BUDAPEST--Hungary's state utility MVM Zrt. is the sole bidder
for, and the likely winner of, the unused part of the 450 megahertz
frequency concession, business daily Vilaggazdasag said Monday
citing unnamed sources.
MVM winning the spectrum licence would indicate that the
government hasn't given up its plan to establish a state-owned
mobile provider. The government wound up a company earlier this
year that it had established with the aim of providing a
state-owned competitor to the existing three privately owned mobile
providers. Now it seems MVM would undertake that role, the daily
said.
Hungary called a tender Friday for the sale of a 10-year licence
to the unused part of the 450 MHz frequency. The telecommunications
authority NMHH specified that the winner will mostly need to
provide digital public services such as the operation of the
electronic road toll system, the linking up of public
administration in the countryside, the management of public
transport communication systems and providing emergency telecom
services.
The government plans to receive 150 million forints ($683,000)
for granting the licence, then HUF132 million a year in the first
four years, and HUF265 million a year from the fifth year onward
from the winner.
Hungary is also offering the unused parts of various other
frequencies, which are expected to attract the existing providers:
Magyar Telekom Nyrt. (MTELEKOM.BU), the country's largest telecom
provider and partly owned by Deutsche Telekom AG (DTE.EXE),
Norway's Telenor ASA (TEL.OS) and U.K.'s Vodafone Group PLC
(VOD).
When the NMHH held a preliminary consultation with possible
bidders for the 450 MHz frequency, Magyar raised the issue that the
winner of the frequency will receive significant business
opportunities that the winners of the other frequency licences will
not have, which the hefty price tag on the other frequencies should
reflect, Vilaggazdasag said.
Newspaper website:
http://www.vg.hu/vallalatok/infokommunikacio/beszall-a-mobiluzletbe-az-mvm-417509
Write to Margit Feher at margit.feher@wsj.com