Digi Mobil. Last week, the Romanian Government announced that it wants to obtain at least 1 billion euros from the auction for the 5G frequencies that will be offered to mobile operators in the country for use from 2019. The figure is much higher than the one paid by the operators for the frequencies 4G, with somewhere around 350-400 million euros, at the initial auction, and of all the operators, Digi Mobil is the most affected by this change.
Digi Mobil. Although he has a group behind him RCS & RDS with important resources, the operator has the lowest prices for the mobile phone services it offers, the smallest number of customers, and will most likely seek to pay the least for 5G licenses. If the Romanian Government wants to obtain at least 1 billion euros for 5G licenses, then Digi Mobil could have serious problems in obtaining the spectrum it wants, at a price that would allow it to support its current pricing policy.
Digi Mobile. BIGGEST ISSUES for 5G
Digi Mobil. The simple fact that RCS & RDS has to go from paying a profit tax of 0,00005% to a 3% one for turnover is already a very problematic change, but with 5G things will become even more complicated. The group will lose several tens of millions of euros annually only through turnover tax, the amount that could be used for 5G licenses or other investments, and to cover it, prices could increase from 2019.
Digi Mobil. The same thing will happen to Orange, Vodafone, or Telekom, which more than likely will not choose to absorb the tens of millions of euros of tax that they will have to pay additionally from 2019. Even if almost all these companies have ventures of 1 billion euros annually in Romania, I don't think anyone imagines that they will think first about the interests of the clients, and only then about the profit they make in the country.
