HL Deb 16 May 1989 vol 507 cc1043-4

2.55 p.m.

Lord Morris asked Her Majesty's Government:

How many proposals they have received in response to the Department of Trade and Industry paper Phones on the Move and what their timetable is for issuing licences.

The Secretary of State for Trade and Industry (Lord Young of Graffham)

My Lords, by 12th May we had received 52 responses to this discussion document. They raise a wide range of technical and other issues which are being considered by my department and the Office of Telecommunications.

I am concerned, however, that we should move ahead quickly in this area and identify prospective operators as soon as possible. I am not yet in a position to say precisely when this will be, but, as I undertook to the House in my Statement on 26th January, I shall make a further announcement once we have completed our consideration of the responses.

Lord Morris

My Lords, I thank my noble friend for that Answer and in particular for his statement that there will be an early resolution in the allocation of licences. Is he aware—I am sure that he is—that the early allocation of those licences will bring the benefits of mobile telephony to a far wider market than at present?

Lord Young of Graffham

My Lords, we are still awaiting the launch of the Telepoint service which will be starting within a matter of weeks. The service is one which will follow Cellnet and Telepoint and it will involve new technologies and a considerable amount of innovation. The initial responses that we have received are based on innovation and new technologies. Out of them I hope to select a few applicants and we shall ask them to develop submissions on the viability of running services.

Viscount Montgomery of Alamein

My Lords, will the 52 proposals that my noble friend has received be treated as licence applications. That might have the effect of ensuring a British lead in the next generation of mobile telephony.

Lord Young of Graffham

My Lords, no. I shall select a limited number and we shall return to them and ask them to make licence applications.

Lord Williams of Elvel

My Lords, by what criteria does the Minister propose to select the licensees?

Lord Young of Graffham

My Lords, that is a point which should be developed. We asked for responses by 28th April, essentially on the viability of a new personal communciation network between 1.7 gigahertz and 2.3 gigahertz; the United Kingdom markets' ability to support more mobile radio operators; the role of the pocket radio telephone; the timing of any new network; the most appropriate technology that should be used; the amount of radio spectrum that we need to run these telephones; the features that technology should offer; and the international dimension—the ability the new services would have to be accepted round the world by adopting European and other international standards.

Those 52 applications cover a wide spectrum of approaches. We are looking to see which ones we believe would be most capable of being developed in the future, and we shall then go out to a number of individuals and ask them to submit formal applications for licences. We are talking about the technology of the mid-1990s. It is a big step forward. I know from the applications that we have received that we have excited the imagination and response of companies all round the world.

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