The Federal Communications Commission (FCC) has regained its authority to conduct spectrum auctions, following the passage of a new budget bill signed into law by President Trump on July 4. This reinstated power enables the FCC to auction off large portions of radio frequency spectrum, including potentially reallocating parts currently used by Wi-Fi networks to major mobile carriers like AT&T, Verizon, and T-Mobile. The legislation mandates that the FCC auction at least 800 MHz of spectrum, sparking concerns over which bands will be targeted to meet this requirement.
FCC Spectrum Mandate Threatens Wi-Fi and CBRS, Sparks Industry and Rural Broadband Concerns
The new law directs the FCC to source 500 MHz from federal users and at least 300 MHz from non-federal users, with a significant portion likely to come from bands currently used for Wi-Fi and the Citizens Broadband Radio Service (CBRS). These bands—specifically the 6 GHz and 3.55–3.7 GHz ranges—are vital to broadband access in rural and underserved areas.
Industry groups like the Wireless Internet Service Providers Association (WISPA) have voiced concern, warning that the loss of this spectrum could undermine broadband delivery and offset the law’s tax incentives for small ISPs.
FCC Restores Auction Power, Raising Alarm Over Wi-Fi and Rural Broadband Spectrum LossThe 6 GHz band, spanning 1,200 MHz, was allocated to Wi-Fi in 2020 under then-FCC Chairman Ajit Pai, who championed unlicensed use to support faster home internet speeds. Now, Pai leads CTIA, the lobbying arm of the mobile industry, which is advocating for licensed commercial access to the upper part of the 6 GHz band (6.425–7.125 GHz) to bolster 5G deployment.
CTIA argues that this spectrum is critical to global 5G competitiveness, even as some telecom executives, like AT&T’s CFO, claim they don’t urgently need more spectrum.
Industry Applauds Spectrum Bill While Advocates Warn of Wi-Fi Access Risks Ahead
The bill has received praise from industry lobbyists and political leaders alike. CTIA and FCC officials celebrated the legislation as a significant victory that will ensure U.S. dominance in wireless innovation and infrastructure growth. FCC Chairman Brendan Carr commended the restoration of auction authority and highlighted the bill’s role in establishing a long-term spectrum pipeline.
The bill’s backers, including Sen. Ted Cruz and Rep. Brett Guthrie, were acknowledged for advancing what supporters view as a visionary move for U.S. technology and economy.
Despite the political and corporate support, consumer advocacy groups like Public Knowledge have raised red flags. They warn that reallocating large parts of the unlicensed 6 GHz spectrum could degrade Wi-Fi quality and availability, especially as dependence on wireless internet continues to grow.
The 1.3 to 10.5 GHz range from which the FCC must draw auctioned spectrum is already heavily occupied by military, aviation, satellite, and existing broadband services—limiting flexibility and increasing the likelihood that essential unlicensed bands will be compromised in the process.
