Margaret Wiener

On September 13 at 10:00 AM ET bidding resumes in the Incentive Auction with the opening of Stage 2. We wanted to take a moment to preview what happens next and describe how this stage will be different from Stage 1. For Stage 2, the Auction System set the clearing target at 114 megahertz, the next-highest target that meets the Commission’s standards for setting a clearing target in a stage (explained in the Bidding Procedures Public Notice). Compared to the 126 megahertz clearing target, the 114 megahertz clearing target generally clears nine blocks of spectrum in each partial economic area (PEA) instead of 10 blocks and adds two additional channels to the TV band. Adding more channels to the TV band allows more stations to be repacked in their pre-auction band. Thus, some stations that were provisionally winning after Stage 1 will become “unfrozen” in Stage 2 and will be presented decreasing price offers during the bidding rounds. This process will result in lowering the overall costs of clearing spectrum for wireless use.

The Federal Communications Commission denied a request by the Rural Wireless Association and NTCA: The Rural Broadband Association to suspend or slow the incentive spectrum auction in September while the organizations attend a pair of conferences.

"Suspending or reducing the bidding schedule for six full days could undermine our goal of promoting an efficient and successful auction process," said Margaret Wiener, chief of the auctions and spectrum access division of the Wireless Telecommunications Bureau, adding there needs to be a compelling reason to do so.