According to a PTI report, Vodafone Idea Ltd. has requested the Department of Telecom (DoT) not to hold spectrum auction till 2020, giving the explanation that fresh need for quality radio-waves will arise only once the 5G ecosystem is ready.
The PTI report further stated that Vodafone Idea while replying to an email said, “For 5G to work, a robust 4G network is a must. Accordingly, telecom service providers in India are currently focused on optimising 4G networks and making them 5G ready, for which they have sufficient spectrum.”
Vodafone Idea Ltd presented the case that the 5G ecosystem which includes enabling hardware will likely take up to 2020 to develop. Vodafone Idea in an emailed response to PTI also said, “In the interim, a diligent implementation of the National Digital Communications Policy 2018 that rightly treats telecom as a critical enabler for a digital economy will help the financially stressed telecom sector strengthen.”
Vodafone Idea response is essential because of the ongoing tariff war and cutthroat competition in the telecom industry, which has created a financial turmoil. The industry has asked for certain relief measures from the government, such as debt restructuring, cut in levies, and release of locked up GST input tax credit with the government.