Europe repeats mistakes with spectrum


Posted on March 18, 2011  /  0 Comments

Europe’s model of auctioning spectrum has failed to generate competition. It helps big players to become bigger and marginalizes the small ones simultaneously. The market also remains out of bound for the new entrants. As a result the

Consumers appear to be in danger of losing out because the largest operators are using their superior financial and political clout to shut newcomers out of the bidding process and out of the mobile market. Limiting competition is likely to have the effect of increasing the cost of mobile Internet services, slowing the adoption of its use and realization of the European Commission’s ambitious goal of providing broadband service with ultrafast, 30 megabit-per-second download speeds to every European household by 2020.

Even the future of “Digital Dividend” looks gloomy. The New York Times elaborates.

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