Orange And Vodafone Propose Sharing 3G Aerials In UK

There’s a lot of radical thinking going on in the mobile business these days and here’s the latest. Vodafone and Orange have signed a non-binding agreement to let each other to use the others 3G infrastructure.

Orange and Vodafone Propose Sharing 3G Networks in UKIt’s all about their RANs – Radio Access Networks, which connect customers mobiles to the operators networks.

Until now they’ve gone around installing their own, but are now realising that this is a mighty expensive business, seeing as the cost is several £100k per base station. In rural areas these may only service a handful of people, thus rending their investment uneconomic.

The core of the proposal is to

  • Continue managing their own traffic independently
  • Retain full responsibility for the quality of service they offer their respective customers
  • Remain competitors in the UK mobile wholesale and retail markets

The summary – share infrastructure, but compete on service.

What’s forcing this?
When the mobile companies bid for the 3G licenses, not only did they pay over a huge amount of money, but they also took on obligations to provider 3G services to a certain percentage of the UK population.

As not many people have signed up for 3G, the mobile companies haven’t wanted to spend the money on servicing a population that isn’t giving them money with subscriptions and they’ve let their obligations slip. Until now Ofcom hasn’t been pursing them on this.

Three, the largest 3G provider in the UK, has recently been saddled with three little letters by Ofcom – SMP – Significant Market Power. They’re not too happy with the restrictions that this imposes on them, so have been pointing out to Ofcom that the other 3G license holders aren’t fulfilling their coverage obligations.

To ensure that they don’t get saddled with substantial fines by Ofcom, the other 3G holders will need to expand their infrastructure. By sharing costs on this, they save money.

More details of this will be provided by Steve Kennedy, an expert in this area, in an article later today tomorrow.

Ofcom Proposed Spectrum Auction: Analysis

Ofcom Consulting On The Auction Of Spectrum In The 2GHz BandThere’s a fair chunk of spectrum that’s sitting there not being used in the 2GHz band. The various bits are 2500-2690 MHz, 2010-2025 MHz and 2290-2300 MHz.

Ofcom has a duty to ensure spectrum isn’t wasted and as a consequence of the auction will end up driving revenue for the Government. Previously, and famously they did very well when they auctioned the 3G licenses, raising £21bn for the Treasury.

They recently auctioned some GSM spectrum and that only raised £3.8m, but it was much less than the 3G lot with many more restrictions.

Under its new face, and following EU directives, Ofcom likes to offer technology neutral licenses, which means the licensee can use the spectrum for whatever they want – as long as they meet the radio restrictions on that band (power, spectral masks, etc). They hope this will stimulate innovative services which is good for the economy.

There’s a lot of interest in the spectrum, as it could be used for lots of services including 3G and WiMAX, but that’s where the problems start.

Possible European Interference
There are various blocks of spectrum which are coordinated at a European level and each EU country uses the spectrum for the same things. That’s pretty much what happens for GSM and 3G, as well as some TV and radio bands.

It’s all organised by CEPT (European Conference of Postal and Telecommunications) and the Radio Spectrum Committee (RSC), CEPT is represented by 47 countries and the RSC by 25 EU states. They ensure that radio usage is coordinated. Unfortunately radio waves don’t abide by national borders, so it would be no good if one country was using spectrum for say TV and another for radio as they’d interfere with each other.

Ofcom Consulting On The Auction Of Spectrum In The 2GHz Band

Though the UK is an island, interference issues are quite common, especially in the south east with France and the north east with the Dutch and even the Nordic countries. The west has to worry about Ireland (and of course Northern Ireland abides by UK policy).

These particular bands are already allocated for 3G, 10MHz in 2010 – 2020 MHz, is already designed for license-exempt self-provided, self-coordinated IMT-2000 use. In the UK none of the 3G networks have actually utilised it, though in other parts of Europe it has been used for this purpose.

2500 – 2690 MHz is currently mainly used for video broadcast systems, all licensees have been given notice to vacate by 31st December 2006. This is a significant amount of spectrum (190MHz) which is greater than is currently allocated to the whole of 3G use (140MHz). It was reserved for a “new” entrant if the current 5th 3G operator failed or for existing 3G expansion.

Ofcom’s suggestions summarised

Ofcom are currently holding UK consultations to see what stakeholders think should happen. They are proposing the following: –

2500-2690 MHz Packaged on the basis of blocks of 5 MHz as lots of paired spectrum (2×5 MHz, 120 MHz duplex spacing) and unpaired spectrum (5 MHz), with the eventual amount of lots in each category to be determined in the auction. The reference point is as per the CEPT band plan: 14 lots of paired channels (14x2x5 MHz with uplink in 2500-2570 MHz and downlink in 2620-2690 MHz) and 9 lots of unpaired channels (9×5 MHz in 2570-2615 MHz).

One guard channel will be necessary at adjacencies between paired and unpaired spectrum, at 2615-2620 MHz, and possibly another in the top part of the band.

There is a possibility to allow paired lots to be converted into the equivalent of two unpaired lots in the event that demand for unpaired lots exceeds that for paired lots at a given lot price.

Each bidder should receive contiguous lots in each category, except potentially one assignment of unpaired spectrum which could need to be split into two blocks of contiguous lots.

2010-2025 MHz Package for award as a single 15 MHz lot.

2290-2302 MHz Package for award as a single 10 MHz lot and retain 2300-2302 MHz for possible inclusion as part of a future award together with 2302-2310 MHz.

What might the response be?
The consultation will close in March 2007 and it’s likely the 3G operators will be extremely vocal in their claim to this spectrum, as they paid so much for their original licenses.

Once Ofcom digest the responses, they’ll then have to argue the case at the European level to ensure it can be licensed off in a technology neutral manner without upsetting our neighbours, however getting agreement from at least 47 countries tends to be a time consuming process.

Luckily CEPT are already discussing the issues and are expecting to make a statement in July next year. RSC will follow shortly after.

Although there’s no guarantee that discussions will go in Ofcom’s favour, they are hoping an award process can start in the Autumn of 2007, though it may well be delayed until 2008.

Potential Cash
With 16 national licenses available, there’s a fair amount of cash the government can expect to raise. Even if Ofcom set the minimum price at £50,000 then that’s £800,000 – they are likely to reach much higher values, although not the silly pricing that the original 3G licenses fetched.

Ofcom
CEPT (European Conference of Postal and Telecommunications)
Radio Spectrum Committee (RSC)

Micro FM Transmitters: UK Ofcom Says Yes

UK uber-regulator, Ofcom has finally got itself sorted out and is to allow the use of low-powered FM transmitters in the UK from 8 December.

These are commonly used by owners of portable music players to transmit their chosen musical ditties from the player to better amplification and speakers via a radio/tuner. You know those ‘young people’ often use them in their cars to wake up the neighbourhoods, with their ‘repetitive beats.’

It’s been a bit of a mystery as to why Ofcom hasn’t acted on this sooner given the number of people that use these devices and Ofcom’s desire to stay on top of technologies under their remit. Ofcom has allowed devices up to 59 nanoWatts, which doesn’t sound like a lot does it? In practical terms it means they’ll be able transmit over around 5 metres in clear space.

Devices that will benefit from this change will be iTrip by Griffin (probably the best known device) and devices like the RocketFM.

Micro FM Transmitters: UK Ofcom Says Yes

Ofcom’s research estimates that there are currently 875,000 of these in the UK – even with them being illegal (based on 10% of mp3 player owners having bought them).

We think this is a great thing, whose uses will only grow as people try to move music around their houses.

Expect these devices to be hitting the top of peoples xmas lists when the news hits the public. It’s going to be a good xmas for those involved in making or selling them.

Talk about the opposite ends of technology – Ofcom also tell us that these changes will free the-now 20,000 users of CB-radio from needing to apply for licenses to operate them. 10-4 big buddy.

Details at Ofcom.
Full Statement on the Wireless Telegraphy (Exemption) (Amendment) Regulations 2006 [pdf]

Ofcom Should Force Sky To Open Its Platform: Opinion

Ofcom Should Force Sky To Open It's Platform: OpinionIn an ideal world, waiting near the top of the new OFCOM boss Ed Richards’ in-tray, there should be a folder marked ‘Sky Monopoly’ and on it a brightly coloured post-it with the words anti competitive clearly inscribed.

Digital Television is a standards based system with the majority of the world using a system called DVB (the Americans have something called ATSC but that’s a story for another day), the UK’s Sky TV uses the DVB standard in most respects.

Pay TV operations rely on a system of Conditional Access (CA) where channels are encrypted, viewers with a suitable viewing card can decrypt the services they subscribe to, those who don’t subscribe don’t get.

To enable the pay services to operate with the use of ‘viewing cards’ the DVB system has a standard, the standard allows for different viewing cards to co-exist and for TV services to be encrypted by more than one encryption method at a time, the so called Simulcrypt (Simultaneous encryption, get it?).

Ofcom Should Force Sky To Open It's Platform: OpinionThe area where Sky has decided not to use DVB is for its Conditional Access encryption.

Sky TV which is controlled by News Corporation, the large multinational media company with Rupert Murdoch at the helm, uses a special tailored version of Conditional Access a variant of Videoguard which is produced by a company called NDS that is in turn, majority owned by News Corporation.

Now you might be curious to know why this matters, well as the majority of UK householders who watch digital TV, watch via a Sky TV satellite ‘digibox’ and to have a channel that can be easily received via Sky TV the channel must contract with Sky TV to appear on the Sky Electronic Programme Guide, commonly referred to as the EPG.

Ofcom Should Force Sky To Open It's Platform: OpinionIf that TV service then wants to charge the subscribers to their service they have to use that special version of Videoguard CA.

So what can be done about it? Well OFCOM can and should mandate Sky TV to open up its platform to other DVB CA systems and new entrants can then offer smaller niche services and a new competitive platform to Sky should emerge.

The BBC has for some time been promising a Freeview alternative to the UK’s dominant pay TV operation Sky Digital, but with it’s struggle with the government to secure a long term above inflation licence fee settlement and its desire to start a High Definition TV service, this cause has been relegated to the back burner.

As the government ordained switchover date looms ever closer, viewers who can only receive digital TV by satellite should be able to choose a non Sky alternative even at the risk of upsetting a powerful media mogul.

Ed Richards Gets Ofcom CEO Job

Ofcom has announced that Ed Richards is taking over the uber-communications agency CEO reigns, effective today.

As we back in January), the then current CEO Stephen Carter was leaving.

Richards name has been in the frame for a long time. He’s politically very well connected, given that he was previously the UK Prime Minister’s Senior Policy Advisor on media matters.

Watchers of all things Ofcom, our good buddies OfcomWatch see the challenges for Richards to be

* Steering Ofcom through its day-to-day implementation of the various strategic reviews. This means real bread-and-butter regulatory work like conducting radio spectrum auctions and supervising BT-Openreach as it starts to deliver on its Sept 2005 undertakings. Gone – for the most part – are the days of strategic thinking combined with predictive statements about the future.

* Ensuring that Ofcom’s voice is heard on key issues. Ofcom to its credit, tend to think and act in an evidence-based manner, but are surrounded by a regulatory environment which is highly politicised. This has been particularly true in both the media and new media, an area where Stephen Carter’s Ofcom often produced good thinking, but was unable to translate that into actual policy (eg, BBC charter review). Richards comes from the political world, and this might benefit Ofcom in that respect.

* Being a champion of ‘better regulation’ in dealing with the European Commission, health advocates, and other populist causes.

Given they spend all of their time studying Ofcom, who are we to argue of them.

Expanded Euro Regulation Repudiation By UK’s OFCOM: TWF

Expanded Regulation Repudiation By UK's OFCOMThe UK’s broadcasting and telecommunications regulator OFCOM last week made clear its opposition to potential EU regulation. It fears it will straight-jacket the emerging new wave industries aiming to propel high tech growth in the EU zone over the coming years.

Currently regulation of broadcasting in the EU lies within sovereign states but the overriding policy is subject to the famous 1989, Television Without Frontiers Directive which is likely to be updated and widened in 2007. At the time of the drafting of this legislation, TV was considered as a linear broadcasting method of distribution. The danger is that now the bureaucrats have an inkling of what convergence means, they want to manage its development.

OFCOM commissioned the respected Rand Corporation to look at how the proposed changes would affect Europe’s emerging IPTV networks alongside new-fangled mobile multimedia and online games. The findings mirror the concerns of OFCOM.

The report, “Assessing Indirect Impacts of the EC Proposals for Video Regulation” makes a powerful case for the online games industry to be excluded from the new legislation, seeing a risk of the development of fresh gaming, moving to countries unfettered by cumbersome legislation, ie. Outside the EU.

Expanded Regulation Repudiation By UK's OFCOMThe study also makes clear its’ worries that excessive regulation could mean that countries outside of the EU would benefit from the expected growth in non traditional delivery of multimedia content, before it has established itself in Europe.

The model of broadcast intervention could impact much of the new wave Internet traffic; judging Youtube and Myspace by similar criteria to traditional linear broadcasters

Lobbying is expected to continue with the entrenched traditional media industry hoping to protect dwindling revenues and state players keen to politicize the situation. Some solace can be taken that the UK regulator has at least identified the danger of over regulation.

Skype Hits The Pleasure And Pain Of The Mainstream

Skype Hits The Pleasure And Pain Of The Mainstream: IFAThe news that OFCOM is to review its position on Voice Over IP services (VOIP) – the way we can make low cost or free phone and video calls currently from our PC’s generally using call centre-type headsets – is part of the evolution of these types of service from guerrilla geek to middle class mainstream. Now that Tesco’s are marketing VOIP services it’s fair to say that it’s a ‘regular’ service/product.

VOIP service providers are predictably angry over OFCOM’s meddlesome intervention and have asked why such a code of practice is needed. OFCOM will try and tread a fine line between existing heavily regulated voice service providers and the new upstarts who hitch a cheap ride on the existing infrastructure.

Skype Hits The Pleasure And Pain Of The Mainstream: IFAAlong with the news that VOIP is likely to face some of the requirements that traditional telcos have to deliver on, comes the announcement that Philips Electronics are bringing to market, for year end, a cordless DECT phone. If anyone asks you, DECT is the rather nifty acronym around Digital Enhanced Cordless Telecommunications.

News of the new DECT handset, the Philips Voip841 broke at a recent consumer electronics show in Berlin. The phone will allow callers to use Skype’s service without being connected to a PC and is likely to hit both landline and mobile companies. The Phone will access your regular home line and broadband and allow you to call other Skype account holders for the grand sum of nothing.

Skype Hits The Pleasure And Pain Of The Mainstream: IFAPrices for the new device are not yet released, but industry observers are talking of a figure around a £100 to make this potentially cost saving purchase.

UK Analogue Radio Gets A Bashing

UK Analogue Radio Gets A BashingDAB in the UK has had a good week with prices dropping to an all time low, with High Street retailers are now making available a DAB radio with CD player for under £50.

To add the icing to the digital radio cake, Dixons the domestic electronics giant that made its name in radio more than 50 years ago, has announced its decision to drop conventional analogue ‘steam radio’ from its portfolio (But they appear to make a habit of grabbing press about this type of thing, having done it with VCRs already).

Although a date has been set for UK analogue TV to closedown, no such decision has been made for radio, and with radios outnumbering TVs at something like 4 to 1 any planned switchover is bound to be some way into the future.

DAB radio coverage in the UK is approaching 85% but the rollout in the rest of the world is patchy, with markets like the USA favouring a pay-model satellite-delivered radio service with brands like Sirius. Competition from the drm (Digital Radio Mondiale) standard and commercial operators like Worldspace are also creating uncertainty in territories that are characterised by dispersed populations across large land masses.

There are now over 270 UK analogue radio transmitting licences issued and they’re still leaving OFCOM’s shelves as fast as they become available, but with a promise of a further national DAB multiplexes and a likely radio presence from Channel 4, the future of radio is looking increasingly digital.

UK Analogue Radio Gets A BashingSky’s satellite hybrid gnome receiver has so far failed to dazzle and, like the semi-portable internet radios, it’s perceived as overly complex for the average punter who prefer the Freeview-like DAB proposition.

Not all retailers of radio see the disappearance of analogue radio as inevitable in the near future. There are important extra features to tempt people, like EPG, pause live and track identification, which make digital services far ‘sexier’ than conventional wireless,

What will show DAB has arrived? We reckon that once the DAB pirates hoist their Digital aerials, the technology will have well and truly arrived.

Rural WiFi Boost From Ofcom?

Wi-Fi Boost For Rural Areas?UK regulator Ofcom is looking at plans to introduce high speed Internet access to broadband-starved remote areas by boosting the power of Wi-Fi signals.

Talking to the BBC, James Saunders, chief marketing honcho of Wi-Fi suppliers, The Cloud, welcomed consultation from Ofcom, adding that the turbo-charged Wi-Fi could, “provide great opportunities in rural areas that are currently without broadband. It makes it much more possible to put up a wireless network.”

Current limitations on the strength of Wi-Fi signals in the UK makes it prohibitively expensive to provide coverage to sparsely populated rural areas, but cranking up the power would make it possible to reach far more users without breaking the bank.

The bigwigs and boffins at Ofcom are currently mulling over the pros and cons of three proposals.

The first would see wireless signals (which are restricted to a tenth of the power permitted in the US) in all parts of the UK; the second would see the power increase limited to rural areas only; while the third option would include a balance of the first two plans, backed by a code of collaboration to minimise signal interference.

Wi-Fi Boost For Rural Areas?City networks
Although most UK towns and cities offer outside Wi-Fi access through hotspots in cafes, pubs and libraries, city-wide seamless networks are yet to be established.

Known as mesh networks, these let Wi-Fi’d folks roam freely from hotspot to hotspot without any interruption to their Internet access.

Although such networks are already starting to roll out in the US, the restricted Wi-Fi transmission levels in the UK mean that mesh networks would currently be prohibitively expensive in the UK.

Selina Lo, chief executive of home Wi-Fi antenna firm Ruckus explained, “With lower power you have to use a lot more access points to form the network.”

“A typical network will have hundreds or low thousands of access points. If you have power limits, these nodes have to be closer together and you need a lot more nodes,” she added

Wi-Fi Boost For Rural Areas?Ruckus, who are currently working with Google to test a free mesh network in Mountain View, California, have developed a new Wi-Fi antenna to help home users connect to city networks.

“People running city networks know that the Wi-Fi in customers’ home equipment is not powerful enough to do an outdoor long range connection….our device is designed to bridge that connection,” said Ms Lo.

Interference
Although boosting Wi-Fi signals looks to be a top notch idea, it’s not without its drawbacks in urban areas, where US hotspot operators are already experiencing “significant” interference between suppliers.

Despite this, Saunders said The Cloud was committed to making mesh networks happen in the UK in the future, but warned that, “a number of factors are needed to make mesh networks economical”.

The company is, however, already working with the Corporation of London to deploy a mesh network in the City.

The Cloud
Ruckus
Offcom

Ofcom GPS Repeaters Ruling May Hit Mobile Phone GPS

Ofcom GPS Repeaters Ruling May Hit Mobile Phone GPSOfcom has just issued guidance that GPS repeaters are probably illegal in the UK, both in their use and their sale.

In their dry language, “Any person who places this type of apparatus on the market or uses it in the UK is likely to be committing an offence.”

Medium term this action could hit the wave of GPS-equiped mobile phones that are a year or so away, and the location-based services that they’ll bring.

GPS repeaters use radio signals to pass Global Positioning (GPS) or other Radionavigation Satellite system (RNSS) location information between units. Unless the operators have specific licenses, they be breaking the law in the UK.

Ofcom GPS Repeaters Ruling May Hit Mobile Phone GPSGPS devices need to be able to receive the positional information from satellites. Initially this involved having line-of-sight to the ‘birds’, but as chip-sets have improved, they’ve become more sensitive, so requiring less direct sight. If GPS units work within buildings, they do so at the sacrifice of accuracy. Even with the chip improvements, GPS will not work within buildings, and certainly not underground.

We spoke to Jenny Bailey, Technical Director of J-Squared to get the low-down. J-Squared were funded by the DTi 3 years ago to develop a GPS repeater system, which they subsequently received a patent.

Jenny told us the major current use for GPS repeaters is by the emergency services. Ambulances stations are equipped with them to ensure their on-board GPS ‘know’ where they are as they leave, speeding them to their location. Police and firefighting services also benefit from being able to locate their personnel within buildings.

In the medium term, Ofcom will create quite a kerfuffle with this ruling. Mobile phones will, within a couple of years, be commonly equipped with GPS, enabling location-based information and services. These will not work within buildings without GPS repeaters, knocking their broad usefulness on the head. We’d imagine that the mobile companies will be on the phone to Ofcom sharpish.

Ofcom is becoming increasingly stringent on the ‘unauthorised’ use of radio spectrum. One of their Big Ideas is to auction off radio spectrum to the highest bidder and if people are using it without paying for it, the whole idea becomes undermined.

Given the inevitability of the march of mobile phones, it could be that Ofcom are acting as King Canute, but in this case attempting to hold back radio waves.

Ofcom GPS or GNSS signal repeaters ruling
J-Squared
Indoor Positioning Limited