Telecom Regulatory Authority of India (TRAI) on February 24, 2026 released recommendations for the upcoming auction of radio frequency spectrum identified for International Mobile Telecommunications. The proposals cover existing and newly identified bands, revised eligibility norms, pricing framework, and strategic measures to expand mobile network coverage across India.
The recommendations are expected to shape India’s next phase of 4G and 5G expansion while preparing the ecosystem for future 6G evolution.
Full List of Spectrum Bands in Upcoming Auction
TRAI has recommended that the entire available spectrum in the following bands be included in the forthcoming auction:
600 MHz
800 MHz
900 MHz
1800 MHz
2100 MHz
2300 MHz
2500 MHz
3300 MHz
26 GHz
The auction will be conducted on a Telecom Circle and Metro Area basis with a validity period of 20 years. The Simultaneous Multiple Round Auction format will continue to be used.
To ensure efficient utilization, telecom operators will be assigned contiguous spectrum blocks. TRAI has also recommended that spectrum harmonization be completed within six months after the auction concludes.
Reduced Net-Worth Requirement to Boost Competition
In a move aimed at encouraging new entrants and enhancing competition, TRAI has reduced the net-worth requirement:
From ₹100 crore to ₹50 crore per Licensed Service Area
For Jammu and Kashmir and North East circles, the requirement has been further lowered to ₹25 crore
This reduction is expected to make participation more accessible for emerging telecom players and regional operators.
Reserve Prices and Circle-Based Valuation
TRAI has established detailed reserve prices per MHz across all 22 telecom circles.
For example, in the 3300 MHz band:
Delhi circle reserve price: ₹74 crore per MHz
Mumbai circle reserve price: ₹71 crore per MHz
The pricing structure reflects spectrum demand, market size, and revenue potential across circles.
600 MHz Band Gets Special Incentives
The 600 MHz band, considered critical for deep indoor and rural coverage, has been given unique incentives:
Extended validity of 20+4 years
Rollout obligations will begin only after an initial four-year period
These relaxations are designed to encourage operators to invest in low-frequency spectrum for wider geographic coverage, particularly in rural and remote regions.
6 GHz Upper Band Reserved for Future IMT Use
TRAI has recommended reserving the 6425-6725 MHz and 7025-7125 MHz ranges for IMT services. However, these bands will not be auctioned in the immediate upcoming round.
The regulator suggested that further trials and global developments should be assessed before commercial allocation. This cautious approach aligns with international deliberations on 6 GHz spectrum use for both licensed and unlicensed services.
Spectrum Cap to Prevent Market Dominance
To maintain a competitive telecom landscape, TRAI has proposed a uniform spectrum cap of 35 percent across combined spectrum bands. The cap aims to prevent excessive concentration of spectrum holdings by a single operator.
Coverage Expansion Scheme for Unserved Areas
A key highlight of the recommendations is the introduction of a coverage expansion incentive scheme targeting uncovered locations not served under the Digital Bharat Nidhi initiative.
Under this scheme:
Successful bidders can opt for up to 10 percent reduction in spectrum cost
Operators must deploy new base stations in identified uncovered locations within one year
Infrastructure created under this scheme must be shared with other service providers at a non-discriminatory price
This multi-operator sharing obligation is intended to improve rural connectivity while avoiding duplication of infrastructure.
Flexible Payment Options for Telecom Operators
TRAI has offered flexible payment structures to ease financial burden on telecom companies.
For standard spectrum bands, operators may choose:
Full or partial upfront payment
20 equal annual installments
For the 600 MHz band incentives:
5 percent upfront payment
Four-year moratorium on further payments
Remaining balance payable over the next 19 years
These staggered payment options aim to improve cash flow management and encourage long-term investment in network expansion.
Impact on India’s Telecom Sector
TRAI’s 2026 IMT spectrum auction recommendations reflect a balanced approach focused on revenue realization, competition, rural expansion, and future technology readiness. With incentives for low-frequency deployment, reserved 6 GHz spectrum, and reduced entry barriers, the framework is positioned to strengthen India’s digital infrastructure while supporting sustained telecom sector growth.
BABURAJAN KIZHAKEDATH