Broadcasters have until Dec. 18 to decide to participate
By John Eggerton, Broadcasting & Cable, 10/16/2015
The FCC Friday [16 OCT 2015] released its final opening bid prices for TV stations eligible for the broadcast incentive auction that starts in March
2016.The commission had provided estimated opening prices in a Greenhill II report back in February, but this is the real thing.
The top bid will be in New York -- $900 million for WCBS-TV.
The list also includes stations listed as "not needed" that the FCC will not need to offer to buy in order to clear enough spectrum in each market. For example, the FCC needs no stations in Grand Junction-Montrose, Colorado; or the Butte-Bozeman, Montana, markets.
-or-
Every station operating above Channel 37 that is eligible to participate in the incentive auction would have three options:
(1) Take the money, surrender its license, and go off the air.
(2) Move to a lower channel (between 2 and 36) if it can find one that meets channel- and distance-separation requirements. Virtual "channel" number would remain the same.
(3) Join forces with an existing station in the lower band and transmit both signals over the same transmitter within the same channel. Virtual "channel" numbers would remain the same for both stations.
Full-power and Class A LPTV stations are eligible to participate. Non-Class A stations are not eligible to participate and may lose their licenses.
The status of Channel 37 (radio astronomy) would remain unchanged.
Neal McLain
After I submitted the above post, the moderator asked me to provide some background >
- Who is auctioning what, and to whom?
Responses:
- Who is auctioning what, and to whom?
As I wrote in TD 33-176 (6 OCT 14):
- Why?
To vacate spectrum presently assigned to broadcast television and reassign it for PCS (cell) service and mobile data.
- How does this auction affect the spectrum available to data users with cellphones in their pockets?
It increases the available spectrum by clearing certain UHF broadcast television Channels. The FCC's detailed explanation is here:
PART 1. The U.S. Treasury pays. Congress has appropriated a pot of money for this purpose.
PART 2. Once the spectrum is cleared the companies that participate in the auction pay. Presumably PART 2 will raise enough money to offset PART 1 and even return a profit to the treasury.
4b. Why is it worth it to them?Because it's the law of the land.
If you're a big major market commercial broadcast station on one of the channels that the FCC wants to clear, it's probably not worth it. But if you don't participate in auction, you may miss your chance to negotiate a reasonable deal for a lower channel. In which case the FCC may do it for you.
If you're a marginal commercial broadcast station in a minor market you might decide to take the money and run. Turn off your transmitter, surrender your license, and retire to your Florida villa.
If you're a state University that owns a PBS affiliate you might decide to close the station and take the money. The University of South Florida is considering doing just that.
If you're a Class A low power station you are eligible to participate in the auction. Hope for the best.
If you're a low power station (but not Class A) you are not eligible to participate in the auction. Good Luck.
Neal McLain