he first reverse auction of the FCC’s
Broadcast Incentive Auction ended yesterday, with “the Bogey,” i.e., the
clearing price, topping a steep $86.4 billion. The forward auction is
expected to begin next month, giving carriers the opportunity to bid for
the auctioned spectrum. The auction will only conclude if bidders offer
an amount higher than “the Bogey.”
This clearing price is much higher
than anticipated, and analysts are skeptical that it will be topped in
the forward auction. If it is not, the FCC will decrease the amount of
spectrum offered—from 126 MHz to 114 MHz—and will begin the process over
again until bidders top the clearing price. Continue Reading
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