DTI appeal reopens mobile licences battle
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Your support makes all the difference.THE BATTLE between the Government and Britain's mobile phone companies reignited yesterday as the Department of Trade and Industry said it would appeal against a court decision last month that existing mobile operators should not have to let new companies use their networks as a condition of gaining a third generation licence.
One2One, the smallest of Britain's mobile companies, successfully challenged the DTI licence proposal. Its position was supported by the other operators Vodafone AirTouch, BT Cellnet and Orange.
The plan to raise hundreds of millions of pounds through the third-generation auction has already been delayed by six months to sometime during the first quarter next year.
However, the DTI remains determined that its network access policy will form the basis of third-generation service development. "We are determined to promote competition for third-generation mobile phone services," said Helen Liddell, DTI minister, in announcing the appeal. "Without roaming a new company will be at a significant disadvantage to existing operators."
Roaming is the use by a customer of one mobile operator of another operator's network to make or receive a call - usually because the customer is out of range of his home network.
For the third-generation networks, expected to come into service around 2003, the Government wants to attract at least one new entrant. That new entrant, under current proposals, would be able to use some of the existing network capacity of an established carrier while building its own network to cover 80 per cent of the population by 2007.
One2One said: "It is said that the Government has taken a decision that will almost inevitably delay the auction of [third generation] licences and the introduction of this important new technology to the UK." The company added: "This case is not about increased competition. It's about regulatory certainty."
Third-generation services will greatly increase access speeds for using the network spectrum. The new system will make data delivery up to 200 times faster than current speeds, allowing for video mobile phones. Users will also be able to access the Internet to download e-mail and music quickly.
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