Hungary announces auction for 5G frequencies

Hungary

On 17 June 2019, the National Media and Infocommunications Authority (NMHH) published the draft documentation on its website for the auction of frequencies for wireless broadband services that support 5G mobile technology.  Scheduled for the autumn of this year, the auction will include sales of 700 MHz, 2100 MHz, 2600 MHz and 3600 MHz frequency bands.

The NMHH expects to receive comments on the draft by July 8 with the auction procedure scheduled to begin in July and to be completed before the end of 2019. 

The utilisation of these frequencies that have been unused or used for other purposes is expected to be a boon for the Hungarian digital economy and a catalyst for the development of future technologies.

Key parts of the planned auction procedure

Eligibility conditions for bidding have been set down in the draft documentation. The tender winners will receive usage rights for 15 years, which may be extended once for an additional five years.

NMHH determined the elements of the frequency set of more than 400 MHz on offer based on the expected market interest and relying on industry-wide consultation. Given that the 700 MHz frequency band is currently used for television broadcasting, mobile services may only be provided in this frequency band after the television broadcasting conversion, beginning September 2020.

The total tenders available in the auction include:

  • two 25 MHz lots in the 700 MHz frequency band (to be used as a pair due to the access method);
  • two 15 MHz lots in the 2100 MHz frequency band (to be used as a pair due to the access method);
  • a 15 MHz lot in the 2600 MHz frequency band; and,
  • a 310 MHz lot in the 3600 MHz frequency band.

Through the sale of spectrum parts, the NMHH hopes to have the tender winners' 5G networks operational by the end of 2019 at the latest, and to increase the capacity of existing mobile networks with new frequency bands.

For more information on this auction and Hungary's 5G expansion, feel free to contact one of the following local CMS experts directly.