Ukrainian telecoms regulator NCCIR has revealed the final terms of its upcoming 3G auction, with the cost of a single 15-year licence set at about Hr2.97bn (US$229.5m).
Three licences are up for grabs, granting access to 2 x 15 MHz spectrum in the…
Ukrainian telecoms regulator NCCIR has revealed the final terms of its upcoming 3G auction, with the cost of a single 15-year licence set at about Hr2.97bn (US$229.5m).
Three licences are up for grabs, granting access to 2 x 15 MHz spectrum in the paired 2,100 MHz UMTS band, the regulator said in a statement.
The minimum price of each licence, which covers the whole of Ukraine, is Hr2.44bn (US$188.5m) with associated costs of about Hr533m (US$41m).
The extra costs are required to fund the conversion of the radio frequencies from military usage, the regulator explained.
Licensees are required to meet specified coverage and mobile service quality targets within six years.
NCCIR said the tender conditions, which will become valid when approved by the government, do not impose any additional restrictions on applicants to participate in the auction other than those provided for under the country’s law on sanctions. This law allows the Ukrainian government to impose sanctions on certain individuals and entities, which reportedly include numerous Russian companies believed to support rebels in the eastern part of the country.
However, the regulator has not specifically barred Russian-controlled applicants from participating in the auction. This contrasts with earlier plans which would have prevented companies with more than 50% Russian ownership from taking part.
Ukraine’s largest mobile operator, Kyivstar, is owned by VimpelCom, in which Russia-based Altimo only has a 47.9% voting interest. Number two player MTS Ukraine is fully owned by Russian telco MTS. Meanwhile, Life, a distant third player, is controlled by Turkey’s Turkcell.