Hong-Kong conglomerate Hutchison Whampoa (HWL) could scrap its UK-based mobile operator 3 if next year’s 800MHz auction goes ahead without frequency caps, reported the Sunday Times.
HWL-owned 3 Group is concerned that proposed spectrum legislation, which…
Hong-Kong conglomerate Hutchison Whampoa (HWL) could scrap its UK-based mobile operator 3 if next year’s 800MHz auction goes ahead without frequency caps, reported the Sunday Times.
HWL-owned 3 Group is concerned that proposed spectrum legislation, which does not cap the Digital Dividend that larger rivals can acquire, presents an uneven playing field.
However, a spokesman for 3 played down reports that it could quit the UK, telling TelecomFinance that the issue is more about “the need for a level playing field when it comes to the spectrum auctions, to ensure continued competition amongst operators, and lower prices for consumers – not about HWL pulling out of the UK market”.
A spokesperson for local regulator Ofcom confirmed it is aware of Hutchinson’s concerns, adding that a formal consultation period for the issue will start in February.
Mobile operator Everything Everywhere dropped a legal threat late last year to sue the government over the uncapped auction plans, which will be finalised in February.
Ofcom CEO Ed Richards hailed the move during a press conference on 1 December as a sign that British telcos were ready to relax litigation pursuits to avoid further auction delays.
Outlining an “ambitious” timetable on 23 November, Richards said the regulator plans to provide commercial 4G in the UK from early 2014.
