The Nigerian Communications Commission (NCC) has said 5G spectrum auction bidders must pay the sum of $27.36 million as an Intention to Bid Deposit (IBD). It is geared towards the forthcoming 3.5GHz spectrum auction for the 5G.
This was disclosed in a final Information Memorandum (IM) for the spectrum auction released over the weekend. NCC also emphasized that the deposit must be paid latest by 5 Pm Dec 5, 2022. The auction is scheduled on December 19, 2022, hence the 10% of the spectrum’s $273.6 million reserve price.
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How To Participate In The 5G Auction
The NCC has put out the requirements for companies that would like to participate. In the document, it stated that,
“By the full instructions laid out within this IM, applicants, are to submit a completed application, including appropriate template documentation and confirmation of transfer of the Intention-to-Bid Deposit (IBD), of $27,3600.00 by 17.00 hours West African Time (WAT) on 05 December 2022.”
“A Bank Guarantee, or similar instruments, will not be acceptable. This deposit will bind the Applicant to take up a license, should it be a successful bidder, at the Reserve Price or any higher bid value submitted during the process.” It added.
Who Is Eligible?
According to the report, MTN is currently ready to take the flag. In the earlier Information Memorandum, MTN was not eligible because it was above the required 200HMz in the 3.5GHz band.
“Any Licensee of the Commission or any entity that has up to 200MHz in the 3.5GHz band in Nigeria will not be eligible to participate in this Auction.”
Currently, there is no network provider in Nigeria that has up to 200MHz in the 3.5GHz spectrum band. Only MTN and Mafab communications won the first 3.5GHz spectrum auction last year having 100MHz each.
MTN is currently eyeing another 100MHz out in the 3.5GHz spectrum band will enable it to deliver 5G service more efficiently.
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