New setback to Brazil’s 5G timetable

Brazil’s government had promised to auction 5G frequencies by the first half of 2021. It would be the crown jewel of the Bolsonaro administration’s privatizations plan … but it never happened. Later the government guaranteed it would happen by late July. Once again, the target was not met. Now, following a deadlock in the Federal Accounts Court, there are doubts about whether the tender will be held in 2021 at all.

Aroldo Cedraz, one of the court’s members, asked for an extra week to analyze the government’s proposal, essentially paralyzing proceedings.

There are two main points of contention around the 5G bidding notice. 

One concerns the Integrated and Sustainable Amazon Program, involving the installation of 10,000 kilometers of fiber-optic cable to improve internet connectivity in 59 northern Brazilian municipalities. Factoring in costs of network integration, operation, and maintenance, the project has been budgeted at BRL 905 million (USD 175 million).

Disputes around the second program announced in the bid notice have been more widely publicized by the Brazilian press. The program consists in the installation of a private 5G network to be used exclusively by the government. 

This siloed governmental network would, at the same time, allow 5G frequencies to be auctioned to China’s Huawei, resolving concerns over possible Chinese spying...