 10,500 in 2025 (lower than the 12,000 proposed in Arcep’s initial consultation).
Licence holders will also be required to ensure significant coverage outside metropolitan areas. As a result, 25 percent of the sites deployed in the 2024-2025 period must benefit sparsely populated communities, including a list of priority roll-out locations defined by the regulator.
