Strategic Spectrum Review

The mobile industry has been constantly asked to invest in new spectrum over the last 35 years. A multitude of new frequencies have been assigned since the original awards in the late 80s and early 90s.

Today mobile operators can hold a wide and varied portfolio of spectrum assets. Unfortunately, the portfolios typically consist of a badly fitting jigsaw of fragmented blocks arising from the piecemeal award of spectrum and historical spectrum policies.

Existing spectrum allocations often cater to legacy technologies like 2G and 3G. However, with the persistent relevance of 4G in developing markets and the burgeoning dominance of 5G in developed ones, the original band plans and assignments are no longer efficient. The evolving landscape demands wide, contiguous blocks of spectrum to fully leverage the capabilities of modern technologies.

At Coleago, we recognise the imperative for mobile operators to adapt to these shifting paradigms. Our Strategic Spectrum Review offers a comprehensive assessment of existing spectrum holdings and identifies opportunities for optimisation. Through swaps, trades, and potential acquisitions, we aim to enhance spectral efficiency, benefiting operators and regulators alike. Our review is also forward looking and identifies what additional spectrum is required and when and in what quantities. We also consider the regulatory environment relating to spectrum and benchmark the historic costs of spectrum assignments.

Scope of Activities

• An industry-wide review of existing spectrum holdings to identify opportunities for swaps, trades and potential acquisitions to optimise the spectral efficiency of existing spectrum assignments.
• A review of the current band plan and national radio frequency plan to identify opportunities for replanning existing bands and to identify the potential for future spectrum releases.
• Passive Intermodulation (PIM) risk analysis of existing and potential future spectrum assignments.
• A modelling exercise that forecasts future customer traffic and site growth for the next 15 years.
• We combine our review of the national radio frequency band plan with our traffic and site growth projections to identify which spectrum bands, in which quantities and when would be needed to alleviate the need for un-economic site build.

In addition, the review looks at the cost of spectrum:

• Where possible, we compare the price paid by the operator for spectrum with auction benchmarks to determine whether the market is a high or low spectrum cost market.
• We also calculate the total cost of spectrum ownership, taking account of upfront fees and annual spectrum usage fees, and express this as a proportion of revenue to compare total spectrum costs across the different markets.
• The cost of future spectrum needs based on adjusted spectrum auction benchmark prices.

Finally, we compare the regulatory regime with best practice across a range of topics related to spectrum which include the renewals process, new spectrum assignment, technology and service neutrality, swaps and trading, active network sharing, spectrum sharing and a future spectrum roadmap. Based on the analysis we provide recommendations for priorities in terms of a regulatory engagement strategy.

Why Choose Coleago?

What sets us apart?

• Experience-based approach: Our team members bring a minimum of 20 years of experience, much of it at CxO level, ensuring that our strategies are rooted in real-world knowledge and insights.
• Deep understanding of telecoms networks: With a profound understanding of telecoms networks, we provide insights and solutions tailored to the industry’s unique challenges.
• Practical solutions: We ensure that our recommendations are realistic and can be executed with confidence.

Coleago’s Strategic Spectrum Review is an essential tool for mobile operators to manage spectrum-related risks, optimise existing assets, and prepare for future requirements.