Hong Kong's Office of the Communications Authority (OFCA) announced it has concluded its auction of radio spectrum in the 600 MHz, 700 MHz, 850 MHz, 2.5/2.6 GHz and 4.9 GHz frequency bands. The auction included a total of 32 rounds of bidding in three days. A total of 255 MHz of spectrum in 19 frequency blocks was auctioned off to four mobile network operators at total spectrum utilization fees (SUFs) of HKD 1.87 billion.
The assignment of the frequency blocks will be valid for a period of 15 years. Each provisional successful bidder is required to pay the SUF or submit a letter of credit to guarantee payment of the SUF by 24 November.
SmarTone secures 65 MHz of spectrum
SmarTone Mobile, a subsidiary of Hong Kong operator SmarTone, separately announced it is the provisional successful bidder of 65 MHz of spectrum in the 600 MHz, 700 MHz, 850 MHz, 2.5/2.6 GHz and 4.9 GHz frequency bands for provision of public mobile services. The assignment of these frequency blocks and the corresponding licence will be valid for a period of 15 years.
The total SUF for the Relevant Frequency Blocks will be HKD 377 million. SmarTone Mobile may choose to pay the SUF in full as a lump sum payment upfront or annually in 15 instalments. To ensure compliance with the network and service rollout requirement, SmarTone Mobile is also required to provide performance bond(s) issued by a qualifying bank for the frequency blocks, in the total amount of HKD 102.5 million.
China Mobile acquires 90 MHz of radio spectrum
China Mobile Hong Kong (CMHK) separately announced it has acquired for a total of 90 MHz of radio spectrum in the 700 MHz, 2.5/2.6 GHz and 4.9 GHz frequency bands, representing an investment of HKD 649 million. This spectrum adds to the 26/28 GHz frequency bands previously assigned to China Mobile Hong Kong by the Office of the Communications Authority (OFCA), and 120 MHz of radio spectrum in the 3.3, 3.5 and 4.9 GHz frequency bands acquired in 2019.
The regulator said the other winners in the auction were PCCW's HKT and Hutchison Telecom.
