Telefónica offers spectrum to get E-Plus deal approved

15 April 2014 | Kavit Majithia


Spain-based Telefónica is pushing to get its deal for E-Plus approved by reportedly offering to lease spectrum and provide roaming services to a new operator on the German market.

The proposals are part of concessions Telefónica has offered to gain approval for its takeover of E-Plus from the European Commission. German regulators are also seeking to attract a new player to the market to bolster competition.

Telefónica has reportedly said it will offer 40MHz of spectrum, which has the capability to cover 50% of urban areas, and the company will offer roaming agreements for other parts of the country.

A combined Telefónica Deutschland and E-Plus entity will own seven times more frequency than what is being offered, and this spectrum will be leased – not given to the rival operator.

The offer will expire at the end of this year if there are no expressions of interest, and the commission has reportedly asked potential companies to state whether it will be a sufficient amount to maintain competition in the country.

The Commission is pushing for more attractive concessions for a new German player.

Telefónica has already said it will provide space on its network for three other MVNOs in the country, as part of concessions it is offering to push through the deal for KPN-owned E-Plus.