FCC Establishes Enhanced Competition Incentive Program

The Federal Communications Commission voted to create a new Enhanced Competition Incentive Program (ECIP) to establish incentives for wireless licensees to make underutilized spectrum available to small carriers, Tribal Nations, and entities serving rural areas. The new program encourages licensees to partition, disaggregate, or lease spectrum to better match available spectrum resources with entities that seek to provide needed services to under-connected communities. The FCC's action builds upon Congressional goals in the MOBILE NOW Act to incentivize beneficial transactions in the public interest. Under this new program, small carriers and Tribal Nations can qualify, as can rural-focused entities. Transactions through the new program must offer at least half of the licensed spectrum from a given Wireless Radio Service license to an unaffiliated eligible entity for long-term use within specific geographic parameters. Under the program, any covered geographic licensee may offer spectrum to an unaffiliated eligible entity through a partition and/or disaggregation, and any covered geographic licensee eligible to lease in an included service may offer spectrum to an unaffiliated eligible entity through a long-term leasing arrangement.