Story perspectives

Experts Urge Market-Based Pricing to Fix Interconnection Inefficiencies

4/2/2025

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Summary

Story summary

Terry Harvill and August Ankum contend that interconnection reform prioritizes process over economic value.
They pinpoint mispricing as the main issue, causing inefficiencies and congestion in interconnection queues.
Suggested solutions involve tradable queue positions, auction-based allocation, and increasing financial commitments.
They argue that market-based pricing enhances access and efficiency, referencing successful FCC spectrum auctions.
Without effective pricing, congestion and delays in interconnection will continue, despite procedural changes.

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Story summary

Terry Harvill and August Ankum contend that interconnection reform prioritizes process over economic value.
They pinpoint mispricing as the main issue, causing inefficiencies and congestion in interconnection queues.
Suggested solutions involve tradable queue positions, auction-based allocation, and increasing financial commitments.
They argue that market-based pricing enhances access and efficiency, referencing successful FCC spectrum auctions.
Without effective pricing, congestion and delays in interconnection will continue, despite procedural changes.