FirstMark out of the broadband bidding

NEWS The company had spent £20,000 for the right to bid in each of the 14 areas being offered across the UK, although it failed to make a bid for any of them before pulling out. FirstMark controversially sacked its entire technical staff just before the start of the auction. Bidders took part in five rounds on Monday with the total revenue for the 28Ghz spectrum across the UK to over £36m, up from £27m on Friday. The spectrum is being offered as three licenses across each of 14 regions, many of which are not yet being bid for. The broadband fixed wireless access (BFWA) auction is being held by the Department of Trade and Industry. Bidding can be seen at: http://www.spectrumauctions.gov.uk/bfwa/bfwa_index.htm Most bidding activity has centered on metropolitan areas such as London and Manchester. But according to Clive Hillier, senior consultant at analyst house Schema, that should come as no surprise, and some areas may not receive any bids at all because the business is not there. "Using wireless as a way of getting to users is not worthwhile unless you can see a return on the £5,000 to £6,000 that it costs to install equipment," he said. "That is too much for the small user and it is more attractive to provide the big user with more capacity than broadband fixed wireless can offer." Eight companies are still bidding, and the next round begins on Tuesday at 09.30 (GMT). By Geoffrey Davies