By Dai Qi
China has completed the preliminary plan for 5G frequency spectrum allocations, which is expected to be released this September, China's Securities Times reported on Tuesday.
According to the draft, China will continue to utilize its current mechanism in assigning the 5G frequency spectrum.
Among China's three telecommunication giants, China Telecom and China Unicom will obtain 100 MHz in around 3.5 GHz spectrum each while China Mobile receive 100 MHz in around 2.6 GHz spectrum.
Generally, the industrial chain of the 5G network is more mature in the 3.5 GHz spectrum, making it the main battlefield for China's telecommunication carriers.
Insiders said the plan has not been settled yet and adjustments are likely to be made before the allocation issuance.
What will be influenced by the allocation?
Before the settlement of the frequency spectrum allocation, telecommunication carriers have to carry out tests on different bands, which will undoubtedly increase costs.
Once they know where to belong, carriers could predict their final costs.
Although the 3.5 GHz spectrum has a more mature industrial chain, the 2.6 GHz needs fewer base stations.
According to the Securities Times, the cost of one 5G base station equals 1.5 times that of the 4G network. So China Mobile is likely to spend less money on building base stations.
