Carriers secure 6/7 GHz band in Hong Kong

Earlier this month, OFCA said it concluded the auction of 2.3 GHz and 850 MHz spectrum in the 6/7 GHz band

Hong Kong’s Office of the Communications Authority (OFCA) announced the completion of the auction of the radio spectrum in the 6/7 GHz band.

The regulator noted that a total of 300 megahertz of spectrum in this band was awarded to local carriers China Mobile Hong Kong, SmartTone and Hong Kong Telecommunications (HKT). Each carrier acquired a block of 100 megahertz with a spectrum utilization fee (SUF) of HKD 210 million ($27 million).

“Hong Kong is the first in the world to conduct the auction of radio spectrum in the 6/7 GHz band for the provision of public mobile services. Being the largest remaining single block of mid-band spectrum for mobile services, the 6/7 GHz band will enable the deployment of 5G and in the future, 6G mobile communications services, with high-speed and capacity vital to the future sustainable development of digital economy and mobile broadband connectivity,” a spokesman for OFCA said.

The regulator also stated that the provisional successful bidders are required to pay the SUFs and submit performance bonds to guarantee compliance with network and service rollout requirements by January 15, 2025. The assignment of the spectrum will take effect on or before March 31, 2025, with a validity period of 15 years.

Earlier this month, OFCA said it concluded the auction of 2.3 GHz and 850 MHz spectrum.

China Mobile Hong Kong acquired the maximum allocation of 50 megahertz in the 2.3GHz spectrum band for HKD1.07 billion, said OFCA.

Hutchison Telecom followed closely behind, securing 10 megahertz in the 850MHz band —the maximum permitted — along with an additional 20 megahertz in the 2.3GHz band, for a total of HKD617 million.

Meanwhile, HKT acquired 20 megahertz in the 2.3GHz band, paying HKD400 million and SmarTone obtained 10 megahertz in the 850MHz band for HKD151.5 million.

OFCA noted that it will issue licenses for this spectrum for a period of 15 years.

In June, OFCA had announced the results of the second round assignment of the frequencies in the 26 GHz and 28 GHz bands.

The regulator had stated that a total of 1,200 megahertz of the spectrum was expected to be assigned in the third quarter of this year to China Mobile Hong Kong, HKT, Hutchison Telephone Company and SmarTone.

China Mobile Hong Kong, Hutchinson and HKT had launched commercial 5G services in Hong Kong in April 2020, while SmarTone, announced the launch of commercial 5G services in the territory using Ericsson’s Dynamic Spectrum Technology (DSS) in May 2020.

Local operators had acquired 200 megahertz of 3.5 GHz spectrum in mid-October 2019. Those 5G licenses are valid for a 15-year period.