More than half of Singapore will have 5G mobile network coverage by end-2022, offering surfing speeds more than 20 times what the current 4G networks offer, with the need to upgrade digital infrastructure driven home by the present partial coronavirus lockdown.
Singtel and a joint venture between StarHub and M1 won the rights to build the Republic's two nationwide networks on Wednesday (April 29) and will have to scale up to provide nationwide coverage by 2025.
Meanwhile, Singapore's four telcos - Singtel, StarHub, M1 and TPG Telecom - will also be allowed to operate smaller 5G networks that provide spot coverage using airwaves that are in abundance.
Nationwide coverage is limited to only two networks because of the scarcity of certain 5G airwaves for islandwide reach. Also, the far-reaching 3.5GHz airwaves that make it possible become available only from next year.
The sector's regulator, the Infocomm Media Development Authority (IMDA), made its decision after considering detailed business proposals from the four telcos. Singtel and newcomer TPG submitted solo bids, while StarHub teamed up with M1 in a joint bid.
Communications and Information Minister S. Iswaran said during a virtual press briefing that 5G networks are an important investment in Singapore's digital infrastructure.
"It has become very apparent how important digital infrastructure is, and the kind of resilience and flexibility it affords us, especially in situations like what we are in right now," he said, referring to the current coronavirus outbreak which has led to a partial lockdown.
The bids were assessed on the telcos' financial capabilities, cyber security and network resilience.
TPG was the only telco not to get a slice of the nationwide network.
Asked whether TPG's use of Chinese vendor Huawei's telecoms equipment for its networks was a factor in IMDA's decision, Mr Iswaran said: "You will find that the vendors you are referring to are also being used by (the other telcos). It's not exclusively used by TPG.
"And as we have emphasised from the start, our focus has not been about particular vendors, (but) on overall network resilience and security, and ensuring vendor diversity."
Commitments made by various telcos can achieve this, he said.
Without naming TPG, DBS Bank's head of telco research Sachin Mittal said not having a "future-proof" 5G network was worrying for a telco.