Spectrum Auction: Delay Urged for MVNOs and National Telecom

The Consumer Council has submitted a letter to the National Broadcasting and Telecommunications Commission (NBTC) calling for the delay of the mobile spectrum auction in the 850 MHz, 1500 MHz, 1800 MHz, 2100 MHz, 2300 MHz and 26 GHz bands, emphasizing the need to open a forum to listen to the opinions of all stakeholders before proceeding with the auction, especially the impact on mobile virtual network operators (MVNO) and the National Telecom Public Company Limited (NT).

The main issue raised by the Consumer Council is the concern about the public hearing that was held on April 1. This is not sufficiently comprehensive for all stakeholders, especially MVNO service providers who rely on NT’s network and major service providers to operate their businesses. The 850 MHz, 2100 MHz and 2300 MHz up for bidding this summer is the spectrum currently used by NT, the only mobile operator to live up to the conditions of hosting MVNOs in Thailand.

The auction, without careful consideration of the impact on MVNOs will result in unfair competition and ultimately affect consumers who use MVNO services. In addition, the Consumer Council also noted the auction of the 850 MHz spectrum, whose license is set to expire in August, together with the other NT bands, is without a clear guideline for compensating existing users and MVNOs users.

Itthibun Onwongsa, Deputy Secretary-General of the Office of the Consumer Council, stated that NT is a state enterprise, so it can be interpreted as a type of public service. If NT spectrum is auctioned, it may affect security during a crisis (as seen with the earthquake last week), affect vulnerable groups who need to use telephone and internet services, and reduce competition in the telecommunications market. Therefore, the NBTC should consider the conditions for allocating frequencies to government agencies without using the auction method to provide public services, which will truly benefit consumers.

The Consumer Council therefore proposed that the NBTC consider extending the period for hearing opinions. To provide stakeholders, such as government agencies using NT’s spectrum and mobile virtual network operators (MVNO), with time to consider and provide comprehensive opinions, which will open up opportunities for new players to enter the market and help create diverse and sustainable competition in the market.

The Consumer Council hopes that the NBTC will consider these proposals so that this frequency allocation will be of maximum benefit to consumers and the country as a whole.