Valuating collective use of spectrum: The case of Wi-Fi in Thailand

Other conference contribution, 2009

In Thailand, the band of 2400–2500 MHz was initially assigned by the command and control approach to the fixed service for point-to-point or point-to-multipoint microwave link service. After that, the administrator/regulator decided to additionally allow everyone to use this band as collective use of spectrum (CUS) with some limitations. The major use for CUS is Wi-Fi service. The additional service will increase the benefit and value to society of this frequency. This paper estimates the value of this frequency by an original method. In order to valuate the use of the frequency for microwave link service and Wi-Fi service, the business model approach will be used to estimate the costs and revenues to provide these services including the licence fee, frequency usage fee, equipment cost, operating cost, installation and maintenance cost, etc. In particular, the possibility to extend the use of Wi-Fi service as complementary to the other existing telecom services including the fixed line telephone and cellular mobile phone will be investigated. This study will have implications for regulators, in particular to increase the collective use of spectrum, either as complementary or as additional services in other frequency bands.