At end of day on June 16, after R48, FCC Auction 113 (AWS-3) surpassed the $3 billion mark, the Rip and Replace funding threshold. This auction has answered a key question: YES, US operators are willing to invest substantial amounts in an FCC auction for 5+5 blocks of AWS-3 spectrum, even as the industry transitions from 5G to 6G. While we can’t be sure who is still in the bidding, it helps that all MNOs have deployed AWS3 across the country.
As highlighted below for the top 5 licenses for sale, many markets are seeing prices well above $3 per MHz-pop with top 5 licenses now having supply equal to demand: Chicago licences at $4 and New York at $3.3 (vs $3.7 in 2015). Eligibility points in play have dropped significantly during the day, and 32 licenses are now with demand equal to supply of 1, including 16 of the top 20. Licenses with 1 demand account for 78% of the proceeds.
LYA supports its clients in development of broadband and spectrum strategy, in valuing spectrum, licenses and fiber assets, in providing support and advanced software tools for spectrum auctions, in obtaining broadband subsidy funding and through providing expert testimony and related support in regulatory processes and litigation. Please contact us and we will be pleased to set up discussion of how we can add value.
