12:28 10.12.2014

Mobile operators to announce decision on participation in 3G tender

2 min read
Mobile operators to announce decision on participation in 3G tender

Mobile operators will decide in the coming days whether or not to apply for licenses to provide 3G communications services (UMTS standard), after examining the conditions of the license tender in detail, and calculating projected returns, representatives of the operators have told Interfax-Ukraine.

"We will thoroughly study the conditions of the tender and calculate recoupment, taking into account possible income (unfortunately, the buying power of the public is falling, the market has narrowed due to the loss of territories), the required expenses to buy the licenses, conversion [of radio frequency spectrum], the construction of a coverage network, and then we'll decide," Director for Corporate Management at MTS Ukraine Oleh Prozhyvalsky said.

Kyivstar has also stated that it will be ready to announce its decision on participation soon, after studying the tenders’ conditions and agreeing on a decision with shareholders.

Another potential candidate, Astelit, is not ready to confirm its participation.

As reported, the Cabinet of Ministers on October 28, 2014 approved the terms of conditions for a tender to receive UMTS (3G) standard communications licenses, approved by the National Commission for Communications Regulation and IT (NCCR).

Three licenses will be up for sale. The minimum cost of each is UAH 2.443 billion (not taking into account the cost of conversion). The cost of conversion itself will amount to UAH 1.6 billion.

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