Pentanet among winners of 5G auction

Fixed-wireless internet provider Pentanet and four other telcos have secured high-band 5G spectrum, auctioned by the Australian Communications and Media Authority.

ACMA had auctioned 26 gigahertz, which was dispersed between Pentanet, Optus, Telstra Corporation, Mobile JV, and Dense Air Australia.

Pentanet secured a 15-year licence for 200 megahertz of 5G millimetre wave spectrum covering Perth and other parts of Western Australia, including Mandurah, Bunbury and Margaret River.

The $8 million licence fee will be paid in equal installments over a five-year period, with $1.6 million to be paid in the current financial year using existing cash reserves, Pentanet said.

It noted the 26 GHz band (24.25-27.5 GhZ) would help to significantly increase spacing between transmission towers and equipment, and provide scope for the company to increase network coverage and backhaul quicker and at a reduced cost.

The acquisition will also assist in the deployment of Pentanet's Terragraph technology, managing director Stephen Cornish said.

“Having access to our own 5G licensed spectrum elevates us to a new height as a telecommunications carrier,” he said.

“We went into the auction unsure if we would be able to complete with the larger players, but our team was able to strategically secure a meaningful allocation at a price point that made sense for our use-case.”

The largest allocation was auctioned to Telstra Corporation, which is paying about $276.6 million, followed by Optus ($226.3 million), Mobile JV ($108.2 million), and Dense Air Australia ($29 million).

The licences will come into effect later in the year.