After years of waiting, it appears that consumers will finally reap the benefits of 5G, at least if recent developments in the telecom world are any indication.
Although the term 5G has been around for some time, in practice it has often turned out to be little more than a new name for the existing 4G technology. This was partly due to the limitations in the available frequency bands and the complex technology involved in the rollout of 5G. However, the situation now seems to be changing thanks to the recent auction of the 3,5 GHz band.
The auction started on June 25, organized by the National Digital Infrastructure Inspectorate on behalf of the Minister of Economic Affairs and Climate. This auction, which ultimately included four bidding rounds in the primary bidding phase and one allocation bidding round, resulted in a total proceeds of €174.427.204. This amount is well above the predetermined reserve price of € 169.980.000. The winners of the auction, namely VodafoneZiggo, Odido and KPN, can now look forward to being allocated the coveted frequencies.
The permits, which run until the end of 2040, offer a long period of certainty to the winning parties. This is very important, as the rollout of 5G infrastructure requires significant investments. It is expected that these new frequencies will provide the necessary additional capacity to actually enable faster and more reliable 5G connections.
This means a lot of good for consumers and companies. The 3,5 GHz band is essential for the true 5G experience, which promises to enable faster internet and more simultaneous connections. After years of delays due to legal disputes and other obstacles, including resistance from satellite company Inmarsat and local users of the frequency, the rollout of 5G in the Netherlands can finally start in earnest.
Inmarsat, which was originally the largest blockage, has agreed to a solution after a lengthy process, clearing the way for the new license holders. The government has not only overcome a technological but also a legal hurdle, paving the way for further innovation and development in the telecom sector.
The auction of the 3,5 GHz band has laid the foundations for an improved mobile network that has the capacity to meet the growing demand for data. Consumers can expect their mobile experience to improve dramatically, with faster downloads, lower latency and more reliable connections, even in congested areas.
For providers such as VodafoneZiggo, Odido and KPN, this is an opportunity to strengthen their networks and offer their customers a superior mobile experience. However, winning the frequencies also means that these companies now feel pressure to deliver on their promises and quickly roll out the technological benefits of 5G to their users.
Outgoing Minister Micky Adriaansens will make an overview of all bids public on the website of the National Digital Infrastructure Inspectorate no later than July 8, 2024. This will provide a detailed insight into how the auction went and the strategic choices made by the participants.
The arrival of the 3,5 GHz band marks an important milestone in the evolution of the mobile internet in the Netherlands. It's a step towards a future where the promises of 5G – faster, more reliable and ubiquitous connectivity – become a reality for consumers and businesses alike.
