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Consultation on 3.4 GHz Fixed Wireless Access Spectrum

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1. Introduction

1.1 Fixed Wireless Access (FWA), also commonly referred to as Radio Fixed Access (RFA) or radio in the local loop (RLL), is the use of radio to provide so called ‘last mile’ connectivity between the subscriber and the fixed telecommunications network. Wireless access systems provide an opportunity to increase competition in the telecommunication market and provide more choice and innovation to consumers.

1.2 The entry into administration of Ionica, the radio local loop operator providing fixed wireless access services at 3.4 GHz and 10 GHz has resulted in the spectrum being returned to the Government for re-allocation. In its regular meetings with the radio/telecommunications industry the Government has received strong indications that there is a demand for FWA and hence that the spectrum should be re-allocated for FWA purposes.

1.3 This consultation document deals with the 3.4 GHz spectrum previously licensed to Ionica. A further consultation document is expected to be issued shortly, which will deal with the Ionica 10 GHz spectrum. Following these consultations it is anticipated that there will be a further announcement(s) regarding a competition(s) for the award of licences. The spectrum will be awarded by competitive process through a ‘beauty contest’. Further details regarding this process and the criteria to be used, will be made available at that time. This spectrum is unsuitable for auction as it is Ministry of Defence spectrum to which the Radiocommunications Agency has negotiated civil access.

1.4 Comments on the proposals contained in this consultation document are invited. Responses should be submitted by 20 December 1999. These should be sent to Brian Last and copied to Jeanne Grey:

Brian Last
Radiocommunications Agency
11R / 3A
Wyndham House
189 Marsh Wall
London E14 9SX

Tel: 020 7211 0234
Fax: 020 7211 0117

Jeanne Grey
Department of Trade & Industry
Communications & Information
Industries Directorate 1c, Room 275
151 Buckingham Palace Road
London SW1A 9SS

Tel: 020 7215 1777
Fax: 020 7215 1721

1.5 Written comments will be made publicly available on the Agency’s website except where respondents indicate that their response or parts therein are confidential. Confidential material should be clearly marked and placed in an annex. This consultation is only concerned with proposals relating to the future licensing of FWA systems, it is not concerned with the disposal of Ionica assets.

2. Background

2.1 The Government is committed to ensuring that modern telecommunications networks are as widely available as possible across the UK. Efficient telecommunications services play a vital role in the modern economy and both the residential and business markets require high quality modern communications.

2.2 The Government has facilitated the introduction of FWA systems in the UK by providing a number of bands for these systems. Ionica was awarded the first licence in 1993 for the 3.4 GHz band. Subsequently, Ionica were also successful in being awarded a 10GHz license following the consultation document "Radio Fixed Access: Increasing the Choice" issued in May 1995.

3. Frequency Bands

The spectrum under consideration in this consultation is as follows:

3.1 3.4 GHz

The spectrum will be available within the paired band 3425-3442 MHz and 3475.688-3492.688 MHz. The allocation is 2 x 17 MHz with 50 MHz duplex spacing.

This is MoD spectrum to which the Radiocommunications Agency has negotiated access for FWA. It may therefore be necessary to re-negotiate the use of this spectrum for different service use. This access was on the understanding that protection would be provided for Government sites at Harrogate, Cheltenham, Bude and Digby. This requirement remains and licensees will be expected to discuss with the Radiocommunications Agency arrangements for protecting these sites from their FWA systems. The band 3400-3600 MHz remains a MoD radiolocation band. There is occasional and transitory use of an airborne pulsed system but no other regular assignments to radiolocation in this band. The lower part of the band is also subject to some out of band radar emissions that could affect FWA systems. The locations of these radars and other data can be made available if required. It should be noted that anomalous propagation can extend the range of these out of band emissions.

Adjacent to the above paired bands there are allocations used for programme making and special events and an allocation used by the Home Office for helicopter-borne video links. Additionally, there is a Fixed-Satellite (space-to-earth) primary allocation in this band. Potential licensees must therefore demonstrate that their equipment will not interfere with, and be resilient to interference from, other users of the band.

Potential licensees should also note that there is an allocation, on a secondary basis, to the Amateur service in the sub-band 3400-3475 MHz.

A 3.5 GHz bandplan detailing the Ionica allocation is shown in Annex 1.

3.2 Equipment and Antenna Standards

Noting that the 3.4 GHz FWA band is generally available throughout Europe, a series of ETSI standards for Point to Multipoint equipment and antenna have been developed for systems operating between 3 GHz and 10 GHz.

These standards currently include:

EN 301 021 for TDMA equipment
EN 301 080 for FDMA equipment
EN 301 124 for DS-CDMA equipment
EN 302 253 for FH-CDMA equipment
EN 302 085 for Point to Multipoint Antennas.

4. Proposals

4.1 The FWA market is currently segmented into a number of niche markets:

(i) voice and narrowband data systems

The 3.4 GHz spectrum currently falls into this category. The limited amount of bandwidth available is a constraint on broadband data applications. The primary customer base to date has been the residential market.

(ii) ISDN type services

The 10GHz band has been licensed for digital services with a minimum bit rate of 144 kbit/second. The primary market is likely to be commercial customers in the Small, Medium Enterprises (SMEs) sector.

(iii) Broadband Interactive Services

Interactive Multimedia Services (IMS) envisaged to provide broadband digital services. A consultation document was issued by the Radiocommunications Agency on 5 July 1999. The 28 and 40 GHz bands are options under consideration.

4.2 Notwithstanding the bandwidth constraints, the Government does not propose to restrict the type of service provided. Data compression techniques continue to yield higher data rate services, and, therefore, the type of service and data rates provided should be for operators to decide based on their business plan and the availability of proven technology. Similarly, the Government does not propose to mandate voice telephony in the services provided.

The Government would welcome comments on the proposal to change the original basis on which this spectrum was licensed previously – the provision of voice services.

5. Number of operators

The Government has not reached a final decision as to whether this 3.4 GHz spectrum should be licensed to one operator on a national basis, or licensed on a regional (or sub-regional) basis. If spectrum is licensed on a regional (or sub-regional basis) it could be divided between more than one operator. If it is licensed on a national basis, insufficient spectrum is available to licence more than one operator. However, our starting point is that a single national licence is likely to provide the maximum benefit to competition given that the successful applicant will be competing with several well established operators using different techniques.

The Government would welcome comments on the relative desirability of licensing operators to provide services on a national, regional or sub-regional basis.

6. Other related issues

27.5-29.5 GHz and 40.5-43.5 GHz

On 5 July the Government issued a consultation document on providing spectrum for Broadband Fixed Wireless Access titled ‘Wireless in the Information Age – Delivering Interactive Multimedia to Workplace and Home’. This document considers two spectrum bands (27.5-29.5 GHz and 40.5-43.5 GHz) for the purpose of delivering Broadband Fixed Wireless Access by terrestrial means.

7. Test and Development Trials

The Government is prepared to consider applications for test and development trials of systems proposed for the 3.4 GHz band. These trials would be on the basis that they would be entirely without prejudice to the outcome of subsequent competitions.

3.5 GHz Bandplan

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November 1999
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