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Qualcomm, the American wireless technology developer, has entered the battle to set the standard for mobile television in the UK by buying spectrum from Ofcom, the communications regulator.
The microchip maker has bought spectrum in the L-band for £8.3 million. The price is far below the £22.5 billion paid for 3G licences by five mobile operators in 2000, but L-band spectrum is considered far less valuable.
The L-band, on which any technology or service can be used, will contend with two main rivals, DVB-H, backed by Nokia, the handset maker, and by Viviane Reding, the European Telecoms Commissioner, who wants to make it the European standard, and TDTV, which is being tested by Orange and T-Mobile in the UK. All three technologies would require special handsets able to pick up a broadcast signal.
Mobile companies including Vodafone and 3 already offer mobile television in Britain, but take-up has been poor.
Qualcomm said that it does not intend to run a mobile TV broadcasting network as an operator, as it has done in the United States, but is looking for partners to launch its mobile television technology, MediaFLO.
Andrew Gilbert, head of Qualcomm's European operations, said: “We will not attempt to become an operator, but if service providers want to partner with us ... we are open to talking to folk.” Mr Gilbert added that Qualcomm would use the spectrum to bring a variety of wireless technologies to the UK market but that it had no timetable for launches in mind.
With industry heavyweights supporting DVB-H and TDTV, analysts see this as Qualcomm's last chance to bring MediaFLO to the UK and European markets. Will Harris, of Enders Analysis, said: “One potential outcome from this is that two competing mobile TV services could be launched. While it is too early to say which technology will win at this stage, those that fail to get support from the mobile operators will lose.”
O2, the mobile network provider, was initially interested in the L-band auction, but pulled out without bidding. Failed bidders include WorldSpace, the satellite radio group, and The Joint Radio Company, which runs spectrum for the UK energy industry.
Companies outside traditional telecoms, such as Qualcomm, have increasingly been bidding for spectrum, fuelling talk that technology groups will enter the sector, creating new services.
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