FCC seeks $10B in Spectrum Auction; Trump Team Plans to Restructure FCC Bureaus; Pai new FCC Chairman
FCC Forward Auction:
The Federal Communications Commission (FCC) now has a benchmark price of $10,054,676,822 for the forward portion of its wireless spectrum auction [1].
Note 1: In the reverse auction, TV broadcasters sold spectrum which is to be sold in the forward portion of the FCC auction. More at https://www.fcc.gov/general/learn-everything-about-reverse-auctions-now-learn-%E2%80%93-faqs
………………………………………………………………………………………………………
That’s a huge drop from the previous round. It appears a number wireless operators might be able to meet the lowered benchmark price, especially if the average price in the top markets also meets the second condition for closing the auction successfully. It is a far cry from the $86 billion broadcaster asking price when the auction began, though that was for much more spectrum. One low-power TV advocate called it a “fire sale.”
The $10,054,676,822 is how much the government will have to pay—actually it will be wireless companies if/when the auction finally closes for good—to move broadcasters off 84 MHz of spectrum so it can offer it to forward auction bidders for wireless broadband. That is down from the $43 billion broadcasters wanted for 108 MHz in stage 3.
More info at: http://www.broadcastingcable.com/news/washington/spectrum-auction-tvs-new-exit-price-plummets-10b/162451
………………………………………………………………………………………………………
Trump Team Plots to Revamp FCC:
President-elect Donald Trump’s incoming administration reportedly has signed off on a plan to restructure and streamline the bureaus of the Federal Communications Commission.
“There is an opportunity now, not to be wasted, to make some fundamental changes in the FCC’s structure and the way it operates,” said Randolph May of the Free State Foundation.
To read more: http://www.broadcastingcable.com/news/washington/exclusive-trump-team-embraces-fcc-remake-blueprint/162479
Pai expected to be named FCC interim chairman:
Ajit Pai is expected to be named interim FCC chairman on Friday after Chairman Tom Wheeler’s departure, which is coincident with Donald J Trump’s presidential inauguration. White House spokesman Sean Spicer confirmed a meeting between Pai and President-elect Trump and referred to Mr. Pai as the current FCC chairman.
Pai is predicting a “more sober” regulatory approach after President-elect Donald Trump is sworn in, saying in a recent speech that the FCC will be “guided by evidence, sound economic analysis, and a good dose of humility” under its new leadership.
While undoing some of the actions taken by the FCC during the past eight years is likely to be the initial focus of the Trump administration in the coming months, Pai said when attention is turned to new regulations the bar will be set high. “Proof of market failure should guide the next Commission’s consideration of new regulations,” he told the Free State Foundation. “And the FCC should only adopt a regulation if it determines that its benefits outweigh its costs.”
Having served as a Republican commissioner since 2012, Pai has won near-universal praise from broadcasters for his efforts to revitalize the AM band and a willingness to devote resources to radio-related issues. One Washington insider tells Inside Radio he believes the Commission—with Pai and fellow Republican Michael O’Rielly and Democrat Mignon Clyburn—could prove to be highly productive in the coming months. The first item up for a vote is doing away with a regulation mandating broadcasters to keep hard copies of emails and letters sent to the station in their public inspection file. The FCC is scheduled to vote on the change on Jan. 31.