Australia - Mobile Communications - Spectrum Auctions

Synopsis

Radio spectrum for mobile phone services in Australia was first auctioned in 1997. Since then, spectrum has been divided and traded between industry firms to support new mobile services, most notably high speed mobile data services using HSPA or 3G frequencies.

Since then the focus has shifted to spectrum for services using based on WiMAX technology. There was a quiet period between 2007 and 2011. In 2010 licenses in the 2GHz band were auctioned for regional and rural Australia with 2.3GHz spectrum auctions in mid-2011.

Discussion about the ‘Digital Dividend’ started to direct policy decisions that will see spectrum used for analogue broadcasting will be made available for mobile (broadband) services. The effects of this has resulted in further auctions. The 700MHz and 2.5GHz auctions are now both set for sale using a CCA (Combinatorial Clock Auction) in late 2012.

In this report we review and provide brief overviews of the major spectrum auctions in Australia, in recent years. Coverage includes auctions across the late 1990s early to mid-2000s with prices dropping for the 2006 allotments through to the latest auctions in 2011. BuddeComm covers other auctions and developments in other separate reports.

Companied mentioned

Companied mentioned in this report include – Optus, AAPT, Vodafone, Telstra, Hutchinson, AUSTAR, Walker Wireless, ActewAGL, NBN Co.

Hot topics and technologies mentioned

Hot topics and technologies mentioned in this report include – 3G HSDPA, UMTS 850, Personal Communication System, Code Division Multiple Access (CDMA), Time Division Multiple Access (TDMA), DCS-1800, DAMPS, Fixed Radio Access (FRA), Long-term evolution (LTE), Local Multipoint Distribution Systems (LMDS), Digital Dividend, spectrum reallocation.

Table of Contents

• 1. Synopsis
• 2. Mobile spectrum auctions
  • 2.1 Introduction
  • 2.2 The Combinatorial Clock Auction (CCA) of 700MHz and 2.5GHz band
  • 2.3 The 500MHz frequency
  • 2.4 The 800MHz and 1.8GHz frequencies
    • 2.4.1 Auction of 1998
    • 2.4.2 Additional auction – September 1998
    • 2.4.3 Additional 800MHz auction – May 1999
    • 2.4.4 Final 800MHz auction – 2001
    • 2.4.5 The 1.8GHz auction of 2000
  • 2.5 The 1880-1920MHz (1.9GHz) frequency
    • 2.5.1 1900-1920MHz band auctions – 2007
  • 2.6 The 2010-2025MHz frequencies
  • 2.7 The 2.3GHz band
  • 2.8 The 3.4GHz frequencies
    • 2.8.1 The trials of 1996
    • 2.8.2 The announcement of the auction
    • 2.8.3 More for sale in 2002, 2004 and 2005
    • 2.8.4 ACMA reduces spectrum prices
  • 2.9 3G Auctions
    • 2.9.1 Overview
    • 2.9.2 The auction process – 2001
    • 2.9.3 The auction price
    • 2.9.4 The auction results – 2001
• 3. Spectrum overview (separate report)
• 4. Related reports

• Table 1 – The 500MHz spectrum licences – 1997

• Exhibit 1 – Companies initially showing interest in the 800/1800MHz auctions
• Exhibit 2 – Catapult
• Exhibit 3 – Auction results
• Exhibit 4 – Final 1.8GHz spectrum auction results
• Exhibit 5 – The 1900-1920MHzGHz spectrum auction results
• Exhibit 6 – The 2.3GHz spectrum auction results – 2011
• Exhibit 7 – 3.4GHz initial bidders – August 2000
• Exhibit 8 – Final 3.4GHz – October 2000
• Exhibit 9 – 3G auction results per bidder – 2001