Companies bidding for licences have to be 30% black-owned, have R70 000 non-refundable participation fee and a R250 000 refundable auction fee, this will be South Africa’s first spectrum auction. Internet Solutions has raised concerns about the lack of information on the model of auction that will be adopted by Icasa and whether companies that have already been allocated licences in the spectrum would be allowed to apply for more. It wants those companies to be disqualified, adding that the objective of allocating additional spectrum in these two bands (2.6GHz, 3.5GHz) had always been to encourage more equitable distribution of spectrum, which would increase competition in this environment.

Also, should these players be allowed to participate in the auction they would eliminate the chances of new entrants acquiring spectrum and reinforce their dominant positions. Therefore, the biggest losers will be the consumers who will suffer as there will never be real competition in the sector. //End//

Reagan Malumo
Programme Specialist: Media Freedom Monitoring and Research
Media Institute of Southern Africa (MISA) Regional Secretariat
21 Johann Albrecht St
Private Bag 13386
Windhoek
Namibia
Phone: +264 61 232 975
Fax: +264 61 248 016
Mobile: +264 81 311 2626

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