An Ookla analyst speculated the UK could swell interest in mmWave spectrum across Europe after regulator Ofcom outlined plans to auction lots in the 26GHz and 40GHz bands in the coming months.

European industry analyst Luke Kehoe believes the UK plan could be the green shoots of renewed mmWave momentum, though noted the intention comes at a time when data traffic growth is levelling out.

UK regulator Ofcom revealed the plan earlier today (3 September). It intends to accept applications for an auction of a total of 5.4GHz of spectrum on the 16th and 17th of the month and highlighted the use of mmWave for 5G “is still at an early stage worldwide”.

Kehoe stated the amount of spectrum involved is “massive” and largely focused on large UK cities along with some transport centres. Ofcom explained the auction is focused on 68 high-density areas where it “identified high demand for mobile data”.

“While the 40GHz award is an outlier that makes the UK a first mover in Europe, the 26GHz award aligns with the EU pioneer band strategy”, Kehoe explained.

The analyst noted Ofcom is employing a clock-auction method for licences with a 15-year term. He described reserve prices of £2 million per lot of 26GHz and £1 million in the 40GHz element as “modest”.

Multiples
Kehoe believes the UK strategy of offering a single licence for all 68 areas “should make it easier for national neutral host and multi-venue operators to spread deployments across multiple sites”, a factor “likely to raise take-up in the near-term”.

He noted the UK’s approach differs to nations including Germany and Sweden, where the focus for mmWave is on “local or private licences”, but added the move “aligns more closely with regimes in Spain”, Croatia and Italy.

Kehoe stated use of mmWave spectrum in the three nations “remains hyper-local”, focused on specific sites and small-scale trials instead of wide-area deployments.

Kehoe also tempered his optimism over the potential ramifications of the UK’s plan by noting devices remain a limiting factor, with no compatibility on European iPhones and Android models barely faring any better.

He predicts the device dilemma means early mmWave deployments are likely to be most used in consumer premise equipment and enterprise devices.