An Information Technology and Innovation Foundation report, released Monday, calls on the federal policymakers to develop policies that consider tradeoffs of licensed, unlicensed and shared spectrum, and make allocations for the right reasons. “Licensed spectrum is good for providing the certainty needed to sustain wireless applications that require large, sustained investments,” but revenue from license auctions should be seen as “a side effect, not a goal in itself,” the report said. Spectrum auctions can generate lots of revenue, but “it is the market mechanism (including tradability on secondary markets) and the type of rights embodied by an exclusive license that make it a productive allocation,” it said. Unlicensed spectrum, “is a good way to prevent usage rights from becoming too fragmented,” but claims of congestion shouldn’t justify making more available, ITIF said: “One commonly cited claim is that unlicensed spectrum’s uses are important and valuable, and therefore more bandwidth should be freed up to ensure more reliable access to it. The problem with this argument is that licensed spectrum exists precisely for those who can’t operate under the uncertainties associated with unlicensed spectrum.” Spectrum sharing has become increasingly necessary as spectrum becomes more congested, ITIF said. Dynamic sharing “could even become the first-best allocation if technological advances enable a generalized use-or-share framework” and “there can be little objection, from a policy perspective, to allowing additional uses of a licensed band that does not cause harmful interference to the licensee,” the report said. But there are also limitations, ITIF said, noting power levels permitted in the citizens broadband radio service band are “327 times lower than those in the exclusively licensed band just above it.”
Wireless Spectrum Auctions
The FCC manages and licenses the electromagnetic spectrum used by wireless, broadcast, satellite and other telecommunications services for government and commercial users. This activity includes organizing specific telecommunications modes to only use specific frequencies and maintaining the licensing systems for each frequency such that communications services and devices using different bands receive as little interference as possible.
What are spectrum auctions?
The FCC will periodically hold auctions of unused or newly available spectrum frequencies, in which potential licensees can bid to acquire the rights to use a specific frequency for a specific purpose. As an example, over the last few years the U.S. government has conducted periodic auctions of different GHz bands to support the growth of 5G services.
CTIA and Google officials clashed Tuesday on the future of spectrum sharing and the citizens broadband radio service band, speaking during a Broadband Breakfast webinar on spectrum sharing. Other speakers said CBRS has been a success.
Getting Congress to restore the FCC’s spectrum auction authority as quickly as possible is a top priority of the Competitive Carriers Association, CCA President Tim Donovan said Wednesday at the start of the group’s annual conference in Atlanta. Donovan also urged launching a 5G Fund, the topic of a September Further NPRM (see 2309210035).
The Commerce and Defense departments postponed briefings for the Senate Armed Services and Commerce committees originally expected to happen next week on the Pentagon's report on its study on repurposing the 3.1-3.45 GHz band for commercial 5G use (see 2309280087), lawmakers and communications lobbyists told us. There has been no clear explanation why, but word of the delay circulated in conjunction with chatter that the two federal departments are disagreeing on what the report’s conclusions mean for bids to sell or share parts of the lower 3 GHz band.
China’s focus on 5G is tied to that nation's desire to “reclaim” what it believes is its “rightful place at the center of the world,” said James Lewis, Center for Strategic and International Studies senior vice president, at the Hudson Institute Tuesday. Lewis also warned the U.S. may not be keeping up with China headed into the World Radiocommunication Conference, which begins Nov. 20. Lewis was interviewed by Harold Furchtgott-Roth, Hudson senior fellow and former FCC commissioner.
The FCC reopened the possibility of making changes to its spectrum screen, focused on mid-band frequencies, seeking comment on a 2021 petition by AT&T asking for a rulemaking (see 2309220064). Industry experts said that doesn’t mean action is necessarily forthcoming, though some believe it could be. Comments are due on the public notice Oct. 23, replies Nov. 8, in docket 23-319.
Commenters disagreed sharply on what the FCC should do in response to an August notice of inquiry on understanding nonfederal spectrum use. Some observers have questioned how much will be gained by the inquiry, especially because it doesn’t ask about federal use (see 2308020054). Comments were posted Wednesday in docket 23-232.
Commerce Secretary Gina Raimondo publicly committed Wednesday to brief Senate Commerce Committee members on the DOD study on repurposing the 3.1-3.45 GHz band for commercial 5G use sent to the Commerce Department last week (see 2309280087). Panel ranking member Ted Cruz, R-Texas, and several other members raised questions about the DOD study during a hearing on implementing the 2022 Chips and Science Act.
Fred Moorefield, who long oversaw spectrum policy at DOD, was charged with promoting and furthering animal fighting. Moorefield has been on leave from DOD, where he was deputy chief information officer-command, control and communications. Industry officials said Monday's announcement was a surprise but may have limited effect since Moorefield’s retirement was expected. Charges were filed in U.S. District Court for Maryland.
The Senate confirmed FCC Commissioners Geoffrey Starks and Brendan Carr to new five-year terms Saturday, providing stability for the agency and assuring a 3-2 Democratic-controlled commission through the end of the current administration. Two big, contentious items are already in the pipeline -- a net neutrality NPRM at the commissioners' Oct. 19 open meeting and a Nov. 15 statutory deadline to issue digital discrimination rules, with a commission meeting also scheduled for that day. If the Senate hadn't acted, Starks would have had to leave in January and the FCC would have been back to a 2-2 split between Democrats and Republicans.