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EE, O2 and VodafoneThree Secure mmWave Spectrum in Ofcom Auction as UK Prepares for High-Capacity 5G Era

Ofcom has released the final results of its mmWave spectrum auction, paving the way for the UK’s next phase of ultra-high-capacity 5G deployment.

The auction spans the 26 GHz and 40 GHz frequency bands, designed specifically to boost capacity in densely populated areas and deliver multi-gigabit performance.

Allocation and Payments

In the principal stage of the auction, three major telecom operators — EE, O2 and VodafoneThree —each secured the same amount of spectrum: 800 MHz in the 26 GHz band and 1 GHz in the 40 GHz band, all for a fee of £13 million per company.

Frequency Assignments from the Assignment Stage

Following the assignment process, which allows operators to bid for specific frequency positions, the final allocations are:

EE: 26.7-27.5 GHz and 41.5-42.5 GHz

O2: 25.1-25.9 GHz and 40.5-41.5 GHz

VodafoneThree: 25.9-26.7 GHz and 42.5-43.5 GHz

Because no two bidders chose overlapping blocks in the assignment stage, no extra fees were required at this stage.

Why this auction matters: Context and implications

Massive spectrum release for high-density areas

Ofcom made around 5.4 GHz of new mmWave spectrum available (within the 26 GHz and 40 GHz bands) aimed at 68 “high-density” areas—major towns, cities and transport hubs where demand for mobile data is especially intense.

Specialized use case: Not a wide-area blanket coverage

Though this spectrum offers very high speeds and capacity, its propagation characteristics mean it is best suited for densely packed environments—stadiums, arena settings, busy train stations, shopping centres—not broad rural regions. As one analyst put it, mmWave is the “multi-lane motorway for mobile data” in traffic-heavy zones.

Timing & regulatory design background

The auction design and regulatory framework have been years in the making. Ofcom published its final regulations in June 2025 under the Wireless Telegraphy (Licence Award) Regulations 2025. Earlier, the auction was delayed due to the pending Competition and Markets Authority (CMA) review of the Vodafone-Three merger.

What the spectrum can support

The newly awarded spectrum enables services requiring ultra-high capacity and ultra-fast speeds—for example, 8K streaming in crowded venues, fixed wireless access for enterprises, factory automation, and XR/VR experiences.

What This Means for the UK Telecom Market

With EE, O2 and VodafoneThree each holding equivalent allocations in the mmWave bands, competition for high-capacity 5G services in dense urban locations remains robust.

Operators now have licenses enabling deployment (subject to licence conditions) and can begin planning infrastructure build-out—small cells, high-capacity links, etc.

As device ecosystem catches up (currently relatively few UK consumer handsets support mmWave bands), the immediate focus may be on enterprise, fixed wireless access and high-density venues rather than nationwide mobile coverage.

For consumers and businesses in the UK, this signals that the next frontier of 5G is not just mid-band (e.g., 3.5 GHz) but also mmWave, enabling very high throughput in locales where network congestion is hardest felt.

Baburajan Kizhakedath

GSMA report on mobile internet investment
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