Local carriers Telia and Net4Mobility have secured 5G spectrum in the spectrum auction
The Swedish Post and Telecom Agency (PTS) has announced that local carriers Telia and Net4Mobility have won spectrum in the 700 MHz band for the provision of 5G services.
The regulator said that the auction was concluded after 5 days of bidding and 46 bidding rounds.
The auction raised a total of SEK2.82 billion ($311.9 million). Telia agreed to pay SEK1.38 billion for 2x10MHz blocks of spectrum, with its concession including a minimum coverage requirement.
“The frequency that we have acquired is connected to a coverage obligation and we will continue to aim at having Sweden’s by far best quality and coverage. It also gives Telia the possibility to position ourselves with nationwide 5G services. The 700 MHz band will be a great complement to the other frequencies that we use in our mobile network,” said Anders Olsson, CEO of Telia Sweden.
Net4Mobility, the joint venture of Swedish mobile operators Tele2 and Telenor, offered SEK1.44 billion for two lots of 2×5MHz with no coverage obligations.
The regulator said that the 700 MHz licenses will be valid until December 2040.
“Our 5G expansion is both aggressive and ambitious, which we are very proud of. The nationwide 5G network will provide even better coverage, faster connection, reduced latency and higher capacity, which is a prerequisite for the increasing number of devices. At the same time, our investments continue to strengthen the existing 4G network in the country, said Stefan Jäverbring, CTO at Telenor Sweden.
Sweden’s smallest operator Hi3G Access (Tre), participated in the process but failed to obtain spectrum. The operator, which is majority owned by Hong Kong-based group CK Hutchison, had previously complained that the terms of the auction benefitted Sweden’s largest telcos.
Telenor and Tele2 say they will begin rolling out their joint 5G network in the second half of next year, with plans to launch commercial services in 2020. The deployment will initially concentrate on Sweden’s main cities and tourist resorts. Telia is also expecting to launch commercial 5G services in 2020.
Last week, Telia and Ericsson launched what they claim is Sweden’s first 5G network at KTH Royal Institute of Technology in Stockholm. The cooperation between Telia, Ericsson and KTH aims to “build an innovation arena where the institute can test various applications of 5G with the support of industry actors,” the collaborators said. Telia said that the network at KTH will be permanent and constitutes the first building block in Sweden’s coming 5G network.
