Three Equals Three for Slovakian 3G

date: May 15, 2002 - source: BWCS

The government of Slovakia has confirmed that just three companies have entered bids for its three available next-generation UMTS mobile licences. Both of the country’s existing cellular operators – Eurotel and Orange – are taking part in the auction, while the third bid, which offers a new entrant both an UMTS concession and a licence to operate a GSM network, was received from a local internet service provider called Profinet.

The government was expecting to have to choose the best candidates from a number of bidders, but now says that with three concessions and three interested companies the planned auction has become more of a straight licensing process. The two 3G licences are being sold for a fixed price of SKK1.499 billion (US$32.3 million), while the combined 3G/GSM concession is being sold for SKK1.5 billion.

The Slovakian authorities had been hoping for a better response to the sale of an additional GSM licence in a country which is home to around 2.15 million mobile subscribers. Orange, formerly known as Globtel, is the largest operator, claiming around 56% of the total market. Eurotel, meanwhile, is 51% owned by the national PTO Slovak Telecom, which is itself part owned by Deutsche Telekom.

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