CBRS Alliance President, Lawyers Eye COVID-19 Impacts on Auction
CBRS Alliance President David Wright and telecom lawyers said Thursday they are hopeful the COVID-19 pandemic won't further affect the citizens broadband radio service auction. The FCC last month delayed it to July 23 (see 2003250052). Commissioners Mike O’Rielly and Jessica Rosenworcel had noted concerns about further pandemic-related effects on the CBRS sale and other spectrum auctions (see 2003310049).
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COVID-19 has obviously already had some impact on the auction, but there’s some hope the sale will help increase connectivity to people affected by pandemic-caused upheaval, Wright said during Thursday's FCBA CLE webinar. There’s evidence that CBRS spectrum is becoming “a really good solution” particularly for hospitals and schools that have needed to set up temporary networks: Success can be measured based not just on the amount of money raised but also by the degree of “broad industry participation.”
Mintz’s Angela Kung said the FCC is largely “continuing to operate” as normal. Stakeholders should expect the commission to continue to “move quickly” because staffers are “doing a great job at working remotely.” The auction will be successful both if there's broad participation and if the sale raises “enough funds to keep the incumbents happy.”
Lerman Senter’s Steve Coran is concerned that “economic unrest and uncertainty caused by this pandemic” could chill the markets and make investors more “reluctant” to support large bids in the CBRS auction. He noted there’s no evidence “that’s the case.” There will likely be “more stability” long term, he said. Coran hoped the sale will help break down “a lot of barriers around spectrum sharing generally” and set the stage “for more efficient sharing.”
Davis Wright’s K.C. Halm wants the auction to “proceed as scheduled" now: There’s a “great need for spectrum” as more people use their devices for telework, telehealth and distance learning. Halm believes the secondary market for CBRS spectrum will be “robust” after the auction because there’s no incentive for an entity to acquire spectrum there and retain it if it's not able to use it.