Mobile broadband can enhance sale volume of small businesses

It has been noticed that setting up a transactional website which mobile broadband can access without any problem can be a rewarding business, irrespective of its size, thanks to the rapid development of m-commerce in the UK.

This is as established by Interactive Media in Retail Group (IMRG) and CapGemini e-retail sales index.

The sales through mobile devices have increased enormously, by 254%, during the year ending on 31 March 2012, as found by the country’s industry association for management and e-retail consultancy.

However, some companies may not be sure of setting up mobile transactional sites. They have to be informed that conversion rates for mobile are low.

That means, the business phone users make a thorough study about a product by browsing, researching etc before making a purchase through a desktop computer.

Thus, the small firms will be interested in getting the best out of their websites. They want to optimize their websites so that mobile broadband customers are in position to study their items.

Chris Webster of CapGemini is elated at the rapid growth of m-commerce. He stated that the fast growing importance of m-commerce will encourage the retailers to include mobile devices in their business. They must be able to make best use of the advantages of mobile devices.


Demand for speedy launch of 4G services

Everything Everywhere, the parent company of T-Mobile and Orange, conducted a research recently about consumer’s opinion on 4G broadband launch. The research found that consumers want to get 4G mobile services at the earliest possible. About 82 % of consumers believe that the next generation service is essential for the well being of the economy. People are of the opinion that already UK is falling behind in the race for digital superiority and the only way to remain competitive is to launch 4G mobile broadband without further delay.

74 per cent of the interviewed said that they want the launch of 4G broadband in the UK as soon as possible for the emergence of Super fast dongles is also expected.

The Chief Executive officer of Everything Everywhere, Mr Olaf Swantee said that consumers are now demanding a fast and reliable 4G long-term evolution broadband. He added that almost three dozen countries in Europe, Asia and America have already deployed 4G and Britain is still fiddling with 4G spectrum auctions. It is high time for the UK to move forward with the 4G mobile launch. It is important for the country to build a digital infrastructure apt for the 21st century at the earliest.

Everything Everywhere applied to the regulator to permit its licenses to be used for 4G technologies before the auction of 800 MHz and 2.6 GHz spectrum. The firm wanted to use its 1800 MHz band to provide next-generation mobile services to its customers. In fact Ofcom, in theory allowed this request, but later on paying heed to the protests raised by other rival broadband providers, the regulator postponed its final decision pending the results of the Consultation.


Vodafone acquires Cable & Wireless Worldwide

Vodafone, one of the leading telecommunications providers in the UK has agreed to take over Cable & Wireless Worldwide (CWW), a British multinational telecommunications services company, for 1.04 billion Pounds. 38 P, a share offer came before the deadline. The UK Takeover Panel had extended the deadline from previous Thursday.

Last week, Tata Communications from India withdrew from the bid and Vodafone became the sole bidder. As for Vodafone, the acquisition of CWW would help to relieve pressure on mobile networks by using its fibre network and it would also increase Vodafone’s capacity. Not only that CWW has contracts with many major companies like United Utilities and Tesco, to provide various services and contracts with the British Government to provide hosting services to various departments.

It is believed that Vodafone wants to break up Cable & Wireless and is going to sell CWW’s under-sea cables operation. In March 2010, CWW split from the former Cable & Wireless Communications and there started its bad time. The recession, the decline in the use of fixed-line calls, the resignation of its CEO John Pluthero and the issuance of three profit warnings and the suspension of dividend all added fuel to fire.

Vodafone’s Chief Executive Mr Vittorio Colao said that the purchase of CWW would be beneficial to the company and it would make it possible for Vodafone to implement many cost saving measures to its national and international operations.

The board of the Cable & Wireless appealed to the shareholders of the company to accept the offer and Vodafone revealed that it has already got acceptance from almost 20% of shareholders.


An evaluation of the competing demands for scarce UHF spectrum

Different services demand UHF spectrum that is scarce and it becomes the duty of the regulator to balance the different competing demands in such a way to make it consistent with its primary duty of furthering the interests of citizens in relation to communications matters and also to further the interest of consumers in relevant markets, where appropriate by promoting competition. The regulator is also required to secure a range of other matters that are relevant to develop long term strategy like securing the optimal use of the scarce spectrum considering current and future demand and securing the wide-ranging availability of communications services and TV and radio services of high quality and wide appeal. It is also the duty of the regulator to fulfil the purposes of public service broadcasting in the UK. It is also the duty of Ofcom to promote competition, encourage investment and innovation. Throughout the UK, Ofcom has to make sure the availability and use of high speed data transfer services.

In performing the duties with regard to the balancing the demands for scarce UHF spectrum resource, Ofcom is also bound by the rules and regulations formulated by the European regulatory authority. It includes contributing to the development of the international market, removal of obstacles to the provision of electronic communications networks and services at a European level and encouragement of interoperability of pan-European services. Ofcom has given full consideration to its statutory duties in preparing this document.

Ofcom has considered the market developments that are likely to impact on the demand for scarce spectrum resources by DTT, mobile and other services in future. The Consultation wants to develop a long tern strategic approach that would meet these demands and at the same time secure maximum benefits to the citizens and consumers. The regulator also takes in to consideration the key demand and technological trends that would positively affect long term spectrum demands for mobile broadband, DTT and other services, including emergency services, PMSE, Local TV and applications based on WSD technology.

Here Ofcom set out its views on the objectives of DTT and mobile broadband since they are likely to get significant benefits to citizens in the long run. The objectives are

1) To enable the release of 700 MHz band and other higher frequency bands for mobile broadband when it is internationally harmonised and co-ordinated

2) To maintain a certain amount of spectrum for the use of DTT so that it can continue to deliver benefits to consumers

Ofcom expects that it would be able to meet these objectives both with and without using 600MHz band released by digital switchover in a frequency re-plan of the DTT platform after the release of 700 MHz band for mobile broadband.

Ofcom sums up the potential impacts on consumer equipment and other services associated with the future release of 700 MHz band for mobile broadband and how these impacts could be handled by preparing for these changes sufficiently early. The regulator also seeks the possibility of using the 600 MHz band as part of a frequency re-plan of the DTT platform. These incorporates

1) the potential impact of frequency re-plan of the DTT platform on existing consumer DTT antenna installations

2) the future co-existence of mobile services operating in the 700 MHz band with DTT services

3) the potential need for a new 700 MHz international band plan for mobile services

4) the need for some local TV services to change frequencies

5) the amount of interleaved DTT spectrum available for PMSE and services operating with White Space Devices

In short the main purpose of this Consultation is to establish a strategic approach to secure maximum benefits to citizens and consumers in the long run from the use of scarce spectrum resources in UHF bands IV and V. The approach should be clear to stakeholders on future policy direction and it must be flexible enough to respond to future international and market developments. Ofcom wants to establish whether using the 700 MHz band in combination with other additional higher frequency spectrum bands for mobile broadband is likely to deliver benefits for citizens and consumers over the long term and whether the 600 MHz band released by digital switchover should be used as part of a frequency re-plan of the DTT platform if the 700 MHz band is released for mobile broadband.

The analysis expressed in this document represent an impact assessment as defined in Section 7 of the 2003 Act. Anyway it is to be noted that as there is some difficulty in assessing the long term costs and benefits associated with different spectrum uses, Ofcom has focused on identifying the main drivers of future spectrum requirements and providing a high level qualitative assessment rather than detailed quantitative assessment of these factors in this Consultation.

Through this Consultation Ofcom is not intending to reach final decision regarding the process or time scales of future release of the 700 MHz band. Only after further monitoring and assessment of future international harmonisation and coordination developments and market developments within the DTT, mobile and other service factors, and an assessment of the arrangement required to facilitate an actual change of use of the 700 MHz band, final decisions on the future release of the 700 MHz band would be taken.


Use of 700 MHz band for mobile broadband services

At the recent World Radio Conference 2012 (WRC 12) a resolution was passed for Europe, Africa and the Middle East, that subject to the completion of relevant technical work, the decision to allow 700 MHz band to be used for mobile broadband services will be considered at the next WRC in 2015.

International developments like this raise a question for the use of UHF band IV and V spectrum in the UK of which the 700 MHz band forms a part. The spectrum becomes more attractive because of its propagation characteristics for the release of a range of services like broadcasting digital terrestrial television services, Programme Making and Special Events (PMSE) services which share DTT spectrum on a geographically interleaved basis, local TV services and applications based on White Space Device technology.

Generally Ofcom believes that in controlling the challenging need for inadequate spectrum, the interference of the regulator should be kept at the minimum. Markets are considered to be in a better position to allocate scarce resources than the regulator. Anyway, Ofcom believes that market forces alone cannot determine the future use of the 700 MHz spectrum because the market forces won’t consider the external value such as that delivered by PSB content. Hence for balancing the use of the spectrum which takes into account the public objectives like those related to the emergency services provisions and delivery of PSB content, Ofcom has to play a major role. In representing the UK’s interest with regard to the new assignments for mobile broadband services and for international coordination of the high power frequency assignments used by broadcast services, the role of Ofcom is very important.

A complex frequency re-planning of the UHF band and IV and V spectrum is required for a potential change of use 700 MHz band for mobile broadband. Co-ordination between existing DTT, PMSE, local TV users and new mobile broadband and White Space users is also required for this. The risk of co-ordination failure happening between these different sets in completing this task is so high that it makes the regulatory intervention a necessity for future re-planning exercise. Again, market forces alone cannot determine the future use of the 700 MHz band because broadcast and mobile services are characterised by different technical requirements for spectrum usage which makes it difficult to design a technology neutral award for these services.

Considering these reasons, in determining whether the future use of the 700 MHz band for mobile broadband would secure greater benefits to citizens in the long run and would help facilitate industry stakeholders to deliver these benefits, Ofcom has a very important role to play.

This document also considers whether the use of 600 MHz band would secure future benefits from any change of use of 700 MHz band. The 600 MHz band has been used for analogue terrestrial television broadcasting and it would be offered for new uses when DSO completes later in 2012. Many stakeholders responded to Ofcom’s April 2011 Call for Input stating that Ofcom’s approach to the use of 600 MHz spectrum must be consistent with a longer term view for securing maximum benefit from UHF bands IV and V.


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