Sunday, 26 May 2019

German operators accuse regulator of jacking-up prices, as 5G spectrum auction passes €1bn

By Chris Kelly, Total Telecom
Thursday 28 March 19

Germany's telecoms regulator is currently auctioning spectrum in the 2GHz and 3.6GHz bands

Germany's 5G spectrum auction has so far raised a total of €1.03bn, after 75 rounds of bidding.  The country's telecoms regulator, BNetzA, is auctioning spectrum in the 3.6GHz range…

Germany's 5G spectrum auction has so far raised a total of €1.03bn, after 75 rounds of bidding. 

The country's telecoms regulator, BNetzA, is auctioning spectrum in the 3.6GHz range. The spectrum will be crucial in helping German telcos provide wide ranging 5G network coverage.  

All three of Germany's key mobile network operators have been deeply critical of the way the spectrum auction is being conducted, saying that the minimum service level obligations attached to the spectrum they buy will disincentivise investment in rural connectivity. 

Deutsche Telekom's CEO, Tim Hoettges, was also critical of the way spectrum was being packaged for auction, arguing that the current system created an artificial shortage of availability.  

“An artificial shortage of public resources is being created, which may push up the price,” Hoettges told the company’s annual general meeting in Bonn, as first reported by Reuters

“In the end, there is no money for the build-out,” he added. 

Deutsche Telekom, Telefonica Deutschland and Vodafone have all submitted bids for spectrum in the auction. 

Germany is expected to launch commercial 5G mobile network services in the first half of 2020. 

Also in the news

DT prepared to share data with its rivals to ramp up 5G security 

German watchdog brushes aside MNO's concerns on spectrum auction 

German regulator reveals that four firms will participate in 5G spectrum auction

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