Further signs that the global growth in demand for mobile data services is driving the need for countries to not only recognise the potential producitivty implications of mobile data and broadband but respond by moving to allocate vital new spectrum resources to support the inustry's capacity to meet consumer demand.

The latest example is Spain where a policy U turn has taken place with the announcenemt of new spectrum allocations for the mobile sector. Along with Germany, Spain is the latest EU nation to make this call and move to designate digital dividend spectrum for non-broadcast use opening the way for mobile operators to gain access to critical new spectrum.

A press release from the Spanish Industry Ministry noted: “The digital dividend will contribute to economic growth, new jobs creation and increased productivity. The European Commission estimates the incremental value of the use of the dividend in Spain at €12. billion to €16 billion, the equivalent to 1.5 per cent of GDP”.

Spain also plans to auction 2.6GHz, 3.5GHz spectrum by year-end.  The Auction process will also include refarming of 900MHz, 1800MHz spectrum for 3G. 

Spain's government plans to begin allocating the 2.6GHz and 3.5GHz bands by the end of 2009 as the country looks to expand access to next-generation mobile internet services.

"We want to begin an auction or tender process for the frequencies before the end of  the year," Spanish Deputy Industry Minister for Telecommunications, Francisco Ros, said in a recent interview.

The 2.6GHz and 3.5GHz frequencies would most  likely be used by telecommunications companies to offer high speed mobile internet and could be used for  new technologies such  as LTE and WiMax, the Industry Minister said earlier this year.

The auction process would also include the refarming of second generation 900MHz and 1,800MHz spectrum - currently used for established services such as voice and text-to-third generation uses such as mobile broadband using UMTS technology , a spokeswoman added.

Mobile internet has grown exponentially in recent years and more spectrum is needed for a growing number of laptop data cards and smartphones that use bandwidth-hungry applications like mapping services, music and video.

Telecommunications companies Telefonica SA, Vodafone PLC, France Telecom, SA's Orange, Jazztel PLC and Teliasonera's Yoigo are Spain's main mobile internet providers.