Telefónica Deutschland secures a total spectrum of 60 MHz in frequency auction, key for network expansion and data business

General 22 June 2015

22 June 2015: Telefónica Deutschland secured total spectrum of 60 MHz at the mobile phone frequency auction that came to an end in Germany last Friday with an investment of 1.198 billion euros. The additional frequencies enable the company to expand its high-speed network and its network capacity.

Investments for the best network experience

 “We are very satisfied with the result of the auction and have acquired a valuable frequency package. The spectrum enhances our overall spectrum position and represents an integral component for our strategy of becoming the Leading Digital Telco in Germany,” commented Thorsten Dirks, CEO of Telefónica Deutschland. “The frequency spectrum is going to benefit our customers, who will in future enjoy the best product and service experience at an attractive price.”
“This spectrum investment reinforces the fact that the network experience is a top priority for Telefónica,” emphasised Rachel Empey, CFO of Telefónica Deutschland. “The new frequencies empower us to achieve an efficient expansion of our future-proof and high-quality mobile phone network. Furthermore, this enables us to continue driving forward successful monetisation of data business.”

Frecuency spectrum acquired

At the frequency auction, Telefónica Deutschland purchased 2 paired blocks in the 700 MHz range, 2 paired blocks at 900 MHz and 2 paired blocks in the 1.8 gigahertz range. The spectrum at 700 MHz and 1.8 GHz will enable the company to further increase the density of LTE provision in major cities and rural areas, in order to provide customers throughout Germany with an even better user experience using mobile data services. The spectrum at 700 MHz from the so-called Digital Dividend 2 supplements frequencies at 800 MHz in rural broadband expansion, which the company purchased in 2010.

In addition, the blocks acquired at the auction in the 1800 MHz range permit Telefónica to build up an even more powerful high-speed network and further expand the capacity of the network. This means that customers benefit from significantly higher LTE speeds. The blocks in the 900 megahertz range will continue to safeguard the high quality of the nationwide GSM network for voice, SMS and narrowband Internet connections in the future.