The Growing Demand for Bandwidth in the Age of AI
As artificial intelligence (AI) becomes increasingly integrated into everyday life, the demand for bandwidth is surging. Mobile operators are now facing a significant challenge: they need additional bandwidth to handle the rising volume of data uploads driven by AI applications. According to an anonymous source from the National Broadcasting and Telecommunications Commission (NBTC), both major mobile operators will likely require at least 100 megahertz of additional bandwidth each.
This growing demand has prompted the NBTC to consider fast-tracking the auction of the 3,500MHz spectrum. The auction is expected to take place in the final quarter of this year or early 2027. The source explained that the increase in data uploads via AI apps is a direct result of the wide variety of AI technologies now available in the market.
Despite having over 1,000MHz of bandwidth across various low, middle, and high spectrum bands, Advanced Info Service and True Corporation are still experiencing a significant shift in consumer behavior. The NBTC’s telecom team has been monitoring mobile usage patterns over the past year and has observed consistent month-on-month increases in data consumption.
While video streaming and downloads have historically been the main drivers of growth, there has been a sharp rise in data uploads, particularly due to the proliferation of AI-based apps. These apps allow users to generate vast amounts of content, further increasing the strain on existing networks.
The 3,500MHz auction process has been planned by the NBTC for years, but it has been delayed due to unresolved issues related to the digital TV roadmap. Earlier, the Association of Digital TV Broadcasting strongly opposed the regulator’s plan to auction part of the 3,500MHz spectrum, arguing that it could directly impact digital TV broadcasting. Many satellite TV stations use this band to air digital TV programs, and approximately 60% of Thais watch digital TV via a satellite platform.
The 3,500MHz spectrum contains 300–400MHz of bandwidth. According to the NBTC’s initial concept, the spectrum will be allocated in slots of 100MHz of bandwidth. However, the license winners cannot immediately use the entire band. They must wait until the digital TV broadcasting licenses expire in 2029.
The source noted that this waiting period might be too long, as the increasing demand for bandwidth could lead to a decline in telecom service quality during the delay. To address this, the regulator is considering conditions that would allow a phased service rollout. This would enable operators to utilize portions of the frequency first, provided they reach preliminary agreements with the NBTC.
In addition to the 3,500MHz spectrum auction, the NBTC also plans to auction off 45MHz of bandwidth on the 2,100MHz spectrum. This spectrum is currently used by major mobile operators, and their licenses are set to expire in late 2027.
Challenges and Opportunities in Spectrum Allocation
The decision to allocate more bandwidth is not without its challenges. The potential conflict between the needs of mobile operators and the continued use of the 3,500MHz spectrum for digital TV broadcasting highlights the complexity of spectrum management. As AI continues to evolve, the demand for bandwidth will only grow, making it essential for regulators to find a balance between innovation and existing services.
The NBTC’s approach to spectrum allocation will play a crucial role in shaping the future of telecommunications in Thailand. By addressing the current and future needs of consumers and businesses, the regulator can ensure that the country remains competitive in the global digital landscape.
