Australia’s auction results today came with two surprises: no Vodafone participation but fixed broadband player TPG potentially emerging as Australia’s fourth MNO.
“We are surprised Vodafone did not partake in the auction for 2.5GHz spectrum, preferring instead to rely on its 1800MHz spectrum for high-speed broadband services,” said Nicole McCormick, Senior Analyst, Industry, Communications & Broadband, for Ovum. “We think it would have been a sensible long-term spectrum insurance policy for Vodafone to have picked up 2.5GHz spectrum for data traffic management purposes in the metro areas.”
“Rather, TPG – already Australia’s largest MVNO - secured spectrum at 2.5GHz. While potential plans to become Australia’s fourth MNO would be ambitious, we do not view this as unrealistic. TPG has demonstrated expertise in running a lean business model and it has the platforms (e.g. billing) in place to support an extended mobile business – something which defunct One.Tel did not have.”
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