5G frequency auction¤ýTotal regulation¡¦ ¡®Telecommunication broadcasting issue¡¯ to continue for a market change
Kim Ji Young | kjy@ | 2018-03-26 11:01:41

[Digital Times, Kim Ji-young] The telecommunication and broadcasting market are expected to shake up policy issues that have been in full swing for the second quarter. The 5G frequency auction, which will shake up the telecom and broadcasting market in June, is expected to enter into a fierce lobbying and nervous warfare industry in April, ahead of the sunset.

According to industry sources on March 25, the Ministry of Science and Technology will unveil a 5G frequency allocation roadmap early next month and finalize the 5G frequency auction plan in May. In June, the 5G frequency bidding for telcos will be completed, so the owner of the 5G frequency, which is dominated by the next generation telecom market, is hidden. According to the result of the frequency auction, the future business operation and service quality of the mobile communication service provider are decided, and the market of the communication market may change.

The telecommunication industry is focusing its enterprise capabilities on 5G frequency auctions. The government plans to set bandwidths of 3.5GHz and 28GHz at 5G frequencies and determine the block, auction, etc. In this regard, the industry is already working to make sure the auction is decided in a favorable direction. Particularly, attention is being paid to how to auction the 300MHz bandwidth of 3.5GHz (3.3 ~ 3.6GHz), which is the 5G core frequency. The price and strategy vary depending on how many §Ö §Ö the 300 §Ö is auctioned. There are a lot of stories about the auction being divided into 100 §Ö, 50 §Ö and 20 §Ö.

Meanwhile, SK Telecom believes that it is reasonable to divide it so that it can go back to operators who can use the frequency efficiently by utilizing the purpose of the auction. As the number of subscribers is the greatest among the three, the broadband frequency is needed to maintain service quality. KT has formulated a plan to allocate blocks by 100GHz for the 3.5GHz band and 1GHz for the 28GHz band. Recently, Oh Sung-Mok, president of KT, emphasized, "If we allocate frequencies by 100 §Ö and 1 §×, we will be able to provide more innovative services."

On the other hand, LG U + expect that the auction will also be held in the form of a "block block" to prevent frequency imbalance and create a fair competitive environment in the telecommunications market.

An industry expert said, "3.5GHz is a band that enables nationwide network services, and block setting is directly related to service quality." Similarly, if 100MHz is allocated, frequency banding technology (CA) and Carrier Aggregation (CA) must be added, and carriers need to support them.

It is worth watching whether the combined regulation in the pay-TV market, which restricts the combined market share of cable TV, satellite broadcasting, and IPTV, to 33.33%, will go down in June as scheduled. The National Assembly Science, Technology, Information and Communications Commission plans to hold a one-point meeting to discuss whether the sunset will be held during the extra session of the National Assembly in April. The combined regulation is a regulatory provision introduced in 2015 that limits the market share of certain paying broadcasters to more than one-third. The clause is expected to be delayed (sunset) in June and the industry is watching closely.

The Ministry of Information and Communication (MIC) plans to organize a research group composed of related specialists to prepare measures to improve regulation of the share of pay TV market share in last year. Regulation maintenance (extension), sunset (abolition), regulation level adjustment (1/3 level adjustment), and alternative measures were discussed. However, the opposition of the industry was sharply confronted, and the ball was passed to the National Assembly without preparing a clear policy direction.

The Supreme Prosecutor`s Office is expected to focus on the bill on abolition of cumulative regulatory sunset in April, which the Democratic Rep. It is expected to become a watershed for the so-called April law bill to decide whether or not to regulate sunset, since it is natural for the state to remain until June. Until now, there is a tendency to abolish the sunset, but it may be possible to extend the deadline or to adjust the share ratio according to the parliamentary debate. However, it is unclear whether the discussions will proceed because there is a gap in the interests among business operators and differences within the National Assembly. KT and KT Skylife, which dominate the market with a market share of 30%, say that pay broadcasting should provide economies of scale in order to provide better services to consumers. On the other hand, the cable industry claims that the limit of market share applied to general cable operators (SO) and IPTV is to include satellite broadcasting on the premise that the integrated broadcasting law is enacted.


By Kim Ji Young kjy@


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