The 5G standard is expected to speed up the transmission of data to wireless devices such as cell phones and personal computers, automobiles and industrial machinery.
The Federal Communications Commission’s (FCC) ongoing wireless license auction has reached a record $69.8 billion-plus after three weeks of bidding in an auction that could change the outlook for cellular carriers over the next decade.
The auction proceeds have already surpassed the $44.9 billion earned from the 2015 auction of mid-band cellular licenses. At the time, U.S. cellular carriers were looking to use mid-band licenses to enhance their 4G services. These companies are now investing billions of dollars in next-generation 5G services. 5G standards are expected to speed up the transmission of data to wireless devices such as cell phones and personal computers, cars and industrial machinery.
The recent bidding exceeded Wall Street’s highest forecasts, indicating that several companies are vying for the most valuable wireless access. The 5G auction began on Dec. 8 and will be suspended in between for the holidays, ending on Jan. 4, when bidding totals could be even higher.
Each bid is confidential until the end of the auction process. Analysts expect big companies such as AT&T Inc. (T) and Verizon Communications Inc.(VZ) to get a large portion of the licenses, comparable to the assets rival T-Mobile US Inc.(TMUS) acquired after its purchase of Sprint Corp.(Sprint) in February this year .
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