A battle may be brewing over what is being considered the largest chunk of spectrum to be made available since the 1960s.
Around 400MHz of spectrum is expected to become available to the world after the broadcasters migrate to digital platforms. Mobile businesses globally are pitching for the ultra-high frequency (UHF), which has been traditionally used for analogue TV broadcasting.
According to MTN senior manager for data, roaming and reseller solutions Brian Seligmann, having access to only 25% of that band could revolutionise Internet access in Africa. However, there is a feeling that broadcasters have claimed entitlement to that spectrum, since it has always been theirs.
Seligmann says MTN's research shows access to the frequencies available in UHF will make the roll-out of local mobile networks far cheaper, and give Africa real benefits in terms of Internet penetration growth.
Mine or yours?
However, according to IDC analyst Richard Hurst, the broadcasters will have something to say about giving up that spectrum. “There is a feeling among the broadcasters that they would be giving up more than they are gaining.”
He says broadcasters have a sense of ownership over the UHF spectrum, since it has really only ever been used for analogue broadcasting. “They have yet to get their heads around the opportunities of digital broadcasting and what it will give them. I think that once they understand what it does, they will be more likely to give up UHF,” he adds.
Several broadcasters around the world have been offered a financial incentive via their regulatory authorities to vacate that spectrum, and others may feel they are entitled to the same treatment.
Seligmann says mobile networks can do far more with the spectrum than the broadcasters. He feels mobile operators could play a large part in helping the global economy recover from the ever-deepening global recession.
GDP is more important
He points out that mobile Internet has contributed a massive amount to the economy. Looking at European figures alone, he says mobile is estimated to contribute around 2.5 trillion euros to the continent. “With just 25% of that available spectrum, Europe can add 165 billion to that figure.”
He says the African situation could be even more dramatic, although there are no solid figures on how the local mobile operators contribute to the economy.
According to Seligmann, taking spectrum from the UHF band could make the roll-out of networks up to 70% cheaper than the current costs. “At 700MHz [from UHF] you only need to roll-out one base station. At 2 100MHz [current spectrum] you need to roll-out 10 base stations to get the same coverage.”
Hurst says the telcos should be gunning for the spectrum since it will definitely provide faster throughput and greater coverage. “It can only boost access to mobile broadband and other mobile services,” he adds.
Up to ICASA
The International Telecommunications Union has allowed each country's regulator to allocate the spectrum as needed. This means the Independent Communications Authority of SA (ICASA) will be responsible for issuing the spectrum where it sees fit.
ICASA has yet to decide how it will allocate spectrum; however, it has long prescribed that the mobile networks have more than enough spectrum already. Instead, it feels any additional spectrum should be allocated to some of the 400-odd new telecoms players that have recently been licensed.
While the authority does not have the best reputation for distributing spectrum on an equitable basis, MTN is hopeful it will be able to pitch for the freed frequencies after digital migration. “There will be change in government and in ICASA, and hopefully some policy changes. We need to stand up and lobby for it though,” says Seligmann.
South African broadcasters are expected to switch off analogue broadcasting by 2011.
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Broadcasters want DTT incentive
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Calls to prioritise broadband
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