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  • Strategy

FCC values wireless spectrum at $120bn

  • Shaun Nichols
  • 23 October 2010
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In case you were wondering why so much of a fuss has been made in recent years over the FCC's management of vacant wireless spectrum space, chairman Julius Genachowski has just laid it out on the table.

In a recent presentation, the FCC head estimated that, in total, wireless spectrum space is worth as much as $120bn in total profits to international corporations.

The impact of that much money? Genachowski likens it to the economic losses the US would have encountered had the country not pushed infrastructure projects such as electricity for rural communities or national highway projects.

"If we act thoughtfully and execute on a strategic vision to ensure the highest and best use of this precious national resource, we can drive billions of dollars in private investment, fuelling world-leading innovations, creating millions of new jobs, and enabling endless new products and services that can help improve the lives of all Americans," Genachowksi said in the speech.

The chairman also acknowledged just how much has changed in the wireless industry in recent years. The rise of wireless broadband has brought the smartphone into the consumer market and also helped to give rise to the tablet industry as we know it.

To sustain that sort of growth in the coming years, Genachowski estimates that we will need to free up as much as 300mhz in new spectrum space over the next few years. Given the headaches that have come with managing spectrum space in recent years, however, that could be a very lofty goal.
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