The FCC has confirmed the auction rules for the 24 and 28 GHz spectrum bands, scheduled to go on sale in November. In addition, the US regulator started work on preparing the upper 37 GHz, 39 GHz and 47 GHz bands for auction later for 5G services.
The auction of the 27.5-28.35 GHz range will start on 14 November and when concluded, the 24.25-24.45 and 24.75-25.25 GHz bands will be put up for auction. Applications for both auctions will run at the same time.These two auctions will use different bidding formats to accommodate differences in the characteristics of the licenses in the two bands. The 28 GHz band will employ the standard simultaneous multiple round auction format and be offered in two 425 MHz blocks by county. The other band will employ a clock auction format, beginning with a clock phase that will allow bidding on generic blocks in each Partial Economic Area in successive bidding rounds. There will then be an assignment phase to allow winners of the generic blocks to bid for frequency-specific license assignments. The 24 GHz licenses will be offered in seven 100 MHz blocks.
The FCC is also preparing higher spectrum for 5G, the mmWave bands. The regulator proposes to transition existing spectrum holdings in the 39 GHz band (38.6-40 GHz) to a new flexible-use band plan, in order to promote more efficient use of this spectrum by incumbents as well as new licensees for wireless services. Related service rule changes will apply to the upper 37 GHz (37.6-38.6 GHz) and 47 GHz (47.2-48.2) bands, such as modifying these from 200 to 100 MHz channels.
The FCC wants to use an incentive auction to clear the bands for mobile user. This would have two phases: a clock phase, in which bidders bid on generic license blocks; and an assignment phase, in which clock phase winners can bid on specific frequencies. Incentive payments would be offered to incumbents who choose to relinquish their spectrum usage rights to make new licenses available. Incumbents could also take advantage of a pre-auction voucher exchange that would allow them to consolidate and rationalize their holdings before the auction. Any incumbent licensees that choose not to participate in the incentive auction would see their holdings subject to repacking after the auction.
