Magyar Telekom, Hungary’s leading telecommunications provider, has signed agreements with Yettel Hungary to optimize frequency utilization.
As part of this strategic move, Magyar Telekom has transferred the usage rights of a 2×5 MHz frequency block in the 2100 MHz band to Yettel Hungary. This frequency, with usage rights extended until June 27, 2027, was sold at its book value.
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The 2100 MHz band is traditionally utilized for 3G and 4G services, and its allocation can play a critical role in enhancing the capacity and coverage of 4G networks. By acquiring this frequency block, Yettel Hungary can increase its 4G network’s capacity, allowing for more simultaneous connections, improved data throughput, and reduced latency for users. This is particularly important in urban areas where network congestion can slow down data speeds. With the additional spectrum, Yettel Hungary can alleviate congestion, thus improving the overall user experience with faster and more reliable 4G connectivity.
For 5G, although the 2100 MHz band is not typically the primary band used (as higher frequency bands like the 3.5 GHz are more common), it still plays a complementary role in the deployment of 5G services. The 2100 MHz band can be repurposed or shared between 4G and 5G technologies using dynamic spectrum sharing (DSS) technologies. This enables Yettel Hungary to bolster its 5G network coverage by leveraging existing infrastructure and ensuring a smoother transition from 4G to 5G for customers.
The transaction, which will not impact the quality of Magyar Telekom’s services, is still pending approval from the National Media and Infocommunications Authority.
In a related development, Magyar Telekom also entered a 2G mobile access agreement with Yettel Hungary. Starting from January 1, 2026, this deal will allow Magyar Telekom to manage its 2G traffic through Yettel’s network, providing a more efficient use of spectrum and energy.
The freed-up frequencies will be redirected to bolster Magyar Telekom’s 4G and 5G network capacities, ensuring the continuation of excellent customer experience. The overall financial impact of these agreements is expected to be minimal.
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