Earlier this month, I attended the Consumer Electronics Show (CES) in Las Vegas. This event receives a significant amount of attention from both technology and mainstream news sources, so a recap of the new TVs (which were amazing), Ultrabooks (I want one), and other gizmos (do we need a six-foot-tall iPod dock?) isn’t really useful. However there is one theme I want to key in on. I didn’t quite see it while I was walking the exhibit floor, but realized it after discussing the event with colleagues.
Broadcast is dead.
As the FCC continues to pursue President Obama’s call in June, 2010 to identify an additional 500 MHz of spectrum to “unleash the wireless broadband revolution,” a new approach has cropped up in the latest budget document. In addition to the “carrot” proposed to broadcasters holding valuable spectrum with Voluntary Incentive Auctions, the new budget document released 1 February contains a “stick,” a new spectrum license fee. From the budget:
“To promote efficient use of the electromagnetic spectrum, the Administration proposes to provide the FCC with new authority to use other economic mechanisms, such as fees, as a spectrum management tool. The FCC would be authorized to set user fees on unauctioned spectrum licenses based on spectrum-management principles. Fees would be phased in over time as part of an ongoing rulemaking process to determine the appropriate application and level for fees. Fee collections are estimated to begin in 2011, and total $4.8 billion through 2021.” (2012 President’s Budget, “Other Independent Agencies” Appendix, “Federal Communications Commission” section, “Spectrum License User Fee” subsection)
By aiming these fees at “unauctioned spectrum licenses,” the government seems to be targeting the very broadcasters who are nervous about how voluntary those Voluntary Incentive Auctions will really be…
Some articles on the topic:
