Lack of Bidders Sees Singapore's 4G Spectrum Offered at Reserve Prices
All three of Singapore's incumbent networks have been provisionally allocated
4G radio spectrum in an auction that failed to see a new entrant for the
country, and where the spectrum was sold at the reserve price.
A total of 270 MHz of spectrum in the 1800 MHz and 2.5 GHz spectrum bands was
made available for allocation in the 4G auction.
M1 obtained 80 MHz of spectrum at a total price of $104 million, SingTel
obtained 100 MHz of spectrum at a total price of $136 million and StarHub Mobile
obtained 90 MHz of spectrum at a total price of $120 million.
The next stage of the 4G auction, the Assignment Stage, will determine the
placement of the Spectrum Lots acquired by bidders. After the Assignment Stage
closes, Winning Bidders will be provisionally awarded the spectrum rights in
respect of the spectrum that they have been allocated.
The new spectrum rights will commence on 1 July 2015 for spectrum in the 2.5
GHz band and 1 April 2017 for spectrum in the 1800 MHz band, upon expiration of
the existing spectrum rights. The auction does not affect existing spectrum
rights in the 1800 MHz and 2.5 GHz bands. Operators may continue to provide
mobile services (including 4G) over the existing spectrum rights prior to their
expiry.
Winning Bidders will be required to provide nationwide street level coverage
for 4G by 30 June 2016, and coverage for MRT underground stations/lines and road
tunnels by 30 June 2018.
Mr Leong Keng Thai, Deputy Chief Executive and Director-General (Telecoms and
Post), IDA, said, "The successful allocation of spectrum in the auction
will give operators more long-term certainty on their spectrum holdings as they
continue to deploy 4G services. This will enable the industry to better meet the
demands of growing mobile traffic, and ensure that consumers can reap the
benefits of quality 4G mobile services well into the future."
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