The Federal Communications Commission has voted to modernize the outdated regulatory framework for the 2.5 GHz band to make this vital mid-band spectrum available for advanced wireless services, including 5G. The 2.5 GHz band - the single largest band of contiguous spectrum below 3 GHz - offers favorable coverage and capacity characteristics for next-generation mobile services.
The demand for mid-band spectrum for wireless broadband services, especially 5G, has increased in recent years. The Report and Order approved give incumbent entities more flexibility in how they use this spectrum and provides opportunities for other entities, including Tribal Nations, to access unused spectrum in this band.
The Order eliminates restrictions on the types of entities that can hold licenses as well as educational use requirements while preserving incumbent licensees’ private contractual arrangements and provisions in existing leases. Further, the Order removes limitations on leases entered into on a going-forward basis under the Commission’s secondary markets rules, which will create incentives to build out in rural areas.
Additionally, the Order establishes a priority filing window for rural Tribal Nations to provide them with an opportunity to obtain unassigned 2.5 GHz spectrum to address the communications needs of their communities. The remaining unassigned spectrum will be available for commercial use via competitive bidding following the completion of the Tribal priority filing window. To maximize participation by small wireless service providers, the Order adopts county-sized overlay licenses, a three-part band plan (2 roughly 50 megahertz blocks and a 16.5 megahertz block), and adopts small business, rural service provider, and Tribal lands bidding credits. The Order also adopts robust buildout requirements to ensure that the spectrum is used to provide service.
Much of this spectrum, which is prime for next-generation wireless broadband operations, has been underutilized for many years. The action taken is another step toward closing the digital divide, particularly in rural areas, including rural Tribal areas, that lack reliable wireless broadband services. It is also an important step in advancing United States leadership in 5G and implementing the FCC’s 5G FAST plan.
