3800 MHz auction – Process and results
Backgrounder
Bidding in the 3800 MHz spectrum auction began on October 24, 2023, and ended on November 24, 2023.
The 3800 MHz auction is a key milestone in the Government of Canada’s plan to encourage competition for wireless services, improve rural connectivity and ensure the effective deployment of 5G technologies. The increased number of connections and data-intensive applications expected with 5G will require large amounts of spectrum in a variety of frequency bands. In Canada, the 3800 MHz band has historically been used to provide fixed wireless Internet services, but in the past few years, it has been globally recognized as key for 5G networks because it provides both coverage and capacity for a wide array of new applications, as well as for rural connectivity.
The government set rules for the auction, including a 100 MHz spectrum cap, or limit, on how much combined 3500 MHz and 3800 MHz spectrum a provider could acquire, effectively reserving spectrum for smaller competitors. Competition has been proven to help lower prices.
Licences in the 3800 MHz band include strong deployment obligations that require companies to “use or lose” the spectrum they win within ambitious timelines so that consumers and businesses across Canada, including those in rural and remote regions, can enjoy the transformative benefits of the latest wireless technologies.
The auction followed a clock auction format, which has been used in many recent spectrum auctions by regulators around the world. The clock auction format uses supply and demand to arrive at the final price.
In this auction, 98 rounds of bidding took place over 21 business days.
Winning bidders have until January 17, 2024, to submit 20% of their total final payment. The remaining 80% is due on May 29, 2024.
For more information, see the 3800 MHz auction home page.
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