ANACOM publishes for consultation the draft decision on NOWO's application to change the right of use for the spectrum allocated in the 5G Auction


On 26 July 2024, ANACOM approved the draft decision on the application from NOWO Communications (NOWO) to change the right of use for the radio spectrum allocated to it in the 1800 MHz, 2.6 GHz and 3.6 GHz bands (ANACOM RURS No 3/2021https://www.anacom.pt/render.jsp?contentId=1711384) in the 5G Auction.

On 10 April 2024, NOWO sent this Authority a preventive request for a “conditional postponement of compliance with the deadlines set out in article 46 of the 5G Auction Regulation (…)”, to be granted by ANACOM if the Competition Authority’s decision to oppose “(…) Vodafone’s acquisition operation and the option of NOWO’s shareholders to resume the company’s own mobile network project with national roaming” was confirmed; “NOWO would then have to comply with the single deadline of 31 December 2025 to start providing publicly available electronic communications services, using all the spectrum allocated to it in the 5G auction.”.

In the light of the analysis carried out, ANACOM considers that granting the request to postpone the fulfilment of NOWO’s obligations under article 46 of the 5G Auction Regulation («Obligation to use the spectrum effectively and efficiently») is an appropriate decision since, compared to the alternative of an earlier, albeit more limited, start of operations, it has a neutral impact on the conditions of competition in the electronic communications markets, on investment, in particular in network roll-out, on consumer interests and, by its very nature, on the efficient use of the spectrum, resulting from the circumstances described above.

On the other hand, it is also the option that is most in line with the plans presented by NOWO in its application, and therefore the one that will impose the least costs on the operator, thus guaranteeing the profitability of the investments and expenses already made, the regular development of the company’s activity and the least impact on its value.

Finally, after weighing the costs and benefits against the objectives to be achieved, the balance is considered to be positive. Granting this application will have a neutral impact in terms of promoting competition and the interests of consumers and, by its very nature, the efficient use of spectrum, while minimising the impact on the operator, as requested by NOWO. For the other operators present on these markets, the decision in question does not entail any costs compared to the initial situation.

ANACOM therefore considers that granting NOWO’s application is in line with the regulatory objectives that it is responsible for pursuing under the Electronic Communications Law, namely the promotion of competition and investment, the efficient use of radio spectrum and the protection of citizens’ interests. This decision is also objectively justified, appropriate and necessary to achieve the public interest objectives for which this Authority is responsible.

This draft decision is now subject to NOWO’s prior hearing, with a deadline of 30 working days from the date of notification of this draft decision for NOWO, if it so wishes, to comment in writing, and to the general consultation procedure, for stakeholders to comment within the same time limit. The public consultation will last until 12 September 2024, and stakeholders may submit their comments in writing and in Portuguese, preferably by e-mail to pedido.nowo@anacom.ptmailto:pedido.nowo@anacom.pt.

Once the consultation process is complete, the contributions received will be published, so stakeholders should also send a redacted version of the elements considered confidential for publication on this website.


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