Answers to stakeholder questions relating to cost modelling

Relating to the consultation on application of spectrum liberalisation and trading to the mobile sector

Background

1.1 On 20 September 2007 Ofcom published a consultation on application of spectrum liberalisation and trading to the mobile sector, including implementation of the Radio Spectrum Committee Decision on 900 MHz and 1800MHz.

1.2 The consultation sets out a number of calculations relating the costs and benefits of spectrum release. Ofcom has since received a number of questions from stakeholders which relate to Ofcom’s methodology and underlying assumptions for some aspects of our calculations. The calculations relate to some of the quantifications provided in the consultation document and fall into three areas:

• costs of providing 3G services in densely populated (‘core’) areas
• costs of providing 3G services in less densely populated (non-core) areas
• costs of releasing spectrum

1.3 The questions asked and the answers provided are set out below.

The full document is available below