
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...
17/09/2026
Lions vs. Bills will also be the first regular-season game at new Highmark Stadi...
17/09/2026
Teradek has announced Bolt 7, a wireless video and data system that adds an integrated 900MHz radio to the Bolt's zero-delay video pipeline. The 900MHz chan...
17/09/2026
DAZN has announced three appointments to its executive leadership team, all reporting to CEO Shay Segev effective immediately.
Patrick Delany has been appointe...
17/09/2026
Monumental Sports and Entertainment (MSE) has announced a leadership restructuring. Zach Leonsis has been named President and Vice Chairman, a newly created pos...
17/09/2026
CP Communications has been named Best of Florida for Audio-Visual Services, and its subsidiary Red House Streaming has been named Best Movie and Recording Studi...
17/09/2026
Scripps Sports and ION have announced a broadcast partnership for the Shriners Children's East-West Bowl, the nation's oldest college all-star football ...
17/09/2026
The 17th annual espnW: Women + Sports Summit, presented by Toyota, will take place October 14-16 at the Ojai Valley Inn in Ojai, California, with virtual attend...
17/09/2026
The Professional Audio Manufacturers Alliance (PAMA) and Shure Incorporated have...
17/09/2026
Lithuanian broadcaster LNK Group has completed a migration of playout and media management for its five national television networks - LNK, BTV, TV1, InfoTV, an...
17/09/2026
Net Insight has announced a pan-Asian live media network created with its regional partners, giving broadcasters, production companies, and media service provid...
17/09/2026
After a high school football injury, the Orlando native found a new path in video production, gaining experience on ESPN college football broadcasts, Tampa Bay ...
17/09/2026
Popular DAW gains free pitch-correction tool
Image-Line have teamed up with Antares to kit their popular DAW software out with a built-in pitch-correction p...
17/09/2026
Promises unprecedented realism, dynamic nuance and clarity
Gibson have teamed up with acoustic pickup experts Baggs, creating a next-generation' pickup...
17/09/2026
Two new libraries join percussion line-up
VSL (Vienna Symphonic Library) have just launched two new libraries that bring some intriguing new instruments int...
17/09/2026
Hardware & plug-in versions gain new features
Arturia have just released a free update that brings some significant new features to their MiniFreak synthesi...
17/09/2026
Respected journalist Catalina Fl rez to succeed Anton Enus as SBS World News pre...
17/09/2026
The Department of Sport, Arts and Culture (DSAC), in partnership with the Nation...
17/09/2026
Calrec brings leading audio solutions and long-term business value to IBC 2026 We're looking forward to meeting up with you all on 11-14th September in Amst...
17/09/2026
Streaming Content Ratings (SCR) Data Shifts to Daily Delivery Cadence, Mirroring...
17/09/2026
August brought further stabilization in total TV viewing time. Poles spent an average of 3 hours and 31 minutes a day watching video content on TV glass-just 2 ...
17/09/2026
Post-sports seasonal shift redistributes viewership across Poland, while streami...
17/09/2026
Television Content Analytics Pte Ltd (TVC), a Singapore-based deep-tech company specialising in sports technology, artificial intelligence and live broadcast in...
17/09/2026
Rise WIB, the global advocacy group championing gender diversity and career progression across the media technology industry, today announced the shortlist for ...
17/09/2026
RALEIGH, N.C. - Capitol Broadcasting Company (CBC) and Hurricanes Holdings annou...
17/09/2026
Lithuanian broadcaster deploys Playout X and Framelight X across five networks, combining on-premises software-defined playout with cloud-based disaster recover...
17/09/2026
Introducing Adobe Photoshop Elements & Premiere Elements 2027
Brie Clayton September 17, 2026
0 Comments
New tools make it easier than ever to enhance y...
17/09/2026
LA JOLLA, CA-While the brain orchestrates metabolic processes in the body, it al...
17/09/2026
The Neighbours Effect: Gen Z Brings Back Big Hair, Double Denim and 80s soap sty...
17/09/2026
The bold, new legal drama starring Dominic West and Sienna Miller launches on Sky and NOW on 2nd OctThursday 17 September 2026
Official trailer released for Sk...
17/09/2026
Every week we read headlines about new threats from AI. From taking over jobs to disrupting critical infrastructure, spreading misinformation or even destroying...
17/09/2026
Arqiva selected by SANZAAR to deliver global distribution of 2026 international ...
17/09/2026
CULVER CITY, CALIFORNIA This evening at the 78th Primetime Emmy Awards, Apple TV...
17/09/2026
A new creature-catching adventure is ready to stream from the cloud this week. Pawprint Studio's Aniimo arrives on GeForce NOW at launch, inviting gamers to...
17/09/2026
RT Statement:
RT is today confirming that its position regarding participation in the Eurovision Song Contest remains unchanged. RT will not participate in...
16/09/2026
Grass Valley has been recognized with a 2026 Technology & Engineering Emmy Award...
16/09/2026
Sports-media leaders explore how cloud, AI, and virtualization are transforming ...
16/09/2026
With a full crew on site in Springfield, deep access to players, and a growing d...
16/09/2026
John Wilson attends The History of Concrete premiere during the 2026 Sundance Film Festival at The Yarrow Theatre on January 22, 2026, in Park City, Utah. (Ph...
16/09/2026
Powerful soft synth receives free update
Wavea have just launched a new and improved version of their feature-packed soft synth, kitting it out with over 20...
16/09/2026
Physical-modelling experts launch pipe-based instrument
Modartt are well known for their impressive Pianoteq and Organteq offerings, and now, they've pu...
16/09/2026
Popular DAW gains free pitch-correction tool
Image-Line have teamed up with Antares to kit their popular DAW software out with a built-in pitch-correction p...
16/09/2026
Microwave Factory and Rohde & Schwarz enable automated SAR measurements with CMX...
16/09/2026
Rohde & Schwarz launches new security scanner for large events at Security Expo ...
16/09/2026
The National Film and Video Foundation (NFVF) invites eligible South African pro...
16/09/2026
Grass Valley honored alongside industry leaders for the development of web-based, frame-accurate remote monitoring systems for distributed broadcast production ...
16/09/2026
Blackmagic Design Cameras Capture Harvard Law School Alumni Event
Brie Clayton September 16, 2026
0 Comments
URSA Broadcast G2 and Pocket Cinema Camer...
16/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...