NEWS April 2, 1997 FCC DARS AUCTION: SATELLITE CD RADIO, INC. AND AMERICAN MOBILE RADIO CORP. HIGH BIDDERS FOR TWO NATIONWIDE LICENSES Today, the FCC auctioned two nationwide licenses for Satellite Digital Audio Radio Services (DARS) spectrum. Satellite CD Radio, Inc., and American Mobile Radio Corp. were the high bidders for these two licenses. Satellite CD Radio, Inc., was the high bidder for license N001 at $83,346,000. American Mobile Radio Corp. was the high bidder for license N002 at $89,888,888. Licensees are authorized to provide service throughout the continental United States on 12.5 MHz of spectrum located in the S-band at 2320-2345 MHz. The bidders for this spectrum have announced plans to use satellites to provide continuous, nationwide radio programming with compact disc quality sound. This new service has the potential to allow motorists to tune in to one radio station for an entire cross country trip. The nationwide reach could also allow niche programming aimed at diverse communities located throughout the U.S. Its nationwide reach also means that Satellite DARS has the potential to serve listeners in areas of the country that traditionally have been undeserved. The auction opened at 9 am, Monday, April 1, and concluded today after 26 rounds of simultaneous multiple round bidding conducted at the FCC's auction site in Washington, D.C. Under the rules adopted by the FCC, four bidders were qualified to participate in this auction. Each of the four bidders submitted an upfront payment of $3 million on March 28. The winning bidder for each license must submit sufficient additional funds (a down payment) to bring the amount of money on deposit with the government to 20 percent of its winning bid ten days after the high bidder is announced by Public Notice. Specific information regarding the submission of down payments will be included in that Public Notice announcing the winning bidders. -FCC- News media contact: Audrey Spivack at (202) 418-0654. Wireless Telecommunications Bureau contact: Amy Zoslov at (202) 418-0639.