Studies Show the Urgent Need for More Spectrum | Citizens Against Government Waste

Studies Show the Urgent Need for More Spectrum

The WasteWatcher

Two industry groups have released reports highlighting the economic benefits of spectrum to the U.S. economy.  Spectrum underlies the capability to provide licensed and unlicensed services and technologies, and mobile communications.  Unfortunately, it is also in limited supply, and the need for more spectrum is made clear in the two reports.

A March 27, 2025, Accenture report found that the “lack of additional spectrum for 5G is reaching a point of crisis.”  As more consumers access 5G networks with more modern devices, peak traffic demand is projected to be reached in two years, and by 2035, three quarters of peak demand will be unmet unless the licensed spectrum deficit is closed.  Networks are already struggling to meet the data traffic demands compounded by mobile artificial intelligence, with AI-enabled devices expected to outpace capacity as early as 2028 and one-third of demand being unmet by 2029.

Meanwhile, an April 2, 2025, Wi-Fi Forward study spotlighted the job creation impact of unlicensed spectrum from 2023 to 2032.  The study found that the unlicensed spectrum used by Wi-Fi was responsible for more than 7 million American jobs in 2023.  Its employment impact in the U.S. is projected to grow to more than 13 million jobs by 2027 and approximately 21 million jobs by 2032.  There will be a need for additional unlicensed spectrum to support this growth.

Both the wireless (licensed) and Wi-Fi (unlicensed) industries are looking toward the future and making their case for more mid-band spectrum.  However, their pleas are falling on deaf ears in Congress, which has failed to both renew the Federal Communications Commission’s (FCC) spectrum auction authority after it expired on March 9, 2023, and find a path forward to force federal agencies to relinquish unused or underused spectrum that could be repurposed in the private sector.

While the U.S. has not auctioned any spectrum for more than two years, other countries have not stopped moving forward, placing the U.S. at a global disadvantage.  For example, the World Radio Conference (WRC) 2023 adopted a proposal from China that set aside the 6.425-7.12 GHz bands, along with other bands for licensed mobile operations as part of its global harmonization of spectrum use.  This band was set aside on April 24, 2020 by the FCC for unlicensed use, effective in May 2025.  Without a clear path forward on spectrum policy, the U.S. will be placed at a further disadvantage when the WRC meets again in 2027, potentially in China. 

Given its scarcity, every possible wavelength of spectrum should be made available for private sector use.  But as demonstrated by the battle over the 5.9 GHz band for unlicensed use, agencies will try to find any excuse to keep what they have in their hands at the expense of taxpayers, even if there is no past, present, or potential future use.  Department of Commerce Secretary Howard Lutnick and the next administrator at the National Telecommunications and Information Administration must hold federal agencies accountable for the spectrum they currently have and require them to relinquish underused or unused spectrum so that it can be repurposed for either an auction for licensed use, shared use, or set aside for future unlicensed purposes. 

Licensed, unlicensed and shared spectrum hold great value to the economy.  Increasing its availability will drive communications networks forward, support the economy, enhance national security, and maintain America’s status as the leader in global telecommunications.