On the eve of its 700 MHz spectrum auction, Canada’s government has revealed plans for its next tender of frequencies.
On Friday Industry minister James Moore announced that spectrum licences in the 2.5 GHz band will be auctioned off in April…
On the eve of its 700 MHz spectrum auction, Canada’s government has revealed plans for its next tender of frequencies.
On Friday Industry minister James Moore announced that spectrum licences in the 2.5 GHz band will be auctioned off in April 2015.
The government has attached a number of conditions to the auction as part of its ongoing commitment to promoting competition in the mobile sector.
It will impose spectrum caps to ensure that at least four operators have the chance to access the 2.5 GHz frequencies and sell smaller geographic licences so small rural internet providers can participate.
Crucially it will also impose strict rules on the transfer of the licences. In Canada’s last major auction in 2008, the government imposed a five-year moratorium on smaller operators from selling their licences to the three incumbent operators.
However, with that ban expiring, the government changed the rules around spectrum transfers to give it final say on all transactions.
Commenting on the terms of the tender, Moore said: “The rules for this auction, like those for the upcoming 700 MHz auction, were designed to support more choice in our wireless market while putting the interests of consumers first.”
Applications to participate will be due on 27 November this year and the auction will start on 14 April 2015.
Meanwhile, Canada’s auction of highly-desirable 700 MHz spectrum begins tomorrow. According to Industry Canada, 11 potential bidders have qualified and are set to take part in the auction.
The government had hoped that the terms of the auction would entice a new, significant investor to take part and create a national fourth operator to challenge the hegemony of Bell Canada, Rogers Wireless and Telus.
However the newcomer which looked most likely – Verizon Communications – ruled itself out in September.
