MEDIA RELEASE
HON PAUL SWAIN
MINISTER OF COMMUNICATIONS

20 December 1999

2GHZ AUCTION POSTPONED TO ADDRESS COMPETITION ISSUES

The 2GHz auction scheduled for January 31 is to be postponed to allow competition concerns with the auction to be addressed, the Minister of Communications Paul Swain announced today.

"Part of the spectrum available for auction can support third generation cellular technology," he said.

"Third generation cellular will see the development of high speed mobile data and voice applications which are hugely important to the economic development of New Zealand.

"When in opposition I expressed the concern that our competition law (which will apply to the auction outcome) is not robust enough to ensure that competition develops in these new technologies.

"Consequently, the auction will be delayed to allow further work to be done on these competition issues.

"This work will be given high priority, with a new auction date to be announced as soon as these competition issues are resolved.

"This is expected to be at the end of February," the Minister concluded.

ENDS

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