Estimating the Value of TV Broadcast Licenses for the Upcoming FCC Incentive Auction

The Federal Communications Commission was granted the power to organize the Incentive Auction in order to repurpose a portion of the 600 MHz spectrum, currently being used by television broadcasters. Television broadcasters can participate in the Incentive Auction and potentially share a portion of the proceeds of the Incentive Auction. Television broadcasters can also choose not to participate or drop out of the process as the Auction is being conducted and risk being repacked in a lower frequency spectrum. As a result, the Incentive Auction has created certain opportunities and uncertainties for television broadcasters.

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