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EU Frees 900MHz Spectrum Blocks

(28 Jul 2009, BWCS Staff)

To the surprise of very few, the EU has finally agreed to release the 900MHz spectrum for wider use. Until now, the spectrum band had been reserved exclusively for GSM mobile.  The move will allow other technologies to begin using some of the spectrum, once local regulators give the go-ahead.

The EU's Council of Ministers gave its backing to the EC's proposal yesterday. This means that for the first time since 1987, when the 900MHZ band was reserved for GSM, rival wireless technologies will be allowed to use this frequency block. The move could save the industry almost €2 billion, claim its supporters, though in reality it will take some years for any savings to filter through and indeed some time yet before GSM services have any real challengers to their 900MHz monopoly.

Mobile operators themselves have been pushing hard to be allowed to reallocate the 900MHz spectrum to 3G services for some time now. In return they have promised much greater coverage - due to the better propagation inherent at a lower frequency. The UK telecoms regulator has been one of the first to say it will modify the 900MHz licences as soon as possible.

However, in the UK, O2 and Vodafone were simply given their chunks of 900MHz spectrum in the late 80s as they ambitiously set out to offer the first mobile services. Later, of course, T-Mobile, Orange and 3 spent billions in the 3G licence auctions -believing that was the only way to enter the market for 3G services in the UK. Now they believe they have been unfairly treated and want a share of the newly-available 900MHz band.

The changes to the new directive had been part of the broader EU telecoms reform package, but were set aside for a separate vote after the council and parliament failed to agree on all the elements of the reform package.



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