C&W Optus sell-off muddies 3G auction waters

date: 13th February 2001, source by: telecomasia.net

The yet-to-be-completed sell-off of Cable & Wireless Optus is threatening to complicate the Australian third-generation spectrum auction, which gets underway next month.

Seven bidders have announced they will take part in the bidding, the Australian Communications Authority announced yesterday.

However, the break-up of C&W Optus is likely to put the actual number of bidders into doubt as Optus, along with all of its suitors – Telecom New Zealand, Hutchison and Vodafone – are all taking part in the bidding.

According to a report in The Australian, ACA executive manager John Grant confirmed on Monday that the Optus sale would throw the 3G auction into confusion, and there would be possibly few bidders.

Australia’s existing five mobile players are all lining up to compete for spectrum, according to the ACA.

However, two surprise bidders from the US are on the list – CKW Wireless, reportedly backed by smart antenna specialist ArrayComm, and 3G Investment, an offshoot of CDMA pioneer Qualcomm.

Successfully bidders will be allocated licenses for a 15-year term commencing in October 2002, offering next-generation mobile phone services throughout most areas of Australia.

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