Summary of Select Spectrum Auction Results

Spectrum AuctionsBelow is a summary of spectrum auctions completed this year that I did not report on.  Some of these auctions are particularly interesting. For example, the 2.3 GHz band auction in Hong Kong follows a failed attempt to auction this band in early 2009. At that time, the hype around WiMAX was subsiding as interest in LTE was gathering strength. Now, three companies won the 90 MHz band for about $61m. One of the winners told me of their plan to use the band for LTE services, although this would be TD-LTE. No indication as to when it will happen.

Another interesting one is the Thai 3G auction that raised just about the reserve price, a natural consequence to limited number of bidders (3). AIS being the only company paying slightly above the reserve price after reportedly outbidding itself. The winners are accused of price fixing. Regardless of what happened, one cannot expect a competitive auction when the number of bidders equals the available bands. The failure is in not having more players. Alternatively, the reserve price ought to have been higher, which is a failure by the regulators. I don’t mean to defend the winners – but this is an expected consequence when competition is absent.

Honk Kong
Date 6-Feb-12
Operator Band

Channel

Bandwidth (MHz) Price (HK$) Price ($)

$/MHz-PoP

Hutchinson Telecom 2360 – 2390 MHz

1×30 MHz

30 150,000,000 19,341,000

0.091

21 ViaNet Group Ltd. 2300 – 2330 MHz

1×30 MHz

30 150,000,000 19,341,000

0.091

China Mobile Hong Kong 2330 – 2360 MHz

1×30 MHz

30 170,000,000 21,919,800

0.103

Total

470,000,000

60,601,800

0.095

Denmark
Date 26-Jun-12
Operator Band

Channel

Bandwidth (MHz) Price (DKK) Price ($)

$/MHz-PoP

TDC 801-821 / 842-862 MHz

2×20 MHz

40 627,804,000 105,646,857

0.476

TT Network 791-801 / 832-842 MHz

2×10 MHz

20 111,463,000 18,756,994

0.169

Total

739,267,000

124,403,851

0.374

Chile
Date 30-Jul-12
Operator Band

Channel

Bandwidth (MHz) Price (UF) Price ($)

$/MHz-PoP

Claro 2.505 – 2.525 / 2.625 – 2.645 MHz

2×20 MHz

40 62,196 2,905,720

0.004

Entel 2.525 – 2.545 / 2.645 – 2.665 MHz

2×20 MHz

40 189,349 8,846,090

0.013

Movistar 2.545 – 2.565 / 2.665 – 2.685 MHz

2×20 MHz

40 10,777 503,484

0.001

Total

262,322

12,255,294

0.012

Romania
Date 24-Sep-12
Operator Band

Channel

Bandwidth (MHz) Total (MHz) Price (€)

€/MHz-PoP

Cosmote 800 MHz

2×5 MHz

10 100 179,880,000

0.094

900 MHz

2×10 MHz

20

1800 MHz

2×25 MHz

50

2600 MHz

2×10 MHz

20

Vodafone 800 MHz

2×10 MHz

20 170 228,520,034

0.104+

900 MHz

2×10 MHz

2×12.5 MHz*

2025*
1800 MHz

2×30 MHz

2×15 MHz*

60

30*

2600 MHz

1×15 MHz

15

Orange 800 MHz

2×10 MHz

20 175 227,135,002

0.099+

900 MHz

2×10 MHz

2×12.5 MHz*

20

25*

1800 MHz

2×30 MHz

2×15 MHz*

60

30*

2600 MHz

2×20 MHz

40

RCS & RDS 900 MHz

2×5 MHz

10 10 40,000,000

0.210

2K Telecom 2600 MHz

1×30 MHz

30 30 6,601,000

0.012

Total

485

682,136,036

0.096

Notes:* short-term license, valid until April 5, 2014+ Excludes short term licenses
Thailand
Date 17-Oct-12
Operator Band

Channel

Bandwidth (MHz) Price (THB, b) Price ($, m)

$/MHz-PoP

Advanced Info Service (AIS) 2100 MHz

2×15 MHz

30 14.625 475.9

0.228

TRUE 2100 MHz

2×15 MHz

30 13.5 439.3

0.211

Total Access Communication (DTAC) 2100 MHz

2×15 MHz

30 13.5 439.3

0.211

Total

42

1,354

0.216

As I post this, another auction is happening in the Netherlands which would be interesting to follow. I will report on it in a future entry.

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About Frank Rayal
Technology strategy, markets and M&As

One Response to Summary of Select Spectrum Auction Results

  1. RAP says:

    Great info Frank 😉 cheers! Raúl

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