Campaigners urge Ofcom to restrict spectrum ownership

09 January 2017

Three UK CEO Dave Dyson says the country’s mobile market should be leading but is instead “broken” and lagging.

Three UK CEO Dave Dyson says the country’s mobile market is “broken” and lagging.

Ofcom should ensure that no one mobile network can own more than 30 per cent of spectrum, according to a newly formed campaigning organisation.

‘MakeTheAirFair’ was founded by Three UK and is supported by TalkTalk, CityFibre, the Federation of Communication Services, Gamma and Relish.

According to Ofcom, BT/EE currently holds 45 per cent of immediately useable UK mobile spectrum. Vodafone owns 28 per cent, O2 has 15 per cent, and Three has 12 per cent.

MakeTheAirFair says that in the whole of the developed world only Thailand and Malaysia have a larger imbalance of the airwaves amongst mobile operators when compared to the UK.

“The UK mobile market is broken at a critical time when it should be leading and not lagging almost all other developed countries,” says Three UK CEO Dave Dyson. 

“Ofcom must prove it is on the side of consumers and apply a 30 per cent cap on total spectrum ownership following next year’s auction.”

Later this year, Ofcom plans to sell 190MHz of spectrum in the 2.3GHz and 3.4GHz bands. The regulator says this is an increase of just under a third of the total mobile spectrum currently available, and represents more than three quarters of the 4G airwaves that were released in 2013.

Ofcom is also proposing to apply a cap of 255MHz on “immediately useable” spectrum that any one operator can buy.

As a consequence of this proposed cap, it says BT/EE would not be able to bid for spectrum in the 2.3GHz band.

Those behind MakeTheAirFair say a 30 per cent cap post-auction will deliver: a genuine choice of networks offering competitive prices and wide coverage; a UK mobile industry that is at the forefront of new technologies; better speeds; and greater consumer choice through a “healthy” MVNO sector.