Converge Digest

Three UK to invest over £2 bilion in 5G

Three UK has completed a number of key steps in its network improvement programme, as part of a wider £2bn+ infrastructure investment, in preparation for the advent of 5G.

Three UK announced its commitment to invest over £2 billion in network infrastructure as it rolls out 5G.

As part of its network upgrade the telecoms operator has:

Three said its mobile customers are particularly data-hungry, already using 3.5x more data per month than the industry average.

“We have always led on mobile data and 5G is another game-changer.  Also described as wireless fibre, 5G delivers a huge increase in capacity together with ultra-low latency.  It opens up new possibilities in home broadband and industrial applications, as well as being able to support the rapid growth in mobile data usage. “This is a major investment into the UK’s digital infrastructure. UK consumers have an insatiable appetite for data and 5G unlocks significant capability to meet that demand,” stated Dave Dyson, Three’s CEO.

Three UK posts 2% revenue growth in 1H18, signs Huawei for 5G

Three UK reported revenue of £1.19 billion for the first half of 2018, up 2% from 1H17.

Customer service margin was £729 million, up 1%, and EBITDA was £364 million, up 7%.

Operational highlights:

UK completes spectrum auction – EE and Vodafone gain 5G bands

Ofcom, the official telecoms regulator in the U.K., completed the auction of 190 MHz of spectrum across two frequency bands: 40 MHz in the 2.3 GHz band, which will be used to increase 4G mobile broadband capacity; and 150 MHz in 3.4GHz, which has been earmarked for 5G.

Here are the results:

EE won 40 MHz of 3.4 GHz spectrum at a cost of £302,592,000.

Hutchison 3G UK won 20 MHz of 3.4 GHz spectrum at a cost of £151,296,000.

Telefónica UK won all 40 MHz of 2.3 GHz spectrum available, at a cost of £205,896,000; and 40 MHz of 3.4 GHz spectrum at a cost of £317,720,000.

Vodafone won 50 MHz of 3.4 GHz spectrum at a cost of £378,240,000.

Airspan Spectrum Holdings, which would have been a new entrant to the UK mobile market, failed to win spectrum in either band.

The total value of the winning bids amounts to £1,355,744,000.

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