Georgia’s 5G auction concludes: Cellfie Mobile to implement new technology
Date: 29/09/23
Following an auction for the implementation of 5G mobile internet in Georgia, telecoms operator Cellfie Mobile is expected to expand the country’s 5G network during the next 3-7 years. Georgia’s regulatory authority for broadcasting and electronic communications, the Communications Commission, held the auction in August 2023.
5G is a new generation of wireless internet technology that will significantly increase mobile internet speed, decrease interruptions and support key sectors such as communications, healthcare, education, business, agriculture and infrastructure. This, in turn, will strengthen Georgia’s economy.
The Communications Commission started work to introduce 5G technology in Georgia in 2020, taking into account European Commission recommendations and European regulators’ experiences. EY experts in the EU4Digital Telecom Rules stream of activities contributed to development of this work. To implement 5G internet, in July 2023 the Communications Commission announced an auction for 4 combined and 20 separate lots.
Auction and actions
During the auction, Cellfie Mobile won separate lots N18, N19 and N24, and was allocated 2600 MHz and 1800 MHz frequency bands. The price of the lots was GEL 226,800, GEL 226,800 and 1,386,000 respectively. The telecoms operator was given one month to obtain a license and pay 30% of the fee into the state budget. Cellfie Mobile is also obliged to allow a mobile virtual network operator (MVNO) to access its infrastructure, for which a 20% discount was afforded.
Cellfie Mobile also won the combined auction lot N2 at a cost of GEL 2,657,445, receiving the right to use the 700 MHz and 3400-3600 MHz frequency bands. The company was also obliged to cover 30% of this fee within one month.
Further information
Major operators Magticom and Silknet had expressed concerns about the terms of the auction. Specifically, in order to obtain the frequencies needed to implement 5G technology and additional discounts, the winning operators would have a duty to allow MVNOs access to their infrastructure for all four combined lots. Instead, the Communications Commission agreed to auction off one combined and two separate lots without the duty to give MVNOs access to infrastructure. Although the Communications Commission took account of the concerns, eventually only Cellfie Mobile took part in the auction.
We use cookies on this site to improve your website experience, to enhance site navigation and analyse site usage. By clicking “Accept all cookies” you consent to our use of cookies.
You can find out more about which cookies we are using or adjust your cookie settings in the Cookies policy.
Functionality Cookies
Functionality cookies, which are essential to the functioning of the website. These cookies also which help us measure the website’s performance and improve your experience, as well as remembering any settings you might have selected.
If you disable this cookie, we will not be able to save your preferences. This means that every time you visit this website you will need to enable or disable cookies again.
Advertising/targeting cookies
Advertising/targeting cookies, which we use to track user activity and sessions so that we can deliver a more personalized service, and (in the case of advertising cookies) which are set by the third parties with whom we execute advertising campaigns and allow us to provide advertisements relevant to you. These are optional cookies and users can choose to opt out at any moment.