TV spectrum trading for new technologies

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Ofcom today set out proposals for a trading model to licence the spectrum that will be freed up as a result of the switchover to digital television.

The telecoms regulator plans to make 128 MHz of cleared spectrum available on a UK-wide basis, holding an auction of licences in 2009.

Licences would be tradable and flexible to "allow users to determine the technology and services they provide and to change the use of the airwaves as new technologies and services emerge," it stated as it launched a public consultation on the proposals.

Ofcom's consultation document said taking a marketplace approach to this spectrum sell-off would promote competition and innovation and allow the widest range of technologies and services to access the spectrum.

According to the detail of the proposals, those with an interest in the spectrum - such as mobile and telecoms operators - might be limited in the amount of spectrum they can acquire and in the way it is used in order to prevent interference with existing digital terrestrial television services.

The proposals could be in response to European Union (EU) criticism of the price inflation of 3G services caused by Ofcom's open auction of the 3G spectrum in 2000 that raised £23 billion. Mobile operators who bid for licences subsequently experienced initial difficulties in attracting customers with competitive services.

The UHF spectrum will be freed up for new uses in phases, as digital switchover proceeds between now and 2012.

It said this would enable new, innovative services for UK citizens and consumers, in the form of ultra-fast mobile broadband and television and more digital television services, in standard or high definition.

The UHF band is currently used for the analogue delivery of TV channels. Signals transmitted in these bands can travel over large distances and carry a large amount of information.

Today's consultation closes on 15 August 2008. The proposals can be viewed here.

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