Europe : The principles behind Ofcom's new, strategic approach to spectrum management in the UK, published last week, have been welcomed by mmO2.

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Commenting on the ten week consultative process, Peter Erskine ( inset above ), chief executive officer of mmO2, said: 'We have called for a new approach to how radio spectrum is managed for several years, and believe that today's announcement by Ofcom has the potential to lead to a major transition to a market-based approach to spectrum management that will deliver long-term benefits for mobile consumers.

As research conducted in the past 12 months by the CEBR shows, the UK mobile industry currently contributes more than 2.3 per cent to GDP, growing to 3 per cent by 2013, a fact born out of being the most competitive major market in Europe.'

Allowing mobile operators to decide the best use for allocated spectrum rather than specifying its technological purpose will encourage greater product innovation and the further development of first-class customer services. Ofcom has made some initial proposals regarding 2G spectrum for further consultation and mmO2 looks forward to informing that debate. Clearly, there is a need in the future spectrum market for all licensees to have the same freedom to determine the best use of their spectrum and operate on a level playing-field.

mmO2 supports the view that a fair and equal marketplace should be established, giving existing mobile operators the same flexibility as potential new entrants, with any service obligations also being applied universally. In particular, mmO2 welcomes Ofcom's pragmatic position on the 3G roll-out obligation. mmO2 has consistently maintained that market demand should determine the pace and scope of network roll-out.

The consultation also addresses the possibility of newly auctioned licences having rolling terms after their initial fixed period. In order to preserve equality of treatment such proposals would also need to extend to all spectrum licensees in the future.

Peter Erskine concluded: 'We look forward to working closely with Ofcom to further refine and implement these recommendations over the coming months and ensuring any changes are in the best interest of customers.'