These two companies may face heavy fine if they miss the target of launching 5G, know the whole matter
The Department of Telecommunications has sent show cause notices to Vodafone Idea and Adani Group’s Adani Data Networks for failing to meet minimum rollout obligations related to 5G spectrum. In this notice the department has asked why fine should not be imposed on you. According to the news of Financial Express, the officials have said that while Vodafone Idea may have to pay a fine of around Rs 14 crore, Adani Data Networks may have to pay a fine of around Rs 5-6 crore.
Tell me the reason for the delay
According to the news, the Department of Telecommunications has also said in the notice what is the reason for the delay and what is the new deadline for starting 5G services. However, Vodafone Idea and Adani Data Networks did not respond to questions related to this. As per the 5G rollout obligations in the first year, operators had to commercially launch services anywhere in metro as well as non-metro circles. This means that in a circle like Delhi, services can be provided only in one area and not in the entire city. In non-metro circles, the same needs to be done in at least one city.
5G services not launched in even a single city of the country
After more than a year, both Vodafone Idea and Adani Data Network are yet to commercially launch 5G services in a single city in the country. For Adani, the spectrum deployment will be for private captive networks for data use in ports and logistics, power generation, etc., and not for consumer mobility. In August last year, Vodafone Idea had said that the company had made certain minimum investments in two of the 17 circles (where it had bought spectrum) to meet the minimum rollout obligation. However, it has not yet launched the services commercially.
What are the indications on the company website
While Vodafone Idea hasn’t officially talked about its 5G rollout, its website says get ready to experience the potential of the Vi 5G network in India with 5G Live at select locations in Pune and Delhi. Vi also talks about seamless connectivity with 5G ready SIM. In the 5G spectrum auction held in July 2022, Adani Data bought 400 MHz spectrum in the 26 GHz band for Rs 212 crore. The company has 100 MHz 5G spectrum in Gujarat and Mumbai and 50 MHz spectrum in Andhra Pradesh, Rajasthan, Karnataka and Tamil Nadu.
Delay in launch attributed to lack of funding
For Vodafone Idea, the delay in launching 5G services can be attributed to lack of funding. By November 2023, both Airtel and Jio have set up around 400,000 5G sites. Jio claims to have completed the pan-India 5G rollout ahead of schedule, while Airtel wants to complete it by March. According to industry estimates, the combined number of 5G subscribers on Airtel and Jio networks has currently crossed the 150 million mark.
