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| Broadband Driver? |
Mobile broadband an economic driver? Given the intrinsic connection between access to mobile broadband and growth in GDP it could be useful to revisit the licensing strategies in these financially turbulent times. At the moment the 2.5-2.6 MHz spectrum for 4G networks are auctioned off at prices of less than 1% of the price levels achieved for 3G licenses in the 2.1 GHz band.
Ideally this should stimulate the roll out of more mobile broadband - due to the lower financial burden for operators to acquire the spectrum - allowing them to invest more in developing their 4G networks. However, the very opposite could be the result – with the low prices for spectrum investing in spectrum without any real plans to use it could actually bring the broadband markets to a halt.
The big question is if the current licensing approaches actually secure that scares resources like spectrum are used effectively in the interests of the broader public and stimulate the economic recovery or potentially freeze the telecoms markets and reduce competition?
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