New mobile network in the 450 MHz band will cover at least 80 per cent of the surface of each county

19/10/2004

The National Post and Telecom Agency (PTS) presents today a proposal for regulations on a national licence for digital mobile telephony in the 450 MHz band.

The aim of the new licence is to satisfy the demand for mobile telephony in sparsely populated areas, a demand that is currently satisfied by the analogue NMT 450 system. This proposal means, among other things, that at least 80 per cent of the surface area of each individual county will have coverage no later than 1 July 2007.

- The requirement of 80 per cent coverage in each county ensures that even the most northerly counties will have good mobile coverage. Our demand corresponds to the coverage that the current NMT users with handheld telephones are offered, says Marianne Treschow, Director-General of PTS.

The new licence applies to the frequency range 463.0-464.8/453.0-454.8 MHz. This frequency range will become vacant as of 1 January 2005, following PTS’s previous decision to limit the frequency space that Telia Sonera may use for NMT 450. This new digital system will primarily offer basic mobile telephony services, but also facilitate data transfer with significantly better capacity than an analogue system.

At the same time, PTS presents rules concerning the auction procedure that will be used to allocate the licence. The auction will be determined following sealed tendering, where every applicant can submit an application and a tender. PTS will consider each application on the basis of various fundamental criteria regarding technological feasibility and financial capacity, and thereafter open the tenders from the applicants whose applications have been approved. The applicant that has submitted the highest tender will be allocated the licence, after the auction proceeds have been paid.

PTS’s proposal for regulations will now be circulated for consultation up to 17 November. Within this time, the market stakeholders and relevant authorities have an opportunity to submit views on PTS’s proposal. Thereafter, PTS will make a decision on the regulations. Prior to the turn of the year 2004/2005, PTS will announce an open invitation to apply for the licence.

For further information:  
My Bergdahl, Project Manager, Spectrum Department, tel.: +46 8-678 57 23.

PTS works to ensure that everyone in Sweden shall have access to efficient, fairly priced and secure communications services.