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Ofcom announces plans for 700MHz and 3.6–3.8GHz spectrum awards

The UK regulator has submitted its initial proposal to consultation.

Background: Earlier in 2018, Ofcom consulted on ways to improve mobile coverage through obligations to be imposed in the 700MHz band. Recently, it also granted a change in licence conditions to UK Broadband, which holds spectrum in the 3.6GHz band. As a result, the regulator is now ready to plan auctions across these two bands.

What’s new? Ofcom is proposing a joint auction across the 700MHz and 3.6–3.8GHz bands. It will offer 80MHz in the former, and 120MHz in the latter.

What are the key points? The proposal includes a cap on the spectrum held by each operator across all bands, which cannot be above 37% after the auction (still allowing BT/EE to obtain a total 120MHz from it). It also bears coverage obligations in the 700MHz band, to be fulfilled within four years (good outdoor coverage to at least 90% of the UK; covering at least 140k buildings currently not covered; and deployment of at least 500 new mast stations in rural areas). Roaming agreements will count toward fulfilment of coverage obligations, but will not be mandatory.

Next steps:The consultation will be open until 12 March 2019. Ofcom aims to run the auction in the Spring of 2020.