The U.K.’s 3G auction raised £22.5 billion ($35.7 billion) in 2000, amounts that nearly bankrupted most of the firms that won the bids.
Long Term Evolution 4G auctions are expected to cost a lot less, despite more spectrum being auctioned in 2013 in the United Kingdom, at least in part because Ofcom has set relatively low minimum purchase prices. But carrier reluctance to overpay again also is key.
The minimum reserve prices for the 4G auction suggest the licenses will cost far less than was the case for 3G spectrum, which has been called a winner's curse.
Professional services firm PwC expects the auction to raise between £2 billion and £4 billion, TechCrunch reports.
Monday, November 12, 2012
U.K. 4G Auctions Might Cost Order of Magnitude Less than 3G
Gary Kim has been a digital infra analyst and journalist for more than 30 years, covering the business impact of technology, pre- and post-internet. He sees a similar evolution coming with AI. General-purpose technologies do not come along very often, but when they do, they change life, economies and industries.
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