Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Telecom to Acquire Previously Unsold Radio Spectrum Block

Telecom Granted Clearance to Acquire Previously Unsold Radio Spectrum Block


The Commerce Commission has today granted a clearance to Telecom New Zealand Limited (Telecom) that will enable it to acquire the management rights for the final block of 5MHz radio spectrum in the 700MHz range from the Crown.

Spectrum in the 700MHz range is expected to be used in the provision of fourth generation (4G) mobile services. There are 45MHz available in the 700MHz range, which the Crown has sold management rights to by auction.

In the first round of the auction in October, Telecom acquired 15MHz, Vodafone 15MHz (the limit under first round auction rules) and 2degrees 10 MHz, leaving one block of 5MHz unsold. The auction rules provided for the Crown to sell the unsold block in a second round. Telecom won the second round of the auction over Vodafone in January this year.

In clearing this purchase the Commission had to be satisfied that Telecom’s acquisition of the spectrum will be unlikely to substantially lessen competition.

Commerce Commission Chairman Dr Mark Berry says the proposed placement of the unsold block (if not sold to Telecom), in a position that is not adjacent to 2degrees’ other spectrum holdings, was key to the Commission clearing Telecom’s acquisition.

“Current technology is unable to fully utilise non-adjacent blocks. Given the blocks are non-adjacent, it reduced the prospect of the Crown and 2degrees reaching an agreement on a sale. Even if 2degrees was to acquire the 5MHz block, 2degrees’ competitiveness in this space is not likely to be materially enhanced since the block is not adjacent,” said Dr Berry.

“Based on the proposed placement of the unsold 5MHz block, the Commission considers it unlikely that competition would be any greater if another mobile network operator bought the final block instead of Telecom, so we have cleared the purchase,” said Dr Berry.

A public version of the written reasons for the decision will be available shortly on the Commission’s website:http://www.comcom.govt.nz/business-competition/mergers-and-acquisitions/clearances/clearances-register/

Information on the assignment options/outcomes can be found at the following link:http://www.rsm.govt.nz/cms/pdf-library/policy-and-planning/current-projects/digital-dividend-auction-700mhz/700-mhz-auction-combinatorial-assignment-round-options-outcomes

Ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Fossils: Ancient Penguins Lived Alongside Dinosaurs?

Penguins are much older than previously thought and their evolution probably dates back to the days of the dinosaurs, according to research on the fossilised leg bone and toes of a giant ancient penguin found in rocks near Waipara, North Canterbury. More>>

No Voda/Sky: Commission Declines Clearance For Merger

The Commerce Commission has declined to grant clearance for the proposed merger of Sky Network Television and Vodafone New Zealand. More>>

ALSO:

EARLIER:

Power: IEA Report On New Zealand's Energy System

Outside of its largely low-carbon power sector, managing the economy’s energy intensity and greenhouse gas emissions while still remaining competitive and growing remains a challenge. More>>

ALSO:

NASA: Seven Earth-Size Planets Around A Single Star

NASA's Spitzer Space Telescope has revealed the first known system of seven Earth-size planets around a single star. Three of these planets are firmly located in the habitable zone, the area around the parent star where a rocky planet is most likely to have liquid water. More>>

ALSO:

Auckland Transport Case: Men Guilty Of Corruption And Bribery Will Spend Time In Jail

Two men who were found guilty of corruption and bribery in a Serious Fraud Office (SFO) trial have been sentenced in the Auckland High Court today... The pair are guilty of corruption and bribery offences relating to more than $1 million of bribes which took place between 2005 and 2013 at Rodney District Council and Auckland Transport. More>>

ALSO:

Hager Raid: Westpac Wrong To Release Bank Records To Police

The Privacy Commissioner has censured Westpac Banking Corp for releasing without a court order more than 10 months of bank records belonging to the political activist and journalist Nicky Hager during a police investigation into leaked information published in Hager's 2014 pre-election book, 'Dirty Politics'. More>>

ALSO:

EARLIER:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news