During today’s 700 MHz auction the closely watched C-Block bidding picked up a new bid during round 17 to push the potential winning price for the block past the $4.6 billion reserve mark, thereby triggering the spectrum’s open-access provision, reports RCR Wireless News. Overall, the FCC’s 700 MHz auction picked up another $1.2 billion in total potential winning bids during round 17, and now sits at just under $12.8 billion in total potential winning bids.
The potential winning bid for block “C” in round 17 remained at $4.7 billion through round 18 which required a minimum bid of nearly $5.3 billion.
If there were only one bidder (Google), there would be no logical reason to bid any more, now that it has hit the $4.6 billion minimum. We may have an answer to that question as early as this afternoon.
UPDATE: We have a winner!
This morning the bidding triggered the “open access” clause, and the following “C Block” auctions did not receive additional bids. The high bid for the “C” block this morning remained at $4,713,823,000, after a second round of bidding today.
“Based on our analysis of the bidding pattern, we believe that if there have been two active bidders for the C Block, the second bidder has lost sufficient eligibility to bid again, and thus, we believe the bidding for the C Block is likely over,” noted research firm Stifel Nicolaus for RCR Wireless, after round 17. Since the rules required anyone else to bid in the next round, it appears that there is no one else trying to compete.
So we likely have a winner for the “C” block. It will provide broadband access (and voice) throughout the United States. This new service will provide an “open access” platform that can run a variety of 3rd party applications.
The winner is widely speculated to be Google, although companies are banned from talking about their bidding while the auction is active. The search company previously said it would bid at least the reserve price for the 22MHz of C Block frequencies.
Now it may have them.
RCR Wireless News reports, the FCC’s 700 MHz auction picked up 945 new bids totaling $1.2 billion in potential winning bids during round 17, 930 new bids totaling $905.3 million in potential winning bids during round 18 and 920 new bids totaling $616.8 million during round 19. Total potential winning bids sat at $14.3 billion at the end of round 19, nearly matching the high-end of pre-auction estimates.
After 21 rounds, the 700 MHz auction swept past the $15 billion mark, and it does not look like its slowing down anytime soon.
Further news in the 700 MHz bidding is unlikely to be nearly as dramatic or game-changing. AT&T and Verizon will likely dominate the 12MHz chunks in the “A” and “B” blocks in the less ideal Lower 700 MHz band, while Qualcomm may grab channel 56 for mobile television. The public service “D” block will go up for auction again at a later date.
End of story.
Related DailyWireless stories include; 700MHz Round One, 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?
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