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2 GHz spectrum auction suspended

8 December, 2000 Media Statement

2 GHz spectrum auction suspended until telecommunications decisions announced

Communications Minister Paul Swain says the 2GHz spectrum auction will be suspended until 24 hours after the government has announced its response to the Ministerial Inquiry into Telecommunications.

The spectrum can be used to provide high-tech cellphone services including e-mail, Internet access, video and television.

Paul Swain said some bidders had indicated that the government’s telecommunications decisions may affect the value of spectrum bids.

He noted that under current rules it was possible for bidders to keep the auction going, so that bidding between now and the telecommunications announcements could become increasingly meaningless.

“I expect to deliver the government's response to the Ministerial Inquiry into Telecommunications in the week beginning 18 December," he said.

“In the meantime, the Ministry of Economic Development will consult with bidders on further changes to the auction rules to bring the auction to a quick conclusion after it restarts," Paul Swain said.

Round 380 of the auction concluded this afternoon with total bids at $145m.


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