Understanding Spectrum Liberalisation

Until the 1990s, almost all spectrum licenses were given away practically for free—even the first mobile licenses which laid the foundation for multi-billion dollar companies that dominate stock markets around the world. In the past fifteen years, there has been a concerted attempt to liberalise the sector and make it more open to market forces. This book examines this attempt.Exploring the new frontier for spectrum policy, Understanding Spectrum Liberalisation identifies the successes and failures of the main policy initiatives of the past decade. It explains, in layman’s terms, the technical and policy background needed to understand these debates.For those already working in the field, the book provides a lively analysis of recent policy initiatives along with an authoritative interpretation of the latest developments in spectrum policy. It examines individual liberalisation initiatives in detail and explains the logic behind moves towards spectrum sharing, which is seen as the next policy phase.This book will help non-specialists climb the formidable learning curve quickly. It is ideal for those who have just become involved in the spectrum field, whether in industry, government, or as a regulator, as well as those with expertise in one area of spectrum management who want to learn more about the other areas.History is about the concerns of the present, so the saying goes, and the authors hope that their interpretation of the very recent past will stimulate debate about future policy and help you make substantive contributions to ongoing policy debates.

SETTING THE SCENEIntroductionPutting Theory into PracticeThe Promise of LiberalisationHistory of Spectrum PolicyA Spectrum Engineering PrimerIntroductionLIBERALISATION IN ACTIONSpectrum Auctions Become the Default Assignment MechanismProblems with Beauty ContestsAuctions DominateThe Liberalised Licensing DebateIntroduction Defining Spectrum Use Traditional Licensing Technology-Neutral Licenses Licensing Based on Reception Not TransmissionPublic Sector SpectrumUses of Public Sector Spectrum Theory of Administered Incentive Pricing Intricacies of Setting Prices Countries That Have Implemented AIPConclusionBroadcastingLiberalisation and the Development of the TV MarketThe Long-Term Future of Terrestrial TV ConclusionSatelliteHow the Satellite Industry Uses SpectrumConclusionUltra Wide BandPrinciples of an Underlay NetworkWi-Fi and the Spectrum CommonsAn Incredible Success Story The Triumph of the CommonsThe Economics of UnlicensedA Danger of Congestion?Could a Mobile Carrier Rely on Wi-Fi? ConclusionsThe Whitespace ConceptWhat are Whitespaces?New Receivers ConclusionTHE LIMITS OF LIBERALISATIONIntroduction to Part IIIThe Capacity CrunchPredicting the Need for More Mobile SpectrumWhy Is Liberalisation Limited in Its Application?No Faith in Our Creation Obstacles for the Development of Spectrum MarketsA Wider ViewWhy Does Trading Have Such Patchy Success?Poor Uptake Concentration and National Licences Technologies in Decline Achievements of Spectrum TradingMobile Networks: From Sharing to WholesaleWhy Share Mobile Infrastructure?Pros and ConsImpact on Spectrum LiberalisationThe Role of Politics in Spectrum LiberalisationNation StatesThe Work of the International Telecommunications UnionSpectrum and National PoliticsSpectrum and Regional PoliticsConclusionsCriticisms of AuctionsDo Spectrum Auctions Discourage Investment?Do Auctions Hinder Competition?The Problems with Complex AuctionsDrawing Together the StrandsTHE NEW AGENDAIntroduction to Part IV Finding the Right MetaphorA Mixture of ToolsLicensed Shared AccessIntroduction Availability of IMT Spectrum How Does Licensed Shared Access Work? The Appeal of LSA LSA in PracticeCognitive Radio and Database-Driven Spectrum ManagementCognitive RadioDatabases Ending Before It Has Begun?Future Technologies5GTransmitting Beyond the Radio SpectrumConclusionsFuture Prospects Trends in the Broadcasting Market The End GameAppendix: What Does the ITU Do and How Does It Work?GlossaryIndex

Martin Sims is the founder and managing director of PolicyTracker, the spectrum management newsletter. He is also a consultant on spectrum policy issues, particularly relating to auctions.Toby Youell is a journalist on PolicyTracker and has a degree in politics and Eastern European studies from University College London, London, United Kingdom.Richard Womersley is director of Spectrum Consulting at LS telcom and has over 20 years of experience in spectrum management