Telecom Italia Wins 3 Licenses in Italy WiMax Auction - Sources

MILAN (MF-Dow Jones)--Italy's largest telecom operator, Telecom Italia, has won three licenses for WiMax - a broadband wireless access technology which can handle video conferencing, television viewing and high-speed data transmission - people familiar with the situation said Wednesday.

Telecom Italia won the frequencies in three "macro areas" - including the main regions in central and southern Italy and Sardinia, the people said.

Italy's former monopoly has beaten its main competitors in the final rounds of the public auction for 35 WiMax frequencies held by Italy's Communications Ministry.

Italy's largest private broadcaster Mediaset, telecom operator Wind and Fastweb had previously withdrawn from the auction.

Italy is one of the last European countries to introduce WiMax, a wireless broadband transmission system.

But, while France and Germany have failed to generate big revenue from their respective auctions, Italy's Communications Ministry said Tuesday that total bids had already reached EUR130 million, a 163% increase from the initial offers.

Italy's ministry will release final results of the WiMax auction at a press conference Thursday morning.

-By Carlo Renda, MF-Dow Jones, and Giada Zampano, Dow Jones Newswires; +39 02 58219907; giada.zampano@dowjones.com

(END) Dow Jones Newswires

Posted to the site on 27th February 2008