The GSMA, in collaboration with consultancy Arthur D Little, have examined how differences in spectrum policy across EU Member States affect the availability and take-up of mobile broadband services. The study concludes that greater policy harmonisation could improve the quality, reach and adoption of mobile broadband services, thereby supporting the Commission’s Digital Single Market strategy.
The study, which analysed data across the EU28, found that citizens have benefited, in terms of 4G, penetration, coverage speed and services where Member States licensed the 800MHz spectrum relatively early. However, licenses with a short duration and uncertain renewal terms discourage investment in future networks due to lack of confidence over returns. Excessive spectrum pricing can compound this negative impact, leading to lower 4G coverage and penetration. Moreover, poor spectrum management and coordination for the award and release of spectrum have negatively affected consumers in “first mover” countries due to the lack of scale and interference from border regions, as well as leading to inefficient outcomes and rollout delays.
To remedy the negative impacts and reduce fragmentation, the study recommends policy makers consider harmonising best practice for awards design to prevent failed auctions resulting from excessively high reserve process, and ensure spectrum is effectively assigned and efficiently used. The report also recommends making new mobile bands available and harmonising them across the EU to obtain economies of scale. Moreover, it calls for harmonisation of the rules for clearing spectrum bands, together with measures to encourage the EU-wide deployment of already harmonised bands, as well as longer license durations, which would increase investment and improve access to mobile broadband.
The full report can be found here.