“ANCOM wants to organize an auction by the end of 2013 for the entire frequency spectrum in the 900 MHz and 1800 MHz bands, and expend Orange Romania and Vodafone Romania’s right to use radio frequencies in these bands until new licenses are granted,” the institution said in a press release Wednesday.
The new mobile licenses will be granted starting April 6, 2014, when Cosmote Romania’s right to use frequencies in the before mentioned bands also expires, reads the press release.
By December 31, 2012, Orange Romania and Vodafone Romania must make available a 2×5 MHz sub-band in the 900 MHz frequency spectrum, which will not affect the services the two mobile operators provide.
“The spectrum the two operators will make available will be allotted through selection procedures in 2012. The measure was taken following a research on the impact of using the 900 MHz band to provide 3G communications services using UMTS systems on competition on the mobile communications market,” reads the press release.
The survey revealed that operator RCS&RDS is put at a disadvantage with operators that use frequencies in the 900 MHz band, according to ANCOM.
GSM licenses for the 890-915 MHz and 935-960 MHz frequency bands were awarded at the end of 1996 to the companies that currently operate as Orange Romania and Vodafone Romania. They were valid for 15 years and expire on December 21, 2011.
Each of the two mobile operators paid $75 million for the GSM licenses.
Mobile licenses to use the 890-915 MHz, 935-960 MHz, 1710-1785 MHz and 1805-1880 MHz bands were granted at the end of 1998 to the company operating today as Cosmote Romania. The right to use these bands is valid for 15 years and expires on April 5, 2014.
The operator paid $53 million to use these bands.
Orange Romania and Vodafone Romania are leaders on the local mobile telephony market. Together they have about 20 million clients.
Cosmote Romania comes in the third place with over 6 million clients.
RCS&RDS is leader on the cable communications market. It is also present on the mobile telephony market.