
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
11/12/2025
Dalet, a leading provider of cloud-native, end-to-end media workflow solutions, ...
16/11/2025
L3Harris to deliver advanced electronic warfare systems quickly for worldwide F-16 programs...
16/11/2025
Upgrading your Apogee Symphony MKII from TB2 to TB3: Need to Knows Upgrading your Apogee interface to Thunderbolt 3 isn't difficult - but it's not a cas...
16/11/2025
Apogee Electronics Acquired by Dirk Ulrich's Rockforce Tech Holding, Parent ...
15/11/2025
BURBANK, Calif. The Walt Disney Company and YouTube TV have reached a new multi-year distribution agreement, ending a carriage dispute that had blacked out ABC,...
15/11/2025
PLYMOUTH, Wis. A group of about 20 TV technology vendors supporting NextGen TV are wrapping up their ATSC 3.0 Interop here at Heartland Video Systems headquarte...
15/11/2025
NEW YORK NBCUniversal has announced that it will be launching NBC Sports Network (NBCSN), a 24/7 linear network featuring a wide range of marquee sporting event...
15/11/2025
WASHINGTON The Federal Communications Commission has released an updated agenda for its Open Meeting on Thursday, November 20, 2025, which is scheduled to comme...
15/11/2025
JERSEY CITY, N.J. OpenVault has released new data showing that DOCSIS 3.1 and higher services are driving significant across-the-board increases in speed and co...
15/11/2025
ATLANTA Gray Media has concluded an agreement with the Ohio Valley Conference ( OVC ) to broadcast OVC college basketball games across 20 Gray markets in five s...
15/11/2025
NEW BERN, N.C. Wheatstone has named company veteran Darrin Paley vice president of business accounts, effective immediately....
15/11/2025
Back to All News
Netflix Serves Up the Trailer for Dining with the Kapoors'...
14/11/2025
Op-Ed: The Automation Imperative - Why AI Is the Only Scalable Defense Against L...
14/11/2025
FutureSPORT 2025: Caretta Research on why streaming won't save broadcasters By Jo Ruddock
Monday, November 10, 2025 - 14:37
Print This Story
Caretta R...
14/11/2025
Daneysse Daniels, Emmy-Winning Production Manager and Beloved Teammate at TNT Sp...
14/11/2025
The NBA 2K League Returns as an Immersive Entertainment Ecosystem' With Non...
14/11/2025
Inaugural SVG LIVE! Conference Brings 250 Top Sports and Entertainment Producti...
14/11/2025
(L-R) Suzette Quintanilla, Isabel Castro, and Chris P rez attend the 2025 Sundan...
14/11/2025
This week, Casa Spotify lit up Las Vegas with an unforgettable celebration of Latin music and culture ahead of the 26th Annual Latin Grammy Awards. Hosted at th...
14/11/2025
Boston Conservatory Orchestra to Perform at Carnegie Hall for United Nations Gen...
14/11/2025
Berklee Alum Lewis Pickett Wins Record of the Year at Latin Grammy Awards Pickett, a 2009 graduate, was nominated six times across three categories at this ye...
14/11/2025
PLYMOUTH, Wisc. A group of about 20 TV technology vendors supporting NextGen TV are wrapping up their ATSC 3.0 Interop here at Heartland Video Services headquar...
14/11/2025
What if your idle operations centers, inactive cloud time, staff or you as a freelancer could start generating revenue tomorrow?
NECF Corporation today announc...
14/11/2025
Dalet, a leading provider of cloud-native, end-to-end media workflow solutions, today announced that it has been recognized as a Major Player in the IDC MarketS...
14/11/2025
The recent ADAC RAVENOL 24h Race at Germany's legendary N rburgring circuit marked a milestone for live broadcast production, and Clear-Com played a pivota...
14/11/2025
Streaming tech companies M2A Media and Unified Streaming provided key software components that enabled the world's leading sports entertainment platform, DA...
14/11/2025
Lightware, an industry leader in signal management solutions, is strengthening its commitment to sustainability through a series of people-focused ESG (Environm...
14/11/2025
WASHINGTON As the federal government shut down comes to an end, the Federal Communications Commission has further extended some filing deadlines and issued some...
14/11/2025
STAMFORD, Conn. In the run-up to being spun off from Comcast, Versant has announced that USA Sports will be the new brand and division name for the company'...
14/11/2025
Friday 14 November 2025
Documentary short, Children No More, comes to Sky this December
Following its world premiere at DOC NYC yesterday, Sky today announces...
14/11/2025
Friday 14 November 2025
Sky to remain the home of Ryder Cup and DP World Tour through 2029
Sky and the DP World Tour have today announced a four-year partners...
14/11/2025
Rohde & Schwarz redefines border security with comprehensive signals intelligenc...
14/11/2025
Rohde & Schwarz, together with Samsung, first to validate 3GPP NR-NTN conformanc...
14/11/2025
Back to All News
Netflix Unveils the Trailer of City of Shadows
Entertainment
14 November 2025
GlobalSpain
Link copied to clipboard
PREMIERING ON NETFLIX ...
14/11/2025
Today's AI workloads are data-intensive, requiring more scalable and afforda...
14/11/2025
The Late Late Toy Show blasts off!
RT launches The Late Late Toy Show's of...
14/11/2025
Scripps Research study reveals how uterine contractions are regulated by stretch and pressure during childbirth Molecular insights could lead to improved labor ...
13/11/2025
Versant Announces USA Sports as New Brand for Sports PortfolioBy SVG Staff
Thursday, November 13, 2025 - 6:15 am
Print This Story | Subscribe
Story Highli...
13/11/2025
SVG Campus Shot Callers: Mike Szlamowicz, Assistant Athletics Director, Sport an...
13/11/2025
REMI Realities: Finding Success in Switching, Replay, Graphics, Commentary, and ...
13/11/2025
SVG Sit-Down: E1's Laurence Boyd Shares the Tech Challenges of the 2025 Race...
13/11/2025
Versant's USA Sports Inks Five-Year Rights Deal With New Pac-12 ConferencePac-12 Enterprises will produce all USA Network games in partnership with USA Spor...
13/11/2025
NBCU To Launch New NBC Sports Network on Nov. 17By SVG Staff
Thursday, November 13, 2025 - 10:40 am
Print This Story | Subscribe
Story Highlights
NBCUniv...
13/11/2025
2025 Sports Broadcasting Hall of Fame: Glenn Adamo, Artist of StorytellingBy Ken Kerschbaumer, Editorial Director
Thursday, November 13, 2025 - 11:29 am
Pri...
13/11/2025
(L-R) Jessica Hargrave, Tig Notaro, Stef Willen, Ryan White, Megan Falley, and A...
13/11/2025
By Roni Jo Draper
My father was born and raised in the Yurok village of Weitpus, in what is now considered Northern California. There at the fork of the Klamat...
13/11/2025
At Spotify, we're always working to help creators earn, grow, and connect wi...
13/11/2025
This year, Spotify has introduced even more ways for users to take control of their listening experience. Whether you're refreshing your Discover Weekly wit...
13/11/2025
Today, Spotify is beginning to roll out a powerful new feature designed to help listeners jump back into stories they've put down, whether it's after a ...
13/11/2025
NASA and L3Harris conducted a full-duration RS-25 hot fire test Nov. 12 on the Fred Haise Test Stand at Stennis Space Center near Bay St. Louis, Mississippi, ma...