Estimate: C-band auction to raise $40bn
July 27, 2020
Mobile data industry management consulting practice The Besen Group has launched a C-Band Spectrum Evaluation Tool for enterprises who are planning to bid at the upcoming FCC C-band auction in December 2020.
The Besen Group estimates that the spectrum auction will raise over $40 billion (€34.1bn) with the average cost of $0.46 per MHz-POP for the continental US and Alaska based on its tool.
The tool contains a spectrum pricing table that breaks down each Partial Economic Area (PEA) into four different population densities. The tool assigns an estimated price per MHz-POP for each PEA based on their population density. Population densities include very dense, urban, suburban and rural. Enterprises will have the option to overwrite the estimated price per MHz-POP based on their own spectrum valuation for each PEA population density.
“Given C-band spectrum has excellent capacity and coverage characteristics for 5G, we estimate that the auction will be the most competitive auction for 5G spectrum,” advised Alex Besen, Founder and CEO of The Besen Group. “We expect mobile network operators, cable operators, enterprises and new entrants to participate in the auction.”