Delay in Approving Outcome of Second New Zealand Radio Spectrum Auction
Published on: 16th Apr 2014
By: Ian Mansfield
New Zealand's Commerce Commission has delayed its formal approval for Telecom NZ to purchase the remaining unsold block of 700Mhz spectrum.
The regulator auctioned off nine blocks of spectrum, but sold eight, with Vodafone and Telecom picking up their maximum of 3 blocks each, and smaller mobile network, 2degrees buying just 2 blocks.
The regulator then decided to take a second attempt to sell that last remaining block, despite protests from 2degrees that it should be kept in reserve. Telecom won that second auction.
The second auction, if approved, will leave the two major networks with around 60Mhz of sub-1Ghz spectrum each, and 2degrees with 40Mhz.
The Commerce Commission has to approve the sale, considering the competition implications that arise from it.
Across their entire spectrum assets, Vodafone has around 300MHz of available spectrum, Telecom 200MHz and 2Degrees around 100MHz of spectrum.