National Communications Commission Wireless Broadband Access (WBA) Regulatory Policy and Mechanism Jimmy Hsieh Commissioner National Communications Commission April 24, 2007

National Communications Commission 1 Spectrum Allocation  2.5GHz to 2.69GHz release for mobile BWA  Two-phase license issuance  Phase one release 90MHz  Phase two release 100MHz  2.5GHz to 2.69GHz was already at Mar. 07’  3.4GHz to 3.487GHz release for fixed BWA  Release for fixed network operators 2500MHz 2565MHz 2595MHz 2625MHz 2660MHz 2690MHz AB C 190MHz 65MHz 30MHz 35MHz30MHz

National Communications Commission 2 Two-phase License Issuance  Phase One ： Regional Licenses  Around July of 2007  licenses will be valid for a period of six years & Can be renewed only once  licenses may be merged and converted to a nationwide  Each licensee will be assigned a 30-MHz with no guard bands for TDD use  Issuing 3 licenses per region (North & South region of Chinese Taipei )  A total of 6 licenses will be issued and each application cannot be granted more than one license  Selected License X1 and X2 reserved for green fielder & limited to IEEE e standard  NCC set up the panel to determine the qualification of the applications. There are 11 judges, including 3 commissioners, 2 government officers, and 6 professors, who are excellence with finance, engineering, communication, and industrial economic.

National Communications Commission 3 Two Stages Licensing Method  First Stage ：  Business planning book : 80 points  Network deployment and technology ability （ 28 points ）  Service and operation planning （ 23 points ）  Financial planning （ 23 points ）  planning for protection of rights of subscribers （ 6 points ）  items which could add points （ 5 points ）  Face - to face talk : 20 points  The applicant which pass the reviewing process (over 75 points) will become qualified bidders.  the total direct shareholding by foreigners <49%  the sum of direct and indirect shareholding by foreigners <60%  Second Stage ：  Auction

National Communications Commission 4 Major Plans June 14, 06’ Aug. 2, 06’ Oct. 5, 06’ Oct. 31, 06’ Feb. 14, 07’ Created task force on WBA Conducted public hearings About the Regulations Governing the WBA business Published paper on the NCC Website to solicit public comments Conducted public hearings about license issuance policy Completed the administrative plan of promotion WBA Executive Yuan finalized the licensing framework for WBA service Commissioners meeting And licenses issuance Promulgated the Regulations Governing the WBA business Announce the acceptance of Applications for WBA business During 12 April to 11 June Reviewing application, Business plan and other qualifications according Conduct auctions Mar. 9, 07’ Mar. 30, 07’ Apr. 12, 07’ Jun.-Jul., 07’ July, 07’ Aug. 3, 07’

National Communications Commission 5 Licensing Framework Start Accepting Application Complete Application? Exam Application Document Applicant Starts Bidding License Preparation Qualified Applicant? Successful Bid? Meet the Operational Criteria? Start operating End Supplement ? Violate Auction Rules ？ Refund ExaminationFee and Deposit Refund Deposit,but notExamination Fee No Refund forneitherExamination Feenor Deposit No Refund for thePaid PerformanceBond Provision Expiration ? A B C D A E E Yes No

National Communications Commission 6 Reference   Telecommunications Act ( (   Regulations Governing the WBA Business (   Published paper on the NCC website (August 2,2006) (   Conducted public hearings about License Issuance policy (October 5,2006) ( (   Conducted public hearings about the Regulations Governing the WBA Business (March 9,2007) (   Announced the acceptance of applications for WBA business during 12 April to 11 June (

National Communications Commission Thank you for Your Attention!