SpectrumInvest
Discounted cash flow and benchmarking models have lost precision, evidence of this has been the impact on spectrum actioned after pandemic crisis.
SpectrumInvest define the radio-electric spectrum value according with investments to mobile network deployments during five (05) years considering: frequencies, coverage, access, backhaul and transport networks and terminal equipment. With a defined population coverage goal. Investment is prioritized according to defined components that have a direct impact on coverage, quality and availability of services.
Each operator has a specific investment capacity due to size on their operation. For that reason, maximum and minimum value considered take account the investment capacity of smallest operator into the market.
Considering investments on access and transport network and terminal equipment. The terminal equipment is considered due the operators need invest and offers to their clients. In some cases, sales represent 30% or 40% of operator’s incomes. Additionally, coverage and frequency bands are considering too because investments can change depends of them. Coverages contemplated depend on current coverage of each operator's networks.
However, exist a time difference between invest and obtain revenues. The MNO invest on deploy networks during 5 years and then they expect to gain while license lasts, 15, 20 or 30 years. Trying to know the MNO income over such a long period has a low probability of success. Including facts unlikely to consider as COVID 19.
Normally, the MNO have to invest to network deploy and location coverage that they are interested because they expect to recovery their investments and obtain revenues.
