Indotel expects 5G auction to generate USD300m

19 Feb 2021

Nelson Arroyo, the president of the Dominican Telecommunications Institute (Instituto Dominicano de las Telecomunicaciones, Indotel), has revealed that the watchdog expects its 5G auction to generate between USD200 million and USD300 million. Interested parties have been invited to register for the process between now and May. The forecast also serves as a ballpark figure for would-be new operators who are interested in entering the Dominican Republic mobile market. With the country accounting for a wireless population penetration rate of just over 80% as of 30 September 2020, Indotel is keen for an injection of fresh blood into the market.

The 5G auction process will involve the allocation of frequencies in the 698MHz-806MHz (700MHz) and 3300MHz to 3460MHz (3.5GHz) bands. As per Indotel documentation, nine 2×5MHz blocks of 700MHz spectrum will be made available, alongside 16 10MHz blocks of 3.5GHz spectrum. All licences will have a duration of 20 years.

While Indotel previously declared its intention to steal a march on its regional rivals with one of the first 5G auctions in Latin America and the Caribbean, TeleGeography notes that Chile ranks as the first LatAm nation to successfully auction 5G-suitable frequencies. This month Chile’s Department of Telecommunications (Subsecretaria de Telecomunicaciones, Subtel) confirmed the sale of various licences in the 3.5GHz band (generating USD349.4 million), 700MHz band (USD82.4 million) and AWS band (USD22.4 million). A trio of 26GHz concessions were also issued as part of the same process, but did not require an auction.

Dominican Republic, Dominican Telecommunications Institute (Indotel)