Hong Kong 3G mobile spectrum decision down to the wire

Hong Kong's leading mobile network operators are holding steadfast to renewing their 3G spectrum licences, as time draws near for the government to reveal its much-anticipated ruling on the matter.

The Office of the Communications Authority (Ofca), the industry regulator, said yesterday that no final decision had been made.

"With an aim to give a three-year advanced notice for the incumbent operators before the expiry of the current spectrum assignments, the Ofca and the Secretary of Commerce and Economic Development endeavour to announce their decision before the end of this month," it said.

Representatives from CSL, SmarTone Telecommunications, Three Hong Kong and PCCW's HKT described in separate interviews their hope that the government would re-assign to them their 3G spectrum, ensuring no future degradation of mobile services across the city.

Their respective 3G spectrum allocation on the 2.1-gigahertz band will expire on October 2016. The operators have called on the government to follow longstanding industry practice worldwide and automatically renew those licences.

The government, however, has proposed three options: renewing the 3G spectrum licences; auctioning all of the spectrum operated by the four companies; or taking a hybrid approach under which it would seize a third of the 3G spectrum allotted to each operator and auction that off.