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Chile: TDLC to hear proposal to ‘unfreeze’ spectrum for mobile operators

 |  August 28, 2018

A technical debate that has been raging for two months in Chile’s telecommunications industry could begin to wind down in the coming weeks, over to the decision by the Sub-secretariat of Telecommunications (Subtel) to freeze the use of the 3,500 MHz band – mainly affecting Claro and Entel – as well as the limit imposed by the Supreme Court of 60MHz for each operator.

Subtel will appear before the Tribunal for the Defense of Free Competition (TDLC) to present an option to review the maximum limits for each operator. Subtel will also announce the bases of bidding for 5G networks in the country.

“We are working to go before the TDLC with a proposal for a spectrum cap within a competitive range, we will evaluate the optimal standards for the technological development of Chile, which implies analyzing all the technologies with a long term view. For that we are looking at international experiences, like those of the United States and countries in Europe and Asia,” commented Subtel undersecretary Pamela Gidi.

An industry player points out that there are cases of implementation of the 5G network, such as Spain, which could be taken as an example. The conditions and concession rights for the 3,400-3,500 MHz were maintained, and the Ministry of Economy auctioned 200 MHz for the upper part of the band 3.60-3.8 GHz, which meant that the State collected more of US$505 million.

But undersecretary Gidi says that the case of Chile is not comparable: “The Spanish model, and around the world in general, is based on radio spectrum auctions, where the largest economic offer obtains the right to a concession. In Chile, the State must ensure compliance with a technical project submitted by the winning company, which maximizes the social value of the spectrum awarded, so there is no payment for rights”.
Full Content: Economía y Negocios

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