Tele2 wins Estonia's 3rd 5G frequency authorization with EUR 1.6 mln bid

  • 2022-07-26
  • BNS/TBT Staff

TALLINN – At the auction for the third and last frequency authorization in the 3,410-3,800 megahertz 5G frequency band, Tele2 Eesti AS made the highest bid at 1,597,000 euros.

"The winner of the third 5G authorization was determined on the first day of the auction. Only Tele2 Eesti AS bid in the first round and no more bids were submitted in the second round. The auction for the third frequency authorization was open to communications companies that had not already acquired a frequency authorization in the framework of this bidding," Kristi Talving, director general of the Consumer Protection and Technical Regulatory Authority, said.

The Consumer Protection and Technical Regulatory Authority will issue a frequency authorization to Tele2 Eesti AS after approving the results of the competition and after all relevant fees have been paid. 

The first frequency authorization auction was won by Elisa Eesti AS with a bid of 7,206,208 euros and the second auction by Telia Eesti AS with a bid of 8,500,300 euros. As authorizations have already been issued to Elisa Eesti AS and Telia Eesti AS, these companies were not eligible to bid for the third frequency license.

As a result of the competition, three 5G technology based networks will be built in the 3,410-3,800 MHz frequency range in Estonia. The holder of the frequency license is obligated to make available to the end user a communication service based on at least version 15 of the 5G standard within one year of receiving the license, and within two years install and activate at least 200 base stations supporting communications services across Estonia, 100 of which can be located in Harju County while there must be at least five base stations in each county.

The minister of entrepreneurship and IT has also confirmed the procedure and conditions for holding a public procurement for the provision of electronic communications service in the 694-790 MHz frequency band -- the next 5G frequency band to be put up for auction this fall and one of the three 5G frequency bands to be introduced across the European Union.

The 700 MHz frequency band is most suitable for achieving greater coverage, especially in rural areas, because lower frequencies spread better than higher ones. Altogether six 2x5 MHz frequency blocks are to be put up for auction, and each participant in the competition can acquire up to two two frequency blocks, that is a 2x10 MHz block.