The Unexpected Twist
Adani Data Network, the entity behind the ambitious foray into India’s telecom sector, appears to be retreating from its consumer mobile services ambitions. Following a surprise announcement, the company has decided to cede its 400 MHz spectrum in the 26 GHz band to Bharti Hexacom Limited, a subsidiary of the country’s largest telecom operator.
Terms of the Deal
- 400 MHz of spectrum will be allocated to Bharti Hexacom Limited
- The spectrum is divided across six major areas: 100 MHz each in Gujarat and Mumbai, and 50 MHz each in Andhra Pradesh, Rajasthan, Karnataka, and Tamil Nadu
The partnership will follow standard rules, including the Spectrum Trading Guidelines and required government approvals. The deal has sparked concern among industry observers, who have long speculated about Adani’s intentions in the sector.
A Brief History of Adani’s Foray into Telecom
- 2022: Adani Data Network joins the 5G spectrum auction, alongside Jio, Airtel, and Vodafone Idea
- 2022: Adani Data Network buys 400 MHz of spectrum in the 26 GHz band for Rs 212 crore
Adani initially expressed interest in launching consumer mobile services, sparking hopes that the company might compete with Jio and Airtel. However, Adani later clarified that the spectrum would be used for business purposes, such as in its data centers, airports, gas stations, and ports, rather than for general public telecom services.
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