(Image: Korea Bizwire/Kobiz Media)
SEOUL, Feb. 17 (Korea Bizwire) — A planned bidding for additional 5G network frequency bands has been delayed to after this month, officials said Thursday, as three major South Korean telecom operators failed to come up with a compromise over the planned auction.
In December, the Science and ICT ministry said it will open bidding for additional 5G networks in the 3.4- to 3.42-gigahertz spectrum, as requested by LG Uplus, the smallest mobile carrier.
The auction was initially planned for this month, but the country’s top two mobile carriers — SK Telecom and KT Corp. have complained about the ministry’s decision.
They claimed LG Uplus is at a relative advantage as the spectrum requested by the No. 3 player is closest to the company’s current frequency and will cost considerably less for LG Uplus to utilize it.
ICT Minister Lim Hye-sook and the head of the three mobile carriers held a meeting earlier in the day to address the dispute over the bidding, but the companies failed to narrow their differences.
“The auction will not open in February. … It’s true the schedule is being slightly delayed from what we had initially announced,” an ICT ministry official said.
Minister Lim urged cooperation from the three wireless carriers in providing better network service to consumers.
“We urge your swift cooperation in expanding investment and in providing network services that meet consumer demands,” Lim said.
Late last month, SK Telecom proposed that the ministry put an additional 40 MHz band in the 3.7 GHz spectrum up for bidding, along with the frequency requested by LG Uplus.
SK Telecom said the move will help ensure fair competition, adding that it and KT can each secure a 20 MHz band if the additional 40 MHz band is put up for auction.
The ICT ministry said it has not yet decided whether to open a separate auction for the additional 40 MHz band requested by SK Telecom.
In June 2018, the ICT ministry completed an auction for 5G network frequencies used by the country’s three mobile carriers.
SK Telecom and KT each won 100 MHz in the 3.5 GHz wavelength, which can provide better service at longer distances, with LG Uplus settling for 80 MHz.
The total bidding price of the 280 MHz at the 2018 auction — allowed for use for 10 years until November 2028 — was 3.68 trillion won (US$3 billion).
(Yonhap)
