Canada to allocate 2500-2690 spectrum

date: December 14, 2001

Brian Tobin, Minister of Industry, announced key decisions regarding the 2500-2690 megahertz (MHz) band, currently licensed in Canada for wireless cable Multipoint Distribution System (MDS) and wireless Internet Multipoint Communication System (MCS) services.

In today's announcement Minister Tobin declared that Canada will introduce fixed and mobile allocations throughout the band such as 3G services identified to be use in North America, and that incumbent licensees will not be relocated. These decisions will provide increased certainty to current licensees and allow the wireless communication and broadcasting distribution industries to continue advancing their services to Canadians.

"It is in the public interest to provide the current licensees with the assurance of not being displaced," said Minister Tobin. "This will permit them to continue their operations in accordance with their current business plans under their existing terms and conditions of licence. With this announcement I am confident that we will minimize the uncertainty for our Canadian licensees and allow them to move forward with delivery of broadband services to Canadians."

Minister Tobin further stated that Industry Canada will initiate a consultation process to seek views on licensing considerations arising from this change in allocation.

Recent deliberations in the United States had identified the 2500 MHz spectrum as one of several candidate bands for advanced mobile communications or 'third generation' (3G) services. On September 24, the Federal Communications Commission (FCC) in the United States announced its decision to introduce flexibility to the 2500-2690 MHz band by adding a mobile allocation to the existing frequency allocations. Furthermore, it announced that incumbent licensees would not be relocated. The FCC stated in their decision that it would rely on market forces to determine to what extent, if any, this band will play a role in the delivery of 3G services.

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