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Wednesday, 12 January 2011

3G Switchover May Cause Unfair Advantage

After a long period of deliberation Ofcom has finally given the go-ahead for mobile operators to use their 2G spectrum for 3G mobile broadband.
The result will help mobile operators to "increase mobile broadband speeds" as well as offer more mobile broadband coverage in rural areas, meaning that consumers will receive a better service. 
Currently the 2G spectrum is used for making phone calls and sending texts, but this decision could ease some of the pressure on current 3G services.  They are feeling the strain due to the massive increase in the use of smart phones and mobile internet.
However, not all UK mobile phone operators were happy with the decision; Kevin Russell, chief executive of Three UK said the decision would give "unfair competitive advantage" to the operators that hold 2G licences.
Ofcom’s verdict comes ahead of the Digital Dividend auction planned before 2012, in which we will see the government sell off frequencies for next-generation mobile services, which will offer speeds faster than today's 3G networks.
It was the issue of “competition” that delayed Ofcom’s decision for so long.  Mr. Russell called on Ofcom to ensure the 2012 auction would create a market where all operators could compete on a level playing field.

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