Wireless Spectrum Auctions

Verizon in its Q3 earnings presentation Tuesday expanded its goals for fixed wireless subscribers and broadband offerings. “Our ambitious targets for fixed wireless access, combined with our fiber expansion including the planned Frontier acquisition, will bring unmatched broadband coverage to millions more homes and businesses nationwide,” said CEO Hans Vestburg in a release. Verizon’s total consolidated operating revenue in Q3 was $33.3 billion, “essentially flat compared to third-quarter 2023,” said an earnings release. Verizon said revenue growth was offset by declines in wireless equipment revenue in 2024. Vestburg said the company increased fixed wireless subscribers by nearly 57% as compared with Q3 2023, achieving 4.2 million subs 15 months earlier than expected. The company expects by 2028 to reach 8 million to 9 million fixed wireless subscribers and provide coverage to 90 million households. Verizon President-Global Networks and Technology Joe Russo said Tuesday that the expanded goals were not dependent on broadband, equity, access and deployment BEAD program funding. BEAD availability “won’t rock the boat,” added Vestburg. After its proposed acquisition of Frontier, Verizon will bring in an additional 9 million to 10 million fiber passings, and is aiming at reaching more than 30 million passings by 2028, Russo said. “Frontier’s consumer fiber network can be immediately and seamlessly integrated upon closing directly into Verizon’s award-winning Fios network,” the release said. Vestburg said Tuesday that he doesn’t anticipate M&A beyond the Frontier acquisition, and doesn’t expect big industry shakeups requiring large capital expenditures -- such as spectrum auctions -- anytime soon. “I don’t have visibility on anything like that at the moment."

The Biden administration is moving forward on the national spectrum strategy, in some cases more quickly than is widely recognized, Shiva Goel, NTIA senior spectrum adviser, told the Mobile World Congress in Las Vegas last week. Goel’s comments build on the remarks of NTIA Administrator Alan Davidson at MWC (see 2410090045). “We're hard at work already on lower 3 and 7 and 8 [GHz],” Goel said. “We're bringing lower 37 [GHz] to a close” and “18 GHz is in full swing already, and then there's everything else.” Goel said DOD, which is working with NTIA on the lower 3 GHz study, hasn’t been “secretive” about its “preference for a … solution” based on dynamic spectrum sharing. “We're supporting” DOD “in building a demo of that capability,” but “that doesn't mean we can't also collaborate on other options for the band.” The strategy’s research and development plan is in its final stages, he said. On staffing, “we're getting the agencies together to spot gaps and ways to fill them to make sure we have people in government able to do this work far into the future.” Goel continued: “Our spectrum problems aren't getting any easier.” The relationship between NTIA and the FCC “is as good as I've ever seen it,” said Ira Keltz, the commission’s new acting chief engineer. The No. 1 priority is the proposed spectrum pipeline and the FCC’s Spectrum Steering Team, which he co-chairs, is hard at work, Keltz said. “We've got plenty of staff at the commission completely engaged in all the activities that are going on.” The top priorities are the lower 3 and 7.8 GHz studies, but the FCC is also focused on 37 GHz, he said. “There's still a ways to go” on the strategy, said Will Johnson, Verizon senior vice president-federal regulatory and legal affairs, “but there [are] also things to celebrate.” The wireless industry knows it will need about 1,500 MHz of mid-band spectrum over the next 10 years, and the pipeline “still remains fairly uncertain,” Johnson said: “We know some bands that are being studied. … But in terms of knowing which bands are actually going to make their way all the way through to commercial use, to auction, we're pretty far from having that kind of clarity at this point.” Luciana Camargos, GSMA head of spectrum, called for more leadership from the U.S. During the World Radiocommunication Conference last year, the U.S. message was that it didn’t want international mobile telecommunications in the 6 GHz band, but it failed to offer alternatives, Camargos said. The U.S. “didn't even support the new agenda item” looking at 4, 7 and 15 GHz, she said: “To me, that's very relevant. … If you don't support looking forward, how can you lead on this?” Keltz said the FCC understands wireless industry concerns about a spectrum pipeline. "We need high-powered dedicated spectrum," he said: "I think we need a little of everything. ... We need to make sure that our unlicensed industry has spectrum they can use." CTIA and GSMA co-sponsor MWC.

FCC Commissioners Nathan Simington and Geoffrey Starks warned the Mobile World Congress in Las Vegas that the FCC’s loss of general spectrum auction authority last year is hampering U.S. competitive efforts against major rivals in the 6G race. CTIA President Meredith Baker sounded a similar theme at the beginning of the conference, which CTIA sponsors with GSMA (see 2410080044).

NTIA remains “on track” to deliver on initial commitments under the national spectrum strategy that the Biden administration released in November (see 2311130048), NTIA Administrator Alan Davidson said at the Mobile World Congress in Las Vegas. Davidson also defended the administration’s progress under the $42.5 billion broadband equity, access and deployment (BEAD) program, a recurring target of Republican criticism (see 2409270032).

AT&T on Wednesday called for major changes in how 3 GHz, including the citizens broadband radio service band, is configured, going beyond what the FCC proposed in an August NPRM (see 2408160031). Meanwhile, during a Broadband Breakfast webinar Wednesday, experts said the CBRS band has demonstrated the value and importance of spectrum sharing.

CTIA President Meredith Baker warned Tuesday that the U.S. will fall behind other countries unless Congress restores FCC auction authority, in remarks to the Mobile World Congress in Las Vegas. Baker quoted Paul Milgram, the economist whose work led to the first spectrum auction. The loss of auction authority is “nuts,” she said. The agency’s auction authority lapsed in March 2023 (see 2303100084).

5G is a success story for the U.S. and is changing how people communicate, even though they may not always recognize it, Umair Javed, CTIA general counsel, said during the 6G Symposium Monday. Javed emphasized that the U.S. should make spectrum available at the same level as it is in other countries. Meanwhile, FCC Commissioner Geoffrey Starks warned the next 18-24 months are “an absolutely critical period for 6G.”

The FCC gave the green light to extended milestone deadlines for EchoStar's 5G network buildout Friday, three days after the company filed its request (see 2409190050). EchoStar called the approval "a significant step to promote competition in the wireless market."

Fred Moorefield, who long oversaw spectrum policy at DOD, last week pleaded guilty to federal charges of conspiracy to engage in dogfighting and interstate travel in aid of racketeering. He faces up to five years in prison. Moorefield, 63, left DOD 11 months ago after the charges were announced (see 2310030058).

A group of companies and associations, including Federated Wireless and Charter Communications, urged the FCC in comments this week to adopt a nonexclusive, nonauctioned shared licensed framework in the lower 37 GHz band. The band is one of five targeted for further study in the administration’s national spectrum strategy (see 2311130048). Comments were due Monday in docket 24-243 and most were posted on Tuesday.