5/6/2010 12:38:00 PM
New Government must consult again on spectrum reallocation
The new government must go back to the drawing board on spectrum reallocation and begin the consultation process again or risk a legal challenge.
The warning comes on Election Day from telecoms analyst Ovum.
Ovum is calling for the new Government to reconsider the current spectrum reallocation proposals and consult again in the next parliament, arguing that this will reduce the likelihood of a legal challenge.
The telecoms analyst argues that the impact of the Orange/T-Mobile joint venture on spectrum reallocation is not given due consideration in the current proposals and risks triggering a legal challenge.
Matthew Howett, principal analyst at Ovum, said the new Government must act quickly or risk seeing the UK left behind in the race to the next generation of mobile services.
He said: 'Ensuring adequate and timely access to spectrum will be one of the most critical issues facing the next government.
'The need to find a quick resolution to this dispute shouldnt be underestimated. The next generation of mobile services, (most likely to be LTE), is widely expected to initially use spectrum in the 800MHz and 2.6GHz bands. As a result of this dispute, both of these are currently unavailable in the UK.
'The result is that operators will be forced to delay investments that could benefit consumers in terms of new services and applications. The delay will also prevent operators from realising important cost savings from greater network efficiency.
'Germany, where this spectrum auction is already underway, is set to be a benchmark for the rest of Europe. Many other countries are also moving forward with awarding this band and some definitive plans are already in place. The UK can't risk being left behind.'