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5G, France: the auction for frequencies is starting

France starts with 2 years of delay compared to Italy and after the postponement of 5 months due to Covid - There are 11 blocks of 10 MHz frequencies for sale: Paris expects to collect over 2 billion

5G, France: the auction for frequencies is starting

In France the auction on the 5G frequencies. The procedure was initially scheduled for April, but was then postponed due to the health emergency linked to the coronavirus. The postponement has led Paris to be late compared to other European countries in the assignment of frequencies, which they should guarantee to public coffers at least 2,17 billion euros.

In detail, four operators are participating in the French 5G auction: Orange, SFR, Bouygues Telecom e free mobile (group Iliad). Each one has already been assigned a 50 MHz block of frequencies in the 3.4-3.8 GHz band, for a value of 350 million euro each. For sale from today there are others eleven blocks of frequencies of 10 MHz eachcurrently unused. The starting price for each block is equal to 70 million euro.

Paris's (ambitious) goal is to ensure that the first 5G services to be commercialized by the end of the year. Of course, a lot will depend on the trend of the contagion curve, given that in recent weeks the Covid-19 has returned to strike with particular determination in France, where the second wave - much feared in Italy - is already a reality.

“We will be combative and go after all the frequencies we need,” he said last week Thomas Reynaud, CEO of Iliad, in an interview with the channel all news France Info. “5G is an eco-friendly technology – he added – Every year, the volume of data increases by 50%: our main industrial challenge is to face this explosion of data”. After all, "the increase will take place anyway, with or without 5G, but 5G will be much more efficient than 4G from an environmental point of view". Furthermore, according to Reynaud, "the competitiveness of the economy and the sovereignty" of France itself depend on 5G.

Given the delay with which the auction started, Paris has revoked one of the obligations planned for telephone operators: that of covering at least two cities before the end of 2020.

Italy started 5G well in advance with the frequency auction in October 2018 which ensured 6,5 billion in revenue for the state. A record figure in Europe where auctions were also held in Spain, the United Kingdom and Finland. Markets each with its own specifics and therefore not comparable to each other but where the frequencies have been assigned at decidedly lower costs.

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