Hutchison Whampoa, a Hong Kong based telecoms company, has been awarded the country's first 3G, or third generation, mobile phone licence.
The 'A' licence provides for 80% population coverage with a start date of January 2004. The licence will bring the Exchequer a total of €50.7 million - with €12.7 million upfront and the balance payable over 15 years.
Vodafone and O2, who also pitched for an 'A' licence, will be offered 'B' licences which must cover just over 50% of the population - equivalent to coverage of the five major cities. The 'B' licences also have somewhat slower minimum rollout conditions compared with the 'A' licence.
Applications for the 'A' licence were evaluated on the basis of access to Mobile Virtual Network Operators (such as Spirit), quality of service, coverage, speed of roll-out, site sharing, promotion of competition and performance guarantees.
A statement from the Telecommunications Regulator Etain Doyle said Hutchison's application was strong on promotion of competition, MVNO access and quality of service.
Etain Doyle said today that Ireland will see the introduction of 3G services on the basis of well-constructed business plans.
'I believe that this new technology will make a real difference to the mobile and data markets and I am particularly pleased that there is a provision for MVNOs which should strengthen competition in the sector,' she said.
