Broadband PCS Broadband PCS Developments Developments

Auction No. 58 Auction No. 58 SeminarSeminar

DisclaimerDisclaimer

These slides are provided by Bureau staff for These slides are provided by Bureau staff for informational purposes only. Nothing herein informational purposes only. Nothing herein is intended to supersede any provision of the is intended to supersede any provision of the Commission's rules or public notices. These Commission's rules or public notices. These slides should not be used as a substitute for a slides should not be used as a substitute for a prospective applicant's review of the prospective applicant's review of the Commission's relevant orders, rules, and Commission's relevant orders, rules, and public notices. Prospective applicants must public notices. Prospective applicants must familiarize themselves thoroughly and familiarize themselves thoroughly and remain current with the Commission's rules remain current with the Commission's rules relating to the broadband personal relating to the broadband personal communications service, rules relating to communications service, rules relating to application and auction procedures, and the application and auction procedures, and the procedures, terms and conditions contained procedures, terms and conditions contained in the Auction No. 58 public notices.in the Auction No. 58 public notices.

In the beginning, we had. In the beginning, we had. . .. .

30 megahertz C block licenses.30 megahertz C block licenses.

Entrepreneur-only bidding on C and F block Entrepreneur-only bidding on C and F block licenses.licenses.

Control group and other exceptions to the Control group and other exceptions to the entrepreneur and small business financial entrepreneur and small business financial caps.caps.

Installment payments for C and F block Installment payments for C and F block licenses.licenses.

Bidding credits for small and very small Bidding credits for small and very small businesses on all C and F block licenses won businesses on all C and F block licenses won at auction.at auction.

Now, we have. . .Now, we have. . . 10 and 15 MHz C block licenses.10 and 15 MHz C block licenses.

Both open and closed bidding.Both open and closed bidding.

Controlling interest standard, with only a Controlling interest standard, with only a rural telephone coop exception.rural telephone coop exception.

No installment payments.No installment payments.

Bidding credits only for licenses won in Bidding credits only for licenses won in open bidding.open bidding.

License SizeLicense Size All 30 megahertz C block licenses All 30 megahertz C block licenses

available for auction have been available for auction have been reconfigured into three 10 ten megahertz reconfigured into three 10 ten megahertz licenses.licenses.

Some C block licenses in inventory are 15 Some C block licenses in inventory are 15 megahertz as a result of restructuring.megahertz as a result of restructuring.

D, E, and F block licenses are normally 10 D, E, and F block licenses are normally 10 megahertz; some are smaller as a result megahertz; some are smaller as a result of disaggregation.of disaggregation.

A block licenses are 30 megahertz.A block licenses are 30 megahertz.

Open vs. Closed BiddingOpen vs. Closed Bidding

Bidding on some C block licenses is Bidding on some C block licenses is openopen to both entrepreneurs and non-to both entrepreneurs and non-entrepreneurs; whereas, bidding on other entrepreneurs; whereas, bidding on other C block licenses is C block licenses is closedclosed to non- to non-entrepreneurs.entrepreneurs.

Bidding on all licenses available but not Bidding on all licenses available but not won in Auction No. 22 or No. 35 is open.won in Auction No. 22 or No. 35 is open.

Bidding on all F block licenses is open.Bidding on all F block licenses is open.

Controlling Interest Controlling Interest StandardStandard

Controlling interest standard Controlling interest standard governs whether gross governs whether gross revenues (and total assets) are revenues (and total assets) are attributable to the applicant.attributable to the applicant.

No exceptions to the attribution No exceptions to the attribution rules, except, in some cases, for rules, except, in some cases, for rural telephone cooperatives.rural telephone cooperatives.

No Installment PaymentsNo Installment Payments

No installment payments No installment payments for any broadband PCS for any broadband PCS license won after Auction license won after Auction No. 11.No. 11.

Bidding CreditsBidding Credits

Bidding credits available to Bidding credits available to small and very small small and very small businesses only for C or F businesses only for C or F block licenses won in block licenses won in openopen bidding.bidding.