Logan Kolas: Congress Can Help the Economy and National Security with Spectrum Action

For the better part of two years, American consumers and businesses have been deprived of the economic and geopolitical benefits of spectrum auctions, where the Federal Communication Commission sells licenses and permits for electromagnetic spectrum to commercial providers to use for their networks.

Instead, congressional gridlock on the matter has led many politicians to kick the can down the road—setting American consumers on a collision course with a critical shortage of licensed mid-band spectrum by 2027 while setting the United States back in the race for technological preeminence. Congressional inaction on the supply and demand mismatch threatens to disrupt American innovation within the vibrant technology sector and American leadership abroad as it fights a technological cold war with China.

Fortunately, in a committee hearing last month, Rep. Rick Allen , R-Georgia, announced his intention to introduce the Spectrum Pipeline Act of 2025, House companion legislation to a Senate bill of the same name introduced last year by Ted Cruz, R-Texas. The legislation serves two core purposes: 1) restoring the FCC’s spectrum auction authority; and 2) establishing a pipeline of mid-band spectrum for both licensed and unlicensed uses.

Wi-fi, Bluetooth, smartphone communications, broadcasting, GPS tracking services, internet connectivity, and even military security systems like radar, all rely on reliable spectrum access to support their capabilities. Very little can be done in the modern digital era without it.

To get spectrum into the hands of consumers, where it will be used best, the FCC has historically allowed providers to bid on exclusive access to these specific radio frequencies. That was until Congress allowed the FCC’s licensing authority to lapse in the Spring of 2023. Since 1993, the FCC has held more than 100 auctions, which have generated more than $233 billion in revenue. This revenue is money the government can use to pay down debt or fund additional programs—a remarkable improvement over the inefficient and cherry-picked “hearings and lotteries” system that preceded the modern auction system.

Now, as consumer demands for spectrum rise, the United States faces a looming critical shortage of highly coveted licensed mid-band spectrum, which is recognized for its unique blend of frequency characteristics that enhance speed and geographic coverage and make it suitable for 5G networks. Rep. Allen’s Spectrum Pipeline Act would restore the FCC’s vital auctioning power and make available a large, consistent, and reliable supply of mid-band spectrum needed for network capabilities.

This includes 2,500 megahertz of mid-band spectrum that the National Telecommunications and Information Administration must identify for shared or commercial use, 1,125 MHz of spectrum it must identify for licensed or unlicensed use, 1,250 MHz of spectrum the FCC must auction for licensed use and a further 125 MHz the same agency must allocate for unlicensed use.

The reality is that winning the race for 5G and future 6G technologies—and then staying ahead of the pack on all manner of technological progress—confers all sorts of commercial, geopolitical, and military advantages: global technological leadership, standard setting power, first movers advantages, and increased economies of scale, to name only a few.

While the United States struggles to get its house in order at home, China has been dominating the global race for 5G innovation and adoption. China is winning on deployment, infrastructure, and market penetration. Chinese companies, notably Huawei, own more than 40 percent of all 5G patents while firms in the United States, South Korea, and the European Union each register only 15 to 20 percent. And with the majority of global base stations made in China—more than 4 million—the United States cannot afford to continue this tact as the race for mid-band-reliant 6G technologies kicks off.

The ramifications of not reaching a Congressional agreement on spectrum policy are substantial, but the self-inflicted wounds are more than economic: they are also a matter of U.S. national security. The Spectrum Pipeline Act would deliver decisive economic benefits to American innovators, businesses, and consumers. The bill would also help the United States compete technologically abroad. Congress must reach an agreement and act.

Logan Kolas is the Director of Technology Policy at the American Consumer Institute, a nonprofit education and research organization. For more information about the Institute, visit TheAmericanConsumer.Org or follow them on X @ConsumerPal. This Expert Opinion is exclusive to Broadband Breakfast.

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