WASHINGTON-The number of bidders has been whittled down to 23, but the bargaining continues during this 12th day of the 800 MHz specialized mobile radio auction of 525 frequencies. Even so, insiders speculate that this latest Federal Communications Commission auction could last until Thanksgiving.
At the end of round 64, net revenues were $57 million, with 47 new bids and 46 new high bids. Again, Nextel Communications Inc. holds the overwhelming lead, pledging $50.1 million for 459 licenses at the end of that round. Those in second place-a position that changes owners nearly every round-still record bids hovering around $1 million for their markets, although Southern Co. was poised on the $2 million mark for 19 frequencies. Behind Southern was High Tech Communications Services Inc., North Sight Communications Inc., Port-Phone Paging Licensee Corp., Communications Pacific Inc., Nevada Wireless, Mountain SMR Group, Redbank Communications and Hawaiian SMR Co.
Four frequencies have garnered bids of more than $1 million: New York City C block ($3.47 million), Puerto Rico and Virgin Islands A block ($1.18 million), Puerto Rico and Virgin Islands C block ($1 million) and Minneapolis C block ($1 million).
There are some bargains in the top 25 economic areas however. During round 56 last Wednesday, the A block of Denver-Boulder was going for $15,156; the A blocks for Orlando and San Diego were priced at $25,000; the A block for Phoenix-Mesa went for $18,000 and the A block of Kansas City was $17,000. Nextel held them all at the close of that round.
At press time, the A block had contributed 14.7 percent to the auction’s net revenues, the B block 32.2 percent and the C block 53 percent.
Players leaving the field last week included: Morris Communications; Alaska Independent Radio Communications L.L.C. dba AirCom; HTC Communications; IE Communications Inc.; Alpha Communication Sites Inc.; AP&T Wireless Inc.; Communications Equipment Co. L.L.C.; Skitronics Inc.; and Racom Corp., which had competed head to head with Nextel from the beginning. Racom’s upfront payment was second only to Nextel’s.
