The Impact of Spectrum Quality on Wireless Telecom Competition

Abstract

This paper explores the metrics used by FCC and others for evaluating competition between wireless telecom carriers. It focuses on the impact of wireless spectrum quality on the results of FCC spectrum auctions and the estimated market shares of wireless carriers. In this case, it is revealed that quality is affected by the physical attributes of and the policies that are imposed at auction. Further, accounting for quality can lead to changes in the perception of concentration in local markets. The findings here give insights that can be used to better evaluate the competitive landscape of telecom in the future.