HK Govt To Prevent Irrational 3G Bidding

date: 26th February 2001

The Hong Kong government will introduce a mechanism to prevent "irrational bidding" for the third generation mobile phone licenses in the city, the Hong Kong Economic Times reports Monday, quoting Director-General Anthony Wong of the Office of the Telecommunications Authority. Wong doesn't encourage bidders to bid at more than 10% of the royalty fee, the paper said. Under the royalty-based bidding system in Hong Kong, telecom operators will pay a percentage of their future annual revenue instead of an upfront license fee for the right to operate a 3G network.

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