FG allocates 43 billion for the installation of 5G, Digital project

5G may be left without state funding in 2021

The Ministry of communications offered to save 2 billion rubles, which in 2021 should have been spent on clearing frequencies for the construction of a new generation of communications. This follows from the request to change the passport of the Federal project “Information infrastructure”.

Funding can go to the activities of the Federal project “Digital public administration”. This is stated in the minutes of the operational meeting of the working group (WG) on the direction “Information infrastructure” of the ANO “Digital economy” on June 30.

Most members of the working group, which includes representatives of Telecom operators, regulators and experts, opposed the initiative of the Ministry of communications.

Taking into account the reduction in costs for clearing frequencies, it is likely that full 5G coverage of major cities should not be expected until 2024-2025, predicted the Director of network infrastructure of MegaFon, Valentin Polozenko. Any reduction in funding for programs related to the introduction and development of modern communication technologies will negatively affect the digitalization of a large number of industries and the economic climate of the country as a whole, VimpelCom believes. MTS, Tele2 and Rostelecom did not comment.

According to one of the Globalgistng sources familiar with the meeting, the decision is not yet final. It will be adopted by the government Commission on digital development, taking into account the general economic situation.

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Earlier, it was reported that the Ministry of communications offered to save another 1.5 billion rubles, which in 2020 should have gone to work on clearing frequencies. Most of this money was going to be directed to the government’s reserve Fund, and almost 500 million rubles were planned to be used to Finance access to the second multiplex of digital TV for small cities. Now, according to one of the sources familiar with the working group’s discussions, the government Commission has approved sequestering the budget for 5G conversion activities for 2020.

According to the passport of the national program “Digital economy”, by the end of 2024, 43 billion rubles from the Federal budget were to be allocated for the conversion of the radio frequency spectrum for the development of 5G. By the end of 2021, 5G was planned to be implemented on the territory of 10 million cities.

Global Gist Nigeria


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