Germany ends 5G auction with over EUR 6.5 billion proceeds

Germany has ended the 5G auction for frequencies in the bands 2 GHz and 3.6 GHz with the proceeds totalling more than EUR 6.5 billion. In total, the regulator BNetzA awarded 420 MHz to the operators: Drillisch Netz, Telefónica Deutschland, Telekom Deutschland and Vodafone.

The auction, which started on 19 March, took 497 rounds during 52 days of bidding.

In the 2 GHz band, two operators gained 2×10 MHz (Drillisch Netz and Telefónica Deutschland) and two gained 2×20 MHz (Telekom Deutschland and Vodafone).

In the 3.6 GHz band, Drillisch Netz gained 50 MHz, Telefónica Deutschland gained 70 MHz and each of the two other operators – Telekom Deutschland and Vodafone – gained 90 MHz.

The total prices the operators paid for their respective spectrum were as follows: Drillisch Netz – EUR 1.07 billion, Telefónica Deutschland – EUR 1.42 billion, Telekom Deutschland – EUR 2.17 billion and  Vodafone – EUR 1.88 billion.

According to the regulator BNetzA, the entry of a new player in the market (Drillisch Netz) confirms that selected auction format was suitable for fostering competition. The SMRA (Simultaneous Multi-Round Ascending Auction) was selected as a proven format from the auctions in 2010 and 2015.

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