Page 148 - SAMENA Trends - September 2019

REGULATORY & POLICY UPDATES SAMENA TRENDS

REGULATORY ACTIVITIES BEYOND

THE SAMENA REGION

A parliamentary committee in Australia was asked to builds out network coverage to support the expected
investigate and submit a report on the deployment, demand for the high-speed service. Optus, the second-
adoption and application of 5G in the country. largest mobile operator, began connecting its first 5G
Minister for Communications, Cyber Safety and customers in January 2019 through a fixed wireless
Australia the Arts Paul Fletcher called for the inquiry. The access service. It plans to expand the network to 1,200
House of Representatives Standing Committee on sites by year-end. In August 2018, Australia effectively
Communications and the Arts, chaired by David Gillespie, banned China-based equipment vendors Huawei and
will conduct a study looking at the opportunities ZTE from participating in the country’s rollout of 5G
and challenges of the next-generation technology. mobile infrastructure due to national security concerns.
In statement, Gillespie said: “5G will transform the (September 19, 2019) mobileworldlive.com
way we live and work, and provide opportunities for
family life, industry and commerce. It will power smart A legal challenge to the Australian Competition and
homes and cities and provide new ways to experience Consumer Commission’s (ACCC’s) decision to oppose
entertainment, and at the same time transform a proposed merger of TPG Telecom and Vodafone
transport, logistics and industry.” Submissions to the Hutchison Australia (VHA) has gotten underway in the
committee will be accepted until 1 November. The country, with the case now being heard by a federal
head of the Australian Mobile Telecommunications court. Peter Brereton, the lawyer representing VHA, said
Association (AMTA) welcomed the inquiry and said it in his opening statement: ‘The notion that TPG would, if
will contribute to the examination of the technology, the merger’s blocked, roll out a mobile network is just
including use cases, Australia-based Telecom Times not of the real commercial world.’ Further, he reportedly
reported. AMTA CEO Chris Althaus told the publication: argued that it would be ‘commercially crazy’ for TPG
“As the 5G evolution continues, it is critical government to construct its own mobile infrastructure, while also
and society alike understand the magnitude of the 5G suggesting that a merger of TPG and VHA could, in fact,
opportunity, and its relevance and benefit to all sectors encourage competition. Meanwhile, The Guardian cites
of our economy and society.” Telstra, with a 50 per Michael Hodge QC, counsel for the ACCC, as claiming
cent market share by subscribers, is deploying 5G in that it was ‘entirely commercially realistic’ to say that
ten cities and over the next 12 months plans to expand TPG would resume previous plans to roll out a mobile
the coverage to at least 35. The operator launched the network if the merger was stopped.
country’s first compatible smartphone in July, as it (September 10, 2019) reuters.com

Austria’s telco regulator has launched a consultation necessary.” That’s not to say successful bidders will
on proposed tender conditions for its next 5G auction, be given entirely free rein. For one thing, there will be
and they are so sensible as to almost be unnerving. the usual stringent coverage conditions. The watchdog
The Regulatory Authority for Broadcasting and wants them to roll out minimum speeds of 10 Mbps
Austria Telecommunications (RTR) said it wants to establish downlink/1 Mbps uplink to 98 percent of highways,
an investment-friendly framework, and to that end has expressways and selected rail links, and to 90 percent
suggested 20-year licenses and a reserve price for of federal and state highways. Operators will also be
spectrum in the 700 MHz, 1500 MHz and 2100 MHz required to deliver 30 Mbps downlink/3 Mbps uplink
bands totaling €295 million. That compares to a €1.5 connectivity to 900 underserved locations. However,
billion reserve in Germany’s multiband 5G auction in line with the RTR’s operator-friendly approach, it
earlier this year, and we all know what operators made of has proposed a bonus system designed to incentivize
that. “A big concern for us was to establish investment- bidders to go above and beyond those 900 locations. It
friendly framework conditions for the development of works like this: after operators have finished vying for
networks and thus give the operators as much freedom spectrum, they have an opportunity to bid to roll out
of design as possible,” said Klaus Steinmaurer, head of networks in one or more of around 2,000 areas identified
the RTR’s telecommunications and post department. as moderately or poorly served. For each underserved
Furthermore, licenses won’t come with mandated area that they win, the operators will receive a rebate on
wholesale access, after a recent review led the RTR their spectrum bids. “To grant this bonus, a substantial
to conclude that “no more MVNO requirements are sum has been reserved from the pot of minimum bids,”

148 SEPTEMBER 2019