TPG Telecom to become Singapore’s fourth telco
By Digital News Asia December 14, 2016
- Makes the winning bid of US$74 mil in the New Entrant Spectrum Auction
- Provisionally allocated 60 MHz of spectrum
TPG Telecom Pte Ltd will be Singapore's fourth mobile operator, after a successful bid for the spectrum needed to launch mobile services, the Infocomm Media Development Authority (Imda) said on Dec 14.
TPG Telecom is an Australian telecommunications and IT company that specialises in consumer and business internet services as well as mobile telephone services.
Imda has concluded the New Entrant Spectrum Auction (NESA). TPG Telecom made the winning bid of S$105 million (US$73.72 million), and will be provisionally allocated 60 MHz of spectrum made available in the NESA, comprising 20 MHz in the 900 MHz spectrum band and 40 MHz in the 2.3 GHz spectrum band to provide International Mobile Telecommunications (IMT) and IMT-Advanced services (e.g. 4G services).
The spectrum allocation will only be final when the assignment of the frequencies in the respective bands has been completed after the relevant spectrum fees have been paid.
The new spectrum rights are expected to commence on April 1, 2017 at the earliest. The actual commencement date of the spectrum rights will depend on when the General Spectrum Auction is completed.
To facilitate the entry of a new mobile network operator (MNO), Imda had set aside the 60 MHz of spectrum in the NESA that only pre-qualified prospective new entrant bidders may bid for. The entry of the new MNO is expected to enhance innovation and competition in the mobile market.
TPG will be required to utilise the allocated spectrum to provide nationwide street level coverage for 4G within 18 months from the start of the new spectrum rights; road tunnels and in-building service coverage within 30 months from the start of the new spectrum rights; and coverage for MRT underground stations/lines within 54 months from the start of the new spectrum rights.
IMDA will next proceed with the second stage of the auction, the General Spectrum Auction (GSA), which will be open to the existing MNOs – M1, Singtel Mobile and StarHub Mobile.
TPG may also participate in the GSA. IMDA aims to commence the GSA in the first quarter of 2017. TPG will then be subject to the following spectrum caps: (i) 40 MHz of 700 MHz; (ii) 20 MHz of 900 MHz; and (iii) an aggregate total of 75 MHz. declared.
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