Estonia’s latest 5G sale ends with quick – and cheap – win for Tele2

27 Jul 2022

Estonia’s auction of a third and final 3.5GHz licence for 5G ended after just one round of bidding yesterday (26 July), with Tele2 securing 130MHz of spectrum with a bid at the reserve price of EUR1.597 million (USD1.62 million). With two companies – Tele2 and Bite Group – vying for a single licence bidding was expected to be intense, but Bite opted not to submit a bid, leaving Swedish-owned Tele2 Estonia to walk away with a cut-price concession. Elisa won the first of the three licences on 27 May with an offer of EUR7.21 million, while the second permit went to Telia on 15 July for EUR8.50 million.

Kristi Talving, Director General of the Consumer Protection and Technical Regulatory Authority (Tarbijakaitse ja Tehnilise Jarelevalve Amet, TTJA) said: ‘The tender was somewhat unexpectedly quickly finalised, but we congratulate all the winners of the auctions. The winner of the third 5G licence was revealed on the first day of the auction. Only Tele2 Estonia made a bid in the first round, and no additional bids were submitted in the second round.’

Estonia’s next 5G auction for the 700MHz band (694MHz-790 MHz) is planned to start later this year. This frequency range is particularly suitable for covering lower population density and rural areas with 5G. A total of six licences will be auctioned, with each participant able to win a maximum of two concessions.