Page 131 - SAMENA Trends - November-December 2019

REGULATORY & POLICY UPDATES SAMENA TRENDS

raising enough money, but they also did not wish to Disagreements between France’s communications
put a major financial burden on the operators. This regulator and its Finance Ministry on pricing and other
indicates that their goal was and is to launch the new details of the country’s 5G spectrum auction were
technology as quickly as possible. There is no doubt tipped to hold-up the process until at least March
that the 5G spectrum is an expensive technology, as 2020, Reuters reported. Citing un-named sources, the
proven by Italy and Germany already. These countries news publication said regulator Arcep and the finance
raised around 6.5 billion euros each. The amounts seen ministry were yet to agree on the amount of spectrum
in their auctions were extremely surprising to French being auctioned and the starting price for lots, delaying
telecoms, which caused further concerns. the start of the legal process leading to the sale. Its
(November 27, 2019) news.beincrypto.com original aim was to begin the auction in January,
though this will apparently now be March at the earliest.
Arcep has adopted its decision on the terms Arcep opened a public consultation into the process
and conditions for the allocation of 5G-suitable in July with, at the time, the possibility of an Autumn
frequency authorizations in the 3.4GHz-3.8GHz auction being floated. France is already behind other
band in metropolitan France and forwarded it to the large European countries when it comes to auctioning
government. The authority stated that the adopted spectrum for 5G services, with the UK, Spain, Germany
terms and conditions had been adjusted to take and Italy all having completed the process months ago
into account feedback from its public consultation and the first services already live. Operators, however,
(July-September 2019), with Arcep now planning to have been granted licenses for test deployments
award blocks of 50MHz each (60MHz previously) and authorities have repeatedly stated 2020 as the
on the recommendation of the government. The launch date for commercial services. The country’s
frequencies will be allocated for a period of 15 years four operators Orange, SFR, Iliad and Bouygues are all
and the duration could be extended by five years. The expected to compete for licenses.
authority said in a press release: ‘It is now up to the (November 19, 2019) mobileworldlive.com
government to set the financial conditions for this call
for applications, in particular the reserve price(s), and French telecom authority Arcep published its latest
to launch the frequency allocation procedure. Arcep dashboard on the transition to IPv6 in France, showing
will be extremely vigilant of the level chosen for this that industry players are not moving fast enough to
reserve price, which will have to be submitted to it for deal with the expected shortage of IPv4 addresses.
opinion. In this respect, it is necessary to distinguish The regulator is urging operators and the wider internet
between the reserve price and estimated valuation ecosystem to step up their efforts and accelerate
of the band. Arcep stands ready to conduct the their deployment plans. It has also renewed a call to
frequency assignment procedure, so that the first 5G join a new IPv6 task force, recently created by Arcep
commercial services can open during the year 2020.’ in partnership with Internet Society France. Free and
The specifications include a set of obligations for all Orange have remained well ahead of rivals Bouygues
winners of 5G spectrum, which include the launch Telecom and SFR in rolling out IPv6 across their fixed
of 5G services in at least two cities by the operator networks. At end-June, Free led with 80 percent of
before the end of 2020, and obligations to support the customers already active on IPv6, followed by Orange
deployment of 5G equipment in the 3.4GHz-3.8GHz with 68 percent. Bouygues Telecom and SFR continued
band as follows: 3,000 sites by 2022, 8,000 (2024) and to trail at a distance with rates of 20 percent and 7
10,500 (2025). Arcep also provides for a mechanism percent respectively. On mobile networks, the roll-out
to ensure that non-urban areas will also benefit from of IPv6 by the main operators has advanced at a much
these deployments. Thus, 25% of the 3.4GHz-3.8GHz slower pace, with the exception of Bouygues Telecom.
band sites in 2024 and 2025 will have to be deployed The proportion of customers active on IPv6 was close
in areas outside the main agglomerations. By 2022, at to zero for Orange, Free Mobile and SFR, as of the end
least 75% of the sites must have a bit rate of at least of June. Bouygues Telecom made significant progress
240Mbps, which will be gradually extended to all sites with customers using Android devices (nearly 80
by 2030. Operators will also be required to activate percent of them already active), but had yet to make
network slicing by 2023 at the latest. a move from IPv6-ready to active use for those with
(November 22, 2019) telegeography.com iPhones. (November 18, 2019) telecompaper.com

German operator 1&1 Drillisch has announced the each in the 2.6GHz band. The agreement is based on a
signing of an agreement with Telefonica Deutschland commitment by Telefonica as part of the EU antitrust
to lease spectrum for the rollout of its own 5G mobile approval of its merger with E-Plus in 2014. The two
network. Drillisch Online, a wholly owned subsidiary of frequency blocks will be available to 1&1 Drillisch until
Germany 1&1 Drillisch, will lease two frequency blocks of 10MHz 31 December 2025. The agreement is subject to the

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