Macau to issue four 4G LTE licenses

In the first phase, Macau is planning to issue four 4G LTE licenses.

The 4G licenses will be either Frequency-Division Duplex (FDD), Time-Division Duplex (TDD), or both and it will depend on Government of the Macao Special Administrative Region (MSAR). MSAR may consider issuing a fifth licence within two years after the issuance of licences in the first phase.

To meet the demand for high speed data services of local and roaming customers, Macau plans to issue the licenses for the operation of public terrestrial mobile telecommunications network of Long Term Evolution (LTE) Technology and the provision of respective services of terrestrial mobile telecommunications of public use.

Companies or consortia participating in the 4G tender can be Macau based companies or companies who are registered outside Macau. The applicants should possess adequate financial and technical capability relevant to the construction of network. Applicants should submit the past financial statements with relevant audit results and should demonstrate experience in installing and operating telecommunications network.

The following radio spectrum available in the MSAR should be considered by the applicants: Frequency-Division Duplex –  1710 – 1785 MHz / 1805 – 1880 MHz and 2500 – 2570 MHz / 2620 – 2690 MHz  and Time-Division Duplex – 2300 – 2400 MHz.

The licensed entity should start providing services commercially in 2015. Applicants should propose a system construction plan, with the objective of achieving good quality coverage for 50 percent of the territory of the MSAR by the end of 2015, and achieving good quality coverage for the entire MSAR in the following year.

The applicant who is awarded the license is obliged to increase the amount of guarantee stated in the previous point to two million patacas and the licensed entity is required to pay the government of the MSAR a royalty equal to 5 percent of the total operating revenue, resulting from the provision of services within the scope of the licensed activities. The fee is settled quarterly and should be paid to the government of the MSAR within 30 days after the end of respective quarter.

In Macau since 2000 there are currently four mobile networks, three of them have adopted GSM (Global System for Mobile Communications) and Wideband Code Division Multiple Access (WCDMA) and the fourth one has adopted the standard of Code Division Multiple Access (CDMA2000 1X EV-DO).

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