FCC Adopts Rules for Auction of More High-Band Spectrum for 5G

The order modifies plans for the bands from 200 to 100 MHz blocks, to be licensed by partial economic area, “which will facilitate the simultaneous auction of licenses in the three bands,” the FCC said. The agency adopted an incentive auction mechanism that will offer contiguous blocks of spectrum throughout the bands “while preserving spectrum usage rights for existing licensees, and adopts a pre-auction process that allows incumbent licensees to rationalize their holdings,” said a news release.

Chairman Ajit Pai said it's part of an FCC effort to push almost 5 GHz of spectrum into the commercial market in late 2018 and 2019.

Commissioner Jessica Rosenworcel, a sometime critic of the spectrum policy under Pai, praised the order, noting the FCC schedules auctions of three bands at the same time. “That’s a method I have long championed, and I appreciate that my colleagues have recognized this is the right way to go,” she said. The FCC will also allow incumbents in the 39 GHz band to trade in their existing spectrum rights there for new rights in any of the bands offered in this auction, she said: “This promises to generate more interest and provide bidders with more freedom to assess which bands work best for them.”

Commissioner Brendan Carr said 2019 is poised to be the year of 5G. Industry has figured out how to do more with high bands, he said. One provider is using the 28 GHz band to offer service “to families who feel for the first time that they have a choice in home broadband,” Carr said. ”The provider said it could get up to GB speeds delivered over a distance of maybe 1,500 feet or a few city blocks.”

Here and in other bands, “incumbents’ varying spectrum holdings often do not fit neatly into any workable geographic area for providing 5G,” said Commissioner Mike O’Rielly. “Ultimately, this entire item highlights the difficulties and the innovative lengths to which we will go to find clean spectrum.”

Carriers said the FCC made the right moves. “This is the largest amount of contiguous spectrum available to wireless carriers for flexible use,” said Joan Marsh, AT&T executive vice president-regulatory and state external affairs.

Rosenworcel said during a news conference it’s good the FCC is setting aside high-band spectrum for 5G, but too little is being done on mid-band. “We keep on hearing a lot about the quantity of spectrum. Let’s talk about the quality,” she said. “Mid-band spectrum has a terrific combination of propagation and capacity. It is the sweet spot for 5G networks and that’s why, worldwide, countries are auctioning and bringing to market mid-band spectrum.” The U.S. doesn’t have a mid-band auction on the calendar, she said. Rosenworcel said that every time the FCC provides more licensed spectrum, it should address unlicensed.

Pai said after the meeting he’s proud of the work the FCC has done on mid-band, from 3.5 GHz to the C band to 6 GHz. “We’re taking a look at other mid-bands” and the 2.5 GHz band was “teed up in 2018,” he said. “I’m very excited about mid-band offers in terms of ... innovation and ultimately better mobile services.” The comment cycle just closed on the C band (see 1812120010), he said: “We’re still getting feedback of some of the issues that we teed up.”

“I’m very interested in expediting our release of mid-band spectrum,” O’Rielly said. “I fully supported the previous administration making the high band available, but I recognized that mid-band became a priority a couple of years ago and I’ve been pushing to resolve … issues for a while.” O’Rielly hopes for a citizens broadband radio service auction next year. Also important is the 3450-3550 MHz band, being examined by NTIA. “We’re going to need more mid-band spectrum,” he said.