FCC Seeks Advice on Doing Spectrum Licenses Without Auctions

WASHINGTON, March 8, 2024 – The Federal Communications Commission introduced a docket Thursday inviting input on how to release unassigned spectrum licenses from its inventory in light of the ongoing lapse of the commission’s auction authority. 

This development coincides with the one-year mark – on March 9, 2023 – of Congress neglecting to extend the FCC’s auction authority. As a result, the agency's authority lapsed for the first time.

With the continued absence of auction authority, the commission now confronts the challenge of facilitating the deployment of wireless services nationwide without resorting to auctions to resolve conflicting applications.

In response to this challenge, the FCC has outlined three broad approaches in a public notice for making inventory spectrum available for public use in the absence of auction authority. 

These approaches include: (1) utilizing dynamic spectrum sharing techniques, (2) implementing non-exclusive site-based licensing, and (3) leasing spectrum inventory licenses.

Dynamic Spectrum Sharing

This approach involves utilizing dynamic frequency coordinators to manage access to spectrum bands and geographic areas. Similar models have been successfully implemented in bands such as the Citizens Broadband Radio Service and portions of the 6 GigaHertz band. 

The FCC seeks feedback on whether aspects of existing models, such as Spectrum Access Systems and Automated Frequency Coordination Systems, could be adapted for inventory spectrum. 

Additionally, comments are requested on the feasibility of leveraging existing frequency coordination capabilities and the time and resources needed for implementation.

Non-exclusive site-based licensing

The FCC has a history of issuing nonexclusive wireless radio service licenses for specific locations, requiring coordination among licensees to mitigate interference. 

The commission seeks input on whether a non-exclusive site-based licensing approach—with or without a third-party spectrum coordinator—could provide public access to inventory spectrum. 

Under this approach, stakeholders could seek individual authorizations and coordinate technical parameters to promote coexistence. The FCC could issue guidelines to encourage best practices in frequency coordination among licensees.

Commenters are asked to identify scenarios where this licensing approach would be preferable to dynamic spectrum sharing and in which bands it would be most applicable.

Spectrum inventory license leasing

In recent times, the commission has pursued innovative strategies for spectrum leasing to enhance the flexibility and efficiency of spectrum resource access. 

The FCC is now exploring the possibility of positioning Inventory spectrum licenses for potential lease to the public, even before their initial licensing. 

The public notice raises questions regarding the establishment of guidelines governing lessee selection, leasing arrangements, resolution of conflicting applications, and other relevant parameters.

Additional comment is sought on the comparative benefits of this leasing approach versus utilizing dynamic spectrum sharing techniques or site-based licensing, as discussed earlier.

The FCC welcomes feedback on each approach, including combinations thereof, and any other methods that could make inventory spectrum effectively available to the public. Comments are due by April 8, with replies due by April 22, referencing docket 24-72.