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REGULATIONSpectrum Pricing

 

With the contribution of spectrum being so important to the national economy, an efficient allocation of spectrum should be maintained between different sectors and applications to maximise its value. Using spectrum pricing as a means of motivating spectrum re-distribution is becoming increasingly attractive to some regulators.

To set an effective spectrum price requires regulatory authorities to take account of:

  • The actual value of spectrum and its potential utility to other users
  • The actual motivational impact of pricing on spectrum users

Without taking account of both of these aspects, inappropriate prices may be set that at best might result in no transfer of spectrum ownership to better users, and at worst might stifle the industries it is intended to optimise.

Quotient’s skills in spectrum valuation and regulatory impact assessment can help regulatory authorities put in place an effective spectrum pricing regime, or assist user groups to better understand their industry and present a case for a pricing level most appropriate to the specific needs of their industry.

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