DoT to defer 5G sale, auction only 4G in 2020

MUMBAI|KOLKATA: The government plans to split the next telecom spectrum auctions by offering 4G airwaves some time this year and 5G probably in 2021, people familiar with the matter said. The move would benefit Vodafone Idea and Bharti AirtelNSE -0.90 %, which want the 5G spectrum sale to be delayed, citing stretched finances and an underdeveloped ecosystem, analysts said.

Officials from the Department of Telecommunication pointed out that a 5G spectrum auction this year would have attracted few bidders, indicating the reason for the U-turn. However, industry executives said lack of clarity on whether Chinese vendors Huawei and ZTE can deploy their next generation mobile communication standard technology in India prompted the government to postpone the spectrum auction.