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Auction 10

Broadband PCS C Block Reauction

DateAuction 10 began on
 and closed on
Round 125 (See PN 96-1153)
18 Basic Trading Area (BTA) licenses (defaulted licenses from C block auction)
See the Basic Trading Area (BTA) map (pdf)
SpectrumBlock C: 1895-1910; 1975-1990 MHz
30 MHz (15 MHz paired)
See PCS Bandplan (pdf)
Winning Bidders7 bidders won 18 licenses
Bidding Days8
Qualified Bidders32
Licenses Won18
Net Revenues
Net Bids$904,607,467.00
Gross Bids$697,213,949.50
General information and associated licensing parameters are provided below. Public Notices provide specific information regarding this auction. This fact sheet includes:

Key Dates

1/23/1996 from 12:00 p.m to 5:00 pm
Upfront Payments Deadline (Cashiers Check)
6/14/1996; 11:59 pm ET
Upfront Payments Deadline (Wire Transfer)
6/14/1996; 3:00 pm ET
Auction Start
Auction Closed

Licenses Offered

Beginning on July 3, 1996, the FCC reauctioned 18 defaulted C Block licenses to provide Broadband PCS. The FCC's rules provide that if a winning bidder fails to remit its required down payment for a license, the FCC may either reauction the license or offer it to other highest bidders. It was decided that a reauction would rapidly and efficiently reassign the defaulted licenses.
The C block spectrum licenses are designated as Entrepreneur’s Blocks and are only available for those bidders designated as such. To qualify as an entrepreneur, bidders must have gross revenues of less than $125 million in each of the last two years and total assets of less than $500 million at the time the FCC Form 175 application was filed).

Permissible Operations

Broadband PCS encompasses a variety of mobile and/or portable radio services, using such devices as small, lightweight, multifunction portable phones, portable fax machines, and advanced devices with two-way data capabilities that are competing with existing cellular, paging, and other land mobile services.

License Period

Licenses are issued for a ten-year term from the initial license grant date.

Installment Payments

Installment payments were offered. See the Bidders Information Package for more information on this subject.

Bidding Credits

Qualifying applicants in Auction No. 10 were eligible for a bidding credit on C block licenses that represents the amount by which a bidder's winning bids are discounted. The size of the bidding credit depends on the average gross revenues for the preceding three years of the bidder, as set provided in 47 C.F,R. § Section 24.709 and §24.720(b).
A bidder with average gross revenues not exceeding $40 million for the preceding three years received a 25 percent discount on its winning bids for C.
The definitions of very small business and small business (or a consortium of very small or small businesses; including calculation of average gross revenues) are set forth in 47 C.F.R. § 24.720(b).
Winning bidders of C licenses should note that transfer and assignment restrictions and unjust enrichment provisions apply to winning bidders that use bidding credits and subsequently assign or transfer control of their licenses to an entity not qualifying for the same levels of bidding credits.

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