Auction 71: Broadband PCS

Summary

May 16, 2007 - May 21, 2007
Rounds:
21
Bidding Days:
4
Qualified Bidders:
23
Winning Bidders:
12 Bidders won 33 Licenses
Licenses Held by FCC:
5
Gross Bids:
$14,562,000
Net Bids:
$13,932,150
Reports Files
Top Bidders
Top Licenses
Summary of Round Results
Activity and Revenue Graph
License Data
Bidder Data
Spreadsheets Files
All Licenses
All Bidders
Charts Files
Bidder Data
Licenses by Bidder
License Winner, Sorted by Licenses
Maps & Band Plans
Basic Trading Areas Map
Major Trading Areas Map
PCS (A, B, C, D, E, & F Block)
General Information

 
Tribal Bidding Credits
Includes Major Trading Area (MTA) licenses and Basic Trading Area (BTA) Cross References.
Winning Bidders
5/25/2007
 
Qualified Bidders
5/2/2007
 
Applications to Participate
4/9/2007
 
Procedures
1/16/2007
 
Comment Sought
11/17/2006
 
1/21/2011
ORDER (DA 11-106)
Applications of American Samoa Telecommunications Authority for Broadband Personal Communications Services and Advanced Wireless Service Licenses Informal Request for Commission Action of AST Telecom, LLC
pdf - Word
 
11/30/2010
LETTER (DA 10-2264)
Final Bid Withdrawal Payment for Bids on Auction 71 Licenses CW-BTA492-D, CW-BTA492-E, and CW-BTA492-F
pdf - Word
 
5/25/2007
PUBLIC NOTICE (DA 07-2142)
Auction of Broadband PCS Spectrum Licenses Closes; Winning Bidders Announced for Auction No. 71
pdf - Word
Attachment A: pdf
Attachment B: pdf
Attachment C: pdf
Attachment D: pdf
Attachment E: pdf
Attachment F: pdf - Word

Fact Sheet

Date:

Auction 71 began on 5/16/2007 and closed on 5/21/2007.

(See Public Notice DA 07-30)
Licenses:

3 A block MTA licenses (includes partial markets)
26 C block BTA licenses
1 D block BTA license
2 E block BTA licenses
6 F block BTA licenses
38 Total licenses

Bandwidth:

Block A, 30 MHz: 1850-1865, 1930-1945 MHz
Block C1, 15 MHz: 1902.5-1910, 1982.5-1990 MHz
Block C2, 15 MHz: 1895-1902.5, 1975-1982.5 MHz
Block C3, 10 MHz: 1895-1900,1975-1980 MHz
Block C4, 10 MHz: 1900-1905,1980-1985 MHz
Block C5, 10 MHz: 1905-1910, 1985-1990 MHz
Block D, 10 MHz: 1865-1870, 1945-1950 MHz
Block E, 10 MHz: 1885-1890, 1965-1970 MHz
Block F, 10 MHz: 1890-1895, 1970-1975 MHz

Winning Bidders:
12 Bidders won 33 Licenses
Rounds:
21
Qualified Bidders:
23
Licenses Won:
33
Licenses Held by FCC:
5
Total Licenses:
38
Net Bids:
$13,932,150
Gross Bids:
$14,562,000

 
 
 
General information and associated licensing parameters are provided below. Public Notices provide specific information regarding this auction. This fact sheet includes:

Key Dates

 

Event Date
Pre-Auction Seminar
3/7/2007
Form 175 (Short Form) Application Filing Window Opens
3/7/2007; 12:00 noon ET
Form 175 (Short Form) Application Filing Deadline
3/16/2007; 6:00 pm ET
Upfront Payments Deadline
4/20/2007; 6:00 pm ET
Mock Auction
5/14/2007
Auction Start
5/16/2007
Auction Closed
5/21/2007
 

Licenses Offered and Bidding Eligibility

Auction No. 71 will include a total of 38 licenses for A, C, D, E, and F blocks of broadband PCS spectrum. The A block licenses cover Major Trading Areas (MTAs), including two licenses covering partial markets, and the C, D, E, and F block licenses cover Basic Trading Areas (BTAs). The spectrum to be auctioned has been offered previously in other auctions but was unsold and/or returned to the Commission as a result of license cancellation or termination. The following table cross-references the general rules regarding block/eligibility status/frequencies of broadband PCS licenses in these blocks. Shaded boxes indicate that no license of the particular tier/frequency block combination will be available in Auction No. 71. For a complete list of the licenses available in Auction No. 71 and the eligibility status of each license, see Attachment A of Public Notice DA 07-30, released January 16, 2007.
Frequency Block Eligibility Status Bandwidth Frequency
  Tier 1 Tier 2    
A n/a n/a 30 MHz 1850-1865, 1930-1945 MHz
C1 Open Closed* 15 MHz 1902.5-1910, 1982.5-1990 MHz
C2 Open Closed* 15 MHz 1895-1902.5, 1975-1982.5 MHz
C3 Closed Closed* 10 MHz 1895-1900, 1975-1980 MHz
C4 Open Closed* 10 MHz 1900-1905, 1980-1985 MHz
C5 Open Open 10 MHz 1905-1910, 1985-1990 MHz
D n/a n/a 10 MHz 1865-1870, 1945-1950 MHz
E n/a n/a 10 MHz 1885-1890, 1965-1970 MHz
F Open Open 10 MHz 1890-1895, 1970-1975 MHz
As indicated in the table, C and F block licenses are divided into two tiers according to the population size, with Tier 1 comprising Basic Trading Areas (BTAs) with population at or above 2.5 million and Tier 2 comprising the remaining BTAs. No Tier 1 licenses will be offered in Auction No. 71. C1, C2, C3, and C4 licenses in Tier 2 (marked with “*” in the above table) are generally available only to “entrepreneurs” in “closed” bidding. This eligibility restriction no longer applies, however, to licenses that have been made available on that basis, but not won, in any auction beginning on or after March 23, 1999. Thus, certain licenses that were formerly subject to “closed” bidding and available only to “entrepreneurs” are now offered in “open” bidding in Auction No. 71.

Permissible Operations

PCS licensees may provide any mobile communications service on their assigned spectrum, consistent with technical requirements set forth in the Commission’s rules. For example, Broadband PCS spectrum may be used for a variety of mobile and/or portable radio services, using such devices as small, lightweight, multifunction portable phones, portable fax machines, and advanced devices with two-way data capabilities. Fixed services may be provided on a co-primary basis with mobile operations. Broadcasting as defined in the Communications Act is prohibited. See 47 C.F.R. § 24.3.

License Period

Licenses will be issued for a ten-year term from the initial license grant date. 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. § 24.16).

Eligibility for Closed Bidding

Certain C block licenses will only be available to “entrepreneurs” in “closed” bidding. In order to qualify as an “entrepreneur,” an applicant, together with its affiliates and persons or entities that hold interests in the applicant and their affiliates, must have had gross revenues of less than $125 million in each of the last two years and must have less than $500 million in total assets.

Small Business Bidding Credit Eligibility for Open Bidding

Qualifying applicants in Auction No. 71 are eligible for a small or very small business bidding credit on C and F block licenses won in “open” bidding. 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 applicant, its affiliates, its controlling interests, and the affiliates of its controlling interest:
  1. A bidder with attributable average annual gross revenues of not more than $40 million for the preceding three years (“small business”) receives a 15 percent discount on its winning bids for certain C and F block licenses won in open bidding;
  2. A bidder with attributable average annual gross revenues of not more than $15 million for the preceding three years (“very small business”) receives a 25 percent discount on its winning bids for certain C and F block licenses won in open bidding.
  3. Bidding credits are not cumulative. Qualifying applicants receive either the 15 percent or the 25 percent bidding credit on its winning bid, but only one credit per license. Bidding credits are not provided for licenses subject to closed bidding or for A, D, and E block licenses.

Tribal Land Bidding Credit

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 wireline penetration rate equal to or below 85 percent is eligible to receive a tribal lands bidding credit as set forth in 47 C.F.R. §§ 1.2107(e) and 1.2110(f). A tribal lands bidding credit is in addition to, and separate from, any other bidding credit for which a winning bidder may qualify. A winning bidder need not qualify for a small business bidding credit to be eligible for a tribal lands bidding credit.
Unlike other bidding credits that are requested prior to the auction, a winning bidder applies for the tribal lands 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 lands 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 lands bidding credit, including how the amount of the credit is calculated, can be found on the Commission’s auction web site at http://wireless.fcc.gov/auctions and clicking on the Tribal Land Credits link.

Incumbents

While much of the private and common carrier fixed microwave services (“FMS”) operating in the 1850-1990 MHz band (and other bands) have been relocated to available frequencies in higher bands or to other media, some FMS licenses may still be operating in the band. Applicants should become familiar with the status of FMS operation and relocation, and applicable Commission rules and orders.

Licensing Rules

See 47 C.F.R. Part 24
Releases P
 
5/25/2007
PUBLIC NOTICE (DA 07-2142)
Auction of Broadband PCS Spectrum Licenses Closes; Winning Bidders Announced for Auction No. 71
The FCC announces the close of and winning bidders for Auction No. 71.
pdf - Word
Attachment A: pdf
Attachment B: pdf
Attachment C: pdf
Attachment D: pdf
Attachment E: pdf
Attachment F: pdf - Word
 
5/2/2007
PUBLIC NOTICE (DA 07-1921)
Auction of Broadband PCS Spectrum Licenses, 23 Bidders Qualified to Participate in Auction No. 71; Limited Information Disclosure Procedures to be Used
Auction No. 71, Personal Communication Service Licenses, Qualified Bidders Public Notice.
pdf - Word
Attachment A: pdf
Attachment B: pdf
 
4/9/2007
PUBLIC NOTICE (DA 07-1603)
Auction of Broadband PCS Spectrum Licenses; Status of Short-Form Applications to Participate in Auction No. 71
The WTB has reviewed 26 FCC Form 175 short form applications filed to participate in the upcoming PCS Auction No. 71 scheduled to begin on May 16, 2007. Auction No. 71.
pdf - Word
Attachment A: pdf
Attachment B: pdf
 
2/26/2007
PUBLIC NOTICE (DA 07-558)
Auction of Broadband PCS Spectrum Scheduled for May 16, 2007; Reminder: Pre-Auction Seminar March 7, 2007
This public notice serves as a reminder of the pre-auction seminar for Auction No. 71 to be held on Wednesday, March 7, 2007.
pdf - Word
 
1/16/2007
PUBLIC NOTICE (DA 07-30)
Auction of Broadband PCS Spectrum Scheduled for May 16, 2007; Notice and Filing Requirements, Minimum Opening Bids, Upfront Payments and Other Procedures for Auction No. 71
The WTB announces the procedures and minimum opening bid amounts for the upcoming auction of 38 broadband PCS licenses schedules to begin on May 16, 2007 (Auction No. 71).
pdf - Word
Attachment A - Part 1: pdf - xls
Attachment A - Part 2: pdf - xls
Attachment A - Part 3: pdf
 
11/17/2006
PUBLIC NOTICE (DA 06-2298)
Auction of Broadband PCS Spectrum Scheduled for May 16, 2007, Comment Sought On Competitive Bidding Procedures for Auction No. 71
Telecommunications Bureau announces an auction of 38 broadband Personal Communications Service (PCS) licenses scheduled to commence on May 16, 2007. Comments sought on Competitive Bidding Procedures for Auction No. 71. Copies of comments and reply comments filed in response to this public notice may be found by using the search function of ECFS or through the FCC Reference Information Center, which is located in Room CY-A257 at the Commission's Headquarters.
pdf - Word
Attachment A, Part 1: pdf - xls
Attachment A, Part 2: pdf - xls
Attachment A, Part 3: pdf
Attachment B: pdf - Word
 

Auction Seminar

 

This seminar was held on March 7, 2007. You may view the presentations below.
 

Presentations

Welcome and Opening Remarks

 

Craig Bomberger, Associate Division Chief, Auctions & Spectrum Access Division (ASAD)
pdf - PowerPoint
 
 

Pre-Auction Process

 

Lisa Stover, Auctions Marketing Specialist, ASAD
pdf - PowerPoint
 
 

Licensing Matters

Overview of Broadband PCS Service Rules, Due Diligence, and Tribal Lands Bidding Credit
Keith Harper, Engineer, Mobility Division
pdf - PowerPoint

 

Denise Walter, Management Analyst, Mobility Division
pdf - PowerPoint
 
 

Auction Rules, Application and Payment Procedures

Electronic Filing of Form 175 and Overview of Auction Rules
Lisa Stover, Auctions Marketing Specialist, ASAD

 

Stephen Johnson, Attorney, ASAD
pdf - PowerPoint
 
Wire Transfer & Payment Process
Gail Glasser, Financial Management Specialist, Auctions Accounting Group
pdf - PowerPoint
 
 

Break for Lunch

 

Question and Answer Session

 

Auction Bidding Procedures

Overview of Auction Process
Roy Knowles, Wireless Telecommunications Analyst, ASAD
pdf - PowerPoint
 

Education