IRELAND WILL be among the last countries in Europe to go live with 4G mobile services because of ComReg’s plans for a joint auction of integrated spectrum, David Hennessy, chief technology officer at 3 Ireland, has warned.
The latest in a long line of consultation reports was published by the telecommunications regulator on Wednesday. It revealed growing concerns among operators at delays to the 4G auction that will slow down the roll-out of next generation mobile networks and services, also known as LTE (long-term evolution). 4G has the potential to deliver mobile broadband speeds of 100Mbits/sec.
“There is a lack of suitable spectrum in Ireland for LTE in Ireland for the foreseeable future,” said Mr Hennessy. “If we are serious about being a smart economy, we have to be progressive about our spectrum.”
Across much of Europe, the 900Mhz spectrum band has been liberalised and allocated for use by GSM, 3G and LTE networks following an EU directive, but not in Ireland. Some countries have already auctioned spectrum and paved the way for LTE. “We are going to be three years behind Sweden as a starting point. It has already launched LTE services,” he said.
ComReg opted for an integrated award process involving three bands of spectrum, 1800Mhz, 800Mhz and 900Mhz. Mr Hennessy said 900Mhz and 800Mhz were more cost-effective than 1800Mhz for network operators, because the cell sites were able to cover a much larger area.
“Ireland is very spread out demographically. Low-frequency spectrum is hugely important in providing broadband services to rural areas.”
By running a joint award, ComReg has effectively imposed timelines that will make it impossible for a roll-out of LTE before 2013. The 8OOMhz spectrum will only become available with the digital switchover and the closing down of analogue TV in 2012. Any delays to this and the 4G roll-out could be held up further.
The future of 900Mhz is also confused as it still allocated to GSM licences that expire in May. Both Vodafone and O2 still run 900Mhz GSM networks yet no provision has been made for what happens after the deadline. Interim licences have still to be put in place.
Further hurdles could come if operators challenge the auction prices for 4G. A figure of €10 million has been mooted as a minimum cost for each licence.
“We looked at the most recent auction in France and it equates to around €4 million so we think the licences in Ireland are being completely overpriced,” responded Mr Hennessy. “If the cost of spectrum is so high, the level of roll-out will be far less.”
In the latest consultation document, Vodafone expressed its concerns about the “delay in the provision of enhanced mobile broadband services to the detriment of the welfare of end users”.
Mr Hennessy believes the Government are leaving us behind. “We have ministers talking about having a next-generation broadband task force and getting industry and government working together as the policy on spectrum puts us at the back of the queue in Europe. It’s bordering on insanity.”
