The UK government has described as a triumph the auction of 15 regional fixed wireless licences, which should enable broadband to reach a wider population across the country.
The sale of remaining licences in the 3.4GHz spectrum had taken longer than expected due to a reluctance on the part of investors to commit funds at a time of uncertainty in the telecoms sector.
However, new bids were invited on June 6 and the auction has resulted in 13 of the 15 licences being awarded to the Hong Kong-based company Pacific Century CyberWorks (PCCW). The licence for the north west has been taken up by Red Spectrum while Public Hub won the licence in southern England. Overall, the porcess has netted the government more than £7 million.
“I am delighted with the outcome of the auction. With all fifteen licences sold, this is another important step in making the UK the most extensive and competitive market for broadband in the G7,” said the e-commerce minister Stephen Timms. “The aim of the auction was to see the licences in the hands of operators best able to take advantage of them, and, in turn, to see consumers, including those currently without ADSL or cable benefit from fixed wireless broadband access.”
The minister’s comments will come as welcome news to businesses and consumers in rural areas who have so far been cut off from the broadband revolution (see Countryside Appeals For Broadband Injection). However, critics have complained that the licence holders are under no obligation to roll-out new services and are within their rights to use the spectrum for non-broadband purposes.
