LONDON-Ten companies are vying for 42 wireless broadband licenses in the United Kingdom in a government auction commenced last Friday.
The auction is expected to raise about $1.42 billion, but could go higher if the final outcome of the government’s third-generation PCS auction this spring is any indication. That auction raised more than $32 billion.
Bidders include Eircom plc, Broadnet UK Ltd., Chorus Communications Ltd., Energis plc, Faultbasic Ltd., FirstMark Communications Ltd., Formus Communications, Norweb Telecom Ltd., Unica BFWA Ltd. and Winstar Communications Inc.
For purposes of the auction, the U.K. has been split into 14 regions, with three licenses available in each region. Ten companies are bidding in the auction, but only four are planning to bid for a license in every region.
The most highly coveted licenses in London start at about $5.7 million. Those in Northern Ireland start at about $142,000. The auction is expected to last several weeks.
