French government ministers on Thursday formally launched the country’s 700 MHz spectrum allocation process.
Economy minister Emmanuel Macron and secretary of state Axelle Lemaire have signed off on telecoms regulator Arcep’s proposed conditions for the auction of 700-MHz frequencies. The move marks the official launch of the process, the pair said in a statement.
The government confirmed that the reserve price for a 5 MHz block of paired 700-MHz spectrum will stand at €416 million, meaning that if all 30 MHz of available spectrum is sold the state will raise €2.5 billion.
The ministers also ratified Arcep’s previously announced conditions on coverage and spectrum caps.
The licences will carry coverage obligations that will require the winners to provide services in rural areas and along 29,000 km of railway lines.
Auction participants will be restricted to a maximum of three blocks, or 2 x 15 MHz of 700-MHz spectrum. In addition, the state has capped the amount of spectrum an operator may hold across the 700 MHz, 800 MHz and 900 MHz bands at 2 x 30 MHz.
Licences will be awarded by the end of the year, the government said, backing up Arcep’s previous announcement regarding the projected timescale of the auction. In June the regulator said that bidders will have until the end of the third quarter to submit their applications, with the auction due to take place in Q4.
Arcep will share a precise timetable soon, the ministers said.
