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Canada Mid-band Spectrum Auction Concludes, Bringing in More than $2.1 Billion

2023-12-04 14:31:00| Source:Rcrwireless

Telus Communications walked away with the most licenses, having secured 1,430 licenses for nearly $620 million


Canada has shared the results of its mid-band 3800 MHz spectrum auction are in, and according to the government, Telus Communications walked away with the most licenses, having secured 1,430 licenses for nearly $620 million.


Next in line was Bell Canada, which was awarded 939 licenses for $518 million, followed by Rogers Communications Inc., which invested $475 million for 40.5 MHz of 3800 MHz spectrum, spanning 860 licenses, and Quebecor Inc.’s Videotron, which secured for 305 licenses for roughly $300 million.


The Canadian government said the spectrum auction, which saw a total of 4,099 licenses aware and brought in more than $2.1 billion, will bolster the country’s 5G services and rural connectivity. Earlier this year, the department of Innovation, Science and Economic Development Canada (ISED), in charge of the new licensing framework, said it wanted to “help smaller users access 5G spectrum in very localized areas.” It listed agriculture, mining, manufacturing, healthcare, public safety and transportation as candidate industries to set up private and campus 5G networks with local spectrum, and said that smaller internet service providers, plus rural and remote communities, will make use of the shared band, too.


And Canada certainly needs a 5G boost, according a recent Opensignal report, which found that the country lags behind other OECD (Organization for Economic Co-operation and Development) members when it comes 5G download speed, despite boasting one of the fastest average 4G download speeds. The firm further explained that this can be explained, partly, by the use of smaller 5G spectrum bandwidths, as well as a relatively low share of the 3.5 GHz band used for 5G connections.


“Comparing the 4G to 5G uplift for download speed experience across 32 OECD member states — those that have commercially deployed 5G services on a large scale — reveals that Canada has one of the lowest ratios between 5G Download Speed and 4G Download Speed in the observed group, of 2.4 times,” wrote Opensignal Analyst Robert Wyrzykowski.


However, Wyrzykowski said he expects spectrum availability in Canada is likely to improve soon, pointing to this and upcoming spectrum auctions. “Together with the already existing spectrum in the 3.5 GHz band, new spectrum assets in the 3.8GHz band should boost the capacity of Canadian 5G networks and improve the country’s 5G experience, making Canada more competitive against other markets worldwide,” he stated.

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