A legal challenge to the FCC's incentive auction has prompted the agency to push the spectrum swap until 2016.

The auction has already been moved from 2014 to 2015, and now it seems mobile carriers will have to wait another year to get their hands on the coveted spectrum.

"We now anticipate accepting applications for the auction in the fall of 2015 and starting the auction in early 2016," Gary Epstein, Chair of the FCC's Incentive Auction Task Force, said in a blog post. "Despite this brief delay, we remain focused on the path to successfully implementing the incentive auction."

At issue is a lawsuit filed in August by the National Association of Broadcasters (NAB), which argues that the incentive auction could hurt TV stations that choose not to participate in the auction.

Epstein said the FCC was informed this week that final briefs in the case are not due until late January 2015, meaning a decision is probably not likely until mid-2015. "We are confident we will prevail in court, but given the reality of that schedule, the complexity of designing and implementing the auction, and the need for all auction participants to have certainty well in advance of the auction," a delay is necessary, he said.

The spectrum auction will allow broadcasters to sell their unused spectrum to mobile carriers and get a cut of the purchase price. NAB has been cautiously supportive of the move, but the group's lawsuit says that the FCC is not providing adequate protection for broadcasters who decline to participate in the auction.

In a statement about the delay, NAB took issue with the fact that its lawsuit is to blame. "We reject suggestions that our narrowly focused lawsuit is cause for delay," NAB Executive Vice President of Communications Dennis Wharton said. "We look forward to a speedy resolution of our legal challenge and a successful auction that preserves access to free and local TV for every American."

"As NAB has said repeatedly, it is more important to get the auction done right than right now," he continued. "Given its complexity, there is good reason Congress gave the FCC 10 years to complete the proceeding."

Epstein said the FCC has made consistent progress on the auction, pointing to the information packs it recently sent to broadcasters to persuade them to sell.

And despite the delay, Epstein expects the FCC to open a public comment period before the end of the year that would seek input on how the auction will be conducted. It will also consider a notice of proposed rule-making to preserve one vacant TV channel post-auction for use by unlicensed devices.

The wireless carriers have been eager to snap up the broadcasters' spectrum. CTIA, the wireless industry trade association, said that "while any delay in spectrum auctions is unfortunate, we appreciate the thoughtful focus the FCC has brought to this complex auction to ensure it is conducted properly to the benefit of all Americans."

"Today's action underscores the need to resolve the pending litigation over the FCC's rules expeditiously," said CTIA's Vice President of Regulatory Affairs Scott Bergmann. "When the auction is held, mobile companies will have their checkbooks ready to participate in this critical auction that will be key to our nation's wireless future."

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