National Communications Commission (NCC) has commenced the third wave of auction of spectrum for mobile broadband business (4G) licenses. The first stage of the auction began today. After 10 rounds of bidding on the first day, the total sum of the standing high bids reached TWD 23,760 million.
The auction takes place from 9 am to 4 pm and continues tomorrow. A total of five eligible bidders - Chunghwa Telecom, Taiwan Mobile, Taiwan Star Cellular, Asia Pacific Telecom, and Far Eastone Telecommunications - have begun placing bids for blocks of spectrum.
15 frequency blocks totaling 150MHz have been put up for auction in the 1,800MHz and 2,100MHz frequency bands. Each frequency block contains a 10MHz bandwidth, 5MHz each for upstream and downstream frequencies. The 1,800MHz frequency band is divided into 3 blocks (30MHz in total) while the 2,100MHz frequency band consists of 12 blocks (120MHz in total), allowing bidders to flexibly plan the frequency bands at each stage.
In order to prevent monopolization and to ensure fair competition in the mobile communication market, according to Regulations for Administration of Mobile Broadband Business, each enterprise may be awarded a maximum of 20MHz equally for both upstream and downstream frequencies in the 2,100MHz, reaching a maximum of 25MHz equally for upstream and downstream frequencies in the 1,800MHz and 2,100 MHz frequencies combined.
The first stage of the auction is conducted by means of the simultaneous multiple-round auction (SMRA) format, which has become a widely-used system for the auction of spectrum. When all bidders have ceased valid bidding for any frequency block within 2 consecutive rounds, the bidding immediately concludes. The final stage of the auction takes place 2 weeks after the first stage has concluded.
After the 10 rounds of auction today, all five enterprises are still eligible bidders. The standing high bids are as follows:
2,100MHz frequency band
EV1: TWD 2,020 million
EV2: TWD 1,960 million
EV3: TWD 1,960 million
EV4: TWD 1,960 million
EV5: TWD 1,960 million
EV6: TWD 1,960 million
EV7: TWD 2,020 million
EV8: TWD 1,960 million
EV9: TWD 1,960 million
EV10: TWD 2,020 million
EV11: TWD 2,020 million
EV12: TWD 1,960 million
1,800MHz frequency band
Currently, no bidder has placed bids on C6V1, C6V2, C6V3.
For further information, please refer to charts and statistics below.
For the latest bid results and details please refer to the NCC website(https://mbb4g.ncc.gov.tw/106)
Chart 1: 1800MHz and 2100MHz Bands Standing High Bids vs. Reserve Prices for the First Day
|
Band
|
2100MHz EV1
|
2100MHz EV2
|
2100MHz EV3
|
2100MHz EV4
|
2100MHz EV5
|
2100MHz EV6
|
2100MHz EV7
|
2100MHz EV8
|
2100MHz EV9
|
2100MHz EV10
|
2100MHz EV11
|
2100MHz EV12
|
1800MHz C6V1
|
1800MHz C6V2
|
1800MHz C6V3
|
|
Standinghigh bids(TWD in Million)
|
2,020
|
1,960
|
1,960
|
1,960
|
1,960
|
1,960
|
2,020
|
1,960
|
1,960
|
2,020
|
2,020
|
1,960
|
-
|
-
|
-
|
|
Reserve price(TWD in Million)
|
1,900
|
1,900
|
1,900
|
1,900
|
1,900
|
1,900
|
1,900
|
1,900
|
1,900
|
1,900
|
1,900
|
1,900
|
2,200
|
2,200
|
2,200
|
Chart 2: Trend of Standing High Bids & Eligible Bidders
| Date |
10/31 |
| Eligible bidders(TWD in Million) |
5 |
| Standing high bids(TWD in Million) |
23,760 |
Figure 1: Standing High Bids vs. Reserve Prices for the First Day
|
Band
|
Frequency
block
|
Lots
size
|
Standing high bids
(TWD in Million)
|
Reserve price
(TWD in Million)
|
Increment
rate
|
|
2100MHz
|
EV1
|
2x5MHz
|
2,020
|
1,900
|
6%
|
|
2100MHz
|
EV2
|
2x5MHz
|
1,960
|
1,900
|
3%
|
|
2100MHz
|
EV3
|
2x5MHz
|
1,960
|
1,900
|
3%
|
|
2100MHz
|
EV4
|
2x5MHz
|
1,960
|
1,900
|
3%
|
|
2100MHz
|
EV5
|
2x5MHz
|
1,960
|
1,900
|
3%
|
|
2100MHz
|
EV6
|
2x5MHz
|
1,960
|
1,900
|
3%
|
|
2100MHz
|
EV7
|
2x5MHz
|
2,020
|
1,900
|
6%
|
|
2100MHz
|
EV8
|
2x5MHz
|
1,960
|
1,900
|
3%
|
|
2100MHz
|
EV9
|
2x5MHz
|
1,960
|
1,900
|
3%
|
|
2100MHz
|
EV10
|
2x5MHz
|
2,020
|
1,900
|
6%
|
|
2100MHz
|
EV11
|
2x5MHz
|
2,020
|
1,900
|
6%
|
|
2100MHz
|
EV12
|
2x5MHz
|
1,960
|
1,900
|
3%
|
|
1800MHz
|
C6V1
|
2x5MHz
|
-
|
2,200
|
-
|
|
1800MHz
|
C6V2
|
2x5MHz
|
-
|
2,200
|
-
|
|
1800MHz
|
C6V3
|
2x5MHz
|
-
|
2,200
|
-
|
|
Total
|
|
150MHz
|
23,760
|
29,400
|
-
|
*Note: The increment is the growth rate of standing high bids comparing the last round of the day with the previous bidding day.
Note:A zero value of standing high bids means that no bids have been pl on the block.
