2.5 GHz Auction Starts in the US

The US Federal Communications Commission (FCC) started another spectrum auction. It is covering 8,017 county-based overlay licenses in the 2.5GHz band which analysts predict will primarily be of interest to T-Mobile US.

Auction 108 covers blocks in 49.5MHz, 50.5MHz, and 17.5MHz in each county, with licenses mostly in rural areas. The 2.5GHz auction is using a clock-1 format, which allows only a single frequency-specific license in a category in a county rather than offering multiple generic blocks across a broader geographic area.

Analysts largely view T-Mobile as the likely winner of a large number of the licenses, enabling it to close holes in its current portfolio. AT&T, Verizon, and Dish Network are also among potential bidders. The FCC’s authority to conduct spectrum auctions is set to expire on 30 September, but legislation is in the works to extend it to 21 March 2024 along with making additional spectrum in the 3.1GHz and 3.4GHz range available for 5G.