"The end of the auction is also the starting signal for 5G in Germany. I am delighted that four companies have bought frequencies at auction and are competing to expand the 5G network," says Jochen Homann, President of the Federal Network Agency, adding: "The frequencies are to be used not only for the new 5G mobile communications standard, but also for better mobile coverage in Germany. It is now up to the companies to use the frequencies quickly and fulfill the associated coverage requirements."

A total of 420 MHz was auctioned off. The auctioned spectrum will run until 2040 and the companies Drillisch Netz, Telefónica Deutschland, Telekom Deutschland and Vodafone were able to acquire frequencies as follows:

Drillisch Netz

2 GHz: 2 x 10 MHz for 335 million euros

3.6 GHz: 50 MHz for 735 million euros

Telefónica Germany

2 GHz: 2 x 10 MHz for 381 million euros

3.6 GHz: 70 MHz for 1,044 million euros

Telekom Germany

2 GHz: 2 x 20 MHz for 851.5 million euros

3.6 GHz: 90 MHz for 1,323 million euros

Vodafone

2 GHz: 2 x 20 MHz for 806.5 million euros

3.6 GHz: 90 MHz for 1,073 million euros

According to the Federal Network Agency, the frequencies are subject to conditions in order to promote network expansion in Germany. This should not only benefit consumers, but also the German economy. In addition to better mobile broadband coverage, the new 5G mobile communications standard is intended to promote the development of innovative applications and the optimization of production processes in industry (Industry 4.0). "In the course of networking machines and devices, companies are dependent on high-performance 5G networks."

Set award conditions for local 5G frequencies

Following the end of the auction for nationwide 5G frequencies, the industry associations VCI, VDA, VDMA and ZVEI have issued a joint statement - with the following wording:

The four industry associations welcome the fact that the nationwide 5G auction has ended and that the urgently needed network expansion can now take place. They also welcome the fact that competition will increase with the addition of a fourth network operator and that this will provide an opportunity to improve the mobile network coverage for industrial companies and end consumers, which has been inadequate in many cases to date.

The four associations are urging the Federal Network Agency to announce the award conditions for the local frequencies in the 3.7 to 3.8 gigahertz range as quickly as possible. Manufacturing companies urgently need clarity here, particularly with regard to the fees for local frequencies. The local use of frequencies is not a business model for German industry, but a prerequisite for becoming a lead market and lead provider for industrial 5G applications.

Many member companies are already planning their own 5G networks in their production facilities - without knowing the specific terms of allocation. Some will operate these themselves, while others are looking for partners, including from the telecommunications and equipment industry. Being able to apply for their own frequencies ensures more competition and innovative offers.