Finding Spectrum for Technologies Beyond 3 G Regulatory challenges as we enter a new world Michele Wakefield Ofcom
In the past the regulator played a key role in finding spectrum • For each of the previous generations, the Radiocommunications Agency (RA) • Identified spectrum along with ITU and CEPT • Cleared the spectrum • Determined how many licenses to award • Selected the winners for 1 G and 2 G, or ran an auction process for 3 G • In 2003 Ofcom was formed from the merger of 5 existing regulators • Ofcom is now undertaking a review of its strategy towards spectrum management
Long term spectrum management is a balance between three methods “Command & Control” Market forces Unlicensed
Spectrum trading • On course to enable simple trading in 2004 • Change of use will require ex ante approval from the regulator • Long term objective is to allow change of use with only ex post check • But trading with change of use would make harmonisation difficult
Harmonisation by the regulator may not be so important • For harmonisation • Economies of scale • Certainty of manufacture • International roaming • Reduced interference across borders • Against • One size fits all • Danger of selecting the wrong application or technology • Difficulty in applying market forces Studies in the UK have shown that 1. There is considerable scope for different applications in harmonised bands without harmful interference 2. The benefits of harmonisation are great in some cases but negative in others and are likely to decline in future
It may not be up to the regulator to find spectrum for 4 G • With trading implemented, operators can buy the spectrum they need on the market • With harmonisation increasingly performed by standards bodies and operators, the regulator may not need to intervene • Instead, the role of the regulator is • To put in place a framework for trading • To guard against anti-competitive practices
In practice not everyone is not ready to adopt this position • Spectrum for 4 G will likely be discussed at the ITU, CEPT and within standardisation bodies such as ETSI • Many regulators will be keen to identify specific spectrum as they have for previous generations • Ofcom would support such initiatives (we are not against harmonisation, but do not want to lead it) • Strong input from potential manufacturers and operators would be encouraged • Ofcom would aim not to mandate 4 G in the selected bands but allow trading and change of use to this application • If the EC mandates 4 G harmonisation the UK will have to act accordingly
Future vision
Differences with Korea? • What is the view in Korea of the application of market forces such as trading to spectrum? • Does Korea believe there is a key role for Government to mandate and subsidise technology development and deployment? • Are there key cultural issues that might cause different regulatory frameworks?
Contact details • Michele. wakefield@ofcom. org. uk • +44 20 7981 3783
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