Calls for Voluntary Spectrum Auctions and Urges Congress and the Administration to encourage innovative market solutions to alleviate immediate spectrum pressures
(WASHINGTON, DC) – Mobile Future Chairman Jonathan Spalter sent a letter to the Joint Select Committee on Deficit Reduction urging the Committee to call for voluntary spectrum auctions to meet growing consumer demand, reduce the deficit and spur lasting economic recovery and job creation. The letter also urges Congress and the Obama Administration to support and promote a climate that encourages innovative market solutions, including new business combinations, to alleviate immediate spectrum pressures and ensure the continued expansion of the mobile innovation economy.
In the letter, Mobile Future points to the significant economic impact of mobile innovation including the support of 2.4 million American jobs; contributions of $100 billion annually to the U.S. GDP; and wireless company capital spending exceeding $185 billion, with that investment expected to rise 10% this year. The letter also underscores the outsized macroeconomic impact mobile networks have on the national infrastructure, with every dollar invested in wireless adding $10 to the U.S. GDP.
With voluntary incentive auctions estimated to create up to 500,000 additional U.S. jobs and add $400 billion to the U.S. GDP, the letter acknowledges it will take several years to get spectrum to the market. Mobile Future has also launched an online and print ad campaign highlighting why it is essential to bring more spectrum online immediately.
The letter includes several eye-opening statistics that reinforce the exploding consumer demand for wireless broadband and the consequential, urgent need for additional spectrum:
- Today, more mobile devices are sold than personal computers.
- In 2011, for the first time, the number of wireless subscriptions in our nation exceeds the U.S. population.
- Americans consume, on average, 50% more on their wireless devices than populations anywhere else in the world.
- Cisco estimates that wireless Internet traffic in North America will grow more than 20-fold from 2010 to 2015.
“American consumers are increasingly attached to their mobile devices and spectrum policy must keep pace with growing demand,” said Mobile Future Chair Jonathan Spalter. “With mobile consumers leading the charge, the wireless innovation community is consistently rolling out new services and products for virtually every aspect of our lives. There are tremendous mobile opportunities on the horizon, but we can’t afford for policymakers to delay making more spectrum available.”
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Mobile Future is a coalition of cutting-edge technology and communications companies, consumers and a diverse group of non-profit organizations, working to support an environment which encourages investment and innovation in the dynamic wireless sector. Our mission is to help inform and educate the public and key decision makers in business and government on the broad range of wireless innovations that are transforming our society and the nation’s economy.