Dutch 4G auction raises EUR3.8 billion

Dutch 4G auction raises EUR3.8 billion

17 DEC 2012

The auction of 4G spectrum in the Netherlands has generated EUR3.8 billion, according to the Dutch spectrum agency Agentschap Telecom.

Incumbent operators KPN, Vodafone and Deutsche Telekom have all won licences, along with newcomer, Swedish telecoms group, Tele2.

The spectrum ranged from 800MHz to 2600MHz. Of interested companies, cable operators Ziggo and UPC appeared to lose out in the auction.

Market leader KPN paid EUR1.35 billion for 15 licences with the operator planning to launch 4G LTE services in February 2013. The company aims to cover more than 50 percent of the Dutch population with the network by the middle of next year, with full coverage by the second half of 2014.

KPN adjusted its dividend outlook as a result of the spectrum investment, saying it will not pay a final dividend in 2013 with the 2013 dividend adjusted to EUR0.03 per share.

Vodafone Netherlands spent EUR1.38 billion to acquire nine spectrum licences, while T-Mobile secured 15 licences for EUR911 million.

Tele2 secured two licences of 800MHz frequency for EUR161 million and plans to roll-out its own network after operating as an MVNO in the market for around 10 years.

The majority of licences are for 17 years with some commencing in 2013 and others coming into force when the operators have adapted their networks for the new frequency allocation.

According to Wireless Intelligence figures, the Netherlands currently has 19.9 million mobile connections with KPN leading the market with 9.8 million.

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Tim Ferguson

Tim joined Mobile World Live in August 2011 and works across all channels, with a particular focus on apps. He came to the GSMA with five years of tech journalism experience, having started his career as a reporter... More

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