UK network sharing could save 3G.
The UK 3G network infrastructure will require up to 50% more masts and base stations. Conflicts between 3G license-holding operators and local councils may lead to delays in the rollout of the infrastructure. This could jeopardize the goal of 80% coverage of the UK population by 2007, which was set down as a condition of the 3G licenses.
The situation is complex as each of the three parties involved have their own interests in mind. License-holding operators want to build up infrastructure as fast as possible in order to begin recouping the investment on their 3G licenses. The government wants to see the largest possible geographical coverage as soon as possible, while local politicians do not want to grant planning permission on a large scale due to public health and safety fears.
One way to tackle the problem and reduce the number of masts required would be for licensees to share network infrastructure. This was suggested by the EU commission in March 2001 and further discussed at the EU Telecom meeting in Stockholm on May 15. Furthermore, on June 5 the German regulator RegTP issued an interpretation of current regulations permitting the sharing of networks under certain conditions. Shared infrastructure would lead to reduced building costs, speed up rollout and improve geographical coverage. As a result, all parties could benefit, including operators and governments as well as end-users.
There is an argument that shared infrastructure could limit competition. This could have negative effects, most notably higher prices for end users. However, shared infrastructure could also have positive consequences, as it would mean that instead of five 3G networks covering the country, only two or three would be required for more sparsely populated areas. In turn, the number of potential conflicts between operators and County Councils would be reduced. It would also benefit telecom operators as the costs of building the networks would be smaller, and ultimately shared infrastructure could lead to lower prices for end-users.
