Türkiye will hold its long-awaited 5G spectrum tender on Thursday, paving the way for the next-generation mobile network technology to be rolled out from April 2026, starting in major cities.
The tender will cover the allocation of 5G frequencies as well as the extension of existing spectrum usage rights for previous generations of mobile networks until the end of 2042.
All three major telecom operators – government-controlled Türk Telekom and Turkcell, and Vodafone's Turkish unit – have confirmed their participation. The total base authorization fee for all 5G frequencies has been set at $2.13 billion (excluding VAT). The auction will offer three frequency blocks in the 700 MHz band and eight blocks in the 3.5 GHz band.
Telecom operators have not disclosed investment forecasts ahead of the tender. Analysts expect the transition to 5G to require multi-year investments worth billions of dollars, with the timing and scale of those expenditures to be closely watched by investors.
In a note released Tuesday, Deniz Yatırım said telecom companies' borrowing levels and leverage ratios would be closely watched by investors.
"The investor segment, through a cautious stance toward risk factors we consider natural, may cause stock performance to be pressured in the short term."
The brokerage recalled that telecom stocks underperformed the market during the previous spectrum auction in 2015.
"The way the process unfolds in the first half of 2026 and how the companies communicate may lay the groundwork for a shift in the scenario we've described," it noted.
The previous spectrum tender, held in 2015, authorized the three operators to offer 4.5G (IMT-Advanced) services for about 15 years, at a total cost of 4 billion euros (including VAT).
As part of Thursday's tender, the licenses for GSM (2G), IMT-2000/UMTS (3G), and 4.5G networks – which were due to expire in April 2029 – will be extended until the end of 2042. Operators will continue to pay 5% of their annual revenues from these services to the Treasury.
Transport and Infrastructure Minister Abdulkadir Uraloğlu on Wednesday said the first 5G signal will be transmitted on April 1, 2026, to be followed by a gradual nationwide rollout, prioritizing densely populated cities.
He said nationwide coverage could be achieved in a little over a year.
There are approximately 85 million mobile subscribers in Türkiye, with 22 million mobile phones that are compatible with 5G, according to Uraloğlu.
"Those using 2G will need to change both their phones and SIM cards," he noted.
Uraloğlu said the domestic content requirement for infrastructure equipment in the 4.5G auction was set at 45%, a rate he says has now reached 52%.
He said the 5G tender will raise this threshold to 60%.
He added that 30% of products used must retain intellectual property rights in Türkiye.
The minister said the 3G network would be gradually shut down, with 4.5G also becoming redundant once 5G is fully implemented.
"Once 5G is fully operational, 4.5G will no longer be needed," Uraloğlu said. "But 2G will likely continue to exist for basic voice and messaging services."
