The FCC has made an important announcement today regarding the carrying out of US Spectrum Auction. It has actually been delayed and may not happen anytime before 2016. The experts are blaming a court case that dealt with selling TV frequencies to cellular networks, which would then be used in employing airwaves for making mobile data services faster.
There were hopes that the FCC would kick off the auction in mid 2015 but the television broadcasters were unhappy with Auction rules and hence sued the commission. This is the sole reason for the delay. The FCC has now declared that the auction would definitely not take place before the year 2016 now.
The US Spectrum auction had previously been pushed back too, and that concerned the issue about timetables for the planning of the procedure.
On the issue, Gary Epstein, chair of the FCC’s Incentive Auction Task Force said, “We are confident we will prevail in court, but given the reality of that schedule, the complexity of designing and implementing the auction, and the need for all auction participants to have certainty well in advance of the auction, we now anticipate accepting applications for the auction in the fall of 2015 and starting the auction in early 2016, despite this brief delay, we remain focused on the path to successfully implementing the incentive auction.”
The US Federal Communication Commission is living in the belief that the auction will improve the broadband coverage and speeds in the US to a high extent. According to the plan, the TV stations would auction ‘their rights off’ to carriers and consolidate their broadcasts to the rest of the channels.
Dennis Wharton, a spokesperson for the NAB said in a statement, “As NAB has said repeatedly, it is more important to get the auction done right than right now. We reject suggestions that our narrowly-focused lawsuit is cause for delay. We look forward to a speedy resolution of our legal challenge and a successful auction.”
There are rumors that some of the stations may be benefitted with tens of millions of dollars from the auction. We will now have to wait until 2016 to see the auction in place.