Ofcom finalises spectrum auction

UK comms regulator Ofcom has published the final outcome of its auction to release more airwaves for 4G mobile and future 5G services.

On April 5^th, Ofcom announced which companies had won the right to use spectrum in two bands through the ‘principal’ stage of the auction, and the amounts they would pay. It has now concluded the ‘assignment’ stage of the auction, which allows companies who won the right to use spectrum in the principal stage to bid to determine where in the frequency bands their new spectrum rights will be located.

As a result of this stage:

• EE Limited has been allocated the spectrum frequencies 3540 – 3580 MHz, paying an additional £1,002,000 (€1,151,754) from the assignment stage.
• Hutchison 3G UK Limited has been allocated the spectrum frequencies 3460 – 3480 MHz, paying an additional £13,133,000 from the assignment stage.
• Telefónica UK Limited has been allocated the spectrum frequencies 2350 – 2390 MHz. As the only company to secure spectrum in this band, there are no additional fees to pay. The company has also been allocated the spectrum frequencies 3500 – 3540 MHz.
• Vodafone Limited has been allocated the spectrum frequencies 3410 – 3460 MHz.

There were no assignment stage bids for the 3.4 GHz frequencies awarded to Telefónica UK Limited and Vodafone Limited, and they are therefore not required to pay additional fees from the assignment stage.

The total amount paid as a result of the assignment stage is £14,135,000. Added to the amount paid during the principal stage of the auction (£1,355,744,000), this means the companies taking part in the auction have paid a total of £1,369,879,000, with all money raised from the auction being paid to HM Treasury.

The winning bidders have been issued with licences to use their relevant spectrum holdings, and the auction has now concluded.