Telecoms Ministry relents but UMTS boycott possible

Facing a shortage of bids in the third generation UMTS mobile telecom auction, the Telecoms Ministry extended the tender deadline and eased some of its more controversial requirements. After complaints from potential participants, the deadline has been delayed by three weeks to December 1, with results to be announced on December 23, also later than originally scheduled. The Ministry also relinquished the requirement for operators to submit a euro 700 million promissory note, meant to prevent chosen winners from reneging on the conditions of the license. Instead, bidders will probably be required to supply a euro 50 million bank guarantee. However, the Ministry did not alter the most controversial "domestic roaming" requirement, according to which currently operating GSM firms will have to allow UMTS licensees access to their networks. This means that the three GSM operators, Polkomtel, Polska Telefonia Cyfrowa and Centertel could still boycott the UMTS auction. (Puls Biznesu, p.3, Reuters)