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31|03|06

Spectrum licences for broadband, wireless communications and mobile multimedia services

Ofcom today published details of the release of new radiospectrum which could be used to provide consumers and businesses with a range of new broadband, wireless communications and mobile multimedia services.

New services require access to additional radiospectrum, a finite national resource upon which all wireless communications depend.

In January 2005 Ofcom outlined a rolling programme of spectrum awards that will see more than 400MHz of prime spectrum between 400MHz and 3GHz made available for a range of services over the next few years. This is more than the equivalent of all spectrum currently used for mobile telecoms.

New spectrum licences

Ofcom today announced proposals for its latest spectrum award. It intends to auction licences for frequencies at 1452-1492MHz (40MHz) on a technology and application-neutral basis by March 2007.

In response to the January 2005 proposals, a number of organisations expressed an interest in acquiring a licence for frequencies in this spectrum band. A number of possible uses for the spectrum have been suggested, including:

• Mobile TV – mobile multimedia services might be deployed using a variety of technologies such as DVB-H (Digital Video Broadcasting- Handheld) or DMB (Digital Multimedia Broadcasting);
• Broadband wireless access – high speed internet access on the move using technologies such as WiMAX;
• Satellite digital radio – such services are popular in the US. The upper 12.5MHz of the 40MHz available could be used to deploy satellite digital radio using the S-DAB standard; and
• Programme-making and special events – frequencies might be used to enable the use of wireless cameras at sporting and other events.

This block of spectrum is subject to certain international agreements, including a plan agreed at Maastricht in 2002. These agreements impose some constraints on use of the spectrum in the UK. Ofcom considers that some of these constraints are no longer necessary in the interests of good spectrum management, and Ofcom will be seeking international agreement to a more flexible approach over coming months.

Key proposals

The following are the main elements of the proposed award:

• the licences will be tradeable, with an initial minimum period of 15 years;
• the licences will be technology and application neutral (though some constraints will be necessary because of international arrangements);
• the lower 27.5 MHz of the 40MHz available could be made available as one or more packages, under options set out in the document;
• the upper 12.5MHz of the 40 MHz available will be awarded as a single spectrum block; and
• the award will be decided by a simultaneous multiple round auction;

Next steps

The deadline for responses is 9 June 2006. Following an assessment of the responses and international discussions, Ofcom intends to publish the following later in 2006, ahead of an auction that could be held in the first quarter of 2007.

• a statement on the responses to the consultation;
• an Information Memorandum with details of the award procedure and rules, licence conditions and other information likely to affect use of the band; and
• draft regulations setting out the auction rules and the mechanisms allowing trading in these bands.

The full consultation document is published at www.ofcom.org.uk.

Ends.

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