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 ...

07/10/2026

Dalet Flex LTS Delivers Smarter Media Operations from Ingest to Distribution

Dalet, a leading technology and service provider for media-rich organizations, today announced the latest Long-Term Supported (LTS) release of Dalet Flex. Build...

07/09/2026

Get to Know This Fall and Winter's Filmmakers Through These 24 Sundance Institute-Supported Films

By Ramona Flume and Lucy Spicer There's a particular kind of magic that hap...

07/09/2026

HeadRush launch the FRFR Cab Series

Two new full-range, flat-response cabinets introduced HeadRush have recently introduced a pair of new full-range, flat-response cabinets designed for player...

07/09/2026

GameSoundCon 2026

Answering questions about AI in game audio GameSoundCon, the largest professional conference for video game music and sound design, have announced that they...

07/09/2026

DPA to launch the 6388 Core+

New directional headset mic on show at IBC Just ahead of this week's IBC show, DPA have announced the launch of a new directional headset that's bee...

07/09/2026

Accurate.Video rallies Iyuno to rework 35,000 media assets ahead of schedule

We are not building systems to replace human decision-making; we are building systems that execute our decisions at machine speed. The media companies that win ...

07/09/2026

Blackmagic Design Announces New Lower Price for Blackmagic PYXIS 6K and Blackmagic Cinema Camera 6K

Blackmagic Design Announces New Lower Price for Blackmagic PYXIS 6K and Blackmag...

07/09/2026

GB Labs to Unveil Core.ONE at IBC2026, an Intelligent Storage Platform for Media Teams

GB Labs to Unveil Core.ONE at IBC2026, an Intelligent Storage Platform for Media...

07/09/2026

Freddie Meredith joins cast of SNL UK ahead of start of Season 2

Monday 7 September 2026 Freddie Meredith joins cast of SNL UK ahead of start of Season 2 Freddie Meredith Images ZIP (3MB) Saturday Night Live UK announces ...

07/09/2026

Sky and NFTS team up to launch new routes into screen careers

Monday 7 September 2026 Sky and NFTS team up to launch new routes into screen careers Sky has today announced a new apprenticeship programme, with application...

07/09/2026

Sky Sports announces most comprehensive NFL coverage to date for the 2026/27 season

Monday 7 September 2026 Sky Sports announces most comprehensive NFL coverage to...

07/09/2026

Jnger Audio Showcases Industry-First S-ADM Cloud Workflow at IBC 2026

Dolby, MainConcept, Techex and J nger Audio will showcase the industry's first demonstration of Serial Audio Definition Model (S-ADM) in a cloud-based produ...

07/09/2026

dB Broadcast to Showcase APIS Hive at IBC 2026

dB Broadcast will showcase APIS Hive, its software platform for designing, deploying and managing modern broadcast infrastructures, at IBC 2026. Developed from...

07/09/2026

A KNOCKOUT 1.6 MILLION VIEWERS WATCHED KATIE TAYLOR'S FINAL BOUT FREE -TO -AIR ON RT2

552,000 streams on RT Player The historic fight, which saw Katie Taylor become...

06/09/2026

BS-203 MacroAcidizer from Born Second

Recreates Rolands TB-303 & MC-202 BS-203 MacroAcidizer is the first virtual instrument from Born Second, and it offers a recreation of two Roland classics -...

06/09/2026

PlayBox Technology Opens Design Partner Programme for New...

London, UK September 2026 PlayBox Technology is inviting broadcasters, OTT and FAST operators, content owners and media organisations worldwide to become De...

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...

05/09/2026

HEDD Audio update CTRL software

MK2 & Bass system control app improved HEDD Audio have just launched a new and improved version of the control software that pairs with their MK2 and Bass m...

05/09/2026

CALL FOR ENTRIES IS NOW OPEN FOR THE 20TH ANNUAL SOUTH AFRICAN FILM & TELEVISION AWARDS (SAFTAs20) EXTENDED

The National Film and Video Foundation (NFVF), an agency of the Department of Sp...

05/09/2026

Orlando Magic, Gray Media Ink Ful-Season Broadcast Deal

Share Copy link Facebook X Linkedin Bluesky Email...

05/09/2026

YouTube TV Adds ESPN Unlimited

Share Copy link Facebook X Linkedin Bluesky Email...

05/09/2026

InSync Brings Conversion Workflow Flexibility to IBC 2026

InSync Technology, the leading provider of premium video conversion solutions, will showcase a new generation of products at IBC 2026, designed to help broadcas...

05/09/2026

GlobalM supports quattro media and World Rowing with Glob...

GlobalM successfully supported quattro media GmbH and World Rowing, the world governing body of the Olympic sport of Rowing, with the international distribution...

05/09/2026

Scripps Research professor Chi-Huey Wong to receive ACS Alfred Bader Award

LA JOLLA, CA-In recognition of his exceptional work to understand the chemistry of carbohydrates and the role they play in health and disease, Scripps Family Ch...

04/09/2026

Business Innovation Synergizer FAQ: What applicants need to know

Media organisations interested in the Media Innovation Europe 3.0 Business Innovation Synergizer (BIS) can now consult a new FAQ document providing additional a...

04/09/2026

IBC 2026: Eluvio Showcases Global Broadcast Fabric Updates

Eluvio will demonstrate updates to its Content Fabric platform at IBC2026 (Hall 8, Stand 8.MS5, and Future Tech Zone, Hall 14, Stand 14.A58, September 11-14). C...

04/09/2026

IBC 2026: LiveU Joins IBC Accelerator Smart Stories Consortium

LiveU has joined the IBC Accelerator's Smart Stories consortium, a multi-vendor initiative developing an open standard for Story Context interoperability in...

04/09/2026

IBC 2026: Telos Alliance to Demonstrate Audio Observability Capabilities

Telos Alliance will demonstrate new audio observability capabilities at IBC2026 (Stand 8.D37, RAI Amsterdam, September 11-14), covering monitoring of audio heal...

04/09/2026

World Team Tennis Announces Broadcast Partnership with Versants USA Sports

World Team Tennis (WTT) has announced a broadcast partnership with USA Sports, the sports division of Versant. USA Sports will air all six of WTT's live mat...

04/09/2026

Gravity Media Appoints Alex Pannell as Chief Business Officer

Gravity Media has appointed Alex Pannell as Chief Business Officer. Pannell joins from Appear, where he served as Chief Commercial Officer. He will be based in ...

04/09/2026

IBC 2026: Dalet Expands Dalia AI Platform with Agentic Workflow Capabilities

By Carrie Bowden Staff Writer Dalet has announced new agentic workflow capabilities for Dalia, its AI platform for media organizations, ahead of IBC2026. The ...

04/09/2026

IBC 2026: L-Acoustics Achieves EN 54 Certification Across Loudspeaker and Amplifier Portfolio

L-Acoustics has achieved EN 54 certification across a portfolio of loudspeakers,...

04/09/2026

IBC 2026: EVS and Matrox Video Announce Technology Partnership for Dynamic Media Facility Deployments

EVS and Matrox Video have announced a technology partnership integrating Matrox ...

04/09/2026

IBC 2026: NEP to Showcase Software-Defined Live Production

NEP Group will exhibit at IBC2026 (Hall 7, Stand 7.B55, RAI Amsterdam, September 11-14), demonstrating software-defined production capabilities across NEP Platf...

04/09/2026

FoMaSystems and ARRI Honored with Engineering Emmy for ARRI TRINITY 2

The Television Academy has awarded an Engineering Emmy to Dr. Roman Foltyn, Chief Engineer of FoMaSystems, and Curt O. Schaller for the development of the ARRI ...

04/09/2026

IBC 2026: InSync Technology to Showcase Frame Rate and Standards Conversion

InSync Technology will exhibit at IBC2026 (Stand 2.C30, RAI Amsterdam, September 11-14), demonstrating its FrameFormer and InGear conversion platforms for frame...

04/09/2026

Professional Triathletes Organization Signs Agreement with Sela to Host Events in Saudi Arabia

The Professional Triathletes Organisation (PTO) has signed a multi-year agreemen...

04/09/2026

IBC 2026: Accedo and MediaKind Launch Joint Streaming Solution for Operators

Accedo and MediaKind have announced a white-label, end-to-end streaming solution for operators, combining Accedo's native application framework and cloud-ba...

04/09/2026

IBC 2026: TAG Video Systems Launches TAG Blue Cloud Monitoring Platform

TAG Video Systems has announced TAG Blue, a cloud platform for shared monitoring visibility across video delivery chains, with AI-powered root-cause analysis. T...

04/09/2026

IBC 2026: TwelveLabs Launches Video Compliance Platform with NVIDIA Deepfake Detection

TwelveLabs has launched a video compliance platform for media organizations, inc...

04/09/2026

Television Academy and NATAS Announce 2026 Engineering, Science & Technology Emmy Award Recipients

The Television Academy and the National Academy of Television Arts & Sciences ha...

04/09/2026

KeySolutions Sounds release Traveler

Powerful new soft synth announced Traveler is the first software instrument to be released by KeySolutions Sounds, and it's an ambitious one! Said to co...

04/09/2026

e-instruments launch Velvet Guitars Fragment

Free virtual instrument range expanded The latest expansion of e-instruments' free Fragments series introduces a packed-down version of the company'...

04/09/2026

Accentize Chameleon wins Emmy Award

Company recognised for second time Two years after winning an Engineering, Science & Technology Emmy Award for dxRevive Pro, Accentize have been recognised ...

04/09/2026

AgileTV and Friend MTS Complete CDN Watermarking Integration to Fast-Track Anti-Piracy Protection for Operators

Bilbao - 3rd September 2026 -AgileTV, a leading provider of end-to-end TV and vi...

04/09/2026

Net Insight to Launch Nimbra 1020G at 2026 IBC Show

Share Copy link Facebook X Linkedin Bluesky Email...

04/09/2026

Disney, Optimum Renew Carriage Deal

Share Copy link Facebook X Linkedin Bluesky Email...

04/09/2026

ACEMAGIC First to Introduce Ryzen AI Max+ PRO 495 AI Mini Workstation at IFA 2026

ACEMAGIC First to Introduce Ryzen AI Max PRO 495 AI Mini Workstation at IFA 202...

04/09/2026

Krotos Brings Video to Sound Footsteps Directly into Premiere Pro and DaVinci Resolve

Krotos Brings Video to Sound Footsteps Directly into Premiere Pro and DaVinci Re...