AWS-3 Auction: Lessons Learned

From my perspective, the recent AWS-3 auction has to be deemed an overall success. It is hard to say otherwise when it released 65 megahertz of spectrum for more efficient purposes, allocated 1611 licenses to current and prospective wireless providers to expand wireless broadband services, and grossed revenues totaling $44.9billion (net revenues are estimated at $41.3 billion). Nonetheless, this auction highlighted many important issues and raised quite a few concerns. Here are some takeaways that will help shape my views as we consider future spectrum policy:

Licensed vs. Unlicensed Spectrum.
This auction clearly demonstrates there is still a critical need for licensed spectrum in our overall spectrum framework.
Paired vs. Unpaired Spectrum. As I have said before, I think the Commission, and the American people, lost an opportunity by not finding appropriate spectrum to complement the A1 and B1 blocks. Specifically, the FCC should have paired this 15 megahertz of spectrum, instead of offering 5 and 10 megahertz unpaired spectrum licenses.
Location Still Matters. This auction confirmed the significance of the value generated from licenses in the largest markets.
Low-Band vs. Mid-Band Spectrum. The overall revenues of this auction also cast doubt on some estimations of the unappreciated value of mid-band spectrum.
Designated Entities. The FCC must rethink its designated entity policies.
Planning Ahead. To ensure continued growth and innovation in America’s renowned wireless sector, we must identify now the spectrum bands that can be auctioned for exclusive use in the future.


AWS-3 Auction: Lessons Learned