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Phoenix Center Proposes a ‘Transaction Window’ to Facilitate Spectrum Transfers

in Broadband's Impact/Spectrum by

WASHINGTON, October 15, 2018 - The Phoenix Center on Friday released a new report on how the existence of a “transaction window” could help facilitating market-based repurposing of electromagnetic spectrum.

The eight-page report, “Expediting Spectrum Repurposing Through Market Transactions,” presents an economic model for a two-stage process: First, incumbent licensees are would be granted a fixed period of time to sell, acquire, or repurpose their licenses.

This period of time is what the authors, Randolph Beard and George Ford, call the “transaction window.” In the second stage, incumbent licensees are relocated to other portions of the band and compensated for the Federal Communications Commission for doing so.

While spectrum auctions are the favored mechanism of rights assignment, identifying, clearing, and getting spectrum on the auction block takes, on average, a decade or more.

The approach encouraged by Beard and Ford would use the transaction window as a motivation for incumbent spectrum holders to act quickly.

“The Commission is right to pursue market-based solutions for spectrum repurposing,” say Beard and Ford. “Time is of the essence, however, and economic theory and empirical evidence suggests an expiring transaction window will expedite market transactions for spectrum licenses.”

See the Phoenix Center's press release and its report.

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Drew Clark is the Editor and Publisher of and President of the Rural Telecommunications Congress. He is an attorney who works with cities, communities and companies to promote the benefits of internet connectivity. The articles and posts on and affiliated social media, including the BroadbandCensus Twitter feed are not legal advice or legal services, do not constitute the creation of an attorney-client privilege, and represent the views of their respective authors.

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