Four mobile networks buy 5G spectrum for $1b

It will take effect on April 2020.

Four mobile network operators have collectively purchased 200MHz of spectrum in the 3.5 GHz band for a total of $1.006b, the Office of Communications Authority (OFCA) announced.

Also read: Hong Kong gears for 5G rollout in 2020

China Mobile Hong Kong Company (CMHK) paid $300m for frequency block A1-A6 occupying the 3400-3460 MHz range. Hong Kong Telecommunications (HKT) and SmarTone Mobile Communications paid $252m each for frequency blocks A7-A11 (3460-3510 MHz) and A12-A16 (3510-3560 MHz), respectively. The final network, Hutchison Telephone Company, shelled out $202m for frequency block A17-A20 (3560-3600 MHz).

“The successful bidders are required to pay the SUFs as specified in the table above and to submit performance bonds to guarantee compliance with the network and service rollout requirement by January 14, 2020,” the OFCA spokesperson said in a statement.

Successful bidders are also required to collectively make contributions to a fund for a subsidy scheme to support the upgrade of existing Satellite Master Antenna Television systems by 25 November, he added.

The assignment of the spectrum will take effect on April 1, 2020, and be valid for a period of 15 years.