Those applying to run operations shall be limited to those that have been established as an incorporated entity with limited liability in accordance with the Company Act, and whose chairman holds valid ROC nationality; the total shareholdings held by foreign nationals shall also conform to stipulations set forth under Paragraph 3 or Paragraph 5 of Article 12 of the Act.

The same applicant shall submit no more than one application.
Different applicants that fall under one of the following circumstances shall be deemed as the same applicant:
1.An applicant holds shares of another applicant with voting right, or whose capital contribution amount exceeds the other applicant's total share count with voting right or over half the sum or higher of the capital.
2.Applicants share over half the number of the same directors.
3.Applicants' total shares issued with voting right or half the sum or more of the capital is held or contributed by the same shareholders.
4.The different applicants concurrently act as a third party's subsidiary company.
5.The different applicants' holding companies are related in a controlling subsidiary relation.
6.The different applicants shall apply for merger approval from the commission per Subparagraph 3 of Article 15 of the Act.
The controlling subsidiary relation referred to in the preceding Subparagraph 4 and 5 pertains to the relations between different applicants of each subparagraph stipulated under the preceding Paragraphs 1, 2 or 3.
The method for calculatingthe shareholding right as described in Paragraph 2 shall be implemented as stipulated under Article 369-11 of the Company Act.
When a shareholder of the applicant concurrently holds shares of another applicant, except where one of the applicant's shareholder's shareholding by percentage is free from any restrictions, the remaining shareholdings of the applicant may not exceed fifteen percent.
The stipulations of the preceding Paragraph 1 and 5 shall also apply after the applicant has been awarded with the bid but prior toimplementing the following items:
1.The nominated bidder has obtained a concession license.
2.The nominated bidder has obtained a system technology satisfactory validation certificate of any frequency, available from 2015, in accordance with Paragraph 1 of Article 47.
3.In compliance with the provisions of Article 66 on the construction of high-speed base stations.
The nominated bidder that applies for a concession license per Subparagraph 1 of Paragraph 1 of Article 7 shall not apply topreceding Subparagraph 3.
The same applicant specified under Paragraph 1, 2, 5 and 6 refers to applicants of the Operation that fall under one of conditions in Paragraph 2 in the same year.

Different applicants that fall under one of the following circumstances shall be deemed as co-applicants:
1.An applicant that holds shares reaching fifteen percent or more of another applicant's total capital.
2.The same shareholder group holds shares reaching one-third or more of the total capital of each of the applicants.
The method for calculating the foresaid shareholding right shall be implemented per stipulations set forth under Article 369-11 of the Company Act.
The co-applicants shall negotiate, within the specified period of the competent authority, to agree to one of the applicants acting as the qualified applicant; when unable to agree, a qualified applicant is to be determined by random drawing at the time and place determined by the competent authority.
In the event where the applicant derived from the negotiation or random draw should be rendered as a disqualified applicant, or when an applicant should fail to participate in the random draw, it shall be deemed that the applicant has withdrawn said application; the review fee and the interest accrued will not be reimbursed; the tender bond shall be reimbursed without interest.
The stipulation of Paragraph 1 shall also apply in the case of after the applicant has been awarded with the bid but before implementing the following items:
1.The nominated bidder has obtained a concession license.
2.The nominated bidder has obtained a system technology satisfactory validation certificate of any frequency, available from 2015, in accordance with Paragraph 1 of Article 47.
3.In compliance with the provisions of Article 66 on the construction of high-speed base stations.
The nominated bidder that applies for a concession license per Subparagraph 1 of Paragraph 1 of Article 7 shall not apply to preceding Subparagraph 3.
Co-applicants specified under Paragraph 1, 3 and 5 refer to applicants of the Operation that fall under one of conditions in Paragraph 2 in the same year.

The applicant may, according to the frequency status defined under Article 7, conduct takeover surveys on its own, and ofany doubt to the survey finding, the applicant may file for clarification with the competent authority within the request acceptance cutoff date specified under Paragraph 2 of Article 4.

Those applying to run operations shall submit the following documents within the announced period of application file for an application with the competent authority:
1.The application form.
2.The enterprise-plan formulation.
3.Photocopy of the remitter's tender bond remittance slip.
4.Photocopy of the remitter's review fee remittance slip.
The foresaid enterprise plan formulation shall disclose the following:
1.An introduction of its telecommunications equipment:
(1)The adopted types and characteristics of mobile broadbandtechnology, including the name ofthe technology, maximum mobile speed supported, average spectrum usage efficiency, maximum downlink speed of high-speed base stationequipment specifications, etc.
(2)The system framework, communication mode, and service type.
2.Information and communications security maintenance plan:
(1)The system's overall information and communications security framework and protection facilities
(2)Performance of security and fault management measures for network functioncomponents
3.Financial structure: The anticipated total capital and total paid-in capital at the time it secures the bid and completes the company modification registration, anticipated source of capital in the next five years, and capital utilization plan.
4.Technology capability and development plan.
5.Personnel organization and shareholding status: Photocopy of the company's proof of registration documents, directors and auditors list, managers list, list of shareholders holding one percent or more of the shareholdings, table of calculation on shareholdings in percentage held by foreign nationals and subsidiary relations report, the holding company's combined financial statements.
6.An abstract of the enterprise plan formulation, of information that can be cited and disclosed by the commission.
The mandated entry matters and method of the documents specified under the preceding Paragraphs are to be determined and announced by the competent authority.
To verify that applicants are the same applicant as stipulated in Article 9 or co-applicants under Article 10, the competent authority may, where deemed necessary, require the applicant or operators to retroactively submit relevant information within a prescribed deadline.
When an applicant files the application as stipulated under Paragraph 1, the submitted documents will not be returned.
The amount of the tender bond shall be one billion New Taiwan dollars, and the review fee shall be one million New Taiwan dollars. Unless otherwise stipulated by the rules, after posting the tender bond and the review fee, an applicant may not request the tender bond or review fee to be reimbursed before the result of the competitive bidding is announced.
The tender bond and the review fee shall be remitted respectively to an account specifiedby the competent authority by means of interbank fund transfer; the remittance shall state the applicant's company name, address and contact telephone number.

An application that falls under one of the following circumstances shall be prohibited from submitting retroactive correction, and shall be declined; its tender bond and the review fee shall be reimbursed without interest within a seven-day period from the following date the application acceptance decline ruling is delivered:
1.A bidder fails to submit the application, exceeding the application acceptance deadline.
2.A bidder fails to include the application form or the enterprise plan formulation.
3.A bidder fails to post the tender bond, submit the review fee as regulated, or should post an insufficient amount.

An application that falls under one of the following circumstances shall be prohibited from submitting retroactive correction, and shall be declined; its tender bond, the review and interest accrued fee shall be withheld, or subject to retroactive recall if a reimbursement has been previously made:
1.A bidder breaches stipulations set forth under Paragraph 1, or 5 of Article 9.
2.A bidder's application contains an untrue statement or false entry on relevant matters specified under Article 8 to Article 10.
3.A bidder should forge or alter its application documents.
4.A bidder engages in bid rigging, or resorts to any conduct that suffices to impair the fairness and unbiased competitive bidding.
In the instance wherean applicant's application is free of any of the matters stipulated in the preceding Article but should fall under one of the following circumstances, the competent authority shall notify the bidder to adopt retroactive correction within a prescribed deadline, and when failing to adopt retroactive correction or the matter remains pending despite retroactive correction, the application is to be declined; the bidder's tender bond is to be reimbursed without interest within a seven-day period from the following day the application acceptance decline ruling is delivered, while the review fee and the interest accrued shall not be reimbursed:
1.A bidder breaches stipulations set forth under Article 8.
2.A bidder's anticipated paid-in capital as stated in its application or its enterprise-plan formulation fails to reach the operation's minimum paid-in capital.
3.A bidder's documents as mandated under Paragraph 1 and 2 of Article 12 is found incomplete, or the content of entry should be deemed incomplete, or entries in its application or enterprise-plan formulation contain error or miscalculation.
4.Technologies that have been adopted for telecommunication equipment that are not those announced by the ITU or 3GPP or are those that do not include high-speed base stationtechnologies.
In the event where an applicant should fail to retroactively supplant relevant data as stipulated under Paragraph 4 of Article 12 within the prescribed deadline, the application shall be declined; its tender bond shall be reimbursed without interest within a seven-day period from the following day the application acceptance decline ruling is delivered, while the review fee and the interest accrued will not be reimbursed.

In the instance where a bidder breaches any one ofthe stipulations set forth under all provisions of Paragraph 1, subparagraph 1 of Paragraph 2, Paragraph 3 and Paragraph 1 of Article 10, the bidder is to be revoked or abolished of the right to participate in the competitive bidding; when only being uncovered after the bid has been awarded and before the issuance of the concession license, the bidder is to be revoked or abolished or its bid award, and its bid award guarantee posted and the interest accrued shall be reimbursed without interest.
Under the foresaid circumstance, the posted tender bond, the review fee and the interest accrued will not be reimbursed, and one that has been reimbursed shall be retroactively recuperated or have the sum deducted from the bidder's bid award guarantee.

When an applicant withdraws its application, the remitted tender bond and the review fee shall be processed as stipulated below:
1. When a bidder withdraws its application prior to the application acceptance deadline announced by the competent authority, the tender bond and the review fee shall be reimbursed without interest within a seven-day period form the following day the application withdrawal confirmation is delivered.
2. When a bidder withdraws its application before the competitive bidders list is announced, the tender bond shall be reimbursed without interest within a seven-day period from the following day the application withdrawal confirmation is delivered, while the review fee and the interest accrued shall not be reimbursed.
3. When a bidder withdraws its application after the competitive bidders list is announced, the tender bond, the review fee and the interest accrued will not be reimbursed, and of any that has been previously reimbursed, shall be subject to retroactive recuperation.

Following the applicants undergoing the qualification review per stipulations set forth in the preceding section, the competent authority shall announce the list of competing bidders.

The total frequency bandwidth awarded to bidders shall comply with the following provisions:
1.Available from 2013:
(1)Where more than five competing bidders are announced, the upper limit shall be 35 MHz for uplink and downlink each; and the lower limit shall be 10 MHz each for both uplink and downlink.
(2)Where four competing bidders are announced, the upper limit shall be 40 MHz for uplink and downlink each; and the lower limit shall be 10 MHz each for both uplink and downlink.
(3)Where less than three competing bidders are announced, the upper limit shall be 45 MHz for uplink and downlink each; and the lower limit shall be 10 MHz each for both uplink and downlink.
(4)The competing bidders shall not only be limited by frequency bandwidth as prescribed in the previous three subparagraphs, but the awarded frequency bandwidth of each frequency segment shall also comply with the following provisions:
a.The upper limit for 700 MHz frequency segment shall be 20 MHz each for both uplink and downlink.
b.The upper limit for 900 MHz frequencysegment shall be 10 MHz each for both uplink and downlink.
c.The upper limit for frequencies listed in Item 1 and 2 of this subparagraph shall be 25 MHz each for both uplink and downlink.
d.The upper limit for 1800 MHz frequency segment shall be 30 MHz each for both uplink and downlink.
2.Available from 2015: The upper limit of frequency bandwidth shall be 70 MHz.
3.Available from 2017:
(1)The upper limit for 2100 MHz frequency segment shall be 20 MHz of each for both uplink and downlink.
(2)The total upper limit for 2100 MHz frequency segment and 1800 MHz frequency segment shall be 25 MHz each for both uplink and downlink.
4.Availablefor application in 2019:
(1)The upper limit of the 3500MHz frequency band is 100MHz.
(2)The upper limit of the 28000MHz frequency band is 800MHz.
The total approved bandwidth of the winning bidder or operator of this business shall not exceed one-third of the total bandwidth of the mobile broadband service; the total bandwidth below 1 GHz shallnot exceed one third of the total bandwidth of the mobile broadband service below 1 GHz. However, the operator winning the auction in supplementary bidding rounds or those with other special circumstances approved by the competent authority shallnotbesubject to these provisions.

The auctions shall be processed by competent authority.
The competent authority may adopt a remote connection bidding system in order to facilitate the auction.

The competent authority shall announce information pertaining to the date, seven days prior to the scheduled auction.

The competent authority shall stage a presentation of the auction process for the applicants fourteen days prior to the scheduled auction.
Each applicant shall assign three to six authorized representatives who are to present the power of attorney, relevant proof of documentation, and participate at the presentation of the auction process above, and also sign the affidavit.
The foresaid affidavit shall acknowledge that the applicant's authorized representatives indeed fully understand the auction process and are willing to abide by auction rules and relevant legal and regulatory stipulations.
From the date when the applicant submits their application to the competent authoritybased on the requirement of Article 12, within a seven-day period following announcement by the competent authority of the bidders list, the applicant shall deploy two dedicated lines according the specific mode assigned by the competent authority, by theway of connecting dedicated lines and the internet to the auction center, installing specified electronic quotation system software and undertaking connectivity tests.

The auctionprocedure for issuing a businesslicenseshall be divided into the bandwidth quantity-basedauction (hereinafter referred to as the quantity bidding) and the location-basedauction.
The quantity auction shall bedivided into main bidding rounds and supplementary bidding rounds;the main bidding rounds shallarried out in accordance with the provisions of Articles 22 to 31-1; inthecase where circumstances asspecified in Paragraph 3 of Article 31-1occur, supplementary bidding rounds shall be subsequently carried out to determine the winning bidder and the awarded bandwidth of the quantity auction. After the quantity auction procedure has completed, the location-basedauction shall commence.

Each bidder and authorized agent(s) shall not participate in any conduct that affects the fairness of bidding procedures or violate regulations after the announcement of the list of qualified bidders and prior to the final bidding. Any offender shall be deemed disqualified from the bidding by the competent authority.
Any bidder or authorized agent(s) who is deemed to affect the fairness of bidding procedures will be required to undertake corrective action within a prescribed period by the competent authority; those who fail to do so shall be disqualified.

Where any of the following circumstances occurs during the bidding procedure, the competent authority shall suspend the bidding procedure and decide the following procedure:
1. Any force majeure.
2. Any major violation of rulesby the bidder.
3. Any circumstance that is inappropriate to carry on the bidding procedure.

The competent authority has adopteda simultaneous, multiple-round, and ascending price method forthe quantity auction procedure.
Relevant operations shall be conducted in forms of electronic quotation; bidders shall maintain contact with the bidding center by means of a direct line; where the direct line is not available, bidders may maintain contact with the bidding center using the internet. Where the bid cannot proceed with either the direct line or through the internet, bidders shall then use a telephone line or fax to conduct relevant operations.

(Deleted)

The starting and ending time foreach auction day shall be from 9:00AM to 5:00PM.
The competent authority shall announce the starting and ending times of each round of the auction ten minutes before commencing each round. The foresaid timing shall heed to the timekeeping of the competentauthority.

The competent authority shall announce the unit bandwidth (hereinafter referred to as the round price) of each frequency band of the said round ten minutes prior tothecommencementof each round.
The unit bandwidth referred to in the preceding paragraph shall be as follows:
1.1800MHz frequency band: 10MHz for uplink and downlink.
2.3500MHz frequency band: 10MHz.
3.28000MHz frequency band:100MHz.
A bidder may submit a bid forbandwidth for its requested frequency bandin each round; the round price of the round shall beits committed unit price.
When the bidder does not submit a bid forbandwidth or the bid is deemedinvalid in saidround, the last knownbidfor bandwidth shall beconsidered as the requested bandwidth of the round;the round price of the bandwidth of its most recent bandwidth bid shall be considered as the committed unit price of the round.
The round price of each frequency band in each round shall bedetermined according to the followingcircumstances:
1.When the sum of the requested bandwidths of the round price equaling the committed unit price of the previous round is greater than or equal to the auctioned bandwidth, the round price of the round shall be1.3 times the round
price of the previous round, calculated to million New Taiwan dollars, and rounded up to the nearest million if the amount is less than NT$1 million.
2.Should the circumstancesspecified in the preceding subparagraph not occur the round price of the round shall be the round priceof the previous round.
3.The round price of the first round is 1.3 times the reserve price. Itshall becalculated to million New Taiwan dollars, and rounded up to the nearest million if the amount is less than NT$1 million.

The competent authority shall rank the priority of bidders in each round from first to last in the following order:
1.The bidder's committed unit price is equal to the round price of the round. When there are more than two bidders thatmeet the requirements of this subparagraph, the order of priority shall bedetermined by computerized drawing of lots.
2.The bidder's requested bandwidth is equal to the previous round's tentatively awarded bandwidth. When there are more than two bidders thatmeet the requirements of this subparagraph, the order of priority shall bedetermined by computerized drawing of lots.
3.Other bidders thatobtained the tentatively awarded bandwidth in the previous round.
The competent authority shall, in accordance withthe provisions of the preceding paragraph, allocate the bidders' tentatively awarded bandwidths based on priority ofeach round; bandwidth shall beallocated to the bidder with the highest priority based on its requested bandwidth, and the remainder shallbeallocated to other bidders based on priority, down to the bidder with the lowest priority, or until the allocated tentatively awarded bandwidth is accumulated to the auctioned bandwidth.
The bidder with allocated tentatively awarded bandwidth shall be deemedthe tentative winning bidder, and the committed unit price shall bethe tentative winning unit price.

The bidder shall submit the requested bandwidth in accordance with the following provisions:
1.The bidder shallsimultaneously submit the requested bandwidth of each frequency band, and the requested bandwidth shall be in compliance with the provisions of Article 18 on bandwidth limit.
2.One period consists of ten rounds up tothe first one hundred rounds, and consists of five rounds after the one hundred and first round. Beginningfrom the fifty-first round, the requested bandwidth submitted for each round of the 3500MHz frequency band in each period shall not exceed the maximum requested bandwidth of the previous period or the maximum of thetentatively awarded bandwidth of each round in the previous period for the said frequency band; when there is no effective requested bandwidth submitted for each round in the previous period, it shall not exceed the maximum of the tentatively awarded bandwidth of each round in the previous period of the said frequency band.
3.The bidder's requested bandwidth shallbe greater than or equal to the tentatively awarded bandwidth of the previous round. However, when the tentative winning unit price of the previous round is equal to the round price of the round, the requested bandwidth shallbe greater than the tentatively awarded bandwidth of the previous round.
4.The requested bandwidth submitted by a bidder each time shall be in units of the unit bandwidth specified in Paragraph 2 of Article 25; the electronic quotation system shall use the enumeration method for bidders to select the requested bandwidth.
If the requested bandwidth submitted by a bidder for any frequency band does not comply with the provisions of the preceding paragraph, the bidshall beconsidered invalid.

Anybidderthatsubmits a bidvia facsimilein accordance with Paragraph 2 of Article 22, shall completethe requested bandwidth form in accordance with the provisions of the preceding article.
The bidshall be deemed as invalid in any one of thefollowing circumstances:
1.There is no company seal or signature or seal of the responsible person on the requested bandwidth form.
2.The requested bandwidth cannot be clearly determined or identified.
3.The requested bandwidth applicationhas been altered or two or more different bandwidths have been requested for the same frequency band.
4.The requested bandwidth submitted does not meet the requirements of Paragraph 1, Article 26.
5.Other circumstances that have been deemed to be invalid by this Commission.

The bidder shall submit the bidwithin the time specified in Paragraph 2 of Article 24; the request shall be deemed as invalidif it has beensubmitted outside the prescribed time.
The number of times a bidder can submit the requested bandwidth shall belimited to once per round; asecond or subsequent request shall not be accepted by the competent authority.

(Deleted)

(Deleted)

The competent authority shall, at the conclusionof each round, notify bidders of the following information:
1.The determination of the requested bandwidth submitted, the time of submission, and the validity of the request in the said round.
2.The tentatively awarded bandwidth and tentative winning unit price for each frequency band.
3.The cumulative number of tentative abstentions.
4.From the fifty-first round, the upper limit shall be calculated in accordance with the provisions of Subparagraph 2, Paragraph 1 of Article 26.
The competent authority shall notify each bidder of its eligibility in the supplementary bidding rounds at the conclusionof the main bidding rounds.
The competent authority shall, at the conclusionof each round, announce the following information:
1.The total requested bandwidth with the committed unit price of the proceedinground being the round price for each frequency band.
2.The sum of the requestedbandwidth with the committed unit price of the proceedinground being the round price and the tentatively awarded bandwidth of the previous round with the committed unit price being less than the round price for each frequency band.
3.The number of bidders whose tentatively awarded bandwidth of the round reaches the upper limit of bandwidth specified in Paragraph 1 of Article 18 for each frequency band.
4.The total number of temporary abstentions from all bidders.
5.The total number of bidders that lose biddingeligibility.
6.The cumulative number of times when all bidders that have the right to submit bandwidth requests do not submit effective bandwidthbidsin the same round.
7.Whether the next round is likely to be the concluding round where all bidders thathave the right to submit bandwidth requests fail to submit effective bandwidth requests for the second consecutive time.

If a bidder fails to submit a bidor submits an invalided bid in the first round, the competentauthority shall abolish its bidding eligibility.
If a bidder temporarily abstains from bidding four times in the quantity auction, the competent authority shallabolish its eligibility to continue to submit bids forbandwidth.
In any ofthe following circumstances, the bid shall bedeemed as a temporary abstention:
1.Non-tentative winners of each round fail to submita bidin the round.
2.It is determined that the requested bandwidth in the round is invalid.
During the quantity auction, if a bidder intends to abstain from continuously bidding, it shall use the electronic quotation system to express the abstention to the competent authority within the time specified in Paragraph 2, Article 24. However, if the bidder has already submitted the requested bandwidth in the round, it may not abstain in the said round.
If a tentative winning bidder, in the process of quantity auction, loses the eligibility to continue due to the provisions of Paragraph 2 or abstains from continuation due to the provisions of Paragraph 4, its eligibility of a tentative winning biddershall beretained until there is no tentatively awarded bandwidth.

If all bidders thathave the right to submit requested bandwidths fail to submit effective bids for bandwidth for two consecutive rounds in the main bidding rounds, the main bidding roundshallconclude.
After the main bidding roundconcludes, the awarded bandwidth of the winning biddersof the quantity auction and the winning unit prices in the main bidding rounds for each frequency band shall be the tentatively awarded bandwidth and the tentative winning unit price of each frequency band of the last round of the main bidding rounds.
After the main bidding rounds concludes, if the sum of the tentatively awarded bandwidths of the last round in the main bid rounds for any frequency band does not reach the total bandwidth open for application, and there ismore than one bidder thathasthe right to submit bidsand has beententatively awarded bandwidth in the last round of the main bid rounds, reachingthe upper limit of the said frequency band specified in the provisions of Paragraph 1 of Article 18, the supplementary bidding rounds shallbe conducted subsequently in the next round.

The provisions of Articles 22 to 31shallapply to the supplementary bidding rounds. However, the provisions of Subparagraphs 1 and 2, Paragraph 1 of Article 26 shall not apply.
For each frequency band, only the bidders thathave the right to submit bids and have been awarded bandwidths in the main bidding rounds reaching the upper limit specified in the provisions of Paragraph 1 of Article 18, may participate in the supplementary bidding rounds of the said frequency band.
The auctioned bandwidths of each frequency band in the supplementary bidding rounds shall bethe remaining bandwidths after deducting the awarded bandwidths of themain bidding rounds.
For a participant in the supplementary bidding rounds, its total awarded bandwidth shall not be subject to the restriction of Paragraph 1 of Article 18, but it shall not exceed one-half of the available bandwidth for each frequency band specified in Subparagraph 4, Paragraph 1 of Article 7.
If a bidder fails to submit a bid for bandwidth or submits an invalid bidin the first round of the supplementary bidding rounds, it shall be deemed as abstainingfrom continuously submitting bandwidth requests, and the provisions of Paragraph 1 of Article 31 shall not apply.

If all bidders thathave the right to submit bids forbandwidths fail to submit effective bandwidth requests for two consecutive rounds in the supplementary bidding rounds, the supplementary bidding roundshall conclude.
After conclusion of the supplementary bidding rounds, the quantity auction winners' awarded bandwidths and the winning unit prices in the supplementary bidding rounds for each frequency band shall betentatively awarded bandwidth and the tentative winning unit price of each frequency band in the previousround of the supplementary bidding rounds.

(Deleted)

When the main bidding rounds concludewithout the circumstancesspecified in Paragraph 3 of Article 31-1 or the supplementary bidding rounds conclude, the quantity auction shall end.
After the quantity auction ends, the quantity auction winners' awarded bandwidth and winning unit prices for each frequency band shall bethe awarded bandwidth and the winning unit prices of the main bidding rounds and the supplementary bidding rounds.
After the quantity auction ends, the total winning price of the winning bidder in the quantity auction shall bethe sum of the awarded bandwidth multiplied by the winning unit price for each frequency band in the main bidding rounds and the supplementary bidding rounds.
After the quantity auction ends, the competent authority shallannounce the following items:
1.The list of winning bidders, the awarded bandwidth, the winning unit price and the total winning price ofthe quantity auction.
2.The date, time and venue of the location-basedauction.
3.The combination options thatmay be selected for quotation for each frequency band in thelocation-basedauction.
The combination options specified in the preceding paragraph refer to the various possible combination methods of frequenciesfor the winning bidder of each quantity auction in the location-basedauction, according to its awarded bandwidth in each frequency band and the following principles:
1.The frequency of the winning bidder's awarded subject matter shall be continuous.
2.The frequencieswith no winning bidders shall be continuous, and the 3500 MHz frequency band shall include the frequency of 3570 MHz and the 28000 MHz frequency band shall include the frequency of 27000 MHz.
The period from the announcement date specified in Paragraph 4 to the auction date of the location-basedauction shall be at least seven days.

The nominated frequency location of each frequency segment shall bedecided in accordance with Article 33-3; where the decision cannot be made, methods as prescribed in Article 33-4 shall then be adopted.
The winning bidders of the quantity auction may negotiate the awarded frequenciesof each frequency band among themselves from the ending date of the quantity auction until the start of the location-basedauction; the frequenciesnegotiated shall not be subject to the principles of Subparagraph 1, Paragraph 5 of the preceding article.

The location-basedauction shall commencein the morning on the announcement date specified in Paragraph 4 of Article 33.
Nominated quantity bidders shall submit a letter of intent in regard to the frequency location when the location bid proceeds.
Upon the submission, the letterof intent for frequency location must not be withdrawn or amended.
The nominated quantity bidder may designate a maximum of three people as its authorized agents to participate in the location bid. The said agent(s) shall present the letter of authorization.

The competent authority shall decide the nominated frequency location of nominated quantity bidder of each frequency segment according to the following order:
1.When all winning bidders of the quantity auction have submitted letters of intent for the frequencies, all of the frequenciesdo not includethe frequenciesthathave no winning bidders in the announced combination options specified in Subparagraph 3, Paragraph 4 of Article 33, and there is no overlapping, the awarded frequenciesshall be determined based on the letters of intent for the frequencies.
2.If according to the announcement specified in Subparagraph 3, Paragraph 4 of Article 33, there is only one combination option, the awarded frequency locationsshall bedetermined according to the said combination.
The nominated quantity bidder in any of the following circumstances shall be deemed as failing to submit a letter of intent for frequency location:
1.Failing to participate in the location bid in accordance with provisions of the preceding Article.
2.The letter of intent for frequency location is not signed or sealed by the company or person-in-charge.
3.The intent cannot be recognized in the foresaid letter of intent or more than two intents are recognized.
4.The intended frequency location does not comply with the frequency bandwidth of the item of nominated quantity bid.

Where the nominated frequency location for each frequency segment cannot be decided as in the preceding Article, the competent authority shall hold a one-round quotation session in the afternoon on the day of holding the location bid.
The winning bid for possible frequencies in one round shall be awarded in accordance with the combination options specified in Subparagraph 3, Paragraph 4 of Article 33.
The foresaid bidding price shall be based on units of 1 million New Taiwan Dollars and shall be determined in one round.
The bid must not be withdrawn or amended.
The nominated frequency location shall be determined according to the highest bid by nominated quantity bidders for the frequency location selected from the permutation array as described in Paragraph 2.
Where a nominated quantity bidder placed the highest bid for the frequency location has more than two permutation arrays, the competent authority shall decide the permutation array by drawing lots.
The nominated quantity bidder falling under any of the following circumstances shall be deemed as having submitted a bid of zero New Taiwan Dollar for that frequency location.
1.The bid is not made in the quotation format announced by the competent authority, or the quotation is not submitted.
2.The bid is not signed or sealed by the company or person-in-charge.
3.The bid is not submitted for the frequency location selected from its permutation array.
4.The bid is not submitted for that frequency location or more than two prices have been offered.
5.The bidding price is a negative value or cannot be recognized.
The bid submitted by nominated quantity bidder in regard to the nominated frequency location decided in accordance with Paragraph 5 or 6 shall be its nominated bid price for the location bid.

The bidding operations shall be closed after the competent authority decides the frequency location for each nominated bidder's bidding item. The competent authority shall then announce the list of nominated bidders, nominated bidding item and nominated bid price.
The winning bid in the preceding paragraph shall bethe sum of the total winning price announced in accordance with Subparagraph 1, Paragraph 4 of Article 33, and the winning bid of the location-basedauction in the preceding article.
After the auction operation hasconcluded, the competent authority shallpublicly announcethe bidding information ofeach round of the quantity auction and the location-basedauction.

The tender bond of a bidder falling under any of the following circumstances shall be returned:
1. Where the bidder has participated in the bidding but not been awarded with thebid; the competent authority shall return the tender bond to it without interest within seven days after the list of nominated bidders is announced.
2. Where the bidder has been nominated and paid the nominated bid or the first installment as regulated; the competent authority shall return the tender bond to it without interest. However, the tender bond may be converted into a part of the first installment without interest.
The tender bond of a bidder falling under any of the following circumstances shallbe returned; if the tender bond has been returned, repayment shall be requested:
1. The nominated bid has not been paid in full preceding the nomination, or the first installment, remaining amount and interest of nominated bid price has not been paid.
2. The bidder failed to quote in the first round of quantity bid, or submitted an invalid bid.
3. The bidder has been disqualified by the competent authority in accordance with Paragraph 1 or 2 of Article 21-2.

In the event where an application case should be given the following ruling, the ruling recipient will not be given an opportunity to impart opinion:
1.The review fee and the interest have been withheld per stipulated under Paragraph 4 of Article 10.
2.The application has been rejected per Article 13 or Article 27.
3.The application has been rejected, and the review fee or the tender bond has been also withheld per Article 14.
4.A bidder whose right to participate in the competitive bidding or bid award qualification has been revoked or abolished per Article 15.
5.A bidder's review fee or tender bond has been forfeited from reimbursement per Paragraph 2 or 3 of Article 16.
6.A bidder has lost the qualification to continue submitting bids, competitive bidding qualification, or failing to secure the bid per Section 3 of the competitive bidding work stipulations.
7.A bidder's tender bond has been forfeited form reimbursement per Paragraph 2 of the preceding Article.

The winning bidder may remitthe winning bid in one lump sum or in two-to five-year installments; the payment shall be remittedto the account designated by the competent authority via wire transfer; once the payment method of the winning bid has beenselected, it may not be changed.
Upon selecting to remit the guarantee in full in one lump sum per the preceding Paragraph, the bidder shall complete the remittance in the ensuing thirty days from the date the competent authority has announced the nominated bidders list.
When selecting to remit by installments as stipulated under Paragraph 1, the nominated bidder or the operator shall remit the bid award guarantee and the interest in accordance with the following stipulations:
1.The bidder shall remit the initial installment within thirty days from the competent authority has announced the nominated bidders set, with the amount being the nominated bid's bottom price.
2.Effective from the following year of the foresaid remittance cutoff day, the bid award guarantee and the previous year's interest onthe remainder of the bid award guarantee to be remitted shall be calculated based on the Annexed table 2 spanning January 16 to January 31 of each year; however, the interest to be remitted in year one is to span from the following day of the foresaid remittance cutoff day to December 31 of that year.
3.The foresaid interest is to be calculated based on the previous year's maximum baseline interest rate adopted by the Bank of Taiwan on December 31, plus 2.14 percent as the annual interest rate.
If the winning bidder remitsthe winning bid in accordance with Subparagraph 1 of the preceding paragraph, it shall, within 120 days from the date the competent authority announces the winning bidders' list, provide a domestic bank's Letter of Guarantee for Performance Bond as the payment guarantee for the balance of the winning bid payable and the incurred interest. The guarantee period shall be the number of installment years plus three months from the date of providing the Letter of Guarantee in accordance with the installment method; if it is not completed, the winning eligibility shall bedisqualified, and the paid winning bid and its interest shallnot be refunded.
The guarantee amount to be paid on the foresaid balance of the bid award guarantee shall be calculated using the baseline interest rate figure the Bank of Taiwan adopts on the day the competent authority has announced the nominated bidders list, plus 2.14 percent as the annual interest rate.

• Annexed table 2 Calculation table of the ratio of payments by installmentsand the balance ratio of the payable interest of the winning bid (five-year period).pdf

The term local banks specified in the preceding Article encompasses:
1.The local banks founded as stipulated by the Banking Act.
2.The foreign banks referred under Article 116 of the Banking Act.

Following the nominated bidder or the operator posting the balance of the bid award guarantee andthe interest under Subparagraph 2 of Paragraph 3 of Article 36, the competent authority shall notify the guarantee bank to cancel the portion of the guarantee liability on the remitted amount.

In the event where the nominated bidder fails to complete the process under Subparagraph 1 of Paragraph 3, or Paragraph 2 of Article 36, the bid award granted to the bidder shall be invalidated.
In the event where the nominated bidder or the operator should fail to complete the process as stipulated under Subparagraph 2 of Paragraph 3 of Article 36, where the competent authority has notified the guarantee bank to honor its payout guarantee liability, and in the event where the payment should remain pending, the competent authority shall abolish the founding inception consent, system installation permit, concession permit and the assigned frequencies, and the bid award guarantee of the bidder and the interest shall not be reimbursed.

After the winning bidderhas paidthelump sum or the down payment of the winning bid and provision ofthe Letter of Guarantee for the balance of the winning bid and the interest to the competent authority, in accordance with the provisions of Article 36, the winning bidder shall apply to the competent authority for the issuance of the business establishment approvalby providing the business plan and the information and communications security maintenance plan. However, awinning bidder thatis already an operator shall not berequired to apply for the issuance of thebusiness establishment approval, but shallapply to the competent authority for approval of the change of the business plan and the information and communications security maintenance plan.
The business plan as described in the preceding Paragraph shall specify the following matters:
1.Business items.
2.Business area.
3.Summary of telecommunications equipment:
(1)The types and characteristics of mobile broadband technologies adopted, including the name of the technology, the maximum mobile speed that can be supported, the average spectrum usage efficiency, the maximum downlink rate for high-speed cell site equipment specifications, etc.
(2)System equipment development plan and schedule, including the plan to gradually increase the number of high-speedtransmission base stations in remote areas and population coverage. Where the nominated bidder is currently an operator, its number of high-speed transmission base stations and population coverage rate shall be higher than that of its previously approved business plan (prior to bidding).
(3)System framework, communications type, and service type.
(4)Wireless radio frequency utilization plan.
(5)The installation plan for communications surveillance system.
(6)The construction plan of the cell broadcast entity. However, thosethatonly plan to provide special application field services may state the types of the services and be exempt from specifying the construction plan.
4.Financial structure: The estimated total capital and total paid-in capital for company change registration, which shall be submitted after winning the bid; and expected sources of funds and fund utilization plan.
5.Technological capability and development plan.
6.Charge standards and calculation methods.
7.Staff organization and shareholding status: Photocopy of company registration certificate or document, list of directors and supervisors, list of managers, list of shareholders who hold more than 1 percent of shares, calculation sheet of foreign shareholders, report of affiliated and subsidiary companies, and business report of holding companies.
8.Estimated date of launching the business.
9.Relevant measures concerning consumer rights and protection.
10.Business plan summary, including information that can be quoted or published by the commission.
11.Other matters specified by the review process.
When a winning bidder intends to share the public telecommunications networks withother winning bidders, it shall specify its control capability of the said system in the business plan specified in the preceding paragraph.
The control capability referred to in the preceding paragraph means that the mobile broadband system shall includethe following functions:
1.When a winning bidder uses the shared public telecommunications network to provide its own telecommunications services, its shall maintaincontrol capabilities (including fault management, configuration management, performance management, account management, security management, etc.), which are not affected by its partners, over the various resources (including hardware, software, network functions, systems, frequencies, and telecommunications numbers).
2.The winning bidder shall specify the business cooperation model that has control capability over the public telecommunications network in the cooperation contract.
3.The winning bidder shall at least self-build the following core network components or functions:
(1)For those with the fourth generation mobile communications network: Mobility Management Entity (MME), Home Subscriber Server (HSS), Policy and Charging Rules Function (Policy and Charging Rules Function) PCRF), Serving Gateway (SGW), and Packet Data Network Gateway (PGW).
(2)For those with the fifth generation mobile communications network: Access Management Function (AMF), Session Management Function (SMF), Authentication Server Function (AUSF), unified data Unified Data Management (UDM), Policy Control Function (PCF), and User Plane Function (UPF)
The information and communications security maintenance plan of Paragraph 1 shall contain the following items:
1.Information and communications security policy and objectives
2.Core business and its importance
3.Information and communications security maintenance scope of mobile broadband system
4.Information and communications security promotion organization
5.Allocation of specialized manpower and funding
6.Position of Chief Cyber Security Officer
7.Stock-taking plan for information and communications systems (including system equipment complying with the ITU-or 3GPP-issued information and communications security regulations)
8.Cyber security risk assessment
9.Cyber security protection and control measures
10.Relevant mechanisms for notification, response and drill of cyber security incidents
11.Evaluationand response mechanism of cyber security information
12.Management measures for the outsourcing of the information and communications system or service
13.The assessment mechanism of the personnel involved in the business involving the cyber security matters
14.The continuous improvement and performance management mechanism of the cyber security maintenance plan and implementation
15.The establishment and implementation plan of the cyber security detection and protection (including the cyber security protection framework, defense in depth and its establishment schedule.)
16.Security protection measures for the user information collected, stored, processed and utilized via implementing the aforementioned implementation plan
17.Implementation plan passing the cyber security management certification
The mandatory provisions and themethods ofprovision ofthe documents specified in Paragraphs 2 and 5 shall be specified and announced by the competent authority.
The competent authority shall review the business plan and the cyber security maintenance plan, and if necessary, it may order the winning bidder to make certain adjustments tothe content.
Operators shall operate in accordance with the content of their business plans. If there are changes in mattersspecified in Subparagraphs 1 to 3 and 6 to 9 of Paragraph 2, they shall specify the reasons to the competent authority for approval; if there are changes in any other matters, the operatorshall specify the reasons to the competent authority for reference.
For towns and cities with below "national average population density," winning bidders may, if the provisions of Paragraph 4 are met, share various types of public telecommunications networks with other winning bidders, and for the rest of the regions, they may use the method of co-construction and co-location to share network accessibility.
In order to construct the public telecommunications network specified in Paragraph 3, the winning bidder shall complete the covenants of the original business plan before the implementation of the Telecommunications Management Act, prior toapplying to the competent authority for the change of the business plan.
Operators shall operatein accordance with the content of their cyber security maintenance plans.If any changesare made to the contentof the plan, they shall specify the reasons to the competent authority for approval.
Where the operator is deemed to be in any of the following circumstances by the Fair Trade Commission, the competent authority shall not approve amendment to its business plan in regard to relevant matters:
1.A business merger that should have been filed.
2.A business merger that is prohibited.
3.An unapproved concerted action.
The validity of establishment approval is within two years after the date of issue. Where the bidder is unable to complete the establishment and acquire a concession license according to the law shall, within one month, and three months prior to the validity date, apply for an extension to the competent authority with reasons specified. The extension must not exceed one year and must be limited to once only. The establishment approval will lose its effectiveness upon the date of expiry; the competent authority shall revoke the system installation approval and allocated frequency and the payment for bidding and interest shall not be returned.

The nominated bidder, upon securing the inception consent letter, shall file for a company modification registration to conform to stipulations set by the rules.
Whenthe nominated bidder completes the company modification registration per the foresaid stipulation, the nominated bidder's paid-in capital amount shall conform to that stipulated under Paragraph 5 and 6 of Article 4.

Upon the acquisition of establishment approval and completion of company change registration, the nominated bidder shall submit the following documents to the competent authority for frequency allocation:
1.Photocopy of establishment approval.
2.Photocopy of company change registration document.
3.Application for frequency allocation.
Where foresaid bidder is currently an operator, it shall submit the following documents to the competent authority for frequency allocation:
1.A photocopy of the change approval letter for the business plan and the information and communications security maintenance plan
2.Application for frequency allocation.
Where the mobile phone, third-generation mobile communications or wireless broadband access operator returns the frequency segment in advance,the competent authority shall notify relevant nominated bidder or operator and request it to apply for frequency allocation or change.
Where foresaid nominated bidder or operator applies for an amendment, it shall submit the application for frequency allocation to the competent authority.

The nominated bidder shall, upon securing the launching consent letter and completing the company modification registration, submit the following documents to apply with competent authority for a system installation permit:
1.The frequency assignment approval letter and the system installation permit applicant form.
2.Photocopy of the company modification registration document.
3.Proof of documentation on launching a communications surveillance system or equipment negotiated and confirmed with competent communications surveillance enforcement agency.
4.System construction plan:
(1)System framework, and brand, model, quantity, function and capacity of construction equipment.
(2)The number of base stationsand the schedule for reaching the coverage of the radio waves specified in Article 66.
(3)The system equipment complying with the information and communications security regulations issued by the ITU or 3GPP.
(4)The brand, model, quantity, function and capacity of the protection facilities for information and communications security
In the event where the mandated documents applying for the system installation permit should be deemed incomplete, or the content of the entry should be deemed incomplete, orthe entries should contain erroneous entries, the competent authority shall notify the bidder to adopt retroactive correction within a prescribed deadline; when failing to adopt retroactive correction exceeding the deadline or the retroactive correction should be deemed incomplete, the application shall be declined.
The nominated bidder that has been the incumbent operator shall submit the documents per Subparagraph 1, 3 and 4 of Paragraph 1 to apply for system installation permit.
The nominated bidder shall, upon obtaining the system installation permit, develop the mobile broadband system in accordance with the system development plan specified under Subparagraph 4 of Paragraph 1.
The nominated bidder or the operator, when modifying the system launching plan in accordance with Subparagraph 4 of Paragraph 1, shall state the reason why and voluntarily declare it with the competent authority for approval.
The nominated bidder or the operator, when developing the subsequent network beyond that described in thesystem development plan in accordance with Subparagraph 4 of Paragraph 1, shall submit a system development equipment description and quantity checklist to apply with the competent authority for a system installation permit.
The nominated bidder or the operator shall construct a mobile broadband system in accordance with the provisions of Articles 47 and 66, and construct its system by mobile communication technologies approved and announced by ITU, 3GPP or the competent authority.
The bidder, when failingto obtain a permit to begin operations or failing to obtain an approval, may not install the entire or a portion of the mobile broadband system.
The competent authority shall consult with relevant government entities in consideration of national security when approving or revoking a system development plan.

As a mobile telephone service operator or wireless broadband access service operator, the nominated bidder, when utilizing the nominated frequencies or the frequencies obtained per stipulatedunder Article 81, where the frequencies are initially used for its mobile telephone service, shall at the time of applying for the approval and issuance of the operation's concession license using the frequencies also return its mobile telephone service or wireless broadband access service concession license operating on the same frequency segment.

The nominated bidder or operator may apply to transfer its own system equipment or equipment of other mobile communications operator as a part of itsmobile broadband system.
Where foresaid transfer is involved with business termination, or business or asset transfer of mobile communications operator, it shall conduct relevant activities according to Article 15 of the Act.
The nominated bidder or operator that plans to transfer equipment in accordance with Paragraph 1 shall include the system installation, when applying for system installation permit according to Paragraph 1 of Article 43; change to system installation plan according to Paragraph 5 of Article 43; or installation approval for the following network according to Paragraph 6 of Article 43. Equipment that is located in the same location prior to and preceding the installation may not be removed upon receipt of the installation permit.
Those who transfer system equipment that is in use may be exempted from system technical examination if no change has been made to the system hardware / software equipment after the transfer.

The nominated bidder or operator, when applying for the transmission station installation permit and the radio transmission station license and related matters, shall complete the implementation in accordance with Article 46 of the Act and per the mobile communication networking operation's transmission station installation and operation management measures.

Only when the nominated bidder completes the installation of more than 250 fifth-generation mobile communications base stations, may it apply to the competent authority for verification of the system technology verification. After the verification has been confirmed, a system technology verification certificate shallbe issued.
The foresaid nominated bidder shall complete the system development three months prior to the expiry of the founding inceptionconsent letter, and complete the system technology validation filing procedure with the competent authority.
The operator shall managechanges in the Cell Broadcast Entityequipment in accordance with the provisions of Paragraph 5 of Article 55, within one year after obtaining the concession license open for application in 2019 or the announcement of the amendment to the unified message exchange format for public warning system. After completion, it shall apply to the competent authority for system technology verification.
When anoperator adds or changes its system switching equipment, or when the number of base stationsin the new frequency band exceeds250, it shall first apply to the competent authority for approval;after the completion of the addition or modification,it shall apply to the competent authority for system technology verification.Said equipmentcan only be used after it has passedverification, and a system technology verification certificate has been issued by the competent authority.
The nominated bidder or the operator's system technology validation process shall be implemented per the mobile broadband system validation technology guidelines.

The nominated bidder, upon securing the system installation permit, shall complete the system development per its permit; of the connecting circuit between the bidder's system and other systems, the bidder shall lease from the fixed communication service operator or satellite fixed communication service operator, except where a connecting circuit is situated in the same building and has been approved by the competent authority.
Upon approval by the competent authority, the nominated bidder or the operator may develop on its own, the electric circuit for the connecting server equipment of the mobile broadband system.
In the event where the electric circuit approved for development is of a self-developed wired fiber optical or copper cables, the development shall conform to the following stipulations:
1. Of land reserve for laying the network routes, the bidder is to file a request with the management agency for an approval per relevant legal and regulatory stipulations.
2. Of laying the network that requires attaching to the wire routes of state enterprise piping or relevant facilities, the bidder is to complete the process per relevant legal and regulatory stipulations.
If the circuit developed per the preceding Paragraph 2 be of a microwave chain route, matters concerning the frequency assignment, transmission station installation permit and so forth shall be implemented per the Type-I Telecommunication Enterprise Microwave Radio Transmission Installation/Utilization Management Measures; in the case of a satellite chain route, matters concerning the frequency assignment and transmission station installation permit shall be implemented per the Regulations for Administration on Satellite Communications Services.

The nominated bidder, when applying for the previously released approval and issuance of the concession license, shall submit the following documents to apply with the competent authority, and subject to the competent authority's approval is to be issued with the concession license.
1. Concession license application.
2. Photocopy of the inception consent letter.
3. Photocopy of company registration proof of documentation.
4. Proof of documentation on satisfactory system technology validation.
5. Proof of documentation on the completion of system per Article 12 of the Type-I Telecommunication Enterprise Billing ManagementMeasures.
6. Proof of documentation on company business rules and regulations the competent authority has approved and finalized.
7. Proof of documentation on service contract template to be entered into with the subscriber the competent authority has approved and finalized.
The nominated bidder that has been the incumbent operator shall submit the documents in accordance with sSubparagraph 1 and 4 of preceding Paragraph 1 to apply with the competent authority, and subject to the competent authority's approval shall be issued with the previously released concession license.

The concession license shall disclose the following matters:
1.The name of the operator, director and registered company address.
2.The business type.
3.The total capital and total paid-in capital.
4.The operating region.
5.The operating frequency.
6.The validation period.
7.The license issuing date.

The validity of applications for concession licenses isas follows:
1.Available from 2013: From the date of issue to December 31, 2030.
2.Available from 2015: From the date of issue to December 31, 2033.
3.Available from 2017:
(1)1800 MHz frequency segment: From the date of issue to December 31, 2030.
(2)2100 MHz frequency segment: From the date of issue to December 31, 2033.
4.Open for application in 2019:
(1)1800MHz frequency band: from date of issue until December 31, 2030.
(2)3500MHz frequency band:from date of issue until December 31, 2040.
(3)28000MHz frequency band:from date of issue until December 31, 2040.
The validity of foresaid concession license will lose effectiveness upon the expiry. The competent authority shall establish rules governing expired licenses.

The operator is to begin operating the business within a six-month period from the date it obtains the concession license, and when exceeding the deadline, the competent authority shall abolish the concession and the assigned frequencies; the remitted bid award guarantee and the interest will not be reimbursed.
The operator's individually issued concession and establishment permit shall be abolished by the competent authority, once the operator is deemed as falling under any of the circumstances stipulated in Paragraph 1 of Article 10, each subparagraphs of Paragraph 1 or Paragraph 3 of Article 14.
In the event where the inception of the nominated bidder or the operator should be abolished due to breaching relevant legal and regulatory stipulations, the remitted bid award guarantee and the interest will not be reimbursed, unlessotherwise stipulated by the rules.

In the event where the inception consent letter, or the installation permit letter (certificate), or the transmission station license, or the concession license should be lost or destroyed, the bidder shall state the reason to apply with competent authority for a reissue; when any change occurs to the entries, the bidder shall file a request with competent authority for a replacement reissue.
Unless otherwise stipulated by laws and regulations, the inception approval letter, the installation permit letter (certificate), the transmission station license, the concession license, or the assigned wireless radio frequencies may not be leased out, loaned out, transferred, or designated with guarantee burden to any individual.