Ofcom, the UK telecoms regulator, hopes to auction spectrum in the 2.3 GHz and 3.4 GHz bands either at the end of 2015 or early in 2016, and has outlined proposals to sell the frequencies.
The spectrum is currently being used by the Ministry of Defence,…
Ofcom, the UK telecoms regulator, hopes to auction spectrum in the 2.3 GHz and 3.4 GHz bands either at the end of 2015 or early in 2016, and has outlined proposals to sell the frequencies.
The spectrum is currently being used by the Ministry of Defence, which is giving up the airwaves as soaring demand for mobile broadband over the next decade is set to place huge demands on the UK’s wireless infrastructure.
Ofcom has suggested it would offer 190 MHz across the two bands, split into 38 lots of 5 MHz blocks. Bidders would have to make offers for at least four lots per band.
The watchdog is proposing a reserve price of between £2.5m and £5m per lot for the 2.3 GHz spectrum, and £1m for the 3.4 GHz spectrum. It said the total value of the proposed reserve prices would be between £50m (US$79m) and £70m (US$111m).
Ofcom has invited potential bidders to comment on its proposals. The consultation is due to close on 23 January 2015.
The 3.4 GHz band is already used to offer 4G services in the UK and a few other markets, while the 2.3 GHz band is used in 10 countries – all outside of Europe.
Ofcom has also laid out plans for a spectrum cap. Under the proposal, telcos would not be allowed to hold more than 37% of spectrum suitable for mobile services, and this would include the soon-to-be auctioned frequencies.
At the end of May, the regulator launched a consultation on plans to open up the 700 MHz band for mobile broadband by 2022 at the latest.
Its proposal would see digital terrestrial TV services and wireless microphones being shifted from the band, without the need for another “switchover” that was required when the country turned off analogue TV signals in the 800MHz band in 2012.
The move would give British mobile operators access to the frequencies to bolster their networks in line with their peers elsewhere in Europe.
Demand for mobile data could jump by 45 times by 2030, according to Ofcom.
