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    Senior Member JohnDoe2's Avatar
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    $45 billion in landmark AWS-3 wireless spectrum auction

    FCC banks nearly $45 billion in landmark AWS-3 spectrum auction


    Windfall blows away pre-auction estimates

    By Jon Gold
    Network World | Jan 29, 2015 3:01 PM PT

    The FCC announced today that Auction 97 spectrum auction has closed after roughly two and a half months, with winning bids totaling $44.9 billion for the 65MHz of mostly AWS-3 range. That figure is far and away the highest ever seen in a spectrum auction.

    The AWS-3 spectrum is called paired spectrum, which in this case sits between 1755MHz and 1780MHz for the uplink portion and 2155MHz and 2180MHz for the downlink. These frequency sets occupy a valuable middle ground for wireless carriers – they are high enough to provide plenty of potential capacity but low enough to propagate over a relatively large area for widespread coverage.

    + ALSO ON NETWORK WORLD: Qualcomm's Snapdragon woes mount as a 'major customer' defects | Bill Gates tells Reddit about his mysterious 'personal agent' project at Microsoft +


    Full information about the bidders has not yet been released, but it’s generally thought that AT&T and Verizon captured the lion’s share of the licenses available. More details will be provided when the results of the auction are officially finalized, and payment due dates are set.

    The proceeds of the auction will go to various projects, including a $7 billion national emergency communication network, a $300 million investment in public safety communications research and a $115 million set of grants for improved 911 networks.

    Nearly half of the funds - $20 billion – will be applied to the federal government’s outstanding debts.

    In a statement, FCC chairman Tom Wheeler said that the results highlight the demand for additional spectrum availability, and looked forward to further auctions in the future.

    “We are confident there will continue to be strong demand for valuable low-band spectrum that will be made available in the Incentive Auction early next year,” he said.

    Fellow commissioner Mignon Clyburn noted that the results far outstripped early estimates of the auction’s total value.

    “If you had conducted a poll of analysts before the start of the AWS-3 auction, the highest prediction given for its yield would not have exceeded $18 billion,” she said.

    Others in Washington also lauded the results of Auction 97, as did representatives of the telecom industry.

    Congressman Brett Guthrie, a Republican who co-chairs the Congressional Spectrum Caucus with Democrat Doris Matsui, called the auction “a resounding success,” in a statement. Guthrie and Matsui were co-sponsors of the legislation to reallocate the AWS-3 spectrum block and put it up for auction.

    The president of the wireless trade association CTIA, Meredith Baker, echoed Wheeler in looking forward to additional spectrum being freed up and made available to the private sector.

    “As we’ve highlighted many times before, this is only the first step to unlock more mobile investment and benefits,” she said. “A reinvigorated search to identify, clear and reallocate spectrum needs to begin today to meet the data demands of 2020, our connected lives and tomorrow’s 5G networks.”

    http://www.pcworld.com/article/28784...m-auction.html
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    Senior Member JohnDoe2's Avatar
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    AT&T will pay $18.2B as top bidder in mobile spectrum auction

    Stephen Lawson@sdlawsonmedia


    • Jan 30, 2015 12:30 PM



    AT&T spent nearly US$18.2 billion on wireless spectrum licenses in a blockbuster mobile-auction spectrum for licenses across the U.S., far outspending the other major U.S. carriers and satellite service provider Dish Network.

    The AWS-3 auction, the biggest sale of mobile spectrum since 2008, went on for about two and a half months and brought in a far higher total than expected.


    The auction raised $41.3 billion in net bids, which will go toward the FirstNet national public-safety network and some national debt reduction. The bidding on 1,611 spectrum licenses around the U.S. far exceeded expectations, indicating that mobile operators are still eager to build up capacity in their networks.


    The three bands of AWS-3 spectrum, totaling 65MHz, will let mobile operators add more capacity to their LTE networks, serving more subscribers with faster service. AT&T said the licenses it acquired would give it a block of spectrum covering 96 percent of the U.S. population, which the carrier plans to deploy starting around 2017.


    Verizon Wireless was the second-biggest bidder, laying out $10.4 billion, and T-Mobile USA, the nation’s fourth-largest mobile operator, bid $1.8 billion. They’re key rivals to AT&T for LTE services. But the motives of the second-place bidder, Dish Network, are less clear. Through affiliate companies, Dish bid a total of about $10 billion even though it doesn’t yet operate a mobile service. Some analysts suspect the company hopes to either partner with an existing carrier or just lease the spectrum to other operators.


    On Thursday, the FCC announced the auction had brought in provisional bids of $44.9 billion. The net amount disclosed on Friday accounts for factors such as bidding credits to some types of bidders.

    http://www.pcworld.com/article/28784...m-auction.html

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