The proposed 5G spectrum auction for telecom operators in Italy is facing hurdles as Mediaset and Cairo Communication have appealed against the 5G frequency auction, Reuters reported quoting sources.
The report said Italian private broadcaster Mediaset and media group Cairo Communication have filed an appeal with a regional court against 5G spectrum auction rules.
The sale of the frequencies that will power 5G mobile is expected to raise at least 2.5 billion euros or $2.9 billion for the government. The national communications authority AGCOM set out the rules governing the auction last month.
The appeal against the procedure for assigning the frequencies could delay the process and in turn impact Italy’s ability to raise cash through the auction.
The frequencies are currently used by several TV groups including Mediaset, state broadcaster RAI and Cairo’s La7 Channel, which would all have to free up the frequencies once they came up for auction.
Italy is not expected to complete the sale and allocation of the frequencies before the end of 2022.
Italy’s main telecoms operators, including Telecom Italia, Vodafone Italia, Wind-Tre and Fastweb are expected to join in the auction, due to be held in September.
The European Union approved a plan to deploy 5G in all urban areas and major terrestrial roads by 2025 in order to provide ultra-fast internet services to companies and households.
5G spectrum auction in Germany is expected in early 2019. Deutsche Telekom has recently urged the regulator to sell the frequencies at reasonable prices to ensure that operators had enough money left to invest in infrastructure.
British regulator Ofcom has already conducted 4G and 5G spectrum auction recently.
