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New Zealand is auctioning off WiMAX wireless broadband spectrum, with eight firms chasing licences. TelstraClear has pulled out, saying it does not believe that WiMAX broadband services will be competitive with fixed line broadband access, The Dominion Post reports.

The government is offering 215MHz of spectrum in the 2.3GHz and 2.5GHz bands. The auction, which began last week, will end once no new bids have been made in two consecutive rounds of bidding. At the end of round 18 on Friday, seven of the licences had received offers, with the bids totalling NZD3.4 million (USD2.6 million). Craig Wireless Systems is leading the bidding for two concessions, while Telecom New Zealand, Woosh Wireless, Vodafone, CallPlus, and Snap Internet are all currently in pole position to win one concession each. Two other firms, Kordia and Compass Communications, are also said to be in the running.

Meanwhile, Hong Kong is making available two additional portions of spectrum for WiMax by the Office of the Telecommunications Authority. The move is aimed at making Hong Kong an ‘advanced wireless city’, the Sunday Morning Post reported.

The move was announced at a meeting of the parliamentary Legislative Council’s information technology and broadcasting panel last week. Hong Kong is expected to be one of the world’s first WiMax networks, along with cities such as Moscow, Chicago, Baltimore and Washington, the Post said.

Ofta will auction at least six licenses next autumn. Companies are expected to bid tens of millions of dollars and will have two years to roll out the services. An Ofta spokesman said the latest services would help Hong Kong maintain its competitive edge.

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