As it did in August, the FCC has taken a step to speed up bidding in Stage 4 of the Forward Auction by doubling the increment percentage used to set new clock prices for all spectrum in each round.
The shift from adding a fixed 5% increment to the previous round’s posted price to a 10% increment begins Wednesday (2/1), with Round 22 set to commence at 10 a.m. Eastern.
This 10% increment will be reflected in the next round clock prices announced after the last round of bidding on Tuesday (1/31).
Tuesday’s bidding will begin with exactly $18,670,477,387 raised by wireless services companies seeking spectrum from broadcast television companies.
That easily meets the Stage 4 clearing cost of $10,054,676,822.
The average price is $1.25, and net proceeds are $12,011,676,822.
The second component of the final stage rule remains the same as in previous stages: the estimated auction net proceeds must be sufficient to cover winning bidder payments for broadcasters and other cost requirements.
After the first round of forward auction bidding in Stage 4, the second component of the final stage rule graphic was updated to display the new target amount, plus approximately $1.9 billion of other cost requirements. The estimated amount will display the predicted auction net proceeds as of the close of the round.