Incentive Auction Rules Will Be Ready This Year, Clyburn Says
LAS VEGAS -- Acting FCC Chairman Mignon Clyburn told the CTIA conference Tuesday that making more spectrum available for licensed use will be one of her top priorities. Clyburn also promised the commission would wrap up rules for the incentive auction of broadcast-TV spectrum this year and said the auction is still on target to take place in 2014. It was her first major speech in her new job, for which she was sworn in Saturday.
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The FCC’s incentive auctions team “is continuing to work on and evaluate all of the input and proposals received during our workshops and webinars and the commission remains on track to issue auction rules this year and conduct an auction in 2014,” Clyburn said. She also stressed the FCC’s commitment to making more spectrum available for unlicensed use. Clyburn pledged to move forward as well on an NPRM on broadband on commercial flights and on USF reform. She declined to take any questions from reporters after the speech, in keeping with a frequent practice of Julius Genachowski, who stepped down as chairman last week.
"Competition is an essential driver of investment and innovation must be preserved,” Clyburn said. “We have taken a light regulatory touch, but have touched when necessary to ensure clear rules of the road and fair play.” Clyburn stopped short of saying the FCC would move forward on an interoperability mandate in the lower 700 band on her watch. But she made reference to the problems small carriers face competing with their bigger rivals. “There are many smaller carriers who serve rural America who … are struggling, however, for a foothold,” she said.
"My goal during this transitional period is simple -- to keep the agency moving in the right direction,” Clyburn said. Consumer focus must remain a priority at the agency. “The percentage of American adults who solely rely on communications of commercial mobile providers for voice service has now reached 34 percent,” she said. “For those whose incomes are below the poverty line that figure is an amazing 52 percent.”
Clyburn said voluntary initiatives on wireless bill shock and stolen cellphones are important. “Today, approximately 97 percent of U.S. wireless customers receive an alert when they are approaching monthly limits for voice, text, data and international roaming services,” she said. “You are also helping with the problem of mobile phone theft, launching an international educational campaign to inform consumers about passwords and pins and how to erase data from smartphones. You've implemented a database to prevent stolen phones from being reactivated.”
CTIA President Steve Largent, in opening remarks at the CTIA keynote session, encouraged the wireless industry to “think big.” Largent said U.S. carriers invested $30 billion in their networks last year, which translates to $94 per subscriber in the U.S. That compares to capital expense investments of just $16 per subscriber worldwide. “That was an all-time high for one year,” he said. “It was almost 25 percent of the total wireless capex in the world. … That commitment is a very impressive way to prepare for tomorrow."
"As good as wireless is today we want even more from it tomorrow,” Largent said. “The great potential and fantastic future puts a premium on spectrum. We're pushing hard for spectrum in Washington. It is the most pivotal [aspect] to the growth of our industry and creating greater consumer value.” Largent noted that it’s still officially Obama administration policy to make 500 MHz of spectrum available over 10 years. “That timetable might be difficult to meet, but doing so can have enormous benefits,” Largent said. “It can lead to creating more than 350,000 new jobs.”