FCC Votes to Move Forward on 3.45-3.55GHz Spectrum Auction

The Federal Communications Commission (FCC) said today that it will make mid-band spectrum in the 3.45-3.55 GHz band available for auction to facilitate 5G deployment across the U.S. The FCC consulted last year on allowing flexible use of the 3.45-3.55 GHz band. The latest action means the FCC is on track for a 5G mid-band auction this year.   Bidding in FCC Auction 110 is expected to begin in early October 2021.

Auction 110 will offer up to 100 megahertz of spectrum divided into ten 10-megahertz blocks licensed by geographic areas known as Partial Economic Areas (PEAs), for a total of 4,060 flexible-use licenses across the contiguous United States. The proposed auction procedures would include a clock phase for bidding on generic blocks in each geographic area followed by an assignment phase for bidding on frequency-specific license assignments. The Public Notice proposes bidding credit caps and specific upfront payment and minimum opening bid amounts. Flexible-use licenses made available through this auction are subject to cooperative sharing requirements to protect federal incumbents, so the Public Notice proposes a reserve price of over $14.7 billion in order to meet the requirement that auction proceeds cover the expected sharing and relocation costs for federal users in the band.

Today’s Public Notice works in concert with new rules for the 3.45 GHz band that were also adopted today, establishing a framework for coordination of non-federal and federal use and establishing a band plan. In legislation passed last year, Congress required the Commission to commence a system of competitive bidding for licenses in the 3.45 GHz band by the end of 2021. Today’s actions position the Commission to fulfill that mandate.

Last year’s Consolidated Appropriations Act required the commission to start an auction for licenses in the 3.45-3.55 GHz band by the end of 2021. The rules now adopted will reallocate 100 MHz of spectrum in the 3.45 GHz band for flexible use wireless services.

The FCC also established a framework for the 3.45 GHz band which will enable commercial use by different cellular network providers, while also ensuring that federal incumbents are protected from interference. Together, the 3.45 GHz band and the neighboring 3.5 GHz and 3.7 GHz bands represent 530 MHz of contiguous mid-band spectrum for 5G.

The FCC is now inviting comments on procedures for the auction of 100 MHZ of mid-band spectrum in the 3.45–3.55 GHz.  Bidding in Auction 110 is expected to start in early October.

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