According to telecomasia.net, the Hong Kong telecoms regulator Ofta has ruled that Hutchison and Hong Kong CSL can continue to operate their CDMA and TDMA 2G networks for a further three years, backing down on original plans to revoke both licences and use the spectrum to award a new third generation licence. Strong opposition from Hong Kong’s mobile industry is reported to have convinced Ofta to change its mind, and allow the pair to retain up to a third of their original spectrum allocation until 2008. At that date, however, both must migrate customers onto alternative networks. The remaining nine 2G licences – held by six companies – have been renewed for a 15-year term, taking some to 2021, although the licensees will have to pay new fees based on spectrum utilisation after a five year transition period. The fee will amount to 5% of network turnover or a minimum of HKD24 million, whichever is lower.