Taiwan Government: 13 Companies Submit WiMAX License Applications

TAIPEI -(Dow Jones)- The Taiwan government received 13 applications for the six WiMAX licenses it is offering, the telecommunications and broadcasting regulator said Monday.

The National Communications Commission said among the applications received by Monday's 0900 GMT deadline were those from Chunghwa Telecom, the island's largest phone company by revenue; Far EasTone Telecommunications and Taiwan Mobile.

Consumer electronics and home appliance maker Tatung has set up a new unit to bid for a WiMAX license, and Taiwanese telecommunications equipment maker Tecom and local mobile phone operator VIBO Telecom formed a joint venture to bid for a WiMAX license.

Six companies applied for both north and south licenses, said Henry Lin, a senior engineer at the National Communications Commission.

The government plans to award six six-year WiMAX licenses - three each for the northern and southern regions of the island - by the end of July after a two-stage process.

First, it will question the applicants on their business plans and then the successful applicants from that round will bid for the licenses at auction.

Bidding will be based on the percentage of revenue from their WiMAX business the prospective license-holders plan to pass to the government. The minimum bid has been set at 1.5% of annual revenue.

The government also plans to award at least one 10-year islandwide license two years after issuing the regional licenses. But regional licensees may gain nationwide rights earlier if they merge.

-By Alex Pevzner, Dow Jones Newswires; 8862-2502-2557; alex.pevzner@dowjones.com

(END) Dow Jones Newswires"

Posted to the site on 11th June 2007