2007 Review - Unexpected curve ball from MEPs over repeal of GSM directive

While there are minefields to be negotiated to refarm 2G spectrum for 3G nobody thought that getting the European Parliament to sign off on the deal would be one of them.

The main problem facing regulators was devising the formula which would take into account Hutchison's operations in several countries. Having come in as purely a 3G operator, and paid large sums of money for 2100MHz spectrum, the 3 operation has had to build out grassroots UMTS networks at further large expense. If existing 2G operators are allowed to refarm their 2G spectrum and recycle their 2G infrastructures they will be at a huge financial advantage, Hutchison argues.

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