5G Internet Operators to Pay Fees for Radio Frequencies

5G internet operators in Armenia will pay fees for radio frequencies. The draft changes to the law on "State Duties" were presented in parliament by Minister of High-Tech Industry Mikayel Hayrapetyan.

In 2023, the state allocated a frequency range of 2300-2400 megahertz for the dissemination of 5G signals, with an additional range of 3600-3800 MHz announced this August.

For standard connections (via above-ground base stations), a one-time fee of 25 million drams (approximately $64,000) and an annual fee of 16.8 million drams (around $43,000) are proposed for each megahertz, while for satellite connections, the fees will amount to 3 million drams both for one-time and annual payments.

The minister clarified that a total of 300 MHz has been allocated, but each operator needs at least 50 MHz to set up a network. Therefore, the frequencies will be sufficient for 6 operators (currently, 4-5 operators provide broadband internet coverage in the country).

The revenues from these fees are expected to add a one-time total of 7.5 billion drams ($19 million) to the budget, and slightly more than 5 billion drams ($13 million) annually.

It is worth noting that Armenia's three largest operators are already providing 5G connectivity in Yerevan and major cities across the country.