TPG extends 5G reach with $128m spectrum purchase

The news: Telecommunications provider TPG will increase its 5G coverage after acquiring two licenses in the 3.7 GHz spectrum band.

The numbers: TPG Telecom will pay $128.2 million for the two licenses, which cover spectrum in both regional and metropolitan areas, through the Australian Communications and Media Authority’s spectrum auction. The telco provider currently holds licenses including 3.6 GHz and 26 GHz millimetre wave spectrums and has rolled out 2,800 5G sites around the nation. The license term for the 3.7 GHz band is 20 years.

The context: Roughly four in every five Australians have access to 5G, according to government data, with around 95% to have 5G coverage by 2025. Vodafone and TPG are planning to shut down their 3G networks in December, followed by Telstra in June 2024 and Optus in September 2024.

What they said: "Spectrum is a critical asset, enabling TPG Telecom and its family of brands to meet our customers’ growing needs for high-speed 5G services today and into the future," TPG chief executive Iñaki Berroeta said.