Europe France : The two public consultations impetuses on last 5 October on: - the re-use of frequencies 900 and 1800 MHz, now used by the 2G, for the 3G and the authorization available in the band 2,1 GHz for a mobile network of third generation ("fourth licence 3G"); - renewal of the authorization 2G of Bouygues Telecom.

Public consultation on the UMTS 900 and the 4e licence 3G Recall of the context This consultation, whose principle had been announced publicly by the Authority at the beginning of the summer (communicated Authority on June 29, 2006 on the UMTS and speech of the President of the ARCEP on 3 July 2006 relating to the presentation of the management report), was launched in order to prepare the methods of re-use of frequencies 900 and 1800 MHz by the 3G. This re-use is necessary for the extension of the cover of the mobile networks of third generation beyond the deployments in progress carried out in the band 2,1 GHz. Orange France and SFR, as well as allow them their authorizations, had formulated during spring a 2006 request for the development fast of this device.

To this end, it was necessary to question the actors on their interest for the fourth licence 3G still available, in order to determine if three or four operators must be taken into account in the diagram of division of bands 900 and 1800 MHz re-used for the 3G. Principal lesson of the public consultation The public consultation finished on November 17. On the whole, 21 actors, operators and industrialists, answered one or the other of the questions. The principal results are as follows. - a new situation: several marks of interest were expressed for the fourth licence 3G Several actors clearly expressed their interest for attribution during 2007 of the fourth licence 3G. The request was formulated so that the launching of the procedure of corresponding authorization intervenes as soon as possible. This report creates a new situation on the market of the mobile communications. Until now indeed, no mark of interest had been expressed for obtaining the fourth licence left available by the two preceding calls with candidatures, which had led to the delivery of three of four licences 3G in Orange France and SFR in 2001, then for Bouygues Telecom in 2002. - the confirmation of a major stake: the re-use of frequencies 900/1800 MHz by the 3G The contributions also confirmed the major stake represented by the fast re-use by the 3G of the frequency bands currently exploited for the 2G.

The access to frequencies 900 MHz is particularly important, as well for the existing operators as for new entering, for an extension of the cover of the territory by the 3G. In this respect, the nearest availability of equipment of network and terminals UMTS in band 900 MHz was confirmed by the industrialists within the framework of this consultation. Contributions also stressed that the access to other lower frequency bands would be also in the long term important for the setting in?uvre of a cover on the whole of the territory and inside the buildings by the services of mobile communications to very high flow, and that in this respect the assignment to come from the "numerical dividend", corresponding to the frequencies made available by the digitalization of the terrestrial diffusion of television, represents a crucial stake. It is advisable from now on to draw the conclusions from this new situation - the launching of a call to candidatures as soon as possible The Authority will adopt in the current of next December the decision by which it will propose to the Minister the launching of a call to candidatures for the attribution of the fourth licence 3G. This decision will define the general methods of the procedure, the royalties raising in addition of the Finance law. According to the date of publication of the call to candidatures, the deposit of the files could intervene next spring for an attribution of the authorization during 2007.

It will then rest to the actors to confirm their interest by the effective deposit of a candidature within the framework of this procedure. The Authority considers that the attribution of this fourth licence could result intensifying competition on the market of the mobile communications and in stimulating the evolution of the services of mobile communications towards the third generation, for the benefit of the consumer. - the development fast of the diagram of re-use for the 3G of frequencies 900 and 1800 MHz The Authority engages as of now work aiming to the development fast of the methods of re-use by the 3G of the frequencies currently used by the 2G, in order to support the fast extension on the territory of the cover 3G by the whole of the mobile operators. This device will be designed on the basis of division with four operators put in?uvre if the fourth licence is actually allotted, or on the basis of division with three operators if not. - the market research of the access and the mobile departure of call is differed Lastly, the Authority differs engagement from the market research "access and mobile departure of call" (known as market n°15), on which supply themselves the virtual mobile operators (MVNO). This carryforward is necessary to be able, at the proper time, to take into account fully, according to the course of the call to candidatures in the next months, the existence or not of a fourth operator of mobile network on the French market. In the interval, the setting under monitoring of the markets the large one and detail of the access and mobile departure of call is maintained.

Public consultation on the renewal of the authorization 2G of Bouygues Telecom The Authority had also launched on last 5 October a public consultation on the methods of renewal of the authorization 2G of Bouygues Telecom, which will expire in December 2009. This public consultation constituted a formal stage falling under a procedure similar to that carried out in 2003 for the renewal of the authorizations 2G of Orange France and SFR arrived in the long term in March 2006. Except the contribution of Bouygues Telecom itself, the only comment received within the framework of this formal consultation had the aim of stressing that the refittings of bands 900 and 1800 MHz defined at the time of the fixing of the methods of their re-use by the 3G should be directly taken into account in the renewed authorization 2G of Bouygues Telecom. In addition, the Authority recalls that the current authorizations 2G of the three operators contain already the provisions necessary to this refitting.

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