
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 ...
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...
06/09/2026
June 9 2026, 23:00 (PDT) Dolby and MagentaTV Bring Fans Closer to the FIFA Worl...
03/09/2026
With the industry increasingly embracing hybrid, software-defined production models, Calrec will preview a series of Argo and ImPulseV software enhancements at ...
03/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/09/2026
Recognizing the ever-increasing demands for media throughput in challenging environments like post-production, two leaders in network technology have worked tog...
03/09/2026
EVS, a leader in live video technology and production infrastructure solutions, and Matrox Video, a leader in software-defined media technology and IP-based vid...
03/09/2026
AJA Debuts OG-FiDO-4 openGear Four-Channel SDI/Fiber Conversion Cards
Brie Clayton September 3, 2026
0 Comments
New product family expands 12G-SDI and...
03/09/2026
Nice Touch launches V2 of its AI edit assistant for professional editors
Brie Clayton September 3, 2026
0 Comments
Built by two editors with twelve ye...
03/09/2026
Accedo, a global provider of video streaming software and services, and MediaKind, a world-leading video technology company and the number one independent provi...
03/09/2026
International research from Big Blue Marble puts a consumer churn number against a technical failure, and sets out what streaming providers must fix before 2030...
03/09/2026
High-performance points of presence power video streaming delivery to large audiences across Latin America with guaranteed quality of experience
Broadpeak , a ...
03/09/2026
Dalet, a leading technology and service provider for media-rich organizations, will unveil the next evolution of Dalia at IBC2026 (7.A43), its media-aware agent...
03/09/2026
CGI (TSX: GIB.A) (NYSE: GIB), one of the world's largest independent IT and business consulting services firms, will showcase CGI OpenMedia Evolve and CGI d...
03/09/2026
LiveU is participating in the IBC Accelerator Incubator 2026: Smart Stories The New Knowledge Architecture for Content Production, an industry-wide initiative...
03/09/2026
Broadcast Solutions, a leading systems integrator and provider of innovative solutions for the broadcast and media industry, has taken another major step in its...
03/09/2026
Quortex today announced that it will showcase how it is accelerating innovation and the transition to IP at IBC 2026. The company will debut its newest intellig...
03/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
03/09/2026
The EZDRM approach to Revenue Security on streaming video can be visualized as a multi-dimensional set of solutions. A growing dimension of that approach is the...
03/09/2026
From field capture to management, control and production, Kiloview will demonstrate one connected Hybrid AV-over-IP workflow including a complete 4RU producti...
03/09/2026
Mediagenix, a global leader in smart content solutions to profitably connect the right content to the right audience, today announced Mediagenix Curation, a new...
03/09/2026
LucidLink, the Emmy-winning cloud-native file streaming platform for instant, secure access to large files, today announced the next step in its vision to make ...
03/09/2026
Fraudulent communications purportedly from Screen Australia 3 September 2026
Screen Australia is aware of scam attempts involving fake emails and promotional m...
03/09/2026
AJA Introduces FS8, Next-Gen 12G-SDI/SMPTE ST 2110 Media Processor
Brie Clayton September 2, 2026
0 Comments
AJA Video Systems unveiled FS8, a video a...
03/09/2026
Shooting Deadheading with Blackmagic URSA Cine 12K LF
Brie Clayton September 2, 2026
0 Comments
Bringing a small story to the big screen with dark com...
03/09/2026
OOONA Launches OOONA Go: Professional Localization Management for Small Companie...
03/09/2026
DURHAM, N.C. - East of Texas Durham has officially opened its doors at American ...
03/09/2026
Comscore Expands Its AI Intelligence to Measure Sponsored Chat Advertising and I...
03/09/2026
First Class Takes is a new six-part series for RT KIDS that captures funny, hon...
03/09/2026
September is here with 26 more games streaming on GeForce NOW this month, led by a slam dunk: NBA 2K27 with the NVIDIA DLSS 5 3D-Guided Neural Rendering feature...
02/09/2026
Professional and collegiate clubs, leading vendors discuss current trends in stadium production
On. Aug. 12, the 2026 SVG Venues & Teams Summit explored the ev...
02/09/2026
SoFi Stadium, YouTube Theater, and Hollywood Park have completed an infrastructure upgrade expanding game presentation and broadcast production capabilities acr...
02/09/2026
Comcast Technology Solutions (CTS) has announced a suite of AI-powered workflow applications for broadcasters, content owners, and operators, built on its Video...
02/09/2026
The North American Broadcasters Association (NABA) and the Association of Professional Wireless Production Technologies (APWPT) have announced a partnership to ...
02/09/2026
Carolina Hurricanes, Anaheim Ducks, Columbus Blue Jackets, Dallas Stars, Minneso...
02/09/2026
New LED provides enhanced quality control, quicker show prep, detailed productio...
02/09/2026
Combines the Phat Drive with high-voltage valve circuit
The latest pedal from Keeley Electronics combines their popular Phat Mode drive pedal with an all-ne...
02/09/2026
Free version of virtual mixing room plug-in introduced
Lewitt's Space Replicator plug-in provides users with a virtual monitoring environment that aims ...
02/09/2026
Two new mixing & mastering plug-ins revealed
AIR Music Tech have just introduced the Stereophonic Bundle, a pair of processing plug-ins designed to provide ...
02/09/2026
Rohde & Schwarz has achieved initial verification of 3GPP Rel. 17 power-saving f...
02/09/2026
Bilbao - 3rd September 2026 -AgileTV, a leading provider of end-to-end TV and vi...
02/09/2026
Why agentic media supply chains need experience design built around visibility, reversibility and human authority
When AI can generate a functional interface ...
02/09/2026
Six-country survey finds 26% of sports fans frequently unable to determine where...
02/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
02/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...