The US Federal Communications Commission approved a draft plan to auction off more mobile spectrum, using its incentive auction model. The auctions will allow broadcasters to share in part of the proceeds in exchange for surrendering some of their radio frequencies for mobile broadband. Part of the auction proceeds will also go into a trust for building the national first responder network. Under the legislation passed earlier this year by Congress, the incentive auction should have three stages: (1) a "reverse auction" in which broadcast TV licensees submit bids to voluntarily relinquish spectrum usage rights in exchange for payments; (2) a "repacking" of the broadcast bands in order to free up a portion of the UHF band for other uses; and (3) a "forward auction" of initial licences for flexible use of the newly available spectrum. The FCC is now consulting on the details of the three stages, including the auction format, maintaining broadcast coverage after the spectrum refarming, guard bands for the spectrum and releasing more unlicensed spectrum. Following feedback from market participants, the aim is to hold the auctions in 2014.
