TAMPA, Fla. - The Federal Communications Commission voted July 22 to push satellite operators out of more C-band spectrum for a 5G auction next year, while approving a licensing overhaul aimed at accelerating the commercial space economy. Because nothing says 'space age' like terrestrial wireless networks hogging the radio waves.

The upper C-band order sets up a July 2027 auction of 160 megahertz in the 3.98-4.14 gigahertz band, following a sale of 280 MHz of lower C-band in 2020 that generated more than $80 billion from telcos such as Verizon, AT&T and T-Mobile. That's a lot of cash for a government agency that doesn't even get to keep it - the proceeds go to the U.S. Treasury, but still.

Clearing lower and upper C-band frequencies would create a 440 MHz 'super band' for terrestrial wireless networks, the FCC said, with services slated to begin in the top 75 U.S. markets as early as December 2030. Mark your calendars, folks - we'll finally have 5G in every Starbucks by then.

C-band incumbents - mainly Europe’s SES and Eutelsat, which use the frequencies to distribute TV services in the United States - will need to relocate to the remaining 40 MHz of upper C-band or other spectrum such as Ku-band. Because nothing says 'efficient regulation' like forcing companies to move to a smaller piece of the pie.

About $13.4 billion of the lower C-band auction proceeds went to incumbent spectrum holders to cover costs and encourage them to relocate quickly. The FCC says total incentives for the upper C-band will be 'less in aggregate' but 'roughly commensurate given the lower amount of spectrum being cleared.' In other words, they'll get paid, just not as much.

SES, the largest upper C-band incumbent, said it will hold comment until it has had a chance to review the final order, which the FCC has yet to release in full. The operator had previously called on the FCC to auction no more than 160 MHz of upper C-band - which, coincidentally, is exactly what the FCC decided. Coincidence? We think not.

The FCC said it has also worked closely with the Federal Aviation Administration to ensure the plans do not disrupt aircraft radio altimeters that use nearby frequencies. FCC Chairman Brendan Carr said during the regulator’s July 22 open meeting: 'The steps the FAA will be undertaking in parallel with this FCC decision will ensure that C-band services successfully coexist with critical aviation safety tools in the adjacent band.' In other words, we promise the planes won't fall out of the sky. Mostly.

FCC Commissioner Anna Gomez partly dissented from the order over the agency’s decision not to give tribal nations a chance to secure frequencies before they are auctioned more broadly. Because nothing says 'equal opportunity' like leaving indigenous communities out of the spectrum grab.

Incoming satellite licensing assembly line

In a separate vote, which passed unanimously, the FCC adopted new space and Earth station licensing rules it said create a 'licensing assembly line' for applications. The order replaces the FCC’s legacy Part 25 satellite rules with a new Part 100 framework that aims to process applications faster and more predictably, including extending the types of minor license modifications that can be made without prior authorization.

More broadly, the overhaul aims to move reviews that can stretch for years onto timelines measured in months or weeks to support non-geostationary (NGSO) constellations as they replenish and upgrade satellites. Because in the space industry, waiting a decade for a license is so last century.

'By modernizing its licensing process to improve speed and predictability, the FCC is allowing our members to focus on providing innovative services,' said David Redl, executive director of the newly created SpaceConnect NGSO industry association. 'Our members are committed to providing consumers with all the benefits that NGSO satellites have to offer, and we look forward to working with the Space Bureau and the rest of the Commission to continue to deliver.'

The FCC is also seeking further comment on space-based experimental licenses and additional licensing reforms to keep pace with the rapidly evolving industry. Because who doesn't love a good comment period?