On January 23, CTIA published a report, "The Economic Impact of Each Additional 100 MHz of Mid-band Spectrum for Mobile."
The report, prepared by NERA, identifies the serious looming shortfall of mid-band range (1 GHz to 7 GHz bands) spectrum for licensed use in the face of sharply rising demand – and it goes on to estimate the tremendous economic benefits that result from putting more spectrum into licensed use:
[T]he wireless industry is rapidly approaching a spectrum deficit that will result in network congestion, thereby hindering the continued growth fueled by the wireless industry. Projections indicate that wireless operators will need at least 400 MHz of additional spectrum by 2027 to meet the needs of the U.S. economy, a deficit that will continue to grow to over 1400 MHz by 2032.
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We estimate that each additional 100 MHz of mid-band spectrum to mobile will generate $264 billion of GDP, about 1.5 million new jobs, and about $388 billion in consumer surplus. The impact of 400 MHz of mid-band spectrum would be $1.1 trillion of GDP, 6.18 million new jobs, and about $1.5 trillion in consumer surplus. Beneficial effects would continue to accumulate beyond 400 MHz, and we estimate that by 2028 even 400 MHz of new 5G spectrum will not be enough to keep up with consumer demand.
The report traces the economic benefits of allocating mid-band spectrum for wireless use, including better mobile and fixed wireless access (FWA) for consumers and business employers, as well as support for industries that rely on mobile connectivity or serve the wireless industry.
Reallocating spectrum occupied by federal agencies for licensed commercial use will require Congress to reauthorize the FCC's authority to conduct spectrum auctions and issue licenses to bid winners. Restoring that authority should be a top priority of the 119th Congress. Achieving this result and maximizing the economic benefits of licensed spectrum use also likely will depend on Congress and the Trump Administration finding ways to accelerate or revamp the existing National Spectrum Strategy to get lower 3 GHz and other spectrum ready on a much faster timetable.
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