Home News INTERVIEW / frequency auction falls short of expectations

INTERVIEW / frequency auction falls short of expectations


LONDON (Dow Jones) – The wireless spectrum auction has less Money washed into the treasury than expected. Therefore claimed that the been low bids in two frequency ranges, "said Hartmut Paulus Partner of the consulting firm KPMG, Dow Jones Newswires on Friday. The Auction was finished on Thursday, with total revenue of 4.38 billion EUR. Paul’s prognosis had been denominated in 6 billion to 8 billion EUR.
While bids for the 800 MHz frequency range in Line with expectations had failed, "are the income other areas, especially in the 2,6 – and 2-GHz range, behind the behind what we have seen in other auctions such as in Scandinavia have, "Paul said." This shows that sufficient Frequencies have been for sale to all bidders at low prices . Satisfy "
The German mobile phone frequency auction was a benchmark for Other European countries have been considered. First could this provider frequency Newest Long-term evolution technology (LTE) ensure that the participants in the vision of high-definition video on mobile devices as well as faster downloads possible.
Germany had frequencies in the range of 800 MHz, 1.8 GHz and 2.6 GHz sold. Especially attractive is the 800 MHz frequency band to the The switch-off of analogue broadcasting has become vacant and the has relatively high range. In this area six blocks were available for EUR 3.6 billion on the table with the German Telekom, Vodafone and Telefonica two Blocks have secured. The KPN subsidiary E-Plus went from empty.
This is not really surprising, but the group has now his options, "Paul said further, adding that The Group had secured enough frequencies to be in business . Remain Anders see the analysts of Morgan Stanley. It is not good for KPN in the race for the 800 MHz frequencies drawn the short straw to have.
Frequencies in the 2.6 GHz range be used to network the fourth build generation in urban areas. In contrast, serve the 1,8 – and 2-GHz ranges of the extension of existing networks.
The fact that KPN relatively weak outside urban areas is, be good to the other competitors, "said Commerzbank analyst Heike Pauls. By Deutsche Telekom to pay the price of 1.3 EUR billion corresponds to their expectations, she added.
Matthias Kurth, president of the Federal Network Agency showed on Friday happy with the revenue of the auction.



- From Archibald Preuschat, Dow Jones Newswires
+49 (0) 69 29 725 111 unternehmen.de @ dowjones.com
(Philipp Grontzki in Mainz has contributed to this article).

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(END) Dow Jones Newswires

May 21, 2010 09:01 ET (13:01 GMT)

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