A Government 5G Coup

President Donald Trump says he wants the US to dominate 5G ultra-fast internet, and Federal Communications Commission Chairman Ajit Pai has been clearing regulation to speed the way. But now they appear to have succumbed to Washington rent-seekers and their political mouthpieces. Chairman Pai notified Congress that the FCC plans to repurpose spectrum that is currently licensed to satellite providers for 5G and auction it off to other users. A government auction, he says, “will afford all parties a fair opportunity to compete for this 5G spectrum.” Pai appears to be taking orders from his masters in the White House and Congress, but he’s bollixing up a plan that would more efficiently reallocate spectrum and encourage other licensees to do so as well. Delay is now guaranteed since the FCC will have to provide notice and comment and issue multiple orders before holding an auction. It took the FCC five years to implement a 2012 law ordering an auction of broadcaster spectrum. Blame bureaucratic hangups and foot-dragging by private industry. The US can’t afford either if it wants to lead in 5G. The unfortunate reality is that Pai’s government auction probably won’t happen for years, and US 5G investment will lag because of it.