It is a spectrum allocation procedure based on Simultaneous Multiple Round Auction (SMRA). Combining Bottom - Up process to investment offers and Bottom - Down to define the spectrum price.
We have designed a spectrum allocation process or auction, called SpectrumInvest Procedure. Based on two innovations, investment offers instead of price, and price inversely proportional to investment offers. The objective is to increase investments to deploy 5G and achieve to most population objective, during 5 years. And Invest-Drivers, with aim of reducing execution time.
Spectrum auction starts with a main stage. Each bidder must submit their investment offer composed of Net Present Value (NVP) of their investment for 5 years. We use NPV to compare the investment presented between each bidder and qualify because two operators can present same mounts, but using NVP prioritizes the investment offered the first years of 5 years.
At the main stage, we present a maximum value that correspond to base bid. Additionally, minimum value is presented too. Following investment offers must be exceeding the base bid. Spectrum price will be decreasing to minimum value depends of investment offer presented by each bidder.
Investment offer corresponding to it will be executed if bidders obtains the bandwidth auctioned. Please note that it can be made up of different frequency bands (low, medium and high frequency bands).
Acceleration stage it to promote coverage. Network deploys in rural zones or with limited coverage. Normally, rural zones have a population high dispersion. For that reason, cover that zone imply an investment increase and it may not be recoverable by investors. The solution presented include spectrum and network sharing. (SpectrumInvest Shared) by mobile operators who wins the spectrum.