FCC Reaffirms Pro-Competitive Reserve Spectrum in Incentive Auction

Media Contact:

Charlie Meisch, (202) 418-2943

Charles.Meisch@fcc.gov

For Immediate Release

FCC REAFFIRMS DECISION TO RESERVE SPECTRUM

TO PROMOTE COMPETITION IN 2016 INCENTIVE AUCTION

Commission Maintains Spectrum Reserve of Up to 30 Megahertz in 2016 Incentive Auction

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WASHINGTON, August 6, 2015 - The Federal Communications Commission reaffirmed its

decision to establish a market-based spectrum reserve of up to 30 megahertz of spectrum in next

year's incentive auction in order to promote competition in the wireless marketplace. Non-

nationwide providers as well as nationwide providers who currently hold less than one-third of

available high-quality low-band spectrum in a given license area will be eligible to utilize this

first-of-its-kind reserve.

With this vote, the Commission denied a petition for reconsideration asking the Commission to

increase the reserve to at least 40 megahertz for qualified licensees.

In the May 2014 Mobile Spectrum Holdings Report & Order, the Commission voted to reserve up

to 30 megahertz of spectrum within the 600 MHz band to promote competition. Those rules

established a market-based reserve of no more than 30 megahertz of spectrum for non-nationwide

providers as well as nationwide providers that hold less than one-third of available low-band

spectrum in a license area. The Commission also established a spectrum reserve trigger to ensure

that both reserve-eligible and non-reserve-eligible bidders bear a fair share of the cost of the

incentive auction.

Commission policies related to the spectrum reserve are designed to strike a balance among a

number of objectives, including making additional low-band spectrum available to multiple

providers, ensuring that all bidders have an opportunity to acquire a stake in the 600 MHz

ecosystem, and ensuring competitive bidding. The reserve is designed to protect against excessive

concentration in holdings of low-band spectrum, while also promoting competition by bidders for

both reserved and unreserved spectrum.

With yesterday's vote, the Commission also denied a petition asking the FCC to reconsider its

decision in the May 2014 Order not to adopt specific weighting factors that would apply to

different spectrum bands when examining the effects of sales of spectrum between two parties in

a given geographic market.

Action by the Commission August 5, 2015 by Order on Reconsideration (FCC 15-79). Chairman

Wheeler, Commissioners Rosenworcel and O'Rielly; Commissioner Clyburn approving and

dissenting in part; and Commissioner Pai concurring. Chairman Wheeler, Commissioners

Clyburn, Pai and O'Rielly issuing statements.

WT Docket No. 12-269; GN Docket No. 12-268

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Office of Media Relations: (202) 418-0500

TTY: (888) 835-5322

Twitter: @FCC

www.fcc.gov/office-media-relations

This is an unofficial announcement of Commission action. Release of the full text of a Commission order

constitutes official action. See MCI v. FCC, 515 F.2d 385 (D.C. Cir. 1974).

LINK:	http://www.fcc.gov/document/fcc-reaffirms-pro-competitive-reserve-spec...
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