Design World

  • Home
  • Technologies
    • 3D CAD
    • Electronics • electrical
    • Fastening & Joining
    • Factory automation
    • Linear Motion
    • Motion Control
    • Test & Measurement
    • Sensors
    • Fluid power
  • Learn
    • Ebooks / Tech Tips
    • Engineering Week
    • Future of Design Engineering
    • MC² Motion Control Classrooms
    • Podcasts
    • Videos
    • Webinars
  • LEAP AWARDS
  • Leadership
    • 2022 Voting
    • 2021 Winners
  • Design Guide Library
  • Resources
    • 3D Cad Models
      • PARTsolutions
      • TraceParts
    • Digital Issues
      • Design World
      • EE World
    • Women in Engineering
  • Supplier Listings

Stage 4 Reverse Auction’s $10B Clearing Cost “Well Within Striking Range”

By Diana Goovaerts | January 13, 2017

Share

The FCC’s Stage 4 reverse auction closed as expected after 53 rounds of bidding on Friday afternoon, posting a $10.05 billion clearing cost that analysts said was “well within striking range” for forward auction bidders.

The new price target for 84 MHz of spectrum marks a steep drop from the $40.3 billion bar set in Stage 3, and is significantly less than the more than $19 billion in auction proceeds generated by wireless carriers in that stage.

As previously explained by FCC Incentive Auction Task Force Senior Advisor Charles Meisch, the much lower clearing cost came courtesy of the addition of channels in the UHF band between Stages 3 and 4, which helped reduce the number of station licenses the Commission needed to buy and the price the Commission needed to pay to purchase those stations. The decline was so precipitous in this go-round because a total of four channels were added, double the number of channels added between Stages 1 and 2 where the cost dropped from $86.4 billion to just $54.6 billion.

Credit: FCC

According to Dan Hays, principal at PwC Strategy&, the new figure is well within reach for wireless carriers bidding in the forward auction.

“The dramatic reduction in the targeted net proceeds of the reverse auction shows just how effective the auction mechanics have been in bringing together supply and demand,” Hays observed, “At just over $10 billion we are confident that the auction is well within striking range of the budgets of mobile network operators.”

With such a low clearing cost, Hays noted forward auction bidding could very well close as early as next week. While a fifth stage is still possible, he said, it is now “far from a certainty.”

In a note on the auction dashboard, the FCC said it expects bidding in the Stage 4 forward auction to begin on Wednesday, Jan. 18.


Filed Under: Telecommunications (Spectrum)

 

Related Articles Read More >

HH-Hood-Latch_Image
Southco’s ultra-thin hood latch for limited-space applications
Flying Focus: Controlling Lasers Through Time and Space
AT&T Scoops Up More Spectrum in Mexico at 2.5 GHz Auction
Tuesdays with Roger: New Millimeter Wave Spectrum Auctions

DESIGN GUIDE LIBRARY

“motion

Enews Sign Up

Motion Control Classroom

Design World Digital Edition

cover

Browse the most current issue of Design World and back issues in an easy to use high quality format. Clip, share and download with the leading design engineering magazine today.

EDABoard the Forum for Electronics

Top global problem solving EE forum covering Microcontrollers, DSP, Networking, Analog and Digital Design, RF, Power Electronics, PCB Routing and much more

EDABoard: Forum for electronics

Sponsored Content

  • Renishaw next-generation FORTiS™ enclosed linear encoders offer enhanced metrology and reliability for machine tools
  • WAGO’s smartDESIGNER Online Provides Seamless Progression for Projects
  • Epoxy Certified for UL 1203 Standard
  • The Importance of Industrial Cable Resistance to Chemicals and Oils
  • Optimize, streamline and increase production capacity with pallet-handling conveyor systems
  • Global supply needs drive increased manufacturing footprint development

Design World Podcasts

June 12, 2022
How to avoid over engineering a part
See More >
Engineering Exchange

The Engineering Exchange is a global educational networking community for engineers.

Connect, share, and learn today »

Design World
  • Advertising
  • About us
  • Contact
  • Manage your Design World Subscription
  • Subscribe
  • Design World Digital Network
  • Engineering White Papers
  • LEAP AWARDS

Copyright © 2022 WTWH Media LLC. All Rights Reserved. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media
Privacy Policy | Advertising | About Us

Search Design World

  • Home
  • Technologies
    • 3D CAD
    • Electronics • electrical
    • Fastening & Joining
    • Factory automation
    • Linear Motion
    • Motion Control
    • Test & Measurement
    • Sensors
    • Fluid power
  • Learn
    • Ebooks / Tech Tips
    • Engineering Week
    • Future of Design Engineering
    • MC² Motion Control Classrooms
    • Podcasts
    • Videos
    • Webinars
  • LEAP AWARDS
  • Leadership
    • 2022 Voting
    • 2021 Winners
  • Design Guide Library
  • Resources
    • 3D Cad Models
      • PARTsolutions
      • TraceParts
    • Digital Issues
      • Design World
      • EE World
    • Women in Engineering
  • Supplier Listings