All four major French mobile operators have secured licenses for fourth-generation (4G/LTE) frequency blocks following the first round of auctions, which generated substantial interest and high bids totaling €936 million (approximately $1.28 billion).
Regulator ARCEP confirmed that France Telecom and newcomer Iliad placed the highest bids and won the two largest 20 MHz blocks. SFR and Bouygues Telecom obtained smaller 15 MHz blocks.
The French government described the auction as successful after the total raised exceeded the reserve price of €700 million. France Telecom and Iliad, the two highest bidders, also committed to hosting mobile virtual network operators (MVNOs) on their networks, a move regulators view as beneficial to competition.
MVNOs, such as Virgin Mobile, purchase network access from established operators and resell services under their own brands. SFR, France’s second-largest operator, secured a 15 MHz block with a bid of €150 million and did not commit to hosting MVNOs. Bouygues Telecom, the country’s third-largest provider, won a 15 MHz block with a €228 million bid and agreed to support MVNOs.
The spectrum awarded in this first round covers the 2.6 GHz band, a frequency range suitable for high-capacity urban coverage but generally offering shorter range compared with lower-frequency bands. A second auction later this year will offer the lower-frequency 800 MHz band—often referred to as the “golden” spectrum—which provides better propagation and indoor penetration, enabling mobile signals to travel farther with less degradation.
Prior to the auction, smaller operators including Iliad and Bouygues urged the government for lower reserve prices and safeguards to prevent dominant operators from capturing disproportionate market power. Their concerns focused on ensuring fair access and preserving competition in the mobile market.
Similar LTE spectrum auctions are underway across Europe—in the UK, Spain, Italy and Germany—with France’s first-round proceeds among the highest reported so far.
For further details about spectrum allocation, network rollout and industry perspectives, consult conference programs and industry events focusing on LTE and mobile technologies.