Stage 3 Forward Auction Ends after One Round of Bidding

According to a report in CommLawCenter, the third stage of the forward spectrum auction, which attempted to clear 108 MHz, resulted in a $40.3 billion clearing target for the forward auction, ended after just one round of bidding on December 5. The FCC has announced that it is launching Stage 4 of the auction on Tuesday, December 13. Notably, Stage 1, 2 and 3 of the reverse auction took 28, 30, and 30 days, respectively to complete, which brings up the question of whether the auction can be concluded by the end of 2016.

The published report wrote: “While the forward auction bid totals have dropped in every stage of the auction as the amount of spectrum being sold has dropped ($23.1B in Stage 1, $21.5B in Stage 2, and now $19.7B in Stage 3), the totals have been fairly consistent.” The FCC will, at a minimum, need forward auction payments to cover the reverse auction total, the $1.75B for repacking and the several hundred million in auction expenses incurred.

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