Belgium Regulator Not to Automatically Extend GSM License Terms

Belgium's telecoms regulator, BIPT and Government Minister van Quickenborne have declined to automatically renew the GSM licenses for two of the country's mobile operators, Proximus (owned by Belgacom) and Mobistar (majority owned by France Telecom).

Both companies licenses expire in 2010, and an automatic extension had been informally agreed with the regulator.

Belgacom says that it is surprised by this decision, since the license for Proximus has already been extended tacitly until 2015. The company is reserving the right to appeal the decision.

Mobistar is reported by the Reuters news agency as having agreed a license extension until 2013 - and said that the decision not to automatically extend the licenses was due to plans by the regulator to increase its license fees. Some local news reports suggest that both operators have been granted a license extension until 2013 for a one-off fee of €73 million, although this has not been confirmed by the regulator at the time of going to press.

The license for the third mobile operator, Base does not expire until 2013 - which would bring all three operators into parity.

In the mobile market, the Mobile World reports that the country has around 11.1 million customers - representing a population penetration level of 105%.

The government, responding to pressure from the European Commission is planning the shake up the regulatory regime in the country - and award a fourth GSM/3G license next year.

On the web: BIPT - Mobile World

Posted to the site on 7th December 2008