The value of spectrum in the upcoming AWS-3...
The value of spectrum in the upcoming AWS-3 and TV incentive auctions is hard to predict and is based on more factors than growing demands for wireless data, said Citi analysts including Michael Rollins in a research report Sunday. The…
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value of spectrum is also affected by the number of cell sites a carrier deploys and technology, Rollins wrote. “There is an economic trade-off between buying spectrum vs. building more sites,” he said. “In effect, the economic value of spectrum is tethered to the benefit of avoided cell site costs to serve the data traffic growth.” Rollins offered projected revenue for the auctions, predicting that a 10x10 MHz block will bring in $1.97 per MHz-POP; a 5x5 block, $1.20/MHz-POP; 10 MHz uplink spectrum, $0.87/MHz-POP; and 5 MHz uplink spectrum, $0.53/MHz-POP.