Thailand Spectrum Auction: Consumer Council Demands Delay Over MVNO, NT Concerns

The council’s plea stems from significant concerns regarding the impact on mobile virtual network operators (MVNO) and the state-owned telecommunications enterprise, National Telecom Public Company Limited (NT).

In a formal letter submitted to the NBTC, the Consumer Council emphasized the necessity for a comprehensive stakeholder consultation before proceeding with the auction, which encompasses the 850 MHz, 1500 MHz, 1800 MHz, 2100 MHz, 2300 MHz, and 26 GHz frequency bands.

A primary point of contention raised by the council is the inadequacy of the public hearing held on April 1st. The hearing failed to provide a sufficient platform for all stakeholders, particularly MVNO service providers, who rely on NT’s network for their operations.

The impending auction of the 850 MHz, 2100 MHz, and 2300 MHz bands, scheduled for this summer, is concerning as these frequencies are currently utilized by NT, the sole mobile operator that fulfills the conditions for hosting MVNOs in Thailand.

The Consumer Council warns that proceeding with the auction without thoroughly considering the implications for MVNOs will lead to further unfair competition, as there will be only two mobile network operators left in the country.

Despite more than a decade of both AIS and TRUE having to give access to the 65+ mobile virtual network aggregators (MVNA) and MVNO licenses that have been sold by the NBTC, none of the two MNOs have done so, leaving only NT, who now have to return its spectrum for the auction.

Furthermore, the council highlighted the lack of clear guidelines for compensating for MVNOs and customers affected by the auction of NT’s 850 MHz, 2100 MHz and 2300 MHz spectrum, which is set to expire in August.

Ithibun Onwongsa, Deputy Secretary-General of Thailand’s Consumer Council, underscored the significance of NT as a state enterprise, arguing that it functions as a public service. He cautioned that auctioning NT’s spectrum would compromise security during crises [such as the recent earthquake], and negatively impact vulnerable populations dependent on telephone and internet services. Additionally, it would further diminish competition within the telecommunications market.

“Therefore, the NBTC should consider the conditions for allocating frequencies to government agencies without using the auction method to provide public services, which will truly benefit consumers,” Onwongsa stated.

To address these concerns, the Consumer Council has proposed that the NBTC extend the period for gathering stakeholder opinions. This extension would allow government agencies utilizing NT’s spectrum and MVNOs ample time to deliberate and provide comprehensive feedback.

This would create opportunities for new entrants and foster a diverse and sustainable competitive landscape.

The Consumer Council expressed its hope that the NBTC will carefully consider these recommendations, ensuring that the frequency allocation process maximizes benefits for consumers and the nation as a whole, as stated in the mission for auctioning spectrum.

Via MVNO SERVICES