Chapter I General Provisions
Article 1 These rules have been formulated in accordance with stipulations set forth under Paragraph 6 of Article 14 of the Telecommunications Act (hereinafter referred to as the Act).
Article 2　　　The terms of these Regulations are defined as follows:
1. “Mobile broadband system” refers to an operator utilizing the assigned frequency under Article 7 and adopting mobile communications technology protocols of the International Telecommunication Union to offer mobile communications’ mobile stations, transmission stations, high-speed transmission stations, exchange equipment, transmitter line equipment, networking management equipment, and account management equipment that constitute the communications system.
2. “Mobile broadband operation (hereinafter referred to as the Operation)” refers to an operator that has an established mobile broadband system to offer broadband mobile communications service operation.
3. “Mobile station” refers to the wireless terminal equipment mobile communications adopt.
4. “Transmission station” refers to equipment installed on land that constitutes a wireless communications network for communication between mobile stations and that between mobile stations and other users.
5. “High-speed transmission station” refers to a transmission station equipment that adopts Frequency-Division Duplexing (FDD) and specified at the criterion of 15MHz bandwidth for both uploads and downloads, and with download speeds capable of reaching 100Mpbs or higher; or equipment that adopts Time Division Duplexing (TDD) and specified at the criterion of 20MHz bandwidth and with download speeds capable of reaching 100Mpbs or higher.
6. “Operator” refers to a mobile broadband service operator that has obtained a concession license in accordance with the rules.
7. “User” refers to a user who has registered with the operator or signed a contract with the operator to access the mobile broadband service the operator offers.
8. “Emergency telephone” refers to the telephone system reserved for reporting fire, theft and other emergencies.
9. “Audiovisual content transmission platform” refers to a mobile broadband system’s audiovisual medium interactive interface and audiovisual content storage equipment contained in the operator’s controllable and non-open environment as an interactive platform for the user to derive content.
10. “Telecommunications equipment room” refers to a facility in which the operator installs equipment required for implementing networks and providing telecommunications services.
11. “Internet data center” refers to a facility in which the operator places and installs cabinets, as well as power air-conditioning and firefighting equipment. The center may be leased to a third party, managed by the operator, or provided to users to set up ITC equipment.
12. “Telecommunications infrastructure” refers to telecommunications equipment and its pipeline infrastructure.
Article 3　　　The competent authority of these rules pertains to the National Communications Commission.
Article 4　　　An operator planning to run operations shall obtain a concession license from the competent authority, and may only begin operations upon being issued the concession license.
The competent authority shall announce the commencing and concluding time period of accepting applications to run operations.
The bottom price of the operation’s operating frequency concession license shall be announced by the competent authority.
The operating region shall pertain to nationwide.
The minimum paid-in capital for operators applying to run operations shall be six billion New Taiwan dollars (NT$6 billion).
The applicant, when also operating another Type-1 telecommunications enterprise business, and said business also has a mandated minimum paid-in capital, shall have its minimum paid-in capital calculated based on the total sum of the mandated minimum paid-in capital for said service following the approval of its inception.
Article 5　　　An operator with shareholders numbering two hundred individuals or more shall petition with competent government securities authorities for an initial public offering within a three-month period following the registration of its inception or registration of the issuance of new shares.
An operator that intends to reduce its capital as voted at its shareholders’ meeting or seeks to engage in conduct specified under Paragraph 1 of Article 185 of the Company Act shall voluntarily file the matter with the competent authority within a twenty day-period from the following day the proposal has been voted in favor at its shareholders’ meeting.
Article 6　　　Applications for a concession service shall be processed with the following two-stage procedure:
1. Stage one: a review is made of the applicant’s application, enterprise plan formulation and other qualifications and conditions.
2. Stage two: An application that satisfactorily meets the condition of the stage one review shall become an eligible bidder (hereinafter referred to as the bidder) and may participate in the bidding as stipulated; a nominated bidder shall, in accordance with Article 36, upon remitting the bid award royalties in one lump sum, or upon remitting the initial payment of the bid award royalties and post guarantee for the remainder bid award royalties and interest, apply for concession license.
The rule shall apply to the condition that any deviation from the content of the enterprise plan formulation a bidder submits, or the enterprise plan that a nominated bidder or operator submits, according to the stipulations of the rules.
Article 7　　　Frequency segments and frequencies that may be used by concession licenses that were open for the application of mobile broadband business over the years are as follows:
1. Available from 2013:
(1) The 700 MHz frequency segment: Uplink 703 MHz to 748 MHz; downlink 758 MHz to 803 MHz.
(2) The 900 MHz frequency segment: Uplink 885 MHz to 915 MHz; downlink 930 MHz to 960 MHz.
(3) The 1800 MHz frequency segment: Uplink 1710 MHz to 1770 MHz ; downlink 1805 MHz to 1865 MHz.
2. Available from 2015:
(1) 2500 MHz and 2600 MHz paired frequency segment: 2500 MHz to 2570 MHz and 2620 MHz to 2690 MHz.
(2) 2500 MHz and 2600 MHz unpaired frequency segment: 2570 MHz to 2620 MHz
3. Available from 2017:
(1) 1800 MHz frequency band: Uplink 1770 MHz to 1785 MHz; downlink 1865 MHz to 1880 MHz.
(2) 2100 MHz frequency band: Uplink 1920 MHz to 1980 MHz; downlink 2110 MHz to 2170 MHz.
Frequency segments and bandwidth of foresaid frequencies are stated in Annexed table 1.
Chapter II Operation Concession
Section 1 Application and Review
Article 8　　　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.
Article 9　　　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 calculating the 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 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. The nominated bidder has conformed to the stipulations of high-speed transmission station development, set forth under Subparagraph 1 and 2 of Paragraph 1 of Article 66.
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.
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.
Article 10　　 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. The nominated bidder has conformed to the stipulations of high-speed transmission station development, set forth under Subparagraph 1 and 2 of Paragraph 1 of Article 66.
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.
Article 11　　 The applicant may, according to the frequency status defined under Article 7, conduct takeover surveys on its own, and of any 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.
Article 12　　 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 type and characteristics of the mobile broadband technology adopted, including the name of the technology, the maximum mobile speed supported, median band spectrum utilization efficiency, the maximum download speed achievable under the conditions of frequency bandwidth of 15MHz each for upload and download by adopting FDD mode and frequency bandwidth of 20MHz by adopting TDD mode.
(2) The system framework, communication mode, and service type.
2. 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.
3. Technology capability and development plan.
4. 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.
5. 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 specified by the competent authority by means of interbank fund transfer; the remittance shall state the applicant’s company name, address and contact telephone number.
Article 13　　 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.
Article 14　　 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 where an 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. A bidder’s technology type on the telecommunications equipment adopted should be deemed to deviate from the technology announced by International Telecommunication Union or does not include high-speed transmission station technology.
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.
Article 15　　 In the instance where a bidder breaches any one of the 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.
Article 16　　 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.
Section 2 Bid Preparation
Article 17　　 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.
Article 18　　 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 frequency segment 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.
The total frequency bandwidth of the nominated bidder or operator shall not be more than one third of the total frequency segment of mobile broadband business; the total frequency bandwidth for 1 GHz below shall not exceed one third of the total frequency bandwidth for frequency segment below 1 GHz. However, operators in special circumstances shall not be bounded by this term upon receipt of approval of the competent authority.
Article 19　　 The auctions shall be processed by competent authority.
The competent authority may adopt a remote connection bidding system in order to facilitate the auction.
Article 20　　 The competent authority shall announce information pertaining to the date, seven days prior to the scheduled auction.
Article 21　　 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 authority based 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 the way of connecting dedicated lines and the internet to the auction center, installing specified electronic quotation system software and undertaking connectivity tests.
Section 3 Competitive Bidding
Subparagraph 1 Bidding Procedure
Article 21-1　 The bidding procedure of the license issuing bidding operation of mobile broadband business shall be divided into quantity-based and location-based bidding.
Quantity bidding shall take place first in the bidding procedure in accordance with Article 22 to Article 33 to determine the interim nominated bidders of quantity bidding and its awarded frequency bandwidth. Location bidding shall then commence in accordance with Article 33-1 to Article 33-5 to determine the interim nominated bidder and its awarded frequency bandwidth.
When location bidding takes place, the competent authority shall, at the information session as described in the preceding Article, announce the frequency permutation array of nominated bid that may be selected to quote.
Principles for foresaid permutation array are as follows:
1. The frequencies of nominated bid shall be successive.
2. The nominated bidder shall be a third-generation mobile communications operator of 2000 MHz frequency segment and at least 5 MHz uplink and downlink to the frequency of its nominated bid shall be its existing frequency. Where the said term cannot be reached, the frequency of at least one bidder shall include E12 as described in Annexed table 1.
The frequency permutation arrays of 1800MHz frequency segment are not applicable to provisions of Subparagraph 2 of the preceding Paragraph.
Article 21-2　 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.
Article 21-3　 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 rules by the bidder.
3. Any circumstance that is inappropriate to carry on the bidding procedure.
Subparagraph 2 Quantity-based Bidding
Article 22　　 Quantity-based bidding shall be conducted simultaneously, in multiple rounds in ascending order.
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.
Article 23　　 (Deleted)
Article 24　　 The starting and ending time for each 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 competent authority.
Article 25　　 The bidder offering the highest bid at each round of the auction shall become the interim nominated bidder for said found of competitive bid, and its bid shall become the interim nominated bid price; the bottom price is deemed as the interim nominated bid before the first round of each competitive bid begins.
The minimum price of each competitive bid’s quotation at each round is set to three percent of the interim nominated bid plus the interim awarded bid price, and the maximum price is set to seven percent of the interim nominated bid plus the interim nominated bid price.
The competent authority shall announce the amounts of the minimum and maximum price caps for each bid ten minutes before each round of bidding is to commence.
Article 26　　 The bidder shall state the bidding price in accordance with the following provisions:
1. The bidder may state the bidding price for different bidding items simultaneously; the total frequency bandwidth of the interim nominated bid of the previous round and quotation item of that round shall comply with Article 18.
2. One stage has ten rounds; commencing from the 201st round, the frequency bandwidth that may be bid for at each stage shall not exceed the maximum of frequency bandwidth bid for at previous stage.
3. An interim nominated bidder shall not quote for its interim bid during the next round.
4. The quoted amount shall not be below the minimum price and shall not be higher than the maximum price.
5. The bid shall be quoted in units of five million New Taiwan Dollars. The electronic quotation system shall itemize the bid price for bidders to select.
Where the bidder fails to submit a bid in accordance with provisions of the preceding Paragraph, it shall be deemed as an invalid bid.
The term frequency bandwidth that may be bid for as described in Subparagraph 2 of Paragraph 1 refers to the total frequency bandwidth of an interim nominated bid of the previous round and submitted bid of that round. The term frequency bandwidth bid for at previous stage refers to the total frequency bandwidth of an interim nominated bid of the previous round and bidding item of that round.
Article 26-1　 A bidder undertaking telephone fax bids, as specified under Article 22, shall state the quotation specified under the preceding Article.
In the case when the bid falls under one of the following circumstances, it shall be deemed as an invalid bid:
1. No official stamp of company and signature by person in charge on the quotation.
2. The bid price is not clear or cannot be distinguished.
3. The bid price has been altered or two or more different bids have been submitted.
4. The bid fails to comply with Paragraph 1 of Article 26.
5. Other circumstances deemed as invalid bid by commission.
Article 27　　 Bidders shall submit bids within the time specified under Paragraph 2 of Article 24; any bid submitted beyond the specified time will not be accepted by the competent authority.
Bidders are limited to submitting one bid during each round of bidding; secondary or extra bids will not be accepted by the competent authority.
Article 28　　 (Deleted)
Article 29　　 In the event where two or more bidders submit identical bids on any of the given competitive bids, the interim nominated bidder shall be determined by a random draw of a computer.
Article 30　　 The competent authority shall notify all bidders of the following information at the end of each round:
1. The price that the bidder quoted in that round, time of quotation and validity of quotation.
2. The nominated bid and nominated bid price of the bidder.
3. The number of the cumulative interim abstentions of the bidder.
4. Beginning from the 201st round, the upper limit calculated in accordance with Subparagraph 2 of Paragraph 1 of Article 26.
The competent authority shall announce the following information at the end of each round:
1. The interim bid price of each competing bid.
2. The total of all bidders’ interim waiver.
3. The number of bidders who have lost their qualifications.
4. The total of invalid quotations made by bidders entitled for quotation in the same round.
5. Whether the bidder entitled for quotation will make a valid quotation in the next round, if it already failed to submit a valid quotation two consecutive times.
Article 31　　 Should a bidder fail to quote during the first round, or should its quotation be deemed invalid, the competent authority shall revoke its bidding qualification.
Should a bidder conduct interim waiver for four times during the quantity bid, the competent authority will revoke its bidding qualifications.
Any of the following circumstances will be deemed as interim waiver:
1. The non-interim nominated bidder fails to quote in each round.
2. The quotation of each round is deemed as invalid.
The bidder that plans to waive quotation during the quantity bid shall notify the competent authority of it using the electronic quotation system within the timeframe as prescribed in Paragraph 2 of Article 24. However, bidders that have already quoted in that round shall not waive a quotation in the same round.
Where the interim nominated bidder loses its qualification to bid due to provisions of Paragraph 2 or waives a quotation due to circumstances as described in Paragraph 4 during the quantity bid, its qualification of being an interim nominated bidder shall be retained until another bidder’s bid is higher than its interim nominated bid price.
Article 32　　 (Deleted)
Article 33　　 The quantity bid will be closed if all bidders entitled for quotation made an invalid quotation for two consecutive rounds.
After the quantity bid is closed, the price quoted by the interim nominated bidder for each bidding item in the last round shall be the nominated bid price.
After the quantity bid is closed, the competent authority shall announce the following matters:
1. List of nominated quantity bidder, awarded frequency bandwidth, nominated bid price and its total.
2. Date, time, and location of holding location bid.
3. Permutation arrays that may be selected to quote for the location bid of each frequency segment.
The foresaid announcement shall be made at least 7 days prior to the date of holding location bid.
Subparagraph 3 Location-based Bidding
Article 33-1　 The nominated frequency location of each frequency segment shall be decided in accordance with Article 33-3; where the decision cannot be made, methods as prescribed in Article 33-4 shall then be adopted.
After the closure of quantity bid and before the beginning of location bid, nominated quantity bidders may negotiate for the nominated frequency location of each frequency segment. The negotiated frequency location shall not be limited by the permutation array as described in Subparagraph 3 of Paragraph 3 of the preceding Article.
Article 33-2　 Location-based bidding shall take place in the morning on the date of holding location bid as described in Paragraph 3 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 letter of 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.
Article 33-3　 The competent authority shall decide the nominated frequency location of nominated quantity bidder of each frequency segment according to the following order:
1. All nominated quantity bidders shall submit a letter of intent for frequency location; where the proposed frequency location has not overlapped, the nominated frequency location shall be decided according to the said letter.
2. Where there is only one permutation array in the announcement as described in Subparagraph 3 of Paragraph 3 of Article 33, the nominated frequency location shall be decided according to this array.
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.
Article 33-4　 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 one-round quotation session all be provided to nominated quantity bidders to bid for possible frequency locations according permutation arrays as described in Subparagraph 3 of Paragraph 3 of Article 33.