UK regulator Ofcom yesterday announced proposals to make the frequency band 790MHz to 862MHz – freed up by the move to digital television – available for mobile broadband services, a strategy that mirrors developments in other European countries. The UK formerly planned to free up this ‘digital dividend’ spectrum in a range from 806MHz to 854MHz, but is now planning to offer the wider 790MHz to 862MHz range (the so-called 800MHz band) already earmarked by many of the countries in the European Union. The move to harmonise with Europe will lead to a one-year delay of the spectrum auction; Ofcom expects to hold the auction for the UK’s digital dividend spectrum in 2010. The full consultation is available here.
In a statement, Ofcom claims there would be “large benefits to citizens and consumers” from such a move, including “lower equipment prices for consumers, more efficient use of spectrum, improved opportunities for new generations of mobile broadband, and more scope for competition and innovation in new wireless services.” Ofcom believes that the net benefits to consumers could be worth £2 billion to £3 billion over twenty years. The cost of changing the allocation of UK spectrum to fall in line with its European neighbours is estimated at £90 million to £200 million, to be borne by the new licensees, the government, or both. Finland, France, Sweden and Switzerland have already decided to release this wider block of spectrum of 72MHz and Ofcom “expects a number of other countries to do likewise.” The GSM Association said the UK decision will “increase momentum and encourage other countries to follow suit in a ‘domino effect’.” As well as mobile broadband services, the spectrum is expected to support more digital television services in standard or high definition format.
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