Sony Pixel Power calrec Sony

Poorly Designed Spectrum Auctions Risk Harming Consumers Warns GSMA

16/05/2019

Artificially Inflating Prices in Auctions Threatens Quality & Affordability of Mobile Services

London: As 5G spectrum auctions pick up pace globally, the GSMA today raised concerns into some auctions' design artificially inflating prices, or inefficiently distributing already scarce spectrum resources, which risk harming consumers.

Auctions can and do fail when poorly designed, said Brett Tarnutzer, Head of Spectrum, GSMA. We're seeing a worrying trend of badly run spectrum awards that could seriously impact the potential of 5G before we get started. It's time for policymakers to work more closely with stakeholders to enable more timely, fair and effective awards.

To help governments and regulators guarantee affordable, high quality mobile connectivity from spectrum awards the GSMA published today an Auction Best Practice' paper. The paper highlights some key concerns from recent 4G and 5G spectrum awards and offers recommendations. This includes addressing a trend towards governments making decisions that artificially inflate spectrum prices, which risk limiting subsequent network investment and thus harming consumers. These bad decisions include artificially restricting the amount of spectrum operators can access, through set-asides or by poorly chosen lot sizes, or by setting high reserve prices.

The paper outlines recommendations including:

The top priority for spectrum auctions should be to support affordable, high quality mobile services - not to maximise revenues;

Auctions should not be the only award process considered, as they are not always suitable;

Assign a sufficiently large amount of spectrum and publish roadmaps to support high quality mobile services. Set-asides for vertical sectors or new entrants may threaten how much operators can access and also risk inflating spectrum prices;

The auction design should not create unnecessary risk and uncertainty for bidders; and

Poorly chosen lot sizes or inflexible packages of spectrum lots risk inefficient outcomes.

According to GSMA Intelligence, the socio-economic impact of 5G will be $2.2 trillion over the next 15 years, with key sectors such as manufacturing, utilities and professional/financial services benefiting the most from the new technology. By 2025, 5G is also forecast to account for around 30 per cent of connections in markets such as China and Europe, and around half of the total in the US.

Timely, fair and effective spectrum awards are key to delivering the full potential of 5G. Early movers include Finland, Italy, Spain, South Korea, United Arab Emirates, and United Kingdom who became amongst the first to award 5G spectrum last year. The number of countries who have assigned vital 5G spectrum is rapidly increasing this year, with Austria, Canada, Denmark, Germany, Hong Kong, Japan, Saudi Arabia, Switzerland and the USA already completing awards. More than 10 countries have announced further plans to assign spectrum in 2019 including France, India, Mexico, Greece and Romania.

This is crucial time in the development of 5G, added Tarnutzer. Spectrum is essential fuel for mobile networks and its ineffective use will only lead to bad consequences for consumers. The most important objective of awarding frequencies should not be about making the most money, but rather about ensuring consumers benefit from the best mobile connectivity.

The GSMA's Auction Best Practice' paper is available in English here, in French here and in Spanish here.

-ENDS-

About the GSMA

The GSMA represents the interests of mobile operators worldwide, uniting more than 750 operators with over 350 companies in the broader mobile ecosystem, including handset and device makers, software companies, equipment providers and internet companies, as well as organisations in adjacent industry sectors. The GSMA also produces the industry-leading MWC events held annually in Barcelona, Los Angeles and Shanghai, as well as the Mobile 360 Series of regional conferences.

For more information, please visit the GSMA corporate website at www.gsma.com. Follow the GSMA on Twitter: @GSMA.

Media Contacts:

For the GSMA

Beau Bass

M +44 (0) 79 6621 6344

beau.bass@webershandwick.com

GSMA Press Office

pressoffice@gsma.com

Like what you read? Share.
LINK: https://www.gsma.com/newsroom/press-release/poorly-designed-spectrum-a...
See more stories from gsma

Most recent headlines

05/01/2027

Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be demoed at CES 2026

Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...

06/09/2026

Dolby and MagentaTV Bring Fans Closer to the FIFA World Cup 2026 in Germany with Dolby Vision and Dolby Atmos

June 9 2026, 23:00 (PDT) Dolby and MagentaTV Bring Fans Closer to the FIFA Worl...

04/08/2026

Dalet Announces Commercial Availability of Dalia, Bringing Media-Aware Agentic AI to Enterprise Productions

Dalet, a leading technology and service provider for media-rich organizations, t...

04/07/2026

Detective Conan: Fallen Angel of the Highway Opens in Dolby Cinemas Across Japan, Presented in Dolby Atmos and Dolby ...

April 7 2026, 19:00 (PDT) Detective Conan: Fallen Angel of the Highway Opens in...

01/07/2026

Riedel, SKAARHOJ Expand Collaboration WithSimplyLive Integration

Share Copy link Facebook X Linkedin Bluesky Email...

01/07/2026

PlayBox Technology Publishes State of Broadcast Infrastru...

PlayBox Technology has published State of Broadcast Infrastructure 2026, an in-depth industry research report examining the technologies, operational challenges...

01/07/2026

Jigsaw24 Appoints Alan Henry as Head of Sales for Media a...

LONDON, UK, 1 JULY Jigsaw24 has appointed Alan Henry as Head of Sales for Media and Entertainment, reinforcing its continued investment in helping broadcaster...

01/07/2026

Content Vault Partner with XMA to Distribute Universal Fi...

Content Vault, the patent-pending secure content distribution platform protecting high-value media from disclosures, theft and unauthorised access, today announ...

01/07/2026

Bitcentral Announces Strategic Evolution to Create Two F...

Bitcentral, Inc. a leading provider of enterprise software and digital media solutions for news, sports and entertainment broadcasters, as well as streaming pla...

01/07/2026

Adder Technology Names Neil Hillier as CEO

Share Copy link Facebook X Linkedin Bluesky Email...

01/07/2026

IBCAP Opens New Anti-Piracy Lab in Denver

Share Copy link Facebook X Linkedin Bluesky Email...

01/07/2026

FCC Plans to Auction 160 MHZ of Mid-Band Spectrum

Share Copy link Facebook X Linkedin Bluesky Email...

01/07/2026

CBS Miami Launches 'Hope 4 Venezuela' Relief Effort

Share Copy link Facebook X Linkedin Bluesky Email...

01/07/2026

Groundbreaking First Nations Screen Business Accelerator launched through national partnership

Groundbreaking First Nations Screen Business Accelerator launched through nation...

01/07/2026

Chyron Launches the All-New Chyron Academy: A Reimagined, Hands-On Learning Experience for Live Broadcast Production

Chyron Launches the All-New Chyron Academy: A Reimagined, Hands-On Learning Expe...

01/07/2026

Amplium Captures Kawasaki Brave Thunders Game with Blackmagic URSA Cine Immersive

Amplium Captures Kawasaki Brave Thunders Game with Blackmagic URSA Cine Immersiv...

01/07/2026

Boris FX Optics Expands Plugin Support to Apple Photos, Capture One, and Affinity Photo

Boris FX Optics Expands Plugin Support to Apple Photos, Capture One, and Affinit...

01/07/2026

FIFA World Cup delivers strong audiences across all RT platforms

9.2 million streams on RT Player between 11 and 28 June Reach of 2.9 million viewers during Group stages of FIFA World Cup on RT 2 23 million video views acr...

30/06/2026

Entries open for Thomson's Young Journalist Award 2026

Could your journalism reach an international stage? Entries are now open for the Thomson Foundation's Young Journalist Award 2026, one of the most prestigi...

30/06/2026

CazTVs 12 ENG Teams Across North America Keep Brazilian Fans on Top of World Cup

As Brazil's only way for fans to see all 104 matches, YouTube channel proves the power of digital...

30/06/2026

UJAM release Retrocraft multi-effects

Brings together saturation & lo-fi effects Following on from the release of their Voxcraft vocal-processing plug-in, UJAM have announced the launch of Retro...

30/06/2026

Zensphere v2 from Rapid Flow

New IR reverb engine, Juno-inspired chorus & more The latest version of Rapid Flow's hardware-emulation synth plug-in expands on its predecessor with a ...

30/06/2026

Shy Audio release Shy 90s Smack

Excels at heavy-handed VCA compression For their latest release, Shy Audio have recreated the crunchy' sound of a rackmount compressor that found its w...

30/06/2026

Apple raise Mac & iPad prices

Component scarcity drives cost increases Shortly after Apple's CEO Tim Cook acknowledged that cost increases would soon be inevitable , the company hav...

30/06/2026

Statement regarding GetUp Save Our SBS' campaign

Statement regarding GetUp Save Our SBS' campaign 30 June, 2026 Media releases The GetUp Save Our SBS' campaign is an independent initiative. SBS ...

30/06/2026

The First Hitachi Cash Recycling Devices in the EU Were Deployed at Bank Pekao S.A.

Hitachi and Bank Pekao S.A. have completed the installation of the first Hitachi...

30/06/2026

Clear-Com Upgrades Communication Systems for Jeopardy! and Wheel of Fortune

eds3_5_jq(document).ready(function($) { $(#eds_sliderM519).chameleonSlider_2_1({ content_source:......

30/06/2026

Telemundo, Peacock See More Record Setting World Cup Audiences

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

FOR-A America Adds Two Execs to U.S. Sales Team

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

A3SA Disputes Weigel Assertions that NextGen TV Threatens EAS

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

MainStreaming Selected by ITV to Support Delivery of ITVX...

MainStreaming, the award-winning and innovative Edge Video Delivery Network, today announced that it has been selected by ITV to support the delivery of ITVX, I...

30/06/2026

Chyron Launches New Chyron Academy

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

Clear-Com Upgrades Communication Systems for Jeopardy and...

When Wheel of Fortune and Jeopardy! needed to upgrade their wireless communications system, they turned to Clear-Com FreeSpeak wireless for their iconic televi...

30/06/2026

Supreme Court Gives Trump Tight Control over Independent Regulators

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

Rocket Lab to Acquire Iridium in $8 Billion Deal

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

Kyocera AVX Releases New Web-Based Antenna Integration Tool

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

YouTube Shorts Get a Makeover

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

Rise Announces 2026 Worldwide Mentoring Cohorts

Share Copy link Facebook X Linkedin Bluesky Email...

30/06/2026

Other World Computing Launches New Atlas Core Line with 256GB CFExpress 4.0 Type B Memory Card

Other World Computing Launches New Atlas Core Line with 256GB CFExpress 4.0 Type...

30/06/2026

DaVinci Resolve Studio Used for Taketoshi Sado's Perfume Cold Sleep -25 years Document-

DaVinci Resolve Studio Used for Taketoshi Sado's Perfume Cold Sleep -25 year...

30/06/2026

NVIDIA BioNeMo Agent Toolkit Brings Accelerated AI to Life Sciences Researchers in Claude Science

Life sciences has entered an era of computational scale, and for more than a dec...

30/06/2026

FOR-A America Expands U.S. Sales Team to Accelerate Growth of Software-Defined Solutions

Fernando Cruz and Jaz Wray Join as Regional Sales Managers; Bringing Extensive S...

30/06/2026

How NVIDIA's Inference Software Stack Powers the Lowest Token Cost

As organizations move from AI pilots to production AI factories, infrastructure decisions have shifted from peak chip specifications to cost per token: how many...

30/06/2026

Into the Omniverse: Three Workflows for Improving Vision AI Agent Accuracy With Synthetic Data and Fine-Tuning

Editor's note: This post is part of Into the Omniverse, a series focused on ...

30/06/2026

June 29, 2026

Scripps Research scientists demonstrate a faster, cheaper route to making critical drugs using common table sugar New method illustrates how to build a tough ch...

29/06/2026

Op-Ed: Why the 2026 World Cup Is Redefining the Economics of Live Sports Production

By Andy Rayner, CTO, Appear The 2026 FIFA World Cup is the largest football tou...

29/06/2026

Study: Esports Plays Major Role in Gen Z Media Habits, Purchasing Behavior

A new multi-country study from ESL FACEIT Group, Hero Esports, and Niko Partners estimates that 400 million Gen Z consumers regularly engage with esports, under...

29/06/2026

ESPN Sets Multiplatform Plans for America 250 Celebration

ESPN will mark America's 250th anniversary with a series of content initiatives across its linear, digital, and streaming platforms, including a special edi...

29/06/2026

OBSBOT Named Official Camera and Webcam Partner of Esports World Cup 2026

The Esports Foundation has named OBSBOT the Official Camera and Webcam Partner for the Esports World Cup 2026, bringing the company's AI-powered imaging tec...

29/06/2026

Insight Productions Launches Insight Storm, 53-Foot Esports Broadcast Truck

Insight Productions has launched Insight Storm, a 53-foot mobile broadcast unit designed specifically for esports production, live entertainment, and digital-fi...