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Spectrum up for auction in Hungary for potential new market player

A new player could be entering the Hungarian mobile market, as the country’s Office of the National Media and Infocommunications Authority is auctioning 10.8MHz of spectrum in the 900MHz band.

The winning bidder will be permitted to build and operate a mobile network using GSM, WCDMA, WiMAX or LTE technology, and will have the opportunity to purchase further spectrum blocks in both the 1800MHz and 2100MHz bands.

Applications to enter the auction are being accepted until October 20th, with the bidding expected to take place by the end of 2011. The regulator has stipulated that the minimum bid for 5MHz of spectrum will be HUF4 billion (US$21 million).

There are currently three major players in Hungary’s mobile market – Vodafone Hungary, Norwegian Telenor and Magyar Telekom, owned by T-Mobile which itself is owned by Deutsche Telekom. Magyar Telekom holds first place with 4.8 million subscribers at the end of the second quarter.

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