Access to Spectrum Improving for Rural Providers

FOR IMMEDIATE RELEASE

For Immediate Release
Contact: Hillary Crowder Smith, 703-351-2086, [email protected]  

Arlington, Va. (January 20, 2016)—The nation’s small, independent telecommunications providers are seeing improved access to licensed spectrum, but competition and negotiating roaming agreements with large national carriers continue to pose significant challenges to making effective use of spectrum, according to a new survey by NTCA–The Rural Broadband Association.

The association’s “2015 Wireless Survey Report” found that 40% of survey respondents reported that they had acquired spectrum in the past twelve months, up from 22% in 2014. At the same time, the percentage of respondents using unlicensed spectrum for backhaul fell from 52% to 39%. And those respondents identifying the ability to obtain spectrum at auction as a concern dipped slightly, from 45% to 42%. 

However, survey respondents indicated they continue to have a hard time negotiating roaming agreements with larger providers and those survey respondents who are able to negotiate roaming agreements find themselves paying more for the privilege. Sixty percent of survey respondents indicated that the process of negotiating roaming agreements with larger carriers is “moderately difficult” to “extremely difficult.” Fifty percent of the respondents to this year’s survey reported paying more for roaming on another carrier’s network than the other carrier pays to roam on their network, up from 35% in 2014. Thirty-nine percent report paying about the same amount.

“Work remains to be done to ensure that small wireless carriers have access to the vital spectrum they need. The trends identified in this survey indicate that while some members have successfully obtained spectrum this past year, members remain skeptical about their ability to obtain spectrum at auction,” said NTCA manager, economic research and analysis Rick Schadelbauer. “The ongoing difficulties small carriers face in negotiating with larger carriers can have an extremely harmful impact on ability to make effective use of the spectrum they obtain and their ongoing viability.”

NTCA’s wireless survey was conducted in the fall of 2015. More than 100 NTCA member companies participated. 

The full survey report is available here.

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NTCA–The Rural Broadband Association is the premier association representing nearly 900 independent, community-based telecommunications companies that are leading innovation in rural and small-town America. NTCA advocates on behalf of its members in the legislative and regulatory arenas, and it provides training and development; publications and industry events; and an array of employee benefit programs. In an era of exploding technology, deregulation and marketplace competition, NTCA’s members are leading the IP evolution for rural consumers, delivering technologies that make rural communities vibrant places in which to live and do business. Because of their efforts, rural America is fertile ground for innovation in economic development and commerce, education, health care, government services, security and smart energy use. Visit us at www.ntca.org.