TPM 0.00% $8.93 tpg telecom limited

How a JV with Vodafone could work

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    TPG’s challenges
    Only 10MHz of 700MHz spectrum
    No mid range spectrum 1800MHz
    Small amount of 2600MHz spectrum
    Only has small cells.

    Vodafone
    Has 5MHz of 700MHz spectrum which is useless on its own and not worth rolling out a new network.
    Has large 1800 MHz spectrum holdings nationwide
    Has Macrocells but no small cells

    Solution.
    Vodafone and TPG agree to share spectrum and cells.
    TPG’s 700MHz Spectrum is shared with Vodafone’s 5MHz to give both companies 15MHz on all cells.
    The Huawei equipment TPG has is 1800MHz compatible.
    It therefore makes sense to turn on Vodafone’s 1800MHz spectrum on all TPG small cells so that can be shared too.
    2600 MHz could also be shared across both networks.

    Spectrum and cell sharing makes economic sense for both companies.

    It would make both TPG’s network and Vodafone’s Network go faster and further at minimal cost to either company. Vodafone gets a small cell network with lots of extra spectrum, and extra 700MHz spectrum for its Macrocells Network. TPG gets more spectrum on its small cells to use and access to Vodafone’s Macrocells.

    Win win
 
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