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Radio spectrum assignements for broadband services

Radio spectrum assignements for broadband services. Gundega Rutka Head of Scarce Resource Division Electronic Communications and Post Department 10th Baltic Electronic Communications and Postal Services Regulators’ Meeting 28 – 30 August 201 3. Overview. Spectrum blocks.

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Radio spectrum assignements for broadband services

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  1. Radio spectrumassignementsforbroadbandservices Gundega Rutka HeadofScarceResourceDivision Electronic Communications and Post Department 10th Baltic ElectronicCommunicationsandPostalServices Regulators’ Meeting 28 – 30 August2013

  2. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions • 2006 – fourbeautycontestsfor 450MHz, 900MHz, 390MHz, 40,5-43,5GHz ) 2007 – twobeautycontestsfor 32GHz and 10.5GHz • 2008 – fourbeautycontestsfor900MHz, 410-430MHz, 450MHz, 26GHz • 2009 – twobeautycontestsfor 32GHz and 28GHz 2010 – twoauctions (3.6GHz, 900MHz) • 2011- twoauctions (450MHz) 2012 – twoauctions (2.6GHz (FDD, TDD - unsold) and 2.3GHz) 2013 – twoauctions (2.6GHz (TDD), digital dividend) • Totally : • “Beauty contests” –4 year experience ( 12 beauty contests) • “Auctions” - 4 yearexpierence (6 auctions) SPRK expierencefortenders

  3. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions SimultenousMultiRoundAuction AuctionProcess

  4. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Getting to startofan SPRK auction 1 month 1 month 1 -2 months

  5. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Thekeystagesof a typical SPRK auction

  6. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Spectrumblocks 2.6GHz 800MHz (digital dividend) 2.3GHz

  7. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Terms and conditions for participation • Participant: • Local or foreign company; • Companies with a decisive influence (direct and indirect) are not allowed participation in auction simultaneously;

  8. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions 1. Payment of the reserved price (at least 1 week before the auction starts);and 2. Submission of auction registration application (till the auction starts): 2.1. foreign operators - a certificate from business register that the bidder is not in liquidation and that the merchant has not been declared insolvent, or the proposed remedy at law 2.2. foreign operators - registration certificate 2.3. complete declaration of conformity 2.4. warrant of power attorney 2.5. the reserved price payment document 2.6. certificate/document attesting that the participant has no tax debt

  9. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Principlesofsetting Determination of the reserve price includes consideration of such parameters: Bandwidths for radio spectrum band/block (10MHz, 50MHz etc.) Duration of rights of use for the specific radio spectrum band (10, 15 years etc.) Territory of validity for rights of use (countrywide or regionally) Benchmarking of previous auctions’ reserve price Benchmarking of theoretical coverage possibilities (2.3GHz cell radius is 1.8 times less than 900MHz or 1.87 time more than 3.8GHz etc.)

  10. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions TechnicalAssumptions Source: http://www.cdg.org/news/events/CDMASeminar/09_CDMA450Seminar_Colombia/Presentations/2_CDG_CDMA450_Colombia%20April%202009%20v1%20English%20(2).pdf

  11. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Latvianexpierencesettingreserveprice

  12. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions • Aim : Constrain bidding & Affect incentives for strategic bidding Rules • Bidder in active round is allowed to place a bid only for one spectrum block • By making a bid on a spectrum block, the bidder commits to pay for it the amount stated in the bid • The standing highest bid for a frequency block is the bid that has the highest value • Bidder must be active in each round (place a bid- the standing highest bid & increment (10% of the reserve price)) • Bidder with the highest offer in the next round is not allowed to place a bid for other spectrum block (except if there are 2 or more such bidders) • SPRK announces the auction concluded after a bidding round where no bidders have placed new bids on any frequency blocks

  13. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Statutory violation and consequences •Collusion - No direct/ indirect information exchange between candidates/bidders with regard to the auction - No announcement of bidding strategy and/ or concrete bids - No influence of the participation or the bidding behaviour of third parties •Denial of admission to and exclusion from the auction - Collusion - Breach of the auction rule - False information in the application - Non-fulfilment of the participation criteria

  14. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Requirements Rights of use are allocated: 1) In technologically neutral manner 2) Allowing transfer to those operators who are not the winners 3) Allowing to withdrawrights of use without any compensation in case non- fulfillment of obligation criteria

  15. Overview Spectrumblocks Terms & Conditions for Participation ReservePrice ActivityRules Violation of AuctionRules and their Consequences CoverageRequirements, supervision Questions Questions?

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