(Ondřej Daťka) The three existing Czech cellular operators face a deadline today for submitting applications for 20-year UMTS licenses at a fixed price of CZK 6.7 bil. each (the “first round” of the UMTS tender). The three operators have said that they are unwilling to pay this price, though they have suggested they might consider it if some of the license conditions were changed in their favor (e.g., if no fourth license is issued, if the deadline for launching UMTS services is delayed, if the payment is spread over a longer period of time, etc.). It therefore seems likely that the operators will either seek further negotiations with the government or defer the licenses to an auction (the “second round”), where the price could plausibly be less. We do not expect any conclusive news today, only an indication of a further course. The issue of Czech UMTS licenses should be settled by the end of September.