Deutsche Telekom steps up 5G network though it drops Capex

Deutsche Telekom said cash Capex – excluding spectrum investment — decreased by EUR 0.3 billion to EUR 3.4 billion, mainly due to the very high level of investment in the United States operating segment in the prior-year period.
Deutsche Telekom 5G networkCash Capex, including spectrum investment, decreased from EUR 3.8 billion to EUR 3.6 billion.

T-Mobile US made an advance payment of EUR 0.2 billion for buying FCC mobile licenses during the auction of mobile licenses that ended in March 2020. Deutsche Telekom’s spent towards spectrum licenses was EUR 0.1 billion, also primarily for the United States operating segment, in Q1 2019.

Deutsche Telekom’s Capex in Germany decreased by EUR 0.3 billion due to result of the changed accounting treatment of grants receivable from funding projects for the broadband build-out.

T-Mobile US’ Capex decreased mainly due to higher capital expenditures in the first quarter of 2019 related to laying the initial groundwork for 5G.

“As part of our integrated network strategy, we continue to invest in the broadband and fiber-optic rollout, and in our mobile infrastructure. For instance, in the first three months of 2020 we connected 208 new LTE sites to our network in Germany,” Deutsche Telekom said on Thursday.

Deutsche Telekom’s Europe business added 208 new LTE cell sites to network in Germany. It upgraded 534 cell sites with additional LTE antennas. These steps have both increased network capacity and extended coverage in rural areas. LTE network reaches 98.2 percent of the population.

In addition, Deutsche Telekom plans to use extension options to increase mobile capacities for customers at over 10,000 more sites.

Deutsche Telekom said its major build-out activities also include more 5G for Germany: The new standard is set to go live in 14 additional cities this year in pursuit of goal to roll out 5G to at least 20 of the largest German cities by the end of 2020.

T‑Mobile US bid on spectrum in the 37, 39, and 47 GHz bands at the U.S. auction, receiving the corresponding 5G licenses in April 2020. More than 200 million people in over 5,000 towns, cities, and municipalities across the United States are now reached by T‑Mobile US’ nationwide 5G network.

COSMOTE in Greece will partner with Ericsson to get the network 5G ready. T

‑Mobile Polska is focusing on the build-out of 5G infrastructure, with 800 base stations in Warsaw ready and waiting to offer 5G services to customers. The 5G network is set to include 1,600 base stations in five Polish cities by the end of the first half of 2020.

Magyar Telekom secured the usage rights — at the 5G auction in Hungary — for its preferred frequency blocks in the 700, 2,100, and 3,400 to 3,800 MHz bands, establishing the basis for offering commercial 5G services from the beginning of April 2020.

Magenta Telekom is making 5G infrastructure available in Vienna for the 5G applications. Magenta Telekom has upgraded 11 base stations in the Austrian capital and delivers 5G to parts of seven of the city’s districts.

To date, the 5G network across Austria comprises 58 antennas in 31 municipalities with new base stations being added continually.