The Hong Kong government believes that market competition will help to keep end user costs down in the future 5G mobile market. Secretary for Commerce and Economic Development Edward Yau Tang-wah is quoted by the South China Morning Post as saying: ‘Through market competition, even though there were auctions [for the existing networks], the service charges of Hong Kong’s network still look attractive when compared with other places.’
As part of its plans to award spectrum for 5G services, the government says 4,100MHz of frequencies in the 26GHz and 28GHz bands could be allocated at little or no cost to operators due to supply outstripping demand. ‘That means it will greatly reduce the cost and also shorten the time involved,’ Yau said.
Several Hong Kong telcos have in the past been critical of the government’s plans to not award 5G spectrum until 2020, fearing that the local market could get left behind when compared to mainland China and other Asian countries.