Spectrum auction concluded

The Government's 2.3GHz and 2.5GHz spectrum auction was concluded on Tuesday. Telecom and Craig Wireless, a Canadian investment company, will pay $916,000 and $1.1 million each for 40MHz blocks, reports the Dominion Post. In total, telecommunications companies will pay the Government $4.4 million for radio spectrum. Vodafone, Woosh Wireless and the state-owned enterprise Kordia each won 35MHz blocks in the auction and CallPlus won 30MHz. The spectrum will be used to deliver wireless broadband using WiMax technology.

"It's good to get the auction concluded ahead of [Christmas] so that there is certainty around that component of our plans," says Martin Wylie, chief executive of CallPlus and Slingshot.

In early 2008, CallPlus plans to expand its WiMAX services into the Auckland area as well as going into Telecom's exchanges with its own equipment as part of local loop unbundling, says Wylie. Compass Communications and Snap Internet dropped out of the bidding.