The radio spectrum auction for LTE frequencies in Germany ended its first day. E-Plus subsidiary placed the top bid, beating Telefonia O2. E-Plus bid 8.65 million euros for two blocks in the 800Mhz brand.
Germany is the first country in Europe outside the Baltic states to auction off spectrum space in the 2.6 GHz frequency. Regulators area also offering space in 800MHz, 1.8GHz and 2 GHz frequency. There are 41 frequency blocks across the four frequency that are expected to net between 5-10 billion euros.
The auction’s been marred by lawsuits. Airdata has challenged the auction because they couldn’t bid for spectrum space on the 800MHz frequency near Frankfurt. The regulator established that only four national carriers can bid on the spectrum space. Minimum bids are set at 1.5 million euros per 5Mhz block. There are 360MHz available that will establish LTE in the European country.
The spectrum auction process can take a few weeks to complete and the auction will end when no higher bids for the 41 frequency blocks are submitted. The auction should showcase how LTE auctions will go in other European countries. Germany leads the way in a lot of policies and adoption of the latest technology. When LTE network sets up in Germany, it should help with adoption of the technology in Europe.It takes time after the licenses are granted to get adoption, but it’s possibly to have a test network up by the end of 2010.
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