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Ofcom approves mobile spectrum trading

by Scott Bicheno on 20 June 2011, 11:20

Tags: Ofcom

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Bartering for bandwidth

The communications watchdog Ofcom has given the green-light for mobile operators to trade the rights to their radio spectra.

In theory this will make mobile bandwidth more efficient as those with redundant spectrum will be able to flog it to those who don't have enough. In practice, however, you have to wonder if anyone will be willing to relinquish such a precious commodity.

The ruling will come into force on 4 July and cover spectra at 900 MHz, 1800 MHz and 2100 MHz. All five operators made submissions during the consultation period, in which they broadly approved of the move, but quibbled over some technicalities. Of com is also facing some wrangling from the operators over the imminent 4G spectrum auction.

"By allowing operators to trade their spectrum, Ofcom believes that there will be greater opportunity to use it more efficiently," said the Ofcom announcement. "Ultimately, it is believed that this will bring benefits to citizens and consumers in terms of improved mobile services."

But given that a core part of the business of mobile operators is to host, and charge for, as much mobile traffic as possible, it's hard to envisage as circumstance in which they'd willingly gice some up to a direct competitor. But then everyone has their price, ultimately.

You can read the full statement and details of the consultation here.

 



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