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Broadcasters Would Win if Incentive Auction Is Delayed, Pai Aide Says

Broadcasters would benefit if the FCC delays the TV incentive auction, Matthew Berry, chief of staff to FCC Commissioner Ajit Pai, said Wednesday at a conference sponsored by the American Enterprise Institute’s Center for Internet, Communications, and Technology Policy. “It’s…

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simple,” Berry said. “If broadcasters want to receive top dollar for their spectrum they’re going to need wireless carriers to come to the auction with as much money as possible.” That means giving carriers enough time between the AWS-3 auction and the incentive auction to raise capital, he said. More time also will give the FCC time to change its proposed rules on dynamic reserve pricing and in other areas that will mean more compensation for spectrum sold in the auction, he said. Berry also said it's not too late for the FCC to simplify rules for the auction. “There are no mulligans,” he said. “The law passed by Congress gives us one chance to get this right.” Berry said even without process reform, the FCC could operate much more smoothly than it does today. Berry cited complaints by his boss on the sharp partisan split at the agency (see 1501210046). “Reaching consensus in an unanimous vote on contentious issues is hard, hard work,” he said. “But you can do it.” The politicization of the FCC raises major questions about the agency's legitimacy, said Gus Hurwitz, a professor at the Nebraska College of Law, who also spoke at the conference. “This is an expert agency -- we have it for its expertise,” he said. “It’s not acting as an expert agency.”