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alexblogsite
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alexblogsite,
User Rank: Light Beer
10/17/2018 | 12:00:14 AM
Re: auction of different spectrum
It seems sensible to have a great big auction of a bunch of different spectrum, given the imminence of 5G in the wild. Iliad has been guaranteed a nice lot of 700 MHz, which will help a lot with coverage, but it might want to have another bid for that bigger block of 3.7 GHz if it want to be a significant 5G player.
CTO15229
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CTO15229,
User Rank: Light Beer
9/26/2018 | 12:29:15 AM
Re: Italy's 700 MHz spectrum Auction
Iain, 

Thank you, your comments do help. 

It would be most helpful to have a reference to the source documents, presumably from the Italian government's AGCOM press release or auction database.  

 

Thank you again for your reporting on the auction of these frequency bands.


Steve Wilkus
iainmorris
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iainmorris,
User Rank: Blogger
9/24/2018 | 2:19:48 PM
Re: Italy's 700 MHz spectrum Auction
Thanks for your comments and interest in the article. The discrepancy stems from the bidding for other airwaves up for sale. Telecom Italia, Vodafone and Iliad have agreed to pay more than €2 billion for the 700MHz spectrum, but the auction includes some other frequencies, too -- principally airwaves in the 3.6-3.8GHz band. That part of the sale is still running and means that overall bidding is now up to more than €4.4 billion. There is an update on Light Reading about this today: http://www.lightreading.com/mobile/spectrum/italy-5g-auction-bids-top--euro-44b-in-worrying-sign-for-telcos/d/d-id/746301?

The overall price per MHz pop will be somewhat lower than €0.56 because of the other spectrum included in the sale. We should get the full picture when bidding for those other bands has finished.

I hope this helps.
CTO15229
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CTO15229,
User Rank: Light Beer
9/24/2018 | 1:06:05 PM
Italy's 700 MHz spectrum Auction
Iain,

Thank you for the timely and interesting article, you've provided some great insights for an American looking to understand spectrum valuation trends in Europe.

However, I have difficulty accounting for the numbers in this article. According to the article the sum of Telecom Italia's 700 MHz spectrum, Iliad's 

Telecom Italia   €0.6802 billion
Iliad                 €0.6765  "
Vodafone Italy  €0.6832  "
TOTAL calc. :   €2.0399 billion

But the article gives the total as €2.86 not 2.4 billion.  Why the discrepancy?

I appreciated reading that the total amounts to €0.56/MHz•POP but I calculate €2.86 billion/59.4 million people/60 MHz as €0.80/MHz•POP.  I would appreciate the clarification, if possible.  I realize that net and gross numbers might differ, and with delayed payments perhaps there is a NPV calculation involved but I would appreciate any clarification you can provide.  Thank you. Steve 


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