Questions and Answers

PTS does not publish the identity of the questioneer. Please use an agent if you wish to keep your identity secret. Secret information should not be included in the questions.

The translations are for information only; please note that in the event of any discrepancy between the English information and the Swedish original, the latter will take precedence.

Latest questions

9.2.2011 Does Item 2 in the following text, which is contained in Section 6.12 of the Open Invitation, mean that bidders also receive information about permitted bidding levels of others if these are not the same as their own? (“Before each bidding round, PTS will publish information in the auction system concerning: the start and end times for the next bidding round, bidding levels permitted in the next bidding round”.)

1.2 2011 Am I correct in understanding that the text on page 41 of the Open Invitation “the frequency blocks where the bidder has a binding bid that is not the standing high bid, the size of this bid and how this bid has been ranked” means that each bidder also receives information (size and ranking) about bids of their own that are not standing high bids?

1.2. 2011 Does information about ‘ranking’ include information about the number of binding bids in each block (e.g. ‘1 of 2’ or ‘2 of 3’) or only their number in the ranking?

30.1.2011 Is a registration certificate an acceptable document to satisfy the condition of an extract from the Trade and Industry Register?
30.1.2011 Can a printout of the electronic registration certificate be submitted (e-registration certificate)?
18.1.2011 How will PTS set new bidding levels for a frequency block where bids have already been placed? Will there be one or more possible bidding levels for each frequency block, and by how much can a bid be raised in each round?
18.1.2011 Can a bid that has been cancelled by being switched to a different frequency block be reactivated?
18.1.2011 Can a block remain unsold at the end of the auction even if a bid had previously been made for that block? Example: a bid was made for FDD1 in bidding round 1 and was subsequently switched to FDD6, after which no other bids were received for FDD1.
18.1.2011 How will PTS set a new bidding level for a frequency block if the highest current bid is a reactivated bid?
18.1.2011
How does PTS set a new bidding level for a block if the standing highest bid has been cancelled by being switched? 
18.1.2011If no bids remain for a block at the end of the auction, what happens next?
18.1.2011
Section 6.12 of the Invitation describes the information provided during an auction. Can PTS provide an example of how this information will be presented at the end of each round, e.g. a screen dump of the general information for all participants together with the specific information provided to individual bidders?
18.1.2011 Can PTS also provide an example of how the information distributed via the auction system will be presented, e.g. screen dumps from the auction software?
18.1.2011 The information provided in Section 6.12 may be interpreted as follows: bidders with the standing highest bid will not know whether there are other bidders with low bids in the same block, but bidders who do not have a standing highest bid will know that there are other bids in the block. Is this correct?
18.1.2011 All bidders are entitled to waive three times. If no waivers are used during the auction up until the point when no new bids are being made, will there then be three bidding rounds so that all waivers are exhausted? 
18.1.2011 If a bidder has the highest bid for a block (e.g. FDD4), can the same bidder raise or place a higher bid for the same block?
18.1.2011 If a bid is switched from a frequency block and this switch results in this block having no standing highest bid, will the auction software show that there is no standing highest bid for this block, i.e. after PTS has set a bidding level?
18.1.2011 It is indicated by the Invitation that contact persons will receive the login details and web address required to take part in the auction. Is any particular web browser or other software required to be able to place bids during the auction? Will the auction be secure, a certificate or corresponding?
18.1.2011 Does the minimum bid also apply to a block later on in the auction in the event that no-one has placed a bid for the block in previous rounds?
18.1.2011 Does the minimum bid also apply to a block later on in the auction for participants who have not previously placed a bid for this block in the event that one or more other participants had previously placed bids for the block and had then cancelled their bids by switching them so that there are no bids left for the block?
18.1.2011 Section 6.12 of the Open Invitation issued specifies the information provided to participants between bidding rounds. Answers to the following questions are requested in this respect. Is it correct that ‘aggregate activity in the auction’, concerning which information is provided after each binding round, is only the total of the participants’ activity calculated according to a-c at the top of page 36 of the Invitation?
18.1.2011 When will applicants, who are allowed to take part in the auction, be provided with the information that bidders will have access to in the user interface?

2010


16.12.2010 Will Channel 60 areas be changed during the term of the licence?
16.12.2010 Can applications be submitted in English?
16.12.2010 What amendments has PTS made in the final version of the consultation response contained in the appendix to the open invitation with regard to technical conditions and the prohibition against causing interference with an undertaking to remedy interference to television receivers?
8.12.2010 How can an assessment be made of the effect to and from the aeronautical radio navigation service (ARNS) in Russia?
29.10.2010 What does the prohibition on collusion entail?
24.9.2010 How will PTS ensure that the coverage requirement does not include addresses where there is already coverage?
17.9.2010 Why were new regulations introduced for the assignment of the 800 MHz band (in addition to the general regulations on spectrum auctions)?
17.9.2010 Which criteria are important for assessing the effect on competition when examining network cooperation or whether the leasing or lending of frequencies adversely affects competition?
10.9.2010 Why has PTS set the licence period for 25 years?
10.8.2010 What does PTS think about Telia’s proposal that the provision on closely-related parties should be extended so that operators that have network cooperation, which includes frequencies under 1 GHz, should be regarded as one operator?
2.6.2010 When will licence holders be able to use the frequencies in the 800 MHz band?
21.5.2010 Why hasn’t PTS taken any special measures to guarantee that a new stakeholder gets access to the 800 MHz band through this assignment?
21.5.2010 How do these principles fit in with different kinds of network cooperation, e.g. when operators use each other’s frequency space?
21.5.2010 Can two operators acquire their own separate licences and then use the licences together in a jointly-owned network undertaking?
21.5.2010 Why did PTS amend the provision on closely related parties following consultation?
21.5.2010 How can the market submit views on PTS’s assignment plans for the 800 MHz band?
21.5.2010 How can the interference/effect manifest itself?
21.5.2010 Why will there be a coverage requirement in the band?
21.5.2010 How does PTS address the formation of the coverage requirement?
21.5.2010 How will the coverage requirement process be arranged?
21.5.2010 How does PTS think that it can resolve the problem of terrestrial television potentially being
21.5.2010 What is ‘Channel 60’ and what applies to the 800 MHz band in relation to Channel 60?
21.5.2010 How does PTS address the formation of a spectrum cap and its impact on the competition situation?
21.5.2010 How does PTS consider that the 900 MHz band has been taken into account when designing the spectrum cap in the 800 MHz band?
21.5.2010 What is the purpose of assignment in the 800 MHz band?
21.5.2010 How will the auction be arranged?
21.5.2010 Why can’t wireless microphones be used in the 800 MHz band?
21.5.2010 Shouldn’t PTS be able to use the proceeds from the auction to buy in microphones?
21.5.2010 Will PTS organise any more hearings (information meetings) after the third hearing?
21.5.2010 Who and how many will have their terrestrial television affected?

 

Time schedule

21 May 2010
How can the market submit views on PTS’s assignment plans for the 800 MHz band?

PTS has been seeking the views of the market during the course of its work with spectrum assignment. PTS consequently held three information meetings (hearings) relating to the 800 MHz band – in April and September 2009 and in April 2010. PTS also published a written consultation in October 2009. PTS will circulate an open invitation for consultation during the autumn of 2010. In addition to these opportunities, PTS is also meeting market stakeholders for consultation and dialogue meetings.


21 May 2010
Will PTS organise any more hearings (information meetings) after the third hearing?

PTS has no plans to organise any further information meetings.

Licences and licence conditions

2 June 2010
When will licence holders be able to use the frequencies in the 800 MHz band?

The licence holders will have access to the frequencies immediately after PTS has granted a licence. However, accessibility may be affected in some areas due to coordination not having been finalised with neighbouring countries.

2 May 20101
Why has PTS set the licence period for 25 years?

PTS proposed a licence period of 15 years during the consultation in the autumn of 2009. Many of the market stakeholders regarded this as acceptable, but several stakeholders said that they would prefer a longer licence period.

PTS considers 25 years to be the most appropriate period for a licence because it is close to the commercial lifespan for a technology generation so far established. To encourage licence holders to invest, a reasonable period of time is required to see a return on their investment. One example is the ‘3G assignment’ in 2000, which had a licence period until 2015. Demand for 3G services improved in around 2007, which meant that only approximately eight years of the licence period remained.
Up until now, PTS’s practice has often been to have an original licence period of 15 years, plus an extension of 10 years, which also follows the transitional rule under LEK (the Electronic Communications Act). Under the new provisions contained in LEK, which entered into force on 1 August 2010, it will no longer be possible to extend a licence, for which reason the choice of licence period must be right from the start. Technology and service neutral licences as well as secondary trading with spectrum make it easier to change the technology employed if licence holders have a long enough licence period.

Spectrum cap and closely-related parties

17 September 2010
Which criteria are important for assessing the effect on competition when examining network cooperation or whether the leasing or lending of frequencies adversely affects competition?

The assessments made by PTS regarding the effect on competition are based on the competition law methods applied by PTS when assessing the need for ex ante regulation and applied by the Swedish Competition Authority when assessing abuse of a dominant position. PTS will base such an examination on the circumstances prevailing at the time and it is not possible to give any exhaustive answers in advance.

However, what is generally applicable is to ensure that good preconditions prevail for long-term, sustainable competition. For example, it can currently be concluded that opportunities to compete in the mobile broadband market are affected by the stakeholders’ ability to offer end users the capacity requested.

10 August 2010
What does PTS think about Telia’s proposal that the provision on closely-related parties should be extended so that operators that have network cooperation, which includes frequencies under 1 GHz, should be regarded as one operator?

PTS considers that the current legislation means that we already have the tools required to, from the perspective of competition, investigate (and when required stop) network cooperation that is based on services being offered to the stakeholder’s own customers that require access to frequency space for which the individual stakeholder does not have a licence. PTS does not consider it appropriate or necessary to introduce special rules for this in the procedure for the 800 auction. The rule on assignment contained in LEK means that PTS must consent to a licence holder allowing another party to use its frequency space provided there is no cause to assume that the assignment will have an adverse impact on competition.

21 May 2010
How does PTS address the formation of a spectrum cap and its impact on the competition situation?

Competition between several operators represents a precondition for achieving PTS’s objective of a broad range of affordable services for consumers. One precondition for long-term, sustainable competition in the market is that none of the operators receive too great a proportion of either the low or high frequency band that is used to provide consumers with mobile telephony and mobile broadband. A spectrum cap of 2x10 MHz ensures that there will be at least three licence holders in the 800 MHz band that are not closely-related to each other and that no operator will be able to have a dominant proportion of the frequency space available in this band.

21 May 2010
How does PTS consider that the 900 MHz band has been taken into account when designing the spectrum cap in the 800 MHz band?

PTS aims to have several licence holders in a band that are regarded as substitutes for each other.
It is reasonable, at least in the long run, to view the 800 and 900 MHz bands as substitutes; i.e. they have similar properties. The spectrum cap of 2x10 MHz proposed by PTS also means that when the 800MHz band is assigned, no one individual licence holder can be dominant in respect of its total holding of spectrum in the 800 and 900 MHz bands. The spectrum cap applies while the auction is underway, but not after frequencies in 800 MHz have been assigned.

PTS applied the same principle when the Agency made the assessment that a spectrum cap was unnecessary in conjunction with the forthcoming assignment of frequency space released in the 1800 MHz band. In this case, the analysis was based on the 1800 MHz band and the 2.1 and 2.6 GHz bands being substitutes for each other to a certain extent.

21 May 2010
Why hasn’t PTS taken any special measures to guarantee that a new stakeholder gets access to the 800 MHz band through this assignment?

The fact that there are several licence holders in 900 MHz band at the current time and that the same thing will be the case in respect of the 800 MHz band creates favourable conditions for long-term, sustainable competition. This means that when assigning the 800 MHz band PTS does not intend to take any special measures aimed at making things easier for new stakeholders; for example those that currently have little or no access to low frequency bands.
The proposed procedure affords both new and existing stakeholders the opportunity to participate in the auction.

21 May 2010
How do these principles fit in with different kinds of network cooperation, e.g. when operators use each other’s frequency space?

There have been different forms of network cooperation between most operators for many years now and it is likely that new cooperation will arise in the future. Up until now, PTS has not viewed this cooperation as having a negative effect on competition at an end-user level. Consumers are currently offered a wide range of affordable services.

Network cooperation is positive when this makes service-based competition possible in areas where several networks have not been established. Cooperation is preferable to just one individual operator having this access and being the only one to offer services to end users.
In order to achieve long-term, sustainable competition, PTS is of the view that infrastructure competition is very important. When competition prevails between completely separate infrastructures, there is increased pressure to reduce costs throughout the value chain, leading to more efficient networks. There is a risk that cooperation between competitors in respect of infrastructure may result in cooperating partners not competing to such a large extent in the end-user market as they would have if they had their own networks.

The spectrum cap and provision on closely related parties only applies during the auction.

If network cooperation were to result in a lack of competition, an examination would be conducted in accordance with competition legislation (Swedish Competition Authority).

21 May 2010
Can two operators acquire their own separate licences and then use the licences together in a jointly-owned network undertaking?

According to the provisions on closely related parties defined by PTS, two operators that have a jointly-owned network undertaking (50 per cent of the number of votes each) are not closely related to each other. They can participate in the selection procedure at the same time. On the other hand, the jointly-owned network undertaking may not participate at the same time as its owner, the operators.

21 May 2010
Why did PTS amend the provision on closely related parties following consultation?

We amended the provision on closely related parties in accordance with views from the market. The degree of influence required for two undertakings to be regarded as ‘closely-related’ has been raised to 50 per cent, as previous proposals meant, for example, that a majority owner in an undertaking could prevent a minority owner from participating in the assignment procedure.

Coverage requirement

24 September 2010
How will PTS ensure that the coverage requirement does not include addresses where there is already coverage?

The list of addresses where there is no coverage will be based on the operators’ details of their own networks’ coverage that the operators submitted to PTS in conjunction with the Broadband Survey. PTS will also afford operators the opportunity to review the list of addresses to be covered and notify PTS if any of the addresses already has coverage via their network.

21 May 2010 (updated 13.10.2010)
Why will there be a coverage requirement in the band?

PTS is imposing a coverage requirement in the 800 MHz band to help to achieve the Government’s Broadband Strategy, as the frequencies in the band have good propagation characteristics. The licence holder that purchases the coverage requirement block (2x5 MHz) shall provide broadband for  those permanent homes and fixed places of business that do not have broadband and that PTS identifies,, though for no more than a certain cost (at least SEK 150m and at most SEK 300m).

In PTS’s Broadband Survey for 2009, around 2,800 permanent homes and fixed places of business lacked the actual access to broadband. Information that the agency has collected to the broadband survey for 2010 suggests that the number of permanent homes and fixed places of business that lack actual access to broadband has decreased. A preliminary estimation indicates that the number of such homes and places of business lies in an interval between ca 1,000-1,500. The final numbers for 2010 will be determined during spring 2011. However, PTS can identify permanent homes and fixed places of business that have not been encompassed in the broadband survey.

21 May 2010 (updated 13.10.2010)
How does PTS address the formation of the coverage requirement?

PTS’s main aim as regards the coverage requirement is to help to achieve the Government's Broadband Strategy by resolving coverage problems both where and when these arise. It means that the license holder, throughout the duration of the license, must be prepared to cover households and places of business that PTS identifies, as long as there still is money promised for coverage left. 

Also, the formation aims to enhance the predictability for the license holder, since the license holder will know beforehand how much money that shall be used for coverage.

21 May 2010 (updated 13.10.2010)
How will the coverage requirement process be arranged?

PTS will identify those permanent homes and fixed places of business that do not have broadband by means of its Broadband Survey or by other means (entered on a ‘gross list’) and by asking operators whether there is coverage at these addresses (resulting in a ‘net list’).

In addition, the people at these addresses will be asked whether they are lacking and would like to have data communications services in accordance with the coverage requirement. The final list is determined on the basis of their responses and this is sent to the licence holder for the coverage requirement block. Licence holders may choose which homes/places of business receive coverage in accordance with PTS’s distribution over a period of time (coverage will be established gradually over a period of several years).

The list of homes and places of business that are to be covered will be updated annually until the money to provide coverage has run out.
One advantage for the licence holder is that the licence holder knows in advance how much money is going to be used for coverage.  

Technical conditions and effect on terrestrial television


16.12.2010
Will Channel 60 areas be changed during the term of the licence?

In the licence conditions, Channel 60 areas have been established as geographical areas where special technical conditions apply to use in the 800 MHz band. This is based on the need to protect both existing and planned use of the frequency space for terrestrial television. The actual use of Channel 60 for terrestrial television in various parts of Sweden may change over time, but this will not affect the licence conditions.

16.12.2010
What amendments has PTS made in the final version of the consultation response contained in the appendix to the open invitation with regard to technical conditions and the prohibition against causing interference with an undertaking to remedy interference to television receivers?

PTS has clarified the maximum radiated power that applies in relation to the effective height for an antenna at sites of antennae. This condition has been amended so that the effective antenna height is calculated as the height of the antenna above average ground level in a direction 0 to 3 km from the antenna.

In cases where maximum radiated power is restricted to 56 dBm/5 MHz EIRP, PTS has clarified that the possibility of using higher power applies if the antennae installation exclusively uses vertical polarisation.

In item 9 of the technical conditions, PTS has clarified that this condition applies to the 470-782 MHz frequency band throughout Sweden, together with 782-790 MHz in Channel 60 areas.

The condition that specifies requirements for terminals has been amended. The general requirements for terminals will be laid down in PTS’s Regulations on exemptions from licence obligations. There is still a condition for licence holders’ installations of terminals outside urban areas that, subject to certain conditions, may transmit at a higher average power than 23 dBm.

PTS has clarified that the signal levels that define television interference shall be measured using a reference antenna ten metres above the ground – in applicable conditions – at the household affected. The prerequisites that apply to the reference antenna, previously described in a footnote, have now been included within the text of the condition.

The levels that apply as the upper limit for the signal level (Table 2) have been revised. The levels which were previously given at a level of 5 dBm/5 MHz, have been adjusted to 0 dBm/5 MHz. This amendment has been made so that the levels correspond better to the results of the measurements on television receivers conducted within CEPT.

Otherwise, some adjustments have been made to the text for editorial reasons.

8.12.2010
How can an assessment be made of the effect to and from the aeronautical radio navigation service (ARNS) in Russia?

PTS has the 7th September 2010 published an extract on PTS’s website (information page regarding the 800 MHz assignment) showing assignments that Russia has notified to ITU.

This extract has been obtained from ITU-R BR IFIC and supplements the other information available within ITU-R, e.g. ITU-R M.1830, which describes the typical characteristics of ARNS (aeronautical radio navigation service), together with the Geneva 2006 Agreement (GE06) and supporting documents for WRC-12.

This extract provides detailed information about the data notified, including, for instance, frequency, bandwidth, type of station, type of system, geographical positions, transmitted power, antennae and information about associated receivers/transmitters and service areas.

The extract can be used to assess the expected impact in Sweden through use (assignments) of frequency space and geographical areas notified by Russia. The extract can also be used to analyse the expected impact from Swedish use in the 800 MHz band on ARNS in Russia.

Discussions are taking place as part of the work with WRC-12 and agenda item 1.17 regarding the levels to be applied by ITU as a coordination trigger when analysing notifications for the mobile service in 790-862 MHz in relation to other existing services, including broadcasting, fixed and ARNS. Joint task group 5-6 has produced supporting documents for agenda item 1.17, which will become one of the contributions for WRC-12.

For coordination with ARNS, both coordination distances and coordination field strength are discussed as possibilities that could be used as a coordination trigger. The purpose of the coordination trigger is to identify potential administrations affected, following which detailed coordination can be implemented at a bilateral level.

When making a notification, the different ARNS systems are normally identified by a system type code, which can then link the respective assignment to a certain level of protection. The levels of protection that can be used as guidance in the bilateral coordination with ARNS are provided in the ITU-R M.1830 and GE06. These analyses take into account the aggregated field strength from all transmitters within the bandwidth concerned.

The free space propagation model is normally used to analyse calculations of reception above the ground, assuming reception up to 10,000 metres above the ground. The radio horizon means that transmitters in the 800 MHz band are not expected to be able to affect reception above the ground at distances of more than approximately 432 km. Detailed calculations may give shorter separation distances, as regard is taken of the detailed characteristics of the transmitters concerned. Propagation model ITU-R P.1546 and reception ten metres above the ground are normally used for calculations in relation to terrestrial reception. There is a geographic limitation in respect of the service area protected for the territory of the country affected.

PTS is working to conclude a bilateral agreement with Russia for coordination between the mobile service in the 800 MHz band and ARNS, where the accepted interference levels are defined. The objective is to conclude such an agreement as soon as possible, but the agreement is unlikely to be in place at the time the 800 MHz band is assigned. However, the licence conditions in the 800 MHz band will include a condition providing that the licence holder must comply with coordination agreements that Sweden has concluded with other states.

It should be noted that ITU-R BR IFIC is published on a regular basis, including updated information about notified transmitters.

21 May 2010
How does PTS think that it can resolve the problem of terrestrial television potentially being affected?

There is a risk that use of the 800 MHz band will affect terrestrial television (which is located in the 470–790 MHz frequency space). This is why the licence conditions will include a requirement that licence holders may not cause interference to terrestrial television. The licence holders themselves may determine the most effective method of dealing with the problem of interference in a certain area.

Licence holders in the 800 MHz band must set up a joint service organisation (help desk) to which affected television viewers can refer to report interference so that television viewers can get help as quickly as possible. The licence holders shall thereafter jointly determine whether it was one of the licence holders in the 800 MHz band that caused the interference. If this is the case, this licence holder must remedy the interference.

2 May 2010
Who and how many will have their terrestrial television affected?

When the 800 MHz band is rolled out there is a risk that terrestrial television reception in areas close to the base stations may be affected. For this reason PTS is imposing a requirement on the licence holders stating that they do not cause interference and that any interference that does arise be remedied. The total number affected depends on the operators’ rollout strategy in the band.

21 May 2010
How can the interference/effect manifest itself?

Interference may result in television viewers finding it difficult to receive certain channels broadcast and in particular those broadcast in frequencies closest to the 800 MHz band. Residential customers who have their antennae closest to the base stations might end up experiencing interference in respect of all of their programmes.

21 May 2010
What is ‘Channel 60’ and what applies to the 800 MHz band in relation to Channel 60?

It is planned to use terrestrial television at different frequencies at different locations in Sweden (according to the international Geneva 2006 Agreement). The frequency closest to the 800 MHz band is called ‘Channel 60’ and is used in some parts of Sweden. In these places, special rules will apply to reduce the risk of an effect on terrestrial television.

The special rules laid down in these areas will result in additional costs for operators in the 800 band, including base stations having to be equipped with additional filters.

Cooperation


2010-10-29
What does the prohibition on collusion entail?

Two or more bidders may not collude during the auction procedure. Collusion arises if bidders enter into an agreement or act in concert in some other way to restrict the competitive component of the auction. An agreement on cooperation concluded before applications have been submitted is subject to the prohibition if bidders trade in accordance with the agreement during the auction procedure.

If it becomes known to PTS during the auction that two or more bidders are colluding, PTS may bar these parties from participating in the auction.

Application and bank guarantee

30.1.2011
Is a registration certificate an acceptable document to satisfy the condition of an extract from the Trade and Industry Register?

Yes. Foreign applicants must provide an equivalent extract. (If the extract from the Trade and Industry Register or corresponding is not in Swedish or English, a Swedish or English translation of the extract shall be attached to the application. If the extract does not clearly indicate that the person who signed the application (or power of attorney) is an authorised signatory for the applicant, a short description of authorised signatory powers shall be attached to the application, with references to relevant legislation.)

30.1.2011
Can a printout of the electronic registration certificate be submitted (e-registration certificate)?

Yes, as long as it contains the same information as a registration certificate that can be ordered in paper format.

16.12.2010
Can applications be submitted in English?

No, everyone who applies must use the Swedish application form,  i order not to risk that the application is rejected. The application has been translated into English in the open invitation; this can be used as guidance when filling in the Swedish form.

 

Auction and trial auction

9 February 2011
Does Item 2 in the following text, which is contained in Section 6.12 of the Open Invitation, mean that bidders also receive information about permitted bidding levels of others if these are not the same as their own? (“Before each bidding round, PTS will publish information in the auction system concerning: the start and end times for the next bidding round, bidding levels permitted in the next bidding round”.)

No. Bidders only receive information about their own permitted bidding levels.

1 February 2011
Am I correct in understanding that the text on page 41 of the Open Invitation “the frequency blocks where the bidder has a binding bid that is not the standing high bid, the size of this bid and how this bid has been ranked” means that each bidder also receives information (size and ranking) about bids of their own that are not standing high bids?

Yes.

1 February 2011
Does information about ‘ranking’ include information about the number of binding bids in each block (e.g. ‘1 of 2’ or ‘2 of 3’) or only their number in the ranking?

The ranking only provides information about the bidder’s own ranking regarding the bid that the bidder has placed in the frequency block, and consequently not the number of binding bids in each block.

18 January 2011
How will PTS set new bidding levels for a frequency block where bids have already been placed? Will there be one or more possible bidding levels for each frequency block, and by how much can a bid be raised in each round?

The starting point for setting bidding levels is that the auction should not take an unreasonably long time. This involves higher bidding levels if PTS considers that the auction still has a long time to run and lower bidding levels when the auction is drawing to a close. The activity in the auction is PTS’s main tool for making this assessment. More detailed information will be given to those applicants taking part in the auction.

18 January 2011
Can a bid that has been cancelled by being switched to a different frequency block be reactivated?

No.

18 January 2011
Can a block remain unsold at the end of the auction even if a bid had previously been made for that block? Example: a bid was made for FDD1 in bidding round 1 and was subsequently switched to FDD6, after which no other bids were received for FDD1.

Yes, if all of the existing bids for this block have been cancelled during the auction by being switched to other frequency blocks.

18 January 2011
How will PTS set a new bidding level for a frequency block if the highest current bid is a reactivated bid?

The bidding level is set higher than the standing highest bid for the block (in this case the reactivated bid). If a bidder switches back to the frequency block where it previously placed a bid (which was cancelled), the bidding level for this bidder will also be higher than this bidder's previous bid for the frequency block.

18 January 2011
How does PTS set a new bidding level for a block if the standing highest bid has been cancelled by being switched?

The bidding level is set higher than the standing highest bid for the block after the switch. If a bidder switch back to the frequency block where it previously placed a bid (which was cancelled), the bidding level for this bidder will also be higher than this bidder's previous bid for the frequency block. If no binding bids remain in the frequency block, PTS shall decide on the lowest bid permitted for this frequency block in the next round.

18 January 2011
If no bids remain for a block at the end of the auction, what happens next?

Licences not assigned at the auction or revoked will be assigned through a new procedure.

18 January 2011
Section 6.12 of the Invitation describes the information provided during an auction. Can PTS provide an example of how this information will be presented at the end of each round, e.g. a screen dump of the general information for all participants together with the specific information provided to individual bidders?

Applicants taking part in the auction will be provided with the information that bidders will have access to in the user interface.

18 January 2011
Can PTS also provide an example of how the information distributed via the auction system will be presented, e.g. screen dumps from the auction software?

Applicants taking part in the auction will be provided with the information that bidders will have access to in the user interface.

18 January 2011
The information provided in Section 6.12 may be interpreted as follows: bidders with the standing highest bid will not know whether there are other bidders with low bids in the same block, but bidders who do not have a standing highest bid will know that there are other bids in the block. Is this correct?

Yes.

18 January 2011
All bidders are entitled to waive three times. If no waivers are used during the auction up until the point when no new bids are being made, will there then be three bidding rounds so that all waivers are exhausted?

No, waivers is only used if a bidder has not registered a decision during a bidding round and if eligibility of the bidder would otherwise be reduced. The auction system will then automatically use one of the bidder’s rights to waive in order to protect the bidding eligibility (if any opportunities to waive remain). 

18 January 2011
If a bidder has the highest bid for a block (e.g. FDD4), can the same bidder raise or place a higher bid for the same block?

Yes.

18 January 2011
If a bid is switched from a frequency block and this switch results in this block having no standing highest bid, will the auction software show that there is no standing highest bid for this block, i.e. after PTS has set a bidding level?

Yes, if there is no standing highest bid, this will be shown.

18 January 2011
It is indicated by the Invitation that contact persons will receive the login details and web address required to take part in the auction. Is any particular web browser or other software required to be able to place bids during the auction? Will the auction be secure, a certificate or corresponding?

The starting point is that bidders will be able to use standard IT equipment at the auction. Detailed information about interfaces, any certificates, software etc. required to take part in the auction will be included in the information that, for security reasons, we are only providing to those applicants taking part in the auction. PTS will thus afford bidders access to such information after 31 January 2011.

18 January 2011
Does the minimum bid also apply to a block later on in the auction in the event that no-one has placed a bid for the block in previous rounds?

Yes.

18 January 2011
Does the minimum bid also apply to a block later on in the auction for participants who have not previously placed a bid for this block in the event that one or more other participants had previously placed bids for the block and had then cancelled their bids by switching them so that there are no bids left for the block?

No. If no binding bids remain in the frequency block after bids have been switched, PTS shall decide on the lowest bid permitted for this frequency block in the next round.

18 January 2011
Section 6.12 of the Open Invitation issued specifies the information provided to participants between bidding rounds. Answers to the following questions are requested in this respect. Is it correct that ‘aggregate activity in the auction’, concerning which information is provided after each binding round, is only the total of the participants’ activity calculated according to a-c at the top of page 36 of the Invitation?

Yes, Applicants taking part in the auction will be informed how the aggregate activity will be presented in the user interface.

18 January 2011
When will applicants, who are allowed to take part in the auction, be provided with the information that bidders will have access to in the user interface?

PTS will provide more detailed information, such as manuals, etc., to applicants allowed to participate in the auction as soon as possible after the deadline for applications.

21 May 2010
How will the auction be arranged?

The selection procedure shall be implemented as a multi-round auction; that is, bidders place bids for specific blocks and can raise and switch their bids until bids are no longer raised. This is a tried and tested auction format with a transparent price situation that is appropriate when the various blocks are different in terms of requirements and values.

Payment and assignment of licences

 

Wireless microphones

21 May 2010
Why can’t wireless microphones be used in the 800 MHz band?

The Swedish Government decided in December 2007 that the 800 MHz band (790-862 MHz) should not be used for terrestrial digital television in Sweden. Similar decisions have been made in several other countries in Europe. In February 2008, PTS therefore informed the market that this means that there will no longer be any licences available for wireless microphones in the band. (Wireless microphones use what is referred to as ‘white space’.) All licence holders have received the information sent to them as have trade associations. PTS has also attended and provided information at trade fairs. Read more about wireless microphones (in Swedish).
 
21 May 2010
Shouldn’t PTS be able to use the proceeds from the auction to buy in microphones?

PTS does not receive any of the proceeds from the auction. According to law, this money goes to the public treasury.

Assignment in general

17 September 2010
Why were new regulations introduced for the assignment of the 800 MHz band (in addition to the general regulations on spectrum auctions)?

One of the frequency blocks (FDD6) is subject to a condition on coverage and will be assigned through a combination of a beauty contest and an auction. As PTS’s Regulations (PTS Code of Statutes - PTSFS 2008:1) on spectrum auctions only apply to auctions, PTS produced new draft regulations for the FDD6 selection procedure (approved in the autumn of 2010).

Click on image for larger image in new window (image only in Swedish)

21 May 2010
What is the purpose of assignment in the 800 MHz band?

The frequencies in the 800 MHz band are attractive and PTS wants to make them available to the market as soon as possible. An auction is planned for the first quarter of 2011. The aim is that individual consumers should get access to wireless communication services over as large an area as possible.
As these frequencies have good propagation characteristics, PTS will impose a coverage requirement in the band to help to achieve the Government’s Broadband Strategy.

There are currently several mobile operators in the Swedish market, which means that consumers are offered a wide range of affordable services. In order for that to also be the case in the future, PTS wants to ensure that at least three stakeholders can purchase frequencies in the band. This will be done by imposing a ‘spectrum cap’ (one stakeholder may purchase no more than 2x10 MHz).