"We're glad that local companies have displayed faith in the domestic 4G operation," Yu Hsiao-cheng, vice chairman of the National Communications Commission, told reporters while unveiling the list of interested bidders.
Among them is Hon Hai, the parent company of Foxconn and the world's largest electronics contract manufacturer.
Earlier in the day, Hon Hai spokeswoman Laura Liu told AFP the application was made through Ambit Microsystems Corp, one of the 26 companies affiliated with Hon Hai.
Ambit Microsystems is largely engaged in the production and development of connectivity and power solutions for PC and telecommunication enterprises, including routers, modems and wireless products.
The move comes as Hon Hai founder Terry Gou said last week it plans to spin off some units as part of measures to battle global sluggishness and falling share prices.
The conglomerate assembles Apple's iPads and iPhones, plus mobile devices for Sony and Nokia.
Hon Hai saw its sales in the three months to March fall 19 percent from a year earlier to Tw$809 billion ($26.97 billion) as orders from its biggest client Apple slowed.
Screening of the applicants will begin Tuesday and bidding on September 3, Yu said, adding that four to seven licences would be issued contingent upon the bidding results.
"We hope that at least some winners of the bidding will be able to provide 4G services from 2014," Yu said.
4G, which operates five times faster than the current 3G network, allows users to download large e-mail attachments quickly, watch live television without buffering, make high-quality video calls and play live games on the go.
Taiwan lags behind the global rollout of 4G, with dozens of countries including the United States and Germany as well as parts of Asia already offering the service to businesses and consumers.
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