4G auction raises much less than government was banking on

20 February 2013

Nice pic, eh?

We don’t know if it happened in a dusty auction room, filled with serious-faced men bidding by raising cards or subtly touching their fingers against their trilby hats, but it seems that there’s been an auction. An auction for the 4G network here in the UK.

The winning bidders are Everything Everywhere (T-Mobile/Orange), Hutchison 3G UK (Three), Niche Spectrum Ventures (a BT subsidiary), Telefonica (O2), and Vodafone.

All great news for the aforementioned mobile providers. The not-so-great news will be filling the head and disturbing the slumber of George ‘Gideon’ Osbourne, who was banking on £3.5 billion being raised at the auction - in fact he'd already included in his Autumn Statement last year. Unfortunately, the lesser sum of £2.4bn has been raised. By contrast, the 3G auction in 2000 raised £22bn.

The Treasury have clearly got the hump, claiming that the money was earmarked for investment in growth and science for businesses. We think they’re trying to blame the mobile providers for killing the country by not bidding more for the network.

They have also said that the £3.5bn figure was certified by the Office of Budget Responsibility and based on external independent analysis, done by experts and based on other similar auctions. So it’s not George’s fault, okay?

TOPICS:   Mobile   Broadband   Technology

4 comments

  • Mr M.
    So all the major networks bid and won, what exactly was going to drive up the price if they knew they were all getting it.
  • Jack M.
    Fuck 4G Tmobile drops a 3g call every time I drive by mt local Microcell Who needs a faster shit connection! A bag of salt water through the control Cabinet vents this weekend should make them finally notice
  • shiftynifty
    So osbourne was bullshitting as usual
  • SB
    Osborne's a twat! When it comes to running a country, politicians are in a puppet's dream land. What fucking financial analyst in the private sector would forecast an inaccuracy to the tune of £1billion and still keep their 6 figure salary job, let along ever get another job? The whole government administration is a joke! They say Jeremy Clarkson should run the country whilst still doing Top Gear. He'll probably do a better job of it too!

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