700MHz and 2600MHz Spectrum Blocks Sold at Auction
The availability of new 4G spectrum to Telstra and Optus combined with matching carrier aggregation capable chipsets and phones will add a lot of capacity and some spice to the bragging rights in the mobile speed contest.
The new LTE 4G 2600MHz spectrum becomes available from October 2014. Of greater interest however is the Band 28 700 MHz spectrum which, following the completion of the UHF TV “restacking”, will be available for use from 1st January 2015.
Telstra has said that it will have 700 MHz LTE coverage within 3Km of the centre of all capitals and in 50 regional centres on January 1 2015. By this time Telstra says it will have 13 700 MHz capable device models representing one million of the 16 million devices on their network. Telstra says it has plans to spend $1.3Bn to bring 4G coverage to 90% of Australia’s population.
Both Optus and Telstra have gained early access to 700 MHz spectrum in selected areas. ACMA has listed Telstra trials in Griffith and Sydney (NSW), Brisbane (QLD) as well as Perth and Fremantle (WA) here. However other trial locations Esperance (SA), Mildura (NSW) and Mt Isa (Qld) have been mentioned. Telstra has said that 700MHz services will be turned on in Sydney, Adelaide, Darwin, Bundaberg, Yamba (NSW) and Sarina (Qld) in the week beginning 15 September 2014. They say they will expand these commercial trials to 20 additional metropolitan and regional areas by the end of 2014. Optus has trials in Darwin and Perth with permission also for Sydney.
Vodafone which did not participate in the 4G 2600/700 MHz spectrum auctions has been refarming some of its 2X10MHz of 850 MHz spectrum from 3G to 4G. This, albeit small block, of low band spectrum will improve the reach and depth of coverage of its 4G network. The 850 MHz spectrum has the advantage of being available straight away and being supported on the majority of modern smart phones already in service. Vodafone will rely for its 4G service on this 850 MHz spectrum combined with its more extensive holding of 1800MHz spectum.
The GSA has an updated report on the adoption of 700MHz band 28 by mobile operators. The report shows that as at Februay 2015 there were 42 countries either using, committed to, or advocating this band for LTE and 8 operators in 4 countries including Australia having launched LTE service in this band. The GSA report is here.