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Home - VIEWPOINT
Archived Articles

VIEWPOINT

by Reily Gregson July 15, 1996
written by Reily Gregson July 15, 1996 Share
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Does anyone have any common sense any more? (And if they do, are they willing to auction it off to the highest bidder?)

While the GOP-led Congress debates what to do with TV channels 60-69-should they auction them, should they keep them for broadcast transmission or reallocate them so they can be used for wireless communications services-President Clinton already has spent the $5 billion he thinks would be raised from the successful auction of those channels.

I find that borders on the obscene.

And Clinton’s not alone.

New Sen. Majority Leader Trent Lott has ditched plans that would have halted awarding digital TV licenses until after spectrum reform legislation had passed. That effort aligns Lott with the TV broadcast industry, which threatened that consumers will lose free TV if broadcasters have to pay for digital licenses.

(Somehow that argument reminds me of the National Rifle Association, which insists that any ban on assault weapons will lead to government going door to door to take away hunting rifles the next day.)

John McCain, a conservative GOP budget hawk who sits on the Senate Commerce Committee, said, “I sincerely hope that the FCC will see clear to do the right thing and auction these channels [60-69]. This proposed auction will undoubtedly result in new revenues to the Treasury. If the commission decides not to auction, I hope the commission will correctly identify its action as a ripoff of the American taxpayer.”

Well said.

If we ever needed a reasoned approach to spectrum policy, it’s now, when spectrum auctions are the solution to every problem-except if they happen to offend a powerful lobbying association like the National Association of Broadcasters.

Here is the reality: If any business is going to use the public airwaves in the near future for commercial services, there will be some talk of auctioning off that spectrum.

And in fairness to the American consumer and wireless communications industry-which values the spectrum it recently received at more than $20 billion-businesses that plan to use public spectrum to make a profit should be required to pay for that spectrum.

It is really that simple.

The industry itself will determine the value of the spectrum by the prices it is willing to pay.

If the days of “free” TV are over, legislate that spectrum be set aside for not-for-profit uses.

There. Done.

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Reily Gregson

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