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UK Denies Report of Help for 3G Mobile Firmsdate: April 23, 2001 A British government official denied a report Monday that Britain was considering refunding the $31.69 billion mobile operators spent on third generation (3G) telephone licenses. A Guardian newspaper Web site quoted a senior government official as saying a refund was under serious consideration. ``There is no substance whatsoever to any of these reports,'' a Treasury official told the press. The report, on www.mediaguardian.co.uk, said the most likely scenario was a ``vendor financing'' deal, where the government would loan back the license money to pay for 3G networks. ``There will be some sort of deal done over investing in the networks,'' a second source close to negotiations between the operators and the government told the Web site. ``The government will dress it up as encouraging investment, but in effect it will be paying back the companies. They are putting the money back in the pockets of those who paid.'' Spokesmen for Vodafone Group Plc and One 2 One would not comment on the details of the article. Five mobile companies paid more than $31 billion last year for licenses to offer third generation services, based around fast Internet access and enabling video conferencing and music downloads.
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