4G bidding: A huge learning curve for NBTC

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4G
A huge learning curve for NBTC
USANEE MONGKOLPORN,
SIRIVISH TOOMGUM
THE NATION

BANGKOK: -- THE MARATHON bidding for two telecommunication licences on the 1800-megahertz spectrum by three of the four bidders ended yesterday after cut-throat competition.

And on the side of that main contest, the three big players battled against the one smaller bidder to prevent it from entering the market.

It has also taught the National Broadcasting and Telecommunications Commission (NBTC) a valuable lesson about being better prepared when the bidding process goes on for longer than expected.

Senior executives from some of the bidding companies were reportedly unhappy that the NBTC was not better prepared. It went on for so long that nine of the 35 bidding representatives had to ask the NBTC for permission to go home. The bidding process began at 10am on Wednesday and was still going on as of the press time.

Senior executives from some of the bidding companies were reportedly unhappy that the NBTC was not better prepared. It went on for so long that nine of the 35 bidding representatives had to ask the NBTC for permission to go home. The bidding process began at 10am on Wednesday and was still going on as of the press time.

When the auction started, four companies were bidding for the two licences: Advanced Wireless Network (AWN) of Advanced Info Service (AIS); True Move H Universal Communication of True Corp; DTAC TriNet of Total Access Communication (DTAC); and Jas Mobile Broadband, a newly formed subsidiary of Jasmine International. However, a few hours later, only three of the companies appeared to be actively bidding. Competition was fierce at around 11.40am on Wednesday during the fifth round after the bid for the second licence block exceeded 100 per cent of the full spectrum value.

In the fifth round, the bid for the second licence stood at Bt19.892 billion, while that for the first licence stood at Bt18.30 billion. The total price of the two licences in that round was Bt38.192 billion.

The full price of each licence was Bt19.890 billion but the bidding started at Bt15.912 billion, which was 80 per cent of the full value. Each round lasted 20 minutes and it had been speculated that AIS, True and Jas were doing all the bidding.

AIS had no other choice but to grab the licence to eliminate the risk of a spectrum shortage. The country's largest cellular operator with more than 40 million customers owns only 15MHz of the 2.1-gigahertz spectrum under its NBTC licence. Its 900MHz concession expired in September. DTAC holds 10MHz of 850MHz and 25MHz of 1800MHz, both under a CAT Telecom concession, which will end in 2018. It also owns 15MHz of the 2.1GHz spectrum. True holds 15MHz of 2.1GHz and provides third-generation services on 850MHz under a resale/wholesale partnership with CAT.

Jas, the new face in the telecom spectrum scene, has no cellular licences. Since there was no sign the competition would end on Wednesday, the NBTC telecom committee called a special meeting at 7pm to extend the bidding period until the winners emerge, a change from the original auction closing time of 9pm on Wednesday.

Takorn Tantasith, secretary-general of the NBTC, said the agency would provide the tired executives with sleeping facilities at the commission's headquarters and security would be provided to make sure they refrained from communicating with other bidders.

Five of DTAC's 10 representatives reportedly left the bidding room at 1am yesterday. Some True executives also reportedly left the room in the early hours of yesterday.

Source: http://www.nationmultimedia.com/business/A-huge-learning-curve-for-NBTC-30272811.html


-- The Nation 2015-11-13

[spidermike007]

The fact that Thailand is not already fully covered by the 4G spectrum is an abomination, and a boil on the face of the previous administration, and to some extent Abhisit too. All of the infighting prevented them from improving the infrastructure here. So many smaller third world countries have had 4G for years. Many are preparing for 5G. And this?