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Fourth operator joins Belgian market after €1.2bn multi-band auction

The new market player, Citymesh Mobile, secured spectrum in all the bands on offer and has joined forces with Romanian operator Digi to become a fully-fledged mobile operator.

Jun 28, 2022 | Laura Sear

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The auction started on 1 June with the 700 MHz and 3.6 GHz bands. Citymesh Mobile, Network Research Belgium, Orange Belgium, Proximus and Telenet took part. The new market entrant secured 50 MHz in the 3.6 GHz band and 2 x 5 MHz in the 700 MHz band. The three established operators all acquired 100 MHz of mid-band spectrum for 5G. Telenet bid for a smaller block of 2 x 5 MHz in the 700 MHz band.

The auction also included existing 2G and 3G frequencies (900 MHz, 1800 MHz and 2100 MHz).

Bands
Bands	wdt_ID	Bidder	Total Gross Winning Bids	Bandwith
900 MHz	1	Orange Belgium	56.720.800 EUR	2 x 10 MHz
900 MHz	2	Proximus	57.410.800 EUR	2 x 10 MHz
900 MHz	3	Telenet	57.410.800 EUR	2 x 10 MHz
3.6 GHz	5	Telenet	55.800.000 EUR	100 MHz
1800 MHz	6	Citymesh Mobile	27.000.000 EUR	2 x 15 MHz
1800 MHz	7	Orange Belgium	27.000.000 EUR	2 x 15 MHz
900 MHz	8	Citymesh Mobile	28.005.000 EUR	2 x 5 MHz
1800 MHz	9	Proximus	109.880.000 EUR	2 x 25 MHz
2100 MHz	10	Citymesh Mobile	9.000.000 EUR	2 x 5 MHz
2100 MHz	11	Orange Belgium	60.030.000 EUR	2 x 15 MHz
2100 MHz	12	Proximus	144.590.000 EUR	2 x 25 MHz
2100 MHz	13	Telenet	60.420.000 EUR	2 x 15 MHz
700 MHz	14	Citymesh Mobile	19.335.000 EUR	2 x 5 MHz
700 MHz	15	Orange Belgium	122.860.000 EUR	2 x 10 MHz
700 MHz	16	Proximus	122.870.000 EUR	2 x 10 MHz
700 MHz	17	Telenet	21.340.000 EUR	2 x 5 MHz
3.6 GHz	18	Citymesh Mobile	30.990.000 EUR	50 MHz
3.6 GHz	19	Orange Belgium	54.850.000 EUR	100 MHz
3.6 GHz	20	Proximus	56.320.000 EUR	100 MHz
1800 MHz	21	Telenet	69.390.000 EUR	2 x 20 MHz
3.6 GHz	22	Network Research Belgium	10.970.000 EUR	20 MHz

Citymesh is currently focused on private networks. With its newly acquired spectrum, the company plans to develop a country-wide network. After the auction, the company announced its new partnership with the Romanian telecommunications group Digi.

“Citymesh already delivers mobile services to the business market,” said chief executive Mitch De Geest. “Thanks to the additional spectrum, Citymesh can start offering a hybrid mobile strategy, roaming from private to a public network and back.”

After almost 25 years, the arrival of the joint venture turns the country into a more competitive, four-operator market. The Belgian regulator set up a newcomers-only first round to bid for a package of spectrum in various bands, in the hope of attracting a new operator and diversifying the market.

A recent European Commission report said the country’s mobile market was lagging behind those of its EU counterparts. The last new market player, KPN Orange (the predecessor of BASE/Telenet), joined the fray in 1998.

This is the second time that Digi has unexpectedly shown up at a European 5G auction. Last year, the company bought its way into the market at the Portuguese auction. The joint venture with Citymesh plans to build 3,500—4,000 antennas over the next five years.

According to BIPT, the last phase of the auction, the 1400 MHz round, will start after the specific frequency blocks of the main round are assigned. Only three applications were submitted for this last phase. The 1400 MHz band is suitable for supplemental downlink capacity. The total reserve price for the 90 MHz of spectrum on offer is €46.5 million•

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1400 MHz 2100 MHz 3.6 GHz 700 MHz 900 MHz Bipt CityMesh DiGi

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By | Laura Sear

Laura is the in-house journalist at PolicyTracker, who focuses on spectrum policies in Europe. She has previously written for The Guardian, Deutsche Welle and several Belgian publications such as the VRT and Knack. Laura is fluent in English, Dutch and French and has a master's degree in International Journalism from City University of London.