$66.4 billion! US 5G spectrum auction price hits new high

According to foreign media reports, the U.S. Federal Communications Commission (FCC) is auctioning 3.7-4GHz spectrum suitable for 5G network construction. Although the auction has not yet ended, the current auction price has broken the previous wireless spectrum auction record. 

According to foreign media reports, as of December 23rd local time, the auction price for the 3.7-4GHz spectrum in the United States has reached US$66.4 billion, exceeding the US$44.9 billion auction price for the mid-segment spectrum used for 4G networks in 2015.

Foreign media reported that the price broke the record after only three weeks of auction, indicating how fiercely the relevant companies were bidding for this part of the spectrum resources. Since the auction is still ongoing, the auction price of this section of wireless spectrum in the United States is expected to be even higher.

Since the auction has not yet ended, the bidding status of the spectrum is still confidential, but foreign media reported that the two major telecom operators, AT&T and Verizon, are considered to be the main bidders, but satellite companies such as Dish Network and cable TV operators such as Comcast and Charter are also believed to be participating in the bidding for this part of the spectrum resources.

However, foreign media reported that in addition to the cost of bidding for spectrum resources, companies that obtain the 3.7-4GHz spectrum will also need to spend at least US$13 billion to change equipment for satellite operators that are already using this part of the spectrum resources.

The auction of 3.7-4GHz spectrum resources in the United States is expected to end in January next year, and the final auction results will be announced a few days after the end.