Licences for spectrum in the 800 MHz, 1800 MHz and 2.6 GHz bands will be extended until 2030.
The German regulator the Bundesnetzagentur (BNetzA) confirmed that it will extend spectrum licences in the bands by five years and attach strict coverage obligations. The regulator says it has opted for an extension to eventually auction the bands alongside spectrum in other bands where licences are due to expire in 2033.
“From our point of view, there are strong regulatory reasons why a competitive procedure, commonly known as an auction, should not be carried out today,” says BNetzA President Klaus Müller. “The primary reason for this is that with an extension, we can align the expiry of these usage rights with those that are expiring later.”
Instead of holding an auction, BNetzA says it will implement strict coverage obligations for the country’s existing three major mobile network operators (MNOs). These are as follows:
- By 2030: Cover 99.5 per cent of the country with 50 Mbit/s download speed
- By 2029: Cover 99 per cent of rural households with 100 Mbit/s
- By 2029: Cover all federal highways with 100 Mbit/s
- By 2029: Cover all secondary roads and waterways with 50 Mbit/s
- By 2030: Cover all country roads with 50 Mbit/s
BNetzA will also charge an assignment fee for the five-year extension, which Müller says will be just below €800 million.
The proposal also includes concessions for the country’s emerging fourth operator 1&1. BNetzA says it will require the three national MNOs to share at least 2 x 5 MHz of sub-1 GHz spectrum with 1&1 and to continue existing roaming agreements with the operator.