Auction 53: Multichannel Video Distribution & Data Service (MVDDS)

Summary

January 14, 2004 - January 27, 2004
Rounds:
49
Bidding Days:
9
Qualified Bidders:
14
Winning Bidders:
10 bidders won 192 licenses
Gross Bids:
$136,936,200
Net Bids:
$118,721,835
Reports Files
Top Licenses (by High Bid)
Summary of Round Results
Bidders Sorted by Total Net Bids and High Bids
Activity and Revenue Graph
Markets Data
Bidder Data
Spreadsheets Files
All Markets
All Bidders
Charts Files
Bidder Data
Licenses by Bidder
License Winner, Sorted by License
General Information
No general information is available at this time.

Fact Sheet

Date:

Auction 53 began on 1/14/2004 and closed on 1/27/2004.
Round 49 (See PN DA 04-215).

Spectrum:

12.2-12.7 GHz unpaired

Bandwidth:

500 MHz per license

Winning Bidders:
10 bidders won 192 licenses
Rounds:
49
Qualified Bidders:
14
Licenses Won:
192
Total Licenses:
214
Net Bids:
$118,721,835
Gross Bids:
$136,936,200
 
General information and associated licensing parameters are provided below. Public Notices provide specific information regarding this auction. This fact sheet includes:
 

Key Dates

EventDate
Pre-Auction Seminar
10/29/2003
Form 175 (Short Form) Application Filing Window Opens
10/29/2003; 12:00 noon ET
Form 175 (Short Form) Application Filing Deadline
11/12/2003; 6:00 pm ET
Upfront Payments Deadline
12/8/2003; 6:00 pm ET
Mock Auction
1/9/2004
Auction Start
1/14/2004
Auction Closed
1/27/2004

Licenses Offered

Auction No. 53 offered 214 licenses in the 12.2-12.7 GHz band (one license in each of 214 MVDDS Service Areas (MVDs)). Each license consisted of one 500 megahertz block of unpaired spectrum.
 

Permissible Operations

MVDDS licensees may use this spectrum for any digital fixed non-broadcast service (broadcast services are intended for reception of the general public and not on a subscribership basis) including one-way direct-to-home/office wireless service. Licensees are permitted to provide one-way video programming and data services on a non-common carrier and/or on a common carrier basis. Mobile and aeronautical services are not authorized. Two-way services may be provided by using other spectrum or media for the return or upstream path.
 

License Period and Construction Requirements

MVDDS licenses are issued for a ten-year term beginning on the date of the initial authorization grant. Licensees have a renewal expectancy based on the provision of substantial service and substantial compliance with applicable Commission rules, policies, and the Communications Act. (See 47 C.F.R. § 101.1413).
Each MVDDS licensee must provide "substantial service" within five years of the initial authorization grant. The renewal application of an MVDDS licensee must include a coverage map and other supporting documents showing compliance with the respective construction requirements within the ten-year benchmark of the date of their initial license as defined in 47 C.F.R. § 101.1413(c).
 

Bidding Credits

Bidding credits were available to small businesses or consortia thereof, (as defined in 47 C.F.R. § 1.2110(c) and 101.1429). A bidding credit represents the amount by which a bidder’s winning bids are discounted. The size of the bidding credit depends on the average annual gross revenues for the preceding three years of the bidder, its affiliates, its controlling interests, and the affiliates of its controlling interests: 

  1. A bidder with attributed average annual gross revenues of more than $15 million but not more than $40 million for the preceding three years receives a 15 percent discount on its winning bids for MVDDS licenses
  2. A bidder with attributed average annual gross revenues of more than $3 million but not more than $15 million for the preceding three years receives a 25 percent discount on its winning bids for MVDDS licenses
  3. A bidder with attributed average annual gross revenues of not more than $3 million for the preceding three years receives a 35 percent discount on its winning bids for MVDDS licenses

Bidding credits are not cumulative; qualifying applicants receive the 15 percent, 25 percent or the 35 percent bidding credit, but only one.

Tribal Land Credits

A winning bidder that intends to use its license(s) to deploy facilities and provide services to federally-recognized tribal lands that are unserved by any telecommunications carrier or that have a telephone service penetration rate equal to or below 70 percent is eligible to receive a tribal land bidding credit as set forth in 47 C.F.R. § 1.2107 and 1.2110(f). A tribal land bidding credit is in addition to, and separate from, any other bidding credit for which a winning bidder may qualify.
Unlike other bidding credits that are requested prior to the auction, a winning bidder applies for the tribal land bidding credit after winning the auction when it files its long-form application (FCC Form 601). In order for a winning bidder to be awarded a tribal land bidding credit, it must provide specific certifications regarding the servicing of tribal lands and is subject to specific performance criteria as set forth in 47 C.F.R. § 1.2110(f).
Additional information on the tribal land bidding credit, including how the amount of the credit is calculated, can be found on the Commission’s web site by going to Tribal Land Credits.
 

Point-to-Point Incumbents

Terrestrial private operational fixed point-to-point stations in the 12.2-12.7 GHz band which were licensed prior to MVDDS are incumbent point-to-point stations. However, only those stations licensed as public safety must be protected from harmful interference caused by later MVDDS entrants in the 12.2-12.7 GHz band. MVDDS operators have the responsibility of resolving any harmful interference problems that their operations may cause to these public safety incumbent point-to-point operations in the 12.2-12.7 GHz band.
 

Frequency Coordination Rules

The MVDDS operator must comply strictly with all of the requirements set forth in 47 C.F.R. §§ 101.103(f) and 101.1440. Among other things, the MVDDS licensee shall, prior to the construction or addition of an MVDDS transmitting antenna, provide notice of intent to construct the proposed antenna site to NGSO FSS licensees operating in the 12.2-12.7 GHz frequency band and maintain an Internet web site of all existing transmitting sites and transmitting antennas that are scheduled for operation within one year including the "in service" dates. At least 90 days prior to the planned date of commencement of MVDDS operations, the MVDDS licensee shall provide relevant information to Direct Broadcast Satellite ("DBS") licensee(s), including the geographic location of its proposed station license, the maximum EIRP of each transmitting antenna and the description of the proposed service area. In addition, the MVDDS operator must make a determination of whether its signal level(s) will exceed the EPFD limit at any DBS customer of record sites. To assist in making this determination, the MVDDS provider can use the EPFD contour model developed by the Commission and described in Appendix J of Amendment of Parts 2 and 25 of the Commission’s Rules to Permit Operation of NGSO FSS Systems Co-Frequency with GSO and Terrestrial Systems in the Ku-Band Frequency Range, Memorandum Opinion and Order and Second Report and Order, 17 FCC Rcd 9614 (2002) or on the FCC’s Office of Engineering and Technology website et98-206.
 

Licensing Rules

  1. Licensed by Designated Market Areas (DMAs).
  2. MVDDS shall be licensed on a non-harmful interference co-primary basis to existing DBS operations and on a co-primary basis with NGSO FSS stations in this band.
  3. MVDDS systems may not cause harmful interference to stations in Canada or Mexico. No stations are allowed within 5 miles of the borders. (See 47 C.F.R. § 101.1423).
  4. MVDDS stations must protect the radio quiet zones. (See 47 C.F.R. § 1.924).
  5. Cable operators or entities holding an attributable interest in a cable operator shall not have an attributable interest in an MVDDS license whose geographic service area significantly overlaps such cable operator’s service area. (See 47 C.F.R. § 101.1412).
  6. No spectrum or channel aggregation cap.
  7. Partitioning is permitted by MVDDS licensees. Disaggregation will not be permitted. (See 47 C.F.R. § 101.1415).
Releases P

6/15/2004
PUBLIC NOTICE (DA 04-1717)
WTB Announces Changes in the Universal Licensing System to Revise the Names of Market Designators for Multichannel Video Distribution and Data Service Licenses
This Public Notice announces changes in the Universal Licensing System ("ULS") to revise the names of Market Designators for the Multichannel Video Distribution and Data Service ("MVDDS") in order to facilitate the licensing of MVDDS (radio service code "DV").

2/2/2004
PUBLIC NOTICE (DA 04-215)
Multichannel Video Distribution and Data Service Spectrum Auction Closes
Winning Bidders Announced; Down Payments Due February 17, 2004; FCC Forms 601 and 602 Due February 17, 2004; Final Payments Due March 2, 2004; Ten-Day Petition to Deny Period.

12/17/2003
PUBLIC NOTICE (DA 03-3968)
Multichannel Video Distribution and Data Service Spectrum Auction
Auction No. 53 Qualified Bidders Public Notice.

11/26/2003
PUBLIC NOTICE (DA 03-3781)
Multichannel Video Distribution and Data Service Spectrum Auction
This Public Notice reports the status of applications received for participation in Auction No. 53.

10/6/2003
PUBLIC NOTICE (DA 03-3033)
Auction of Multichannel Video Distribution and Data Service Licenses Scheduled for January 14, 2004
Reminder: Pre-Auction Seminar October 29, 2003

8/28/2003
PUBLIC NOTICE (DA 03-2354)
Auction of Licenses in the Multichannel Video Distribution and Data Service Rescheduled for January 14, 2004
Notice and filing requirements, minimum opening bids, upfront payments and other auction procedures.
Attachment A: pdf - xls

5/9/2003
PUBLIC NOTICE (DA 03-1544)
Auction of MVDDS Licenses Postponed
The auction of licenses in the Multichannel Video Distribution and Data Service (Auction No. 53), previously scheduled to begin on June 25, 2003, will be delayed.

4/22/2003
PUBLIC NOTICE (DA 03-1181)
Auction Seminar Postponed for Auction 53 (Multichannel Video Distribution and Data Service Licenses Auction)
This Public Notice announces that the Auction Seminar for Auction 53 has been postponed.

1/30/2003
PUBLIC NOTICE (DA 03-286)
Auction of Multichannel Video Distribution and Data Service Licenses Rescheduled for June 25, 2003
This Public Notice seeks comment on auction specific procedures.

11/26/2002
PUBLIC NOTICE (DA 02-3293)
Auction of Multichannel Video Distribution and Data Service Licenses (MVDDS) is Rescheduled
This Public Notice announces the auction of the Multichannel Video Distribution and Data Service (MVDDS) licenses previously scheduled to begin on February 12, 2003, has been rescheduled for August 6, 2003.
pdf - Word

5/24/2002
PUBLIC NOTICE (DA 02-1258)
Auction of Multichannel Video Distribution and Data Services Licenses; Notice of Auction Scheduled for February 12, 2003
This Public Notice announces an auction of Multichannel Video Distribution and Data Service ("MVDDS") licenses to begin on February 12, 2003. This auction will include 354 Component Economic Area licenses for operation on frequencies 12.2-12.7 GHz. A preliminary list of licenses available for auction is included as Attachment A.

Releases O

7/31/2003
ERRATUM (DA 03-2404)
Amendment of Parts 2 and 25 of the Commission's Rules to Permit Operation of NGSO FSS Systems Co-Frequency with GSO and Terrestrial Systems in the Ku-Band Frequency Range
Issued Erratum correcting typographical errors to Fourth Memorandum Opinion and Order, FCC 03-97, released April 29, 2003.

7/7/2003
THIRD REPORT AND ORDER (FCC 03-152)
Amendment of Parts 2 and 25 of the Commission's Rules to Permit Operation of NGSO FSS Systems Co-Frequency with GSO and Terrestrial Systems in the KU Band Frequency Range
Adopted rules in this proceeding.

4/29/2003
FOURTH MEMORANDUM OPINION AND ORDER (FCC 03-97)
Amendment of Parts 2 and 25 of the Commission's Rules to Permit Operation of NGSO FSS Systems Co-Frequency with GSO and Terrestrial Systems in the Ku-Band Frequency Range
Addressed petitions for reconsideration filed in response to the report and order portion of the Memorandum Opinion and Order and Second Report and Order in this proceeding.

4/15/2003
SECOND FURTHER NOTICE OF PROPOSED RULE MAKING (FCC 03-85)
Amendment of Parts 2 and 25 of the Commission's Rules to Permit Operation of NGSO FSS Systems Co-Frequency with GSO and Terrestrial Systems in the Ku Band Frequency Range
Seeking comment on whether we should modify the MVDDS build out requirement as a means to foster expeditious deployment of advanced wireless services, such as video and data broadband services to these communities as well.

8/14/2002
THIRD ERRATUM (DA 02-2003)
Amendment of Parts 2 and 25 of the Commission's Rules to Permit Operation of NGSO FSS Systems Co-Frequency with GSO and Terrestrial Systems in the Ku-Band Frequency Range
This third erratum corrects Section 101.1417 to conform to the text of the MO&O and 2nd R&O, FCC 02-116, released May 23, 2002.
See Order, FCC 02-116

6/7/2002
ERRATUM
Amendment of Parts 2 and 25 of the Commission's Rules
This Erratum adds Paperwork Reduction Analysis to the procedural information portion of the MO&O and Second Report and Order, FCC 02-116, released May 23, 2002.
See Order FCC 02-116

6/7/2002
ERRATUM
Amendment of Parts 2 and 25 of the Commission's Rules
This Erratum adds Paperwork Reduction Analysis to the procedural information portion of the MO&O and Second Report and Order, FCC 02-116, released May 23, 2002.
See Order, FCC 02-116

6/4/2002
ERRATUM
Amendment of Parts 2 and 25 of the Commission's Rules
This Order corrects MO&O, FCC 02-116, released May 23, 2002.
See Order FCC 02-116

5/23/2002
ORDER (FCC 02-116)
Amendment of Parts 2 and 25 of the Commission's Rules to Permit Operation of NGSO FSS Systems Co-Frequency with GSO and Terrestrial Systems in the Ku-Band Frequency Range
This Order addresses Petitions for Reconsideration filed in response to the First Report and Order and Further Notice of Proposed Rulemaking, releases December 8, 2000.
See Erratum

12/8/2000
ORDER (FCC 00-418)
First Report and Order and Further Notice of Proposed Rulemaking
This Report and Order permits non-geostationary satellite orbit fixed-satellite service providers to operate in certain segments of the Ku-band and adopted rules and policies to govern operations.

No results here for this auction.

No results here for this auction.

Auction Seminar

This seminar was held on October 29, 2003. You may view the presentations below.
 

Presentation Slides

Pre-Auction Process
Barbara Sibert, Auctions Marketing Specialist, Auctions Operations Branch
pdf - ppt
Telephonic Bid Entry Script: 
pdf - ppt

Overview of MVDDS Rules and Due Diligence
Jennifer Burton, Attorney, Policy & Rules Branch, Public Safety and Private Wireless Division (PSPWD), Michael Pollak, Engineer, Policy & Rules Branch, PSPWD
pdf - Word
Beth Fishel, Industry Analyst, PSPWD
pdf - ppt
 
Overview of Tribal Land Bidding Credit
Michael Connelly, Attorney Advisor, Policy & Rules Branch, Commercial Wireless Division
pdf - ppt

Overview of Auction Rules and Electronic Filing of Form 175
Brian Carter, Special Counsel, Auctions Industry and Analysis Division
pdf - ppt
Yiping Osser
Form 175 Screen Shots: 
pdf - pdf2 - ppt - ppt2
 

Wire Transfer & Payment Process
Gail Glasser, Financial Management Specialist, Auctions Accounting Group
pdf - ppt

Overview of Auction Process & FCC Automated Auction System
Roy Knowles, Wireless Telecommunications Analyst, Auctions Operations Branch
pdf - PowerPoint
Auctions Bidding System Screen Shots: 
pdf1 (pdf) - pdf2 (pdf) - pdf1 (PowerPoint) - pdf2 (PowerPoint)

Education