The spectrum auction in Mexico has been delayed. A court has accepted an appeal by MVS Comunicaciones and Iusacel to suspend the auction, arguing that the bidding rules were unfair.
MVS argues that Secretario de Comunicaciones y Transportes should renew licenses in the 2.5 GHZ bandwidth before the process begins. The SCT is auctioning off space in the 1850MHZ-1990MHz and 1710MHz bands. The largest operator by subscriber base also expressed displeasure in the auction. Under the current rules, the government will have control over a total of 120MHz split into two blocks, with nine blocks of spectrum in the 1850-1990MHz band in eight of the country’s nine operating regions. Another seven blocks between the 1710MHz and 2179 MHz will be offered in all nine regions in a separate auction.
A cap of 80Mhz per operator will be imposed. Despite the ruling, Gonzalo Martinez, commissioner of telecoms regulator Cofetel, stated that the auction date stands and the deadline for submissions is May 25, 2010. A hearing will be held February 8 and then within 24 hours, the court will decide whether or not to suspend the auction definitively.
Telecoms need the spectrum space to launch wireless high speed internet WiMax. WiMax has the connectivity to provide internet services to remote areas of Mexico. MVS is partially owned by Clearwire, which is looking to build out a WiMax across the United States.
Photo Courtesy of Lucy Nieto via Flickr
