The FCC’s 700 MHz auction is on. RCR News says the first round today resulted in 1,849 bids, totaling more than $2.4 billion. A second round of bidding will be held today, scheduled to go from 2:30 p.m. to 4:30 p.m. EST.

The bidding for 62 MHz of frequencies, previously used for television broadcasting, is likely to generate at least $10B for the U.S. Treasury. The identities of bidders are being kept secret during the auction to guard against anti-competitive behavior. Check the FCC site for the latest news from Auction 73 (below).

At the close of the first full day, the bidding totaled nearly $2.8 billion in Provisional Winning Bids (PWBs). These 700 MHz licenses provide exclusive carrier rights in a variety of coverage areas including; Cellular Market Areas (county-size), Economic Areas (several counties), and Regional Economic Area Groupings (time zone-sized areas). RCR News has more on the 700 MHz auction.

Highlights from this mornings bidding:

• The national commercial-public safety D-Block license received a $472 million bid. The minimum bid for the second round is nearly $543 million, far below the $3.1 billion reserve price set by the FCC. Unstable financial markets, dragged down by the mortgage-credit crisis, have fueled fear that the D Block will go unclaimed, says RCR.
• A collection of eight regional licenses in the C Block covering the 50 states garnered the highest bids during the first round, totaling just over $1 billion. The 22 MHz of open-access C Block, a collection of regional licenses, comprises about a third of the total spectrum for sale. Google, AT&T and Verizon are likely to be the heavy hitters.
• Other high bids during the first round included an $83 million bid for a 12 megahertz A Block economic area license covering the New York City area; a $59 million bid for a 12 megahertz B Block cellular market license covering New York City; and a $41 million bid for a 6 megahertz, unpaired E Block EA license also covering the New York City area.
• Qualcomm is expected to be a bidder on the E Block license (Channel 56). Qualcomm already owns nationwide licenses on Channel 55 for their MediaFLO, mobile TV service.

Auction 73 includes 1,099 licenses in the 700 MHz Band: 176 EA licenses in the A Block, 734 CMA licenses in the B Block, 176 EA licenses in the E Block, 12 REAG licenses in the C Block, and 1 nationwide license, to be used as part of the 700 MHz Public/Private Partnership, in the D Block. The following table describes the licenses available in Auction 73.

If the license for the D Block is not sold in Auction 73, the Commission may re-offer the D Block license subject to the same rules or reconsider the applicable rules. Only qualified bidders from Auction 73 will be permitted to participate in Auction 76, if it is necessary to conduct Auction 76.

Related DailyWireless stories include; 700MHz Auction Tomorrow, Frontline: Out of Business, The 700 MHz List, Google’s 700 MHz Plans, FCC Finalizes Rules on 700MHz: Limited Open Access, No Wholesale Requirement, Frontline: Martin Plan Not ‘Open’, Frontline Files 700MHz Plan with FCC, Cyren Call Proposes Joint Commecial/Muni for 700Mhz, 700 MHz Scenarios, AT&T Buys 700MHz from Aloha, Google Android hits G-Spot, Cyren Call to Manage Public Safety Spectrum, Android Developer Challenge — $10M, Google: We Got Trouble. . . In 700 Mhz, AT&T, Verizon & Frontline Want 700Mhz Changes, AT&T Buying 700 MHz from Aloha Partners, Oregon’s $500 Million Statewide Wireless Network, General Dynamics Wins IWN Contract, Joint Commecial/Muni Proposed for 700Mhz, Small Ops Squeezed Out of 700MHz?, Verizon Makes its Move for Universal Service Fund, The Smartest Guy in the Room, 700 MHz On The Line?, 700 Mhz Worth $28B, RUS Funding for 700 MHz, The 700 Mhz Club, Channel 54: Where are You?

Posted by Sam Churchill on Thursday, January 24th, 2008 at 11:33 am.