FCC authorizes spectrum leasing, streamlines license transfers

The Federal Communications Commission May 15 adopted a Report and Order and a Further Notice of Proposed Rulemaking that:

authorizes spectrum leasing in a broad array of wireless radio services;

adopts streamlined processing for certain categories of license transfer and assignment applications; and

seeks comment on additional steps to improve the functioning of secondary markets.

The commission noted that demand for spectrum has increased dramatically as a result of growth in wireless communications technologies and user demand for wireless services.

The FCC stated that the steps taken in the May 15 order will allow and encourage licensees to freely lease their unused or unneeded spectrum capacity, which will increase the amount of spectrum available to prospective users and new wireless technologies.

The Cellular Telecommunications & Internet Association praised the FCC decision.

"Permitting secondary markets for spectrum will deliver to carriers improved access to the airwaves, increasing their flexibility and bringing down their costs, which should ultimately result in lower prices for consumers," said Tom Wheeler, president and CEO of CTIA.

According to the FCC, the spectrum leasing policies adopted in the Report and Order are landmark steps in the commission's evolution toward greater reliance on the marketplace to expand the scope of available wireless services and devices.

Facilitating the development of secondary markets enhances and complements several of the commission's major policy initiatives and public interest objectives, including efforts to:

encourage the development of broadband services for all Americans;

promote increased facilities-based competition among service providers;

enhance economic opportunities and access for the provision of communications services by small businesses; and

enable development of additional and innovative services in rural areas.