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Satnews Daily
January 7th, 2020

Forrester Reports: U.S. C-Band Auction Could Culminate in Revenues of $50 Billion

Chris Forrester

Journalist Chris Forrester has filed a fresh report at Advanced Television's infosite that New Street Research, in a note to investors, states that the planned auction of C-band spectrum over the U.S. could “conservatively” reach $50 billion (€44.7bn).

The analysts use as its benchmark a recent auction of similar bandwidth in Taiwan, which “blew away expectations,” stated New Street.

The Taiwanese bid reached a new record of $0.51 per Megahertz pop, which New Street analyst Vivek Stalam stated was 10 cents above the previous high price achieved in Italy in 2018.

New Street’s advice to investors is to “BUY” Intelsat shares, for example, and places a target price on Intelsat of $34 per share. Intelsat’s share price was $7.35 on January 6th.

The firm’s guidance is that Taiwan’s auction prices achieved are supportive of the U.S. auction probable values.