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Hong Kong

Government favours splitting 3G spectrum further

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Government favours splitting 3G spectrum further
Phila Siu

The government has said it favours a "mixed-mode" approach to reassigning the frequency spectrum for 3G mobile service operators, a Legislative Council panel was told yesterday.

Currently, four 3G operators - CSL, Hong Kong Telecommunications, Hutchison Telephone Company, and SmarTone Mobile Communications - share the spectrum. But their contracts will expire in October 2016.

Last year, the government floated three options for reassignment, including allowing the four operators to continue sharing the spectrum; auctioning the whole spectrum; and a "mixed mode" approach of auctioning part of the spectrum and letting the four operators keep the rest.

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Linda Yu Yim-fun, head of competition and economic analysis for the Office of the Communications Authority, told the Legco panel on information technology and broadcasting, yesterday that if the existing operators lost too great a share of the spectrum, the impact would be that "the download speed will become slower and phone calls will get cut off more often".

Consequently, users may not get 3G signal at certain indoor areas, such as MTR stations, airport terminals, and shopping malls, Yu said.

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Her office suggested yesterday that the four operators should each keep two thirds of the spectrum they now enjoy, while auctioning the rest of it.

"We think the third plan is more desirable because it can ensure the continuation of the services while … encouraging competition," she added.

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