US Congress seeks to open up additional spectrum for commercial use

With the increasing demand for data from US consumers, cellular networks in the country are faced with severe load conditions and such as AT&T are therefore, spending billions on additional spectrum to upgrade their service.

Now, Congress is looking to step in to address the issue, with a bill to meet that demand, by drawing on the vast swaths of radio frequencies controlled by the federal government.

Two Democrat and two Republican representatives are introducing a bill on the same lines. The resulting auction of government airwaves could give a huge boost to the coffers of industry, consumers and the federal government.

"This legislation would create the first-ever incentive auction for federal agencies and - for once - offer revenue to federal spectrum users," said Doris Matsui (Democrat California),  among those who moved the bill, said in a statement. "It is a game-changer."

The legislation, which had earlier been considered in the last Congress and had been supported by key committee lawmakers such as Representative Greg Walden (Republican –Oregon), and directed the Federal Communications Commission to set up a sale of federal spectrum.

The Federal Spectrum Incentive Act mirrored legislation introduced in the previous Congress and would provide financial incentives to encourage government agencies to relocate from their existing spectrum bands in order to free up additional spectrum for commercial purposes and innovation.

These funds could be used by agencies to accommodate relocation costs or to offset sequestration cuts.

''Spectrum is an important and limited resource,'' said Brett Guthrie (Republican –Kentucky) another representative who moved the bill. ''By encouraging federal agencies to make additional spectrum available, we can invest in innovation and ensure spectrum is available to meet the demands of our critical emergency needs and commercial uses.''

''The AWS-3 auction highlighted the appetite for increased spectrum in the marketplace. As Americans increasingly rely on smartphones and tablets to communicate, Congress must look for creative ways to produce more spectrum. This legislation would create the first-ever incentive auction for federal agencies and-for once-offer revenue to federal spectrum users. It is a game-changer,'' said Matsui. ''I am pleased to join with Congressman Guthrie and our Senate colleagues on this bipartisan, bicameral bill that is a win-win for consumers, and for American innovation.''