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AT&T, Verizon and T-Mobile on FCC’s list of qualified bidders, Dish and Comcast to take part under alternate bidding entities.
Some of the U.S.’s biggest mobile operators and TV providers are among the 62 bidders to have qualified to take part in phase two of the country’s 600-MHz spectrum sale, with bidding due to kick off in one month’s time, the Federal Communications Commission (FCC) announced late last week.
The qualified bidders include AT&T, Verizon and T-Mobile US; as expected, Sprint does not appear on the list, having announced last year that it has no need for additional spectrum.
The list also includes CC Wireless Investment, which according to the FCC’s database is an entity controlled by cable operator Comcast, while satellite player Dish Network is bidding as ParkerB.com Wireless.
The U.S. regulator plans to open bidding in the second part of the auction, the forward auction, on 16 August.
Part one, or the reverse auction, was completed in late June after almost three months. Under the reverse auction, the broadcasters holding 600-MHz airwaves committed to freeing them up for mobile use…albeit at a price.
The reverse auction placed a US$86.4 billion price tag on the forward auction, naturally raising questions over the telecoms industry’s ability and willingness to commit such a hefty sum to more spectrum.
Should cumulative bids in the second phase of the sale not reach that level, the FCC will be forced to reopen the reverse auction in order to bring the minimum price down. Such a move would also reduce the volume of spectrum available in the forward auction.
As it stands, operators are being asked to pay around $2.15 per MHz per capita; on balance analysts think it unlikely they will do so.
Which means the so-called incentive auction is likely far from over. Bidding could well start in a month, but the end is not really in sight.
