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 From Hong Kong's Information Services Department
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August 31, 2005
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Telecommunications
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Views sought on telecom licensing framework
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Office of the Telecommunications Authority

Views are being sought on the proposed licensing framework for broadband wireless access, which will give consumers a wider choice of innovative services.

 

BWA refers to technologies based on the use of high-capacity radio links to enable consumers to access telecommunications services, including broadband. Apart from the capability in substituting the "last mile" links provided by Type-II interconnection, new broadband wireless access technologies will soon be developed to have full mobility capabilities.

 

Having considered the submissions received during the first consultation conducted in December last year, the Office of the Telecommunications Authority outlined proposed details of the regulatory framework for the deployment of BWA in the second consultation paper published today.

 

Key proposals

The key proposals are:

* 180MHz of BWA spectrum in the 3.4-3.6 GHz band, comprising six paired bands of 15MHz x 2, will be offered for deployment by the industry in 2006. The spectrum resources will allow for a maximum of six network operators offering city-wide BWA services, and the operators can use any technology that conforms to the recognised open standard;

* a new type of carrier licence, a Unified Carrier Licence with 15 years validity will be issued for the network operator of BWA spectrum. The licensee can provide fixed telecommunications services initially, including the conventional fixed services and "nomadic" services of "limited mobility" nature. The scope of permitted service will be expanded to include "full mobility" services after January 1, 2008. Licensees will be required to start offering public services within two years of being awarded the BWA spectrum; and,

* the BWA spectrum should be assigned by means of a hybrid selection approach which includes a pre-qualification followed by a "simultaneous multiple round ascending auction". Any interested party, including existing fixed or mobile carriers and new entrants can bid for the BWA spectrum. The arrangement ensures the BWA spectrum will be assigned to those who will value it most and use it in the most economically efficient manner.

 

An up-front lump-sum payment is proposed to be adopted for the spectrum utilisation fee for BWA. Comments and views collected in this round of consultation will be studied thoroughly before the Telecommunications Authority determines the appropriate BWA licensing framework.

 

For more details click here. Send comments to bwa@ofta.gov.hk by October 31.