Telecommunications press release

At 4:12pm today, the Telekom-Control Commission concluded Stage I of the UMTS auction after 14 rounds of bidding. According to the packages acquired, the Commission will grant 6 licenses. Revenues from Stage I totaled ATS 9.691 billion, 1.291 billion more than the original minimum bids submitted for packages in the paired range. The 12 frequency packages of 2x5MHz each were allocated to the bidders as follows:

In Stage II of the auction, the additional spectrum was allocated to the successful bidders from Stage I. 5 unpaired packages of 5 MHz each were auctioned off.

Auction procedure concluded

Stage II of the UMTS auction was completed after 2 rounds, thus concluding the entire UMTS auction.

max.mobil. Telekommunikation Service GmbH and Mobilkom Austria AG will be allocated two packages each from the paired and unpaired ranges; Hutchison 3G Austria GmbH will receive two packages from the paired range and one from the unpaired range; Mannesmann 3G Mobilfunk GmbH and 3G Mobile Telecommunications GmbH will each be granted two packages from the paired range.

The table below gives an overview of the successful bidders and the packages for which they will receive licenses:

Total revenues for the Republic of Austria: ATS 11.443 billion

Revenues from Stage II totaled ATS 1.752 billion; added to the license fees from Stage I, this makes for a total of ATS 11.443 billion in revenues for the Republic of Austria.

What happens next

Now that the auction procedure has been concluded, the abstract frequency packages acquired in the auction will be assigned to concrete frequency channels in the next (approximately) two weeks. In assigning these channels, the Telekom-Kontrol Commission will aim to allow the optimum use of the frequencies for the bidders. Wherever it is reasonable and possible, the packages acquired by the bidders will be combined for the paired and unpaired ranges and allocated as a closed frequency range. Once this process has been completed, the Telekom-Control Commission will be able to issue the official frequency allocation decisions and deliver them to the licensees.

License fee payment arrangements

The original minimum bid for each frequency package is to be paid by the licensees within 7 days of receiving the official licensing decisions. For a package in the unpaired range, a payment of ATS 700 million is to be effected within one week; the corresponding amount in the paired range is ATS 350 million.

Licensees are to pay the remainder of the license fee within six weeks of receiving the official decision. Payments are to be made to the Republic of Austria, and the account will be managed by the Federal Ministry of Science and Transport.

In the case of failure to pay the license fee on time or in its entirety, the license will be considered void.