Transaction Targets Metro and Non-Metro Circles Amid Regulatory Compliance Pressures
Bharti Airtel has finalized definitive agreements to acquire 400 MHz of 26 GHz spectrum from Adani Data Networks Limited (ADNL) in a strategic move to fortify its 5G rollout across key telecom circles. The deal, announced on Tuesday, will involve Airtel and its subsidiary Bharti Hexacom purchasing spectrum rights in six regions: Mumbai, Gujarat, Rajasthan, Karnataka, Andhra Pradesh, and Tamil Nadu.
The spectrum acquisition is subject to statutory and regulatory clearances, and is aimed at enhancing Airtel’s capacity to comply with India’s 5G rollout obligations, which mandate commercial service deployment in both metro and non-metro circles.
Highlights:
Airtel to acquire 400 MHz in the 26 GHz band from Adani Data Networks.
Covers six service areas: Mumbai, Gujarat, Rajasthan, Karnataka, Andhra Pradesh, and Tamil Nadu.
Deal involves 100 MHz in Mumbai and Gujarat; 50 MHz each in four other circles.
Airtel’s Strategic Expansion and Compliance with 5G Mandates
Under India’s telecom policy, operators holding 5G spectrum are required to commercially launch services within stipulated timelines. These obligations are enforceable in both metropolitan and non-metropolitan regions. The guidelines specify that the rollout obligation can be fulfilled either by activating 5G in one metro city or by offering services in at least one city in any non-metro telecom circle.
Airtel’s move to purchase this spectrum aligns with its broader 5G strategy to scale pan-India coverage while also meeting the Department of Telecommunications (DoT) requirements. The company has already activated 5G services in several major cities and is focused on capacity expansion and spectrum efficiency, especially in high-demand urban clusters.
Highlights:
Regulatory compliance for 5G rollout a key driver for spectrum acquisition.
5G launch obligations can be met by activating service in one metro or one non-metro city.
Airtel continues to pursue aggressive network densification in high-traffic zones.
Adani Data Networks Faces Regulatory Heat Over Delayed Rollout
The deal also comes amid mounting scrutiny over Adani Group’s telecom ambitions, particularly through its subsidiary Adani Data Networks. Despite securing spectrum in the 2022 5G auction, ADNL has not yet launched any consumer-facing telecom services, raising questions about spectrum utilization and compliance.
The Department of Telecommunications (DoT) had issued queries to the Adani Group regarding its rollout strategy and compliance with 5G launch conditions. With the divestment of spectrum to Airtel, ADNL may be seeking to offload underutilized assets while pursuing a limited data connectivity strategy through its ports and enterprise infrastructure.
Sources suggest that the group could still meet rollout mandates by offering broadband or private network services in a single commercial location, such as a port or special economic zone operated by Adani Enterprises.
Highlights:
Adani Group yet to launch 5G services over two years after securing telecom license.
DoT issued compliance queries to Adani regarding its 5G rollout plan.
Group may meet obligations via localized broadband services or enterprise connectivity.
Implications for India’s 5G Market Dynamics
The transaction marks a significant development in India’s 5G spectrum landscape, further consolidating Bharti Airtel’s lead in millimeter wave (mmWave) capacity. The 26 GHz band, often referred to as mmWave, is ideal for ultra-high-speed and low-latency use cases, including enterprise IoT, smart city deployments, and industrial automation.
The additional bandwidth will give Airtel a competitive edge in providing both consumer and enterprise 5G services, as rivals like Reliance Jio also accelerate their spectrum deployments. Analysts view the deal as a strategic reshuffling of spectrum assets in a market where consolidation of spectrum is increasingly seen as a path to profitability and cost efficiency.
Highlights:
26 GHz mmWave band critical for high-throughput 5G applications.
Airtel strengthens position against Jio’s aggressive 5G rollout.
Deal reflects emerging trend of spectrum monetization by non-operational license holders.
