Responses to Clarification Questions on the Licensing Framework for Residual Spectrum Licences in the 700 MHz, 2500 MHz, 2300 MHz and PCS-G Bands

February 2018

The following are responses to clarification questions received subsequent to the release of SLPB-009-17, Licensing Framework for Residual Spectrum Licences in the 700 MHz, 2500 MHz, 2300 MHz and PCS-G Bands (hereinafter referred to as the Framework).

Questions may have been rephrased, and in some cases, similar questions have been consolidated.

This document may be updated from time to time, as additional questions arise. Interested parties are encouraged to regularly check the 700 MHz, 2500 MHz, 2300 MHz and PCS-G Block (residual 2018) webpage for updates.

Clarification questions and responses have been grouped under the following themes:

  1. resolution of tie bids
  2. auction process

1. Resolution of tie bids

QUESTION 1.1: Given that package bidding is allowed in the 2500 MHz band, what are the rules for the submission of new package bids in the event of a tie?

RESPONSE 1.1: Bidders involved in the tie will be requested to submit new bids for the group of licences in which a tie occurred. The groups of licences are identified in table 6 of the Framework. Bidders are encouraged to submit new bids, which are different from their original bids in that specific group of licences. These new bids could be for different packages and/or different amounts within that group.

QUESTION 1.2: If a bidder wins a tie-breaking round, how will the price be determined?

RESPONSE 1.2: Bids placed in a tie-breaking round will supersede those placed in the initial bid round. If a bidder does not submit a new bid (or package bids) for a tie-breaking round, the bidder's original bid (or package bids) will be considered for the winner and price determination. This will apply to tie package bids within a group of licences in the 2500 MHz band, and tie bids in other bands.

QUESTION 1.3: In the case of a tie will all provisional licence winners be announced simultaneously?

RESPONSE 1.3: ISED will announce all provisional licence winners at the same time.

QUESTION 1.4: What will be the length of time between the notification of tied bids and the deadline to submit the new bids?

RESPONSE 1.4: All bidders are encouraged to have an alternate plan in the case of a tie. If a tie occurs, the Manager, Auction Operations will contact the bidder's Auction Authorized Representative to request a new bid(s). In this situation, it is anticipated that bidders involved in the tie would have twenty-four (24) hours from the time of initial contact to provide a new bid(s) to ISED. ISED maintains the discretion to change the timeline. Additional instructions regarding sealed bid and tie-breaking procedures will be provided to qualified bidders shortly after the publication of the list of qualified bidders.

2. Auction process

QUESTION 2.1: Where an auction consultant advises one bidder in an auction, could that same consultant advise a different party in a different auction or other matter not related to the auction, provided that such a consultant otherwise complies with all aspects of the applicable licensing framework?

RESPONSE 2.1: In order to preserve the integrity of the auction, bidders are prohibited from receiving consulting advice from the same auction consulting company for the same spectrum licensing process. This licensing process for residual licences in the 700 MHz, 2500 MHz, 2300 MHz and PCS-G Bands, is considered to be a distinct licensing process. Where there are concerns regarding specific scenarios, parties may approach ISED at any time for guidance.

QUESTION 2.2: Are applicants permitted to increase or decrease their pre-auction financial deposit after the application deadline and before the bid receipt deadline? If so, please clarify the process and rules.

RESPONSE 2.2: Applicants are not permitted to increase or decrease the amount of their pre-auction financial deposit after the application deadline. Applicants wishing to withdraw their application materials and have their financial deposits returned may do so, without prejudice, by sending a written request to the Manager, Auction Operations, on or before the business day preceding the receipt deadline for sealed bids.

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