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May 20, 2011

Ofcom asked to increase mobile internet coverage of 4G network

MPs from different parties yesterday called on Ofcom to make the requirement of the 800MHz mobile broadband spectrum to be available to 98% of the UK, up from the 95% figure that is currently being attached to it ahead of it being auctioned off next year in a plea to help a further 2 million rural people who live out of range of high speed broadband connections.

ofcom Ofcom asked to increase mobile internet coverage of 4G networkThe current target of 95% coverage that is being attached to it would leave around 6 million people without the 4G mobile broadband access which works well over long distances and works well for those living in rural and more remote areas to get a reliable internet connection.

MPs claim that Ofcom is putting money before coverage by saying that Ofcom are worried about losing money from the auction as the mobile broadband providers may not pay as much for the 800MHz spectrum if they are required to extend the coverage from 95% to 98% of the country.

Ofcom will finish their consultation stage of the auction at the end of this month and once this is done the terms that will be attached to the new 800MHz spectrum will be decided. Ofcom are unlikely at this late stage to increase to required coverage from 95% of the population. The estimate cost to increase from 95% coverage to 98% coverage is around £215 million with this figure potentially lowering the final sale price of the spectrum.

In future however if the government need to go to the winners of the auction and request that coverage is extended then they will be having to pay for this as apposed to it being done by the companies own costs now.

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November 24, 2009

T-Mobile & Orange won’t give up their spectrum

T-Mobile and Orange won’t hand over any of the radio spectrum that they own when they merge companies for other mobile operators to make use of for services such as mobile broadband.

The merger will make the combined T-Mobile/Orange business a 50:50 split between the two companies and give them a mobile market share of 37% in the UK.
They will however also hold between them 170MHz of the 1800Mhz spectrum, which is almost half and don’t feel that they should need to give it up for their merger to be approved.
Three Mobile only have a 15MHz share of the 1800Mhz spectrum which at present is only able to transmit 2G GSM technology, but that is soon to be changed.

So The T-mobile/Orange company will have 37% of the mobile customers in the UK but almost half of the 1800Mhz spectrum to play with.

There is also the fact that Vodafone and O2 have hold of the entire 900MHz spectrum between them so it looks like a bit of a stale mate, with neither majority holders of each of the spectrums likely to give any up unless the others also do.

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