Ofcom UK Warns Inmarsat and Solaris Mobile – Use Your Spectrum.. OR ELSE

Back in 2009 the European Commission picked Inmarsat Ventues and Solaris Mobile to provide Mobile Satellite Services (MSS) across Europe using the 1980-2010MHz and 2170-2200MHz radio spectrum bands. But so far neither company has provided the services and the UK telecoms regulator has now issued both with a strict ultimatum, use it or £ lose it.

Europe’s MSS commitment envisaged that both operators would ideally be able to launch a variety of different services using the related spectrum, such as “high-speed” Internet access (e.g. in-flight broadband), mobile TV and radio or emergency communications to millions of consumers and businesses across the continent.

As part of this agreement the two pan-European operators would need to deliver the related services by 14th May 2011 and then run them until 2027. All well and good, except that the market for MSS only formed a minuscule part of the overall satellite industry in 2014 and developing the necessary interest has thus become a slow burn.

Inmarsat has been hinting at using the spectrum to serve aircraft (e.g. British Airways), although progress has been slow. Meanwhile Solaris, which has a bucket load of financial worries, struggled to find a market and last year saw its S-band satellite venture being sold on to EchoStar. In other words, neither company has been able to meet the requirements and Ofcom isn’t happy.

Ofcoms Statement

“To date, both companies have not yet taken the necessary steps to meet their commitments under the assigned frequencies. As a result, Ofcom has notified both companies that they must put this spectrum to use no later than 1st December 2016.

If the companies do not meet these requirements by the dates specified, Ofcom will consider taking further regulatory action, in conjunction with other EC member states. This could include a fine and/or revocation of that company’s authorisation in the UK.”

London-based Inmarsat might still be able to make a go of it, but they’ve been slow to launch a spacecraft and have warned about the lack of end-user business commitments (customers need to sign-up first).

Meanwhile Ofcom and the EU will no doubt be able to find other uses for the spectrum, some of which could be deployed to help improve 4G based Mobile Broadband performance.