
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 ...
09/10/2026
September 10 2026, 06:00 (PDT) Dolby Expands Dolby OptiView Platform with New Capabilities at IBC 2026
New Sports Intelligence helps providers better unders...
07/10/2026
Dalet, a leading technology and service provider for media-rich organizations, today announced the latest Long-Term Supported (LTS) release of Dalet Flex. Build...
06/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
06/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
06/10/2026
Pebble, a leading specialist in automation, content management and integrated channel solutions, is supporting the continued modernisation of playout at Brazili...
06/10/2026
Techex, a specialist in software-defined live video workflows, will demonstrate the how tx darwin platform combines satellite and IP delivery at NAB New York 20...
06/10/2026
NVIDIA DGX Spark 64GB Gives Developers More Ways to Build and Scale Local AI
Allen Bourgoyne October 5, 2026
0 Comments
Local AI is becoming more usef...
06/10/2026
Cannes Premiere Documentary The Match Shot with Blackmagic URSA Cine
Brie Clayton October 5, 2026
0 Comments
Portraiture and archival footage bring pl...
06/10/2026
Boston Conservatory Artists Turn Chairs on The Voice Watch Lexi Stephens (BFA 25) and Marcus Ladden Jr. (BFA 30) wow the celebrity coaches during their blind au...
06/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
06/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
06/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
06/10/2026
Andrew Trimble delves into the author's Belfast upbringing
Thursday, 8 Octo...
06/10/2026
Telecom operators are increasingly building their AI strategies on open models - and the reasons go beyond mere cost.
Open models give telcos the ability to t...
05/10/2026
Eutelsat has announced that Airbus Defence and Space has completed the first 32 new OneWeb Low Earth Orbit satellites at its facility in Toulouse, France. The s...
05/10/2026
Racecourse Media Group (RMG) has appointed Andrew Demaria as its first Chief Content Officer, effective October 6.
Demaria joins from a career spanning more th...
05/10/2026
SMPTE will host SMPTE Bootcamp: Precision Timing for ST 2110 on Wednesday, October 21, 2026, from 9:20 a.m. to 4:30 p.m. in Room 3D03 at the Javits Center durin...
05/10/2026
Nexstar Media Group and DAZN have announced a partnership to simulcast 15 regular season Indiana Pacers games on Nexstar television stations and free on DAZN si...
05/10/2026
Behind The Mic provides a roundup of recent news regarding on-air talent, including new deals, departures, and assignments compiled from press releases and repo...
05/10/2026
Telos Alliance has announced that Zephyr Connect SE, a new hardware codec, is now shipping. The unit joins the Telos iPort High Density multi-codec gateway and ...
05/10/2026
Sofascore and the NHL have announced a multiyear global partnership that will bring new NHL statistics and analytics tools to Sofascore's platform beginning...
05/10/2026
The New Orleans Pelicans have announced broadcast coverage for the 2026-27 season. Gray Media and the Gulf Coast Sports and Entertainment Network (GCSEN) will c...
05/10/2026
As sports broadcasters look for new ways to make live action more immersive, ins...
05/10/2026
New multi-pattern LDC revealed
Austrian Audio have announced the upcoming launch of a new multi-pattern large-diaphragm capacitor mic that occupies the midd...
05/10/2026
Software gains Tonex Board rig support
When IK Multimedia launched the Tonex Board, they mentioned that it would soon be followed by a significant update to...
05/10/2026
Offers a modern take on classic chorus effects
fedDSP's latest creation has been designed to offer a modern take on the classic chorus effect, combining...
05/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/10/2026
URSA Cine 12K LF Captures Poste Italian's Anniversary Film
Brie Clayton October 4, 2026
0 Comments
Jacopo Mutti reveals the practical choices behi...
05/10/2026
Green Hippo Estuary Series MC1 and MC2 Media Controllers are Now Shipping
Brie Clayton October 4, 2026
0 Comments
Made for Shows that Don't Have T...
05/10/2026
Telos Alliance Announces Telos Zephyr Connect SE Is Now Available
Search
Cleveland, Ohio (October 5, 2026) - Telos Alliance , trusted global leader in br...
05/10/2026
RT will provide comprehensive coverage and analysis of Budget 2027 across online, radio and television on Tuesday 6 October, with extensive reporting and analy...
05/10/2026
Breast cancer is the most commonly diagnosed cancer among American women - yet the gaps in care are wide. A majority of women over age 40 skip the recommended a...
04/10/2026
Dedicated streaming mic gets an overhaul
Following on from the success of their dedicated streaming microphone, the MV6, Shure have announced the launch of ...
03/10/2026
The broadcaster's capability as an internal production house continues with ...
03/10/2026
Ratings Roundup is a rundown of recent ratings news and is derived from press re...
03/10/2026
Olivia Colman stars in Wicker, which premiered at the 2026 Sundance Film Festi...
03/10/2026
Nielsen is evolving its cross-platform content measurement solutions to give every corner of the media industry studios, distributors, content creators, right...
03/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/10/2026
Bantaray Mobile Sports Production Delivers Niche Sports to Growing Audiences wit...
02/10/2026
Design reflects feedback on graphics introduced for MLB Red Sox and Pirates games
Boston Bruins games on NESN and Pittsburgh Penguins games on SportsNet Pittsb...
02/10/2026
NEP SS7/ST7 anchors Big Ten Saturday Night; nine Peacock games are produced from...
02/10/2026
In-venue and creative video staffers at the professional and collegiate level ha...
02/10/2026
GameTime Productions provided national broadcast production services for the Athletes Unlimited Softball League (AUSL) 2026 season, with coverage distributed ac...
02/10/2026
Audio-Technica has introduced the HP-HBM50x, a genuine replacement headband for the ATH-M50x professional studio monitor headphones. The HP-HBM50x is compatible...
02/10/2026
Advanced Systems Group (ASG) has helped audio professional Steve Schatz design and build Black Lava Studios, a 9.1.6 Dolby Atmos mixing and mastering facility i...