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Spectrum sharing is a better incentive for government...

Spectrum sharing is a better incentive for government spectrum use than market-based user fees, said Freedom Technologies President Janice Obuchowski and Vice President Mary Greczyn, a former Communications Daily editor, in an article in the August issue of IEEE Wireless…

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Communications. When market-based user fees have been used as an incentive in the U.S. and elsewhere, they either have not been widely adopted or have achieved mixed results, the executives said. The U.K.’s Administered Incentive Pricing program began operating in 2005, but the nation is only now set to hold an auction of spectrum belonging to its Ministry of Defence, Obuchowski and Greczyn said. Governments can get the hoped-for results of the fees, including federal agencies reducing their spectrum footprint and increasing accountability for spectrum, through more spectrally efficient technology, commercial substitutes or improved sharing techniques, the Freedom Technologies executives said. Government spectrum users are also going to mainly respond to non-market-based factors for reducing their spectrum footprint, rather than the revenue-based factors that commercial users prioritize, they said. To be effective, user fees have to better address agencies’ opportunity costs, such as how they will meet future spectral needs, Obuchowski and Greczyn said. Spectrum sharing provides a “near-term” option that encourages spectral efficiency, efficient technologies and transparency, they said. Sharing also ensures underutilized spectrum is “put to use” and better aligns the incentives public and private users seek, the executives said.