America’s commitment to technological innovation is at a crossroads

Opinion
America’s commitment to technological innovation is at a crossroads
Opinion
America’s commitment to technological innovation is at a crossroads
Qualcomm 5G-052219
Qualcomm introduces their 5G mobile network at CES International Wednesday, Jan. 9, 2019, in Las Vegas. The Qualcomm 5G platform release is scheduled for later in 2019.

One of America’s enduring strengths has been its long embrace of technological innovation. From the widespread adoption of groundbreaking technologies such as the
automobile
and
airplane
, to the invention of common household appliances such as the
dishwasher
and
microwave
, America has never lost sight of technology’s critical role in driving economic development and societal progress.

In modern times, this embrace of technology has included
5G
networks, a revolution of next-generation wireless networks that has touched nearly every aspect of American life, from education and medicine to shopping and taxes.


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However, this revolution is fueled by a steady supply of
spectrum
, which refers to invisible radio frequencies over which wireless signals travel. Licensed
mid-band spectrum
, in particular, is in heavy demand because it possesses the ideal mix of speed and geographic coverage, making it perfect for 5G and future
sixth-generation
networks. Unfortunately, America is not currently identifying enough spectrum bands to satisfy
growing
consumer demand. This must change, and fast.

The government could start with sharing spectrum bands it isn’t using. According to a recent Accenture
report
, the government has access to 12 times more licensed mid-band spectrum than the wireless industry. While the government, particularly the
Department of Defense
, claims to need access to mid-band spectrum, there is no reason they should resist giving up access to spectrum bands they are not actively using.

Rebalancing mid-band allocations should also be treated as a top priority by lawmakers. A failure to act now could leave America vulnerable to international competitors such as China, a country that does not share America’s strategic interests and has allocated
70%
more licensed mid-band spectrum for 5G. Leading on all
5G metrics
, including mid-band spectrum, will put America in the driver’s seat for setting
technical standards
and
building
the “infrastructure the global network will depend on.”

A significant impediment to acquiring adequate amounts of mid-band spectrum, however, is Congress’s inexplicable
failure
to reauthorize the Federal Communications Commission’s auctioning authority before its expiration earlier this year. Since the competitive bidding process was first established in
1993
, the FCC has generated
$233 billion
for the U.S. Treasury and unlocked $1 trillion in benefits for the public. This is free money that can be used to meet various pressing government needs, such as funding
next-generation 911 services
and the
Affordable Connectivity Program
. Congress must act quickly to reauthorize the FCC’s auctioning authority.

America has spent the better part of its existence allowing the creative energies of the free market system to work its magic and produce new and popular technologies that improve consumers’ lives and provide the U.S. with a competitive advantage over other nations. To abandon this position now by failing to provide an adequate amount of exclusive, fully powered mid-band spectrum would be a colossal mistake.

Consumer demand will eventually outstrip supply, and America’s ability to unlock the full potential of 5G technologies will go unrealized. Policymakers must work quickly to ensure that spectrum is allocated appropriately and that federal agencies such as the FCC have the tools to auction more mid-band spectrum to willing private bidders.


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Nate Scherer is a policy analyst with the American Consumer Institute, a nonprofit education and research organization. For more information about the Institute, visit us at
www.TheAmericanConsumer.Org
or follow us on X @ConsumerPal.

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