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.
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
04/08/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
04/07/2026
April 7 2026, 19:00 (PDT) Detective Conan: Fallen Angel of the Highway Opens in...
01/06/2026
January 6 2026, 05:30 (PST) Dolby Sets the New Standard for Premium Entertainment at CES 2026
Throughout the week, Dolby brings to life the latest innovatio...
19/05/2026
Mago Studio Moves AI Video Beyond Prompts with New Production-Focused Tools
Brie Clayton May 18, 2026
0 Comments
New Capabilities Bring Controllable, ...
19/05/2026
It May be Time to Stop and Take an AI Breather
Brie Clayton May 19, 2026
0 Comments
If the rock you stay on starts to roll, jump clean. Or you'll...
18/05/2026
Despite a bumpy start to the year, the provider of event-production support and ...
18/05/2026
Daktronics has partnered with the University of North Carolina to manufacture and install 11 LED displays totaling more than 10,000 square feet and more than 14...
18/05/2026
CBS LA has announced a multi-year partnership with the Los Angeles Rams, covering exclusive local broadcasts of Rams preseason games, weekly year-round programm...
18/05/2026
Skyline Communications has announced an integration between its DataMiner xOps p...
18/05/2026
eCLUTCH, the hybrid esports platform powered by iKOMG, has announced an expansion of its distribution across Europe, MENA, Africa, and Asia, along with new cont...
18/05/2026
Behind The Mic provides a roundup of recent news regarding on-air talent, includ...
18/05/2026
With 22 games this season, the production team looks forward to tweaking and enhancing the coverage
After 8,660 days off the air, the WNBA returned to NBC yest...
18/05/2026
(L-R) Midori Francis and Natalie Erika James attend the Saccharine premiere during the 2026 Sundance Film Festival at The Ray Theatre on January 22, 2026, in ...
18/05/2026
Last night, the Spotify Podcast Awards in Mexico returned to the country's capital. Now in its second year, the evening honors creators whose voices are hel...
18/05/2026
ZEN-Core synth goes mobile
Roland's powerful ZEN-Core software synthesizer has just been introduced to the iPad, offering a convenient entry point into ...
18/05/2026
Versatile new limiter plug-in announced
Based in Sheffield, UK, fedDSP offer a range of plug-ins that span the music production, live sound and high-end med...
18/05/2026
A new use for convolution?
Viiri Audio's debut plug-in aims to do something a little different with convolution processing, allowing users to adjust all...
18/05/2026
Delta Goodrem shines for SBS as more than 3.27 million Australians tune in for E...
18/05/2026
The Australian Defence Force uses L3Harris T4 and T7 robots for explosive ordnan...
18/05/2026
Continued investment across Europe and Germany is expanding local teams and improving access to stock, regional expertise, and specialist broadcast support.
CV...
18/05/2026
Agentic AI inference at one-tenth the cost per token with NVIDIA Vera Rubin NVL7...
18/05/2026
18 May 2026
Dubai and New York, May 18, 2026 - VEON Ltd. (NASDAQ: VEON), a glob...
18/05/2026
Monday 18 May 2026
Sky News offers ad-free podcasts and bonus episodes for just...
18/05/2026
Comscore March 2026 Consumer AI Chatbot Usage Rankings Show Claude Gaining Share OpenAI's ChatGPT maintains lead while Anthropic's Claude continues to c...
17/05/2026
Delta Goodrem's Eurovision Eclipse marks end of a stellar run
17 May, 2026
Media releases
Bulgaria wins Eurovision 2026
Relive every spellbinding mome...
17/05/2026
Back to All News
Oasis Premieres on Netflix June 19
Entertainment
17 May 2026
GlobalSpain
Link copied to clipboard
Summer, sunshine, the beach, parties. T...
16/05/2026
Helps to deliver a clean, balanced midrange
Developed alongside Newfangled Audio, the latest plug-in in Eventide's software collection has been designed...
16/05/2026
Brings onboard stem rendering to RANE System One
Engine DJ have just released Engine DJ 5.0, a free update for their Engine DJ OS embedded hardware and Engi...
16/05/2026
Boris FX Continuum Pairs AI Precision and Advanced Creative Controls
Jessie Electa Petrov May 16, 2026
0 Comments
The 2026.5 release adds automatic de...
16/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
16/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
16/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
16/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
15/05/2026
Seattle Sounders FC and Seattle Reign FC, in partnership with RAVE Foundation an...
15/05/2026
Dan Brumm has served as sound designer on Bluey, the Australian children's t...
15/05/2026
The Professional Audio Manufacturers Alliance (PAMA) and Shure Incorporated are accepting applications for the 6th annual Mark Brunner Professional Audio Schola...
15/05/2026
Netflix has announced an expanded NFL schedule for 2026 and beyond under a four-year partnership extension with the NFL through the 2029-30 season. Each season,...
15/05/2026
Ateme is supporting TVRI (Televisi Republik Indonesia) with a contribution and d...
15/05/2026
Concacaf has announced the launch of a new website and mobile app built on Deltatre's FORGE platform. Concacaf.com and the mobile app, available on iOS and ...
15/05/2026
Eutelsat has announced the launch of QBC Business Economic Channel by Qatar Media Corporation, broadcasting in 4K/UHD via Eutelsat's 7/8 West video neighbo...
15/05/2026
Major League Soccer has announced four original content series timed to the 2026...
15/05/2026
The Alliance for IP Media Solutions (AIMS) has announced it will exhibit and present at InfoComm 2026, taking place June 13-19 at the Las Vegas Convention Cente...
15/05/2026
InfoComm 2026 will take place June 13-19 (exhibits June 17-19) at the Las Vegas Convention Center. The show will include sessions and exhibits covering broadcas...
15/05/2026
Tracy McGrady's Ones Basketball League (OBL) and FuboTV Inc. have announced ...
15/05/2026
Disguise has partnered with Creative Technology (CT) to deliver visual playback ...
15/05/2026
Sony Electronics has announced two new products for professional imaging: the Alpha 7R VI full-frame mirrorless camera and the FE 100-400mm F4.5 GM OSS super-te...
15/05/2026
In-venue and creative video staffers at the professional and collegiate level ha...
15/05/2026
Ratings Roundup is a rundown of recent rating news and is derived from press rel...
Artificially Inflating Prices in Auctions Threatens Quality & Affordability of Mobile Services
