Taiwan’s National Communications Commission (NCC) gave conditional approval for Asia Pacific Telecom Co (APT) to share Far EasTone Telecommunications Co’s (FET) 5G frequencies using its own 5G network, local newspaper Taipei Times reported.
In September 2020, FET and APT had announced a partnership to provide 5G services on Taiwan’s 3.5 GHz frequency band.
According to the report, the NCC approved the application with two specific conditions.
First, the two carriers have committed to deploy 2,000 more base stations to expand their 5G coverage. Under this plan, FET aims to install 500 5G base stations and 1,000 4G sites within one to two years, while APT is expected build 500 4G base stations.
Both operators are currently providing a 5G service under a Non-Standalone architecture, meaning that the offering still relied in 4G technology.
According to the regulator, the firms’ subscribers must have equal access to the shared bandwidth on the 3.5 GHz band.
Second, the two operators are to set up a task force to ensure that both have the ability to control the 5G network and monitor information security issues. This task force would hold regular meetings and submit meeting records to the NCC, according to the report.
The agreement, which is enabled by the country’s Telecommunications Management Act, gives APT access to FET’s frequencies on the 3.5GHz band for a 20-year period. In return, APT has agreed to pay about NT$9.47 billion ($335.13 million), or the equivalent of two-ninths of the network deployment costs.
The Telecommunications Management Act, which was implemented in 2020, allows carriers to share frequencies and network infrastructure.
“The Telecommunications Management Act allows telecoms to build networks together and permits a more flexible use of frequencies, which is expected to bring unprecedented changes to the telecommunications market,” NCC Vice Chairman and spokesman Wong Po-tsung reportedly said. “We will closely monitor those changes and soon entrust a research institution with the task of studying relevant issues.”
FET spent NT$40.6 billion to secure 80 megahertz in the 3.5 GHz band and NT$412 million for 400 megahertz in the 28 GHz band in the country’s latest 5G auction.
Meanwhile, APT obtained 400 megahertz in the 28 GHz band.
FET has already reached over 300,000 5G subscribers, according to previous reports. The carrier also said that it aims to reach 1 million customers in the 5G segment by the end of next year.
The telecom’s 5G network coverage currently reaches 55% of Taiwan’s territory, while 5G coverage in capital Taipei reaches 92%.
FET said the aim for next year is to reach a 5G coverage of 90% of the nation.
