Related-party disclosures

With the exception of the matters described here, there were no significant changes as of September 30, 2019 to the related-party disclosures reported in the consolidated financial statements as of December 31, 2018.

In May 2019, Deutsche Telekom acquired four frequency blocks in the 2 GHz band and nine lots in the 3.6 GHz band worth a total of EUR 2.17 billion, which the Federal Network Agency auctioned off on behalf of the Federal Republic of Germany. With the auction now over, Telekom Deutschland has filed an application with the Federal Network Agency on using the spectrum to begin building out the network across Germany. In place of a lump-sum payment, government representatives agreed to let us pay the purchase price in annual installments from 2019 through September 13, 2030. Payment by installment was granted on the condition that Deutsche Telekom assumes additional build-out obligations. Deutsche Telekom must build out an additional 333 sites. Build-out obligations were recognized as liabilities in the amount of the financing advantage of EUR 59 million.

New communications standard, which offers data rates in the gigabit range, converges fixed-network and mobile communications, and supports the Internet of Things – rollout starting 2020.