HKT urges reforms to spectrum policy

HKT has publicly criticized the Hong Kong government over its handling of spectrum-related matters, asserting that the region risks becoming “a third-class citizen in mobile service development.”

In an open letter to the government, HKT expressed concern over a range of issues, including a belief that the government is not doing enough to release more spectrum to the market, the failure to follow up on a pledge to introduce spectrum trading and insufficient public engagement over a planned spectrum reassignment exercise.

HKT also expressed concern over the fact that spectrum prices have “increased astronomically over the years [to the extent that] Hong Kong spectrum prices are now the most expensive in the world.”

Such high prices aren’t necessary when the government already has a huge budget surplus, HKT said. The charges are also inevitably passed on to consumers, who could see prices go up by more than HK$12 per month if the government sticks to its current pricing proposals.

“What Hong Kong needs is a forward-looking, accommodating and holistic approach to spectrum policy, not a simplistic spectrum auction that is purely designed to maximize government revenues at the expense of the spectrum policy objectives,” HKT concluded.

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