Ofcom Delays 5G Spectrum Auction Due to COVID-19 Impact

British telecoms regulator Ofcom has postponed its planned 5G spectrum auction because of the coronavirus pandemic.

The auction was originally scheduled for later this month, but with the end of January approaching, Ofcom issued a statement indicating the process would be delayed:

“Throughout our planning for the auction we have been closely monitoring the coronavirus situation.

Following a pause in the auction process, we are now planning for the principal stage of the auction (the start of bidding) to begin in March 2021.

We will continue to monitor developments.”

The auction concerns the 700 MHz frequency band, which is well suited to providing wide-area coverage across rural and suburban areas.

Most existing UK 5G deployments use the 3.4 GHz band, which offers higher speeds over shorter ranges and is therefore preferred for urban and dense environments.

Parts of the 3.6–3.8 GHz band are also included in the auction. Taken together, the licences on offer would increase the amount of spectrum available for mobile services by roughly 20%.

A BT spokesperson responded to the delay, saying:

“We’re disappointed the auction will now be delayed although we understand the unique circumstances.

The auction and subsequent release of spectrum remains central to the future rollout of mobile networks and 5G.

The economy’s recovery from Covid-19 is dependent on resilient digital infrastructure and we urge Ofcom to resist any further requests for delays.”

The spectrum being auctioned is important for improving national connectivity at a time when reliable networks are critical for work, education and healthcare. Given the prior planning time and the option to run events remotely, some industry observers questioned whether the public health rationale alone justifies the postponement.

We contacted Ofcom to request more information about the decision and why the auction could not proceed under the current restrictions.

Update: An Ofcom spokesperson said: “Spectrum auctions generally involve bid teams working in a set location for each bidder.”

We have asked Ofcom to clarify why the auction process could not be adapted to pandemic conditions and whether the regulator expects circumstances to improve sufficiently by March to avoid further delays.

(Photo by engin akyurt on Unsplash)

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