Spectrum price goes too high for Hutchison

By PAULA OLIVER

Australian telco Hutchison Telecommunications pulled out of the Government's radio spectrum auction yesterday, leaving just a small number of active bidders to battle it out for the frequencies.

Hutchison caused a stir when it entered the auction in August, but admitted yesterday that it had been interested then only because the spectrum looked as if it might go for a bargain price.

"When the spectrum was cheap, we thought it would complement our business in Australia," spokeswoman Trisha Fox said. "But we don't feel it's so cheap any more, so we have chosen to withdraw and focus on our Australian business."

The auction was further hit by bid withdrawals yesterday, falling from its morning value of $180 million to $152 million by the end of the day.