Grameenphone gets Bangladesh’s first 700MHz spectrum for Tk2,370 crore

Grameenphone has secured 10 megahertz (MHz) of spectrum in the 700MHz band, marking the first-ever allocation of this low-band frequency to a mobile operator in Bangladesh and formally opening the band for mobile broadband services in the country.

The spectrum was assigned at the base price, generating Tk2,370 crore in revenue for the government, with the per-megahertz price fixed at Tk237 crore.

The allocation was approved today (21 January) at a joint meeting of the Spectrum Auction Committee and the Spectrum Management Committee, Bangladesh Telecommunication Regulatory Commission (BTRC) Chairman Major General (retd) Md Emdad ul Bari told The Business Standard.

The 700MHz band is globally considered a premium spectrum for mobile broadband due to its ability to cover wide geographic areas and penetrate buildings more effectively than higher-frequency bands. Industry experts say the band is particularly effective for improving indoor coverage, rural connectivity, and network performance in hard-to-reach areas.

With this allocation, Bangladesh formally begins deploying the 700MHz band for mobile services—an initiative long viewed as critical for enhancing nationwide network coverage and service quality, especially as mobile data usage continues to rise.

Tanveer Mohammad, chief corporate affairs officer of Grameenphone, said the company has received an acknowledgement letter from the BTRC confirming Grameenphone's eligibility for acquiring the 700MHz spectrum upon completion of all applicable regulatory requirements.

"This reinforces our commitment to strengthening network quality and delivering a superior, reliable experience for our customers across Bangladesh," he said.

Single-bidder auction, rules revised

Grameenphone was the only operator to participate in the auction. Anticipating a single-bidder scenario, the BTRC earlier this month revised its auction guidelines, reducing the maximum spectrum acquisition cap for a single operator from 15MHz to 10MHz, out of a total 25MHz available in the band.

According to the regulator, the decision was taken to protect competition in the telecom market and to ensure that spectrum remains available for other operators in future assignments.

"The objective was to prevent excessive concentration of low-band spectrum in the hands of a single operator, even in a limited participation scenario," a senior BTRC official said.

The auction saw limited participation after Robi Axiata withdrew, citing a misalignment between the auction timeline and its current network investment priorities. Banglalink and state-owned Teletalk also did not take part in the process.

Despite the lack of competition, the regulator decided to proceed with the auction, noting that preparations had been ongoing since 2024 and that further delays could stall long-pending spectrum planning.

BTRC officials said Robi had expressed interest in acquiring spectrum in other frequency bands, which may be considered in subsequent allocation rounds.

Strategic importance of 700MHz

Telecom analysts say the introduction of the 700MHz band represents a structural upgrade for Bangladesh's mobile network ecosystem. Low-band spectrum allows operators to deploy fewer base stations to cover larger areas, reducing capital and operating costs, particularly in rural and semi-urban regions.

The band is also expected to play a critical role in enhancing 4G capacity and future 5G network layering, complementing higher-frequency spectrum that offers greater capacity but limited coverage.

However, analysts caution that while the allocation is a positive step, high spectrum prices and tax burdens continue to constrain network investment in Bangladesh's telecom sector.

Grameenphone's acquisition of the 700MHz spectrum gives it a significant coverage advantage, especially for indoor and rural services, while also setting a precedent for future low-band spectrum assignments in the country.

Tanveer Mohammad said the spectrum will allow Grameenphone to further enhance coverage—particularly in underserved and indoor environments—while improving network efficiency and resilience.

"We look forward to responsibly utilising this spectrum to further elevate service quality and deliver secure, innovative digital services for our more than 85.6 million customers, reinforcing our role as a key enabler of Bangladesh's digital progress," he said.