Dutch raise 2.6 mln eur in mobile spectrum auction

* Ziggo, Tele2 together paid 1.4 mln euros for new licences

* KPN, Vodafone, T-Mobile together paid 1.2 mln euros

AMSTERDAM, April 27 (BestGrowthStock) – The Dutch government has
cashed in on the clamour for increased European bandwidth among
operators by raising 2.6 million euros ($3.5 million) in a
mobile spectrum auction, the telecom agency said on Tuesday.

Winners of the new licences will be able to roll out mobile
data networks, which operators all over Europe need to handle
the explosion in data traffic crowding the airwaves as the use
of mobile phones, laptops and other mobile devices rises.

In the auction Dutch privately owned company Ziggo and
Sweden’s Tele2 (TEL2b.ST: ) surfaced as newcomers on the Dutch
wireless market.

New services such as mobile health applications and mobile
commerce will also accelerate the demand for bandwidth.

The Dutch Economy Ministry had limited operators who were
already active on the Dutch market to bidding on a maximum of
new licences, in order to give newcomers a better chance to
enter the Dutch market.

Dutch telecoms group KPN (KPN.AS: ) and Vodafone (VOD.L: ) tried
to get rid of the bidding limitation through the Dutch courts,
but were rejected.

Ziggo, which is owned by private equity firms Warburg Pincus
[WP.UL] and Cinven [CINV.UL], successfully bid for 40 MHz in
total of the 190 MHz which in total were available. Tele2 did
the same.

KPN and Vodafone successfully bid for 20 MHz each, while
Deutsche Telekom’s (DTEGn.DE: ) T-Mobile acquired 10 MHz.

KPN, Vodafone and Deutsche Telekom are also bidding for
German digital frequencies, including the most popular 800 Mhz
band crucial for the roll-our of 4G mobile networks.
[ID:nLDE63B0H6]

Analysts expect the German auction could yield as much as 7
billion euros.

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(Reporting by Harro ten Wolde; Editing by Mike Nesbit)
($1=.7504 Euro)

Dutch raise 2.6 mln eur in mobile spectrum auction