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Hungary’s mobile start-up MPVI Mobil to reduce workforce, paper says

18 Apr 2013

Hungarian business daily Vilaggazdasag is reporting that MPVI Mobil, the state-owned vehicle that was set up to be the country’s fourth mobile network operator, is considering laying off some of its reported 64 members of staff in the near future. Although the paper did not divulge the source of the story, it confirmed that the newcomer’s owners – Hungarian Development Bank subsidiary MFB Invest (45%), electricity utility MVM (45%) and Magyar Posta (10%) – had told it they are reviewing the ‘possibilities’ for the company.

TeleGeography’s GlobalComms Database writes that on 31 January 2012 the National Media and Infocommunications Authority (NMHH) closed out the tender for 900MHz spectrum when it sold a 10.8MHz block of spectrum to mobile incumbents MTel, Telenor and Vodafone, as well as to the would-be market entrant. The state-backed consortium won the ‘A block’, suitable for both internet and voice services, paying HUF10 billion (USD45.4 million), while the other three firms each secured spectrum from parts of the ‘less valuable’ ‘B block’, which is better suited to provide mobile internet access in rural parts of the country. However, in February this year Hungary’s highest court, the Curia, annulled the mobile frequency auction, adjudging that the tender was ‘unlawful’, upholding a previous ruling from the Budapest Metropolitan Court and following an appeal by rival telecoms operators against the original licence award.

Hungary, MPVI Mobil

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