Specure’s expertise in spectrum auction services
Our team has over 10 years of experience providing spectrum auction consulting services. This includes consultancy on the auction rules, risks and other specifics related to the implementation and delivery of spectrum auctions. We have been providing services and deployed our software auction platform in numerous spectrum auctions across Europe and in Africa.
Specure works with highly specialized consultancies to provide seamless consultancy and execution related to spectrum auction. Auctiometrix is a global advisor on the design and implementation of high-stake auctions and on the optimal bid strategy. Coleago is one of the leading advisers on spectrum valuation and auction bidding strategy.
In the last few years only, the Specure together with its partners managed to deliver several auction projects, including:
- UKE, Poland, 3.6GHz auction, 2020 – ongoing
- BIPT, Belgium, Multi-band frequency auction, 2019 – ongoing
- PTS, Sweden, 2-year framework contract, 2019 – 2021
- Traficom, Finland, 26GHz auction – 2020
- TCRA, Tanzania, 700MHz auction, January – 2018
- Traficom (Ficora), Finland, 3.5GHz auction – 2018
- Traficom, 4-year framework contract, 2018 – 2022
To learn more about our past experience, please refer to the References page.
Agile project management
Specure applies mature project management methodologies, such as Prince2 Agile. In practical terms, the project manager will provide regular updates on the project progress (Highlight Reports and Progress Reports) and will monitor the project and the related continuously (Risk Register). We hold regular project meetings, either in person or via teleconferences. In case of large deviations from the agreed course, the project manager will escalate the issues in the form of Exception Reports together with a recommendation for the corrective action. Consistent application a mature project management methodology greatly increases the probability of a successful auction project.
Auction consulting services prior to the auction
Auction format
A great attention needs to paid to the selection of the right auction format. The most commonly used auction designs have been the Simultaneous Multiple Round auction (SMRA) and the Combinatorial Clock Auction (CCA). There are numerous variations of each design. Each of these can bring its own benefits and risks. Variations of each design, specifically about information disclosure provisions, activity rules and bid increments can have a large impact on the relative performance, and thus on the perceived success or failure, of the auction.
Information Memorandum
It is advisable to consult with key stakeholders prior to the live auction. We believe that the most effective approach is to use a draft Information Memorandum (IM) as the basis for the public consultation.
The IM will draw on material generated from the market and technical assessment, spectrum strategy and roadmap, as well as the auction design. Moreover, the draft IM will detail the proposed license conditions and the detailed auction rules. It will also include the timetable for the award process and the procedures that potential bidders should follow.
The IM should also indicate any qualification requirements for potential bidders.
Public consultation
Public consultation is a critical element of the good practice of spectrum auction consulting services. It may reveal issues not previously identified. It also generates a greater support and participation in the auction. Public consultation also provides an opportunity to validate the auction rules.
The consultation document usually provides the legal and policy background to the assignment. It presents the results of the market and technical assessment and explains the reasons for the proposed spectrum packaging and auction design. The consultation document usually includes the detailed auction rules as well as a draft license agreement.
During the public consultation, the interested parties will have the opportunity to raise any issues and question. These issues shall be addressed in a timely manner, in line with the spectrum strategy and the chosen approach.
Following the public consultation, the regulator shall formally publish the final Information Memorandum along with the results of the consultation process.
Potential bidders should have the opportunity to raise any clarification questions relating to the content of the Information Memorandum. The regulator shall then publish the answers to the questions raised.
Specure and its partners are able to provide expertise and resources needed to prepare Information Memorandum and during the public consultation phase.
Auction execution
Auction execution is the key areas within the spectrum auction consulting services. Specure can provide a full implementation of the spectrum auction, up to the successful conclusion of the auction. The key phases of the implementation are:
- Implementation of the selected auction format and the auction rules;
- Configuring and setting up an auction template;
- On-site demonstrations of the customized software to the agency;
- Provisioning of the final auction documentation including the bidder’s manual;
- Preparation of an internal auctioneer’s manual;
- On-site training using the real auction software, both for the auctioneer and for the bidders;
- One or several mock auctions;
- Execution of the live auction;
- Post auction support
The Electronic Auction Platform
Specure long-term commitment to providing the best state-of-the-art spectrum auction consulting services is also demonstrated in their effort to develop and maintain modern, secure, yet user-friendly auction platform. The platform consists of hardware, software and a secure public-key infrastructure.
Specure Auctions platform provides pre-configured templates for popular auction formats, including SMRA and CCA. We deployed our software successfully in numerous spectrum auctions across Europe since 2008.
Please refer to Spectrum Auctions software to learn more about our spectrum auction platform.
Additional resources about spectrum auction consulting services
For additional information, please refer to the following presentations:
- Martes Specure – Spectrum Auction Services, dated 09/2020
- European Experience with Electronic Spectrum Auctions, dated 09/2017