Ofcom has heeded calls from Telefónica and Vodafone to enable the deployment of new technologies, others are likely to follow
The time is right to revise licence conditions: In response to requests from Vodafone (April 2021) and Telefónica (September 2021), Ofcom is proposing to amend some licences the two mobile operators hold. The changes would allow them to deploy 5G in bands previously licensed for 4G. Following developments in 5G and the technical contributions of the European Conference of Postal and Telecommunications (CEPT), more spectrum bands are becoming available that support advanced mobile broadband. Therefore, Ofcom is now able to consider the introduction of technology neutral provisions and next-generation technology parameters that Vodafone and Telefónica have requested. A public consultation on the proposals is now open, but isn’t expected to generate the same level of controversy as the liberalisation of 1800MHz, which ultimately granted EE a headstart in the rollout of 4G services.
Updating spectrum licences across a range of bands: Ofcom intends to amend the technical conditions of licences held by Vodafone in the 900MHz, 1800MHz, 2100MHz and 2.6GHz bands, updating licence parameters to reflect the latest technologies. The regulator is also proposing to remove technology restrictions in the licences to make them technology neutral, which could support Vodafone’s 5G rollout. Regarding Telefónica, the operator has requested that Ofcom remove a restriction on the 5MHz block within its unpaired spectrum allocation adjacent to Vodafone’s unpaired allocation. Vodafone has contacted Ofcom to confirm its agreement with the request. This would improve spectrum efficiency by allowing Telefónica to use an unrestricted 20MHz block compared with the 15MHz currently available. For the arrangement to work, the two licensees would need to synchronise transmissions and both of their licences will need to be varied.
Ofcom opens the door to further licence changes: In its proposals, Ofcom states that it is inclined to agree to the licence changes requested by Vodafone and Telefónica. Its policy goal is to remove the regulatory barriers that prevent the deployment of the latest available technology (currently 5G), which Ofcom sees as having the potential to benefit consumers through higher service quality and to support the emergence of new and innovative use cases. While its decision on the operators’ requests will be determined subject to consultation responses, Ofcom is currently minded to make similar changes available to other licensees operating in the same bands, upon request. This is likely to trigger the consideration of comparable variation requests from EE and Hutchison in the 1800MHz, 2100MHz and 2.6GHz bands.
