U.S. wireless operators are poised to turn new mid-band spectrum into rapid economic growth, according to a report from economic consulting firm NERA. The report, commissioned by CTIA, finds that each additional 100 MHz of mid-band spectrum licensed for 5G will add over $260 billion to GDP, create 1.5 million new jobs, generate almost $390 billion in consumer surplus, and connect 275k households to high-speed broadband for the first time through 5G home services.
As Congress considers how it develops a plan for new spectrum auctions, policymakers should recognize the significant benefits of a pipeline of new commercial spectrum for wireless networks, says CTIA. “As the NERA report shows, investments in licensed spectrum are a stimulus to the economy, beneficial to consumers and supportive of American innovation. In addition, spectrum auctions provide sizeable revenue for the government, having already raised over $233 billion for the U.S. Treasury,” according to the association.
CTIA President/CEO Meredith Attwell Baker calls the report, “a powerful reminder of what’s at stake in the spectrum debate. Releasing more mid-band spectrum is a critical step to creating more jobs, growing our economy and connecting all Americans.”
More commercial spectrum is sorely needed if networks are to keep up with exponential growth of data traffic, notes CTIA. Traffic on wireless networks eclipsed 1 trillion megabytes in 2023—double the amount of traffic from 2021, according to the NERA report. Anticipated demand will require over 400 MHz of spectrum by 2027, growing to nearly 1400 MHz by 2032.
By Leslie Stimson, Inside Towers Washington Bureau Chief
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