Thursday, August 29, 2013

Slovakia Begins 4G Spectrum Auction

Slovakia has begun auctioning 4G spectrum in multiple bands. The country’s regulator TUSR has stated that bidders have until October 7th to submit offers for frequencies in the 800MHz, 1800MHz and 2.6GHz bands.

It is expected that some 1800 MHz spectrum will be reserved for a fourth player to compete with Slovakia’s “big three” of Orange, Slovak Telecom and O2.

Orange is the biggest operator in Slovakia with 2.8 million subscribers, followed by Slovak Telecom (2.3 million) and then O2 (1.4 million). One should expect all of the three dominant providers to place bids to win spectrum. The question is which new firm might be a fourth winner of spectrum.

Czech investment group PPF, headed by Petr Kellner, has confirmed its interest in bidding in the auction. The group’s subsidiary PPF Mobile Services (PPFMS) wants to become the country’s fourth mobile operator.

Other potential bidders include broadcaster Towercom, video services provider Satro and broadband operator SWAN.

Telecom regulator TU SR says new 4G license winners must build networks covering 50 percent of the population with its own network by the end of 2018. In a switch, though, 4G license winners will not have mandatory wholesale obligations, and instead will be allowed to negotiate any such wholesale deals on a commercial basis.

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