Telemach wins new wireless spectrum

6 Sep 2016

Slovenia’s Agency for Communications Networks & Services (Agencija za komunikacijska omrezja in storitve, AKOS) has concluded an auction of spare spectrum in the 1800MHz and 2100MHz bands which was left over from a 2014 sale. Fixed and mobile operator Telemach was announced as the winner of all three available blocks of frequencies. It was the sole bidder for two paired 5MHz blocks of 1800MHz spectrum (1775MHz-1780MHz paired with 1870MHz-1875MHz, and 1780MHz-1785MHz paired with 1875MHz-1880MHz), paying the reserve price of EUR2.6 million (USD2.95 million) per block. The sale of a 2×5MHz block in the 2100MHz band (1955MHz-1960MHz paired with 2145MHz-2150MHz) attracted two bidders, Telemach and Telekom Slovenije. Telekom Slovenije submitted an offer at the minimum price of EUR1.3 million and Telemach offered EUR1.35 million, and when Telekom opted not to increase its bid the spectrum was awarded to Telemach, with its final combined bids totalling EUR6.55 million.

The tender conditions stipulate that the winning bidder must use its spectrum to reach 25% population coverage within three years and 40% within five years, though Telemach’s existing 2G, 3G and 4G networks have all easily surpassed these figures already. The 1800MHz spectrum is valid until 2031 and the 2100MHz licence expires in September 2021. According to TeleGeography’s GlobalComms Database, Telemach is the third largest of Slovenia’s mobile operators in subscriber terms, behind Telekom and Si.mobil but ahead of T-2. It entered the cellular sector via its acquisition of Tusmobil in April 2015.