Spectrum licensing is a powerful lever that national regulatory authorities can use to influence the competitive structure and behaviour of the mobile telecoms sector. The amount of spectrum made available and the terms on which it is made available fundamentally drive the cost, range and availability of mobile services.
Mobile is a capital-intensive industry requiring significant investment in infrastructure. Governments’ spectrum licensing policy — when supported by a stable, predictable and transparent regulatory regime — can dramatically raise the attractiveness of markets for investment.
Spectrum management for mobile telecommunications is complex, as governments release new spectrum in existing mobile bands; manage the renewal of licences coming to the end of their initial term; and release spectrum in new bands for mobile broadband services.