A PYMNTS Company

Hong Kong: Consolidation threatens backfire to 3G auction plans

By  |  February 24, 2014

The government’s plans of boosting competition into Hong Kong’s wireless industry through a 3G spectrum auction could soon backfire, say reports, as the market faces significant consolidation since the bidding.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    Regulators decided last November to auction off one-third of the nation’s 3G airwaves taken from each of the top wireless operators. The auction is set to begin later this year.

    Only a moth after the plan was announced, telecommunications unit HKT inked a deal to acquire CSL New World Mobility, Hong Kong’s largest wireless operator, in a $2.43 billion deal.

    Hong Kong’s Competition Authority has received concerns that if the deal is approved it will lead to significant harm to competition, reducing the number of wireless players in the city from six to give.

    HKT’s market control would also significantly increase, say reports.

    The Authority received nearly 30 submissions regarding the merger earlier this month. According to reports, HKT has vowed not to participate in the upcoming auction, among other concessions.

    Full Content: South China Morning Post

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.