Anterix Inc (NASDAQ:ATEX) Q1 2021 Earnings Conference Call - Final Transcript
Sep 16, 2020 • 04:30 pm ET
right in the thick of things with high-quality advisers we've brought on. But it's a complex process to bring in a whole new category of capital investment into this space and demonstrate that it's prudent in an industry in which following is a lot more prevalent than leading. So nothing new. But for now, this is part of the sign of momentum. We're now in it. We're in that big dimension of getting these things to real term contracts.
Got you. I'm curious on the timing of the CBRS auction and the decisions. Do you think that, that had some complicating factor? While it's simply complementary to what you're doing, it may have held up some moves forward by some of the utilities until they knew what their position would be?
Well, I think absolutely, yes. What do you think, Rob?
Yeah. I think, as we mentioned, the ones that we're working with, which is most of those who have received -- got winning bids through the auction process as everyone has seen have had really multi-band approaches. And really, when you look at the broader telecom landscape of utilities, they're using fiber, they're using lease lines, they're using commercial systems as well. And so private LTE is going to be a critical important element, but they're going to continue to use other bands, other technologies in filling out the full gamut of what they require. CBRS is a piece of that. And so yeah, absolutely, I think there were utilities who were watching to see what happened in an auction.
Again, our view that there was real capital put down in that auction by utilities that shows for the first time publicly about the -- beyond Southern Company that there's lots of other utilities that are interested in building private LTE and CBRS has a very specific use case that I talked about, but if you really want to do service territory wide coverage, you have to have low band and really 900 as the ultimate solution right now in the marketplace, we think it puts us in a really great position. And again, the CBRS auction has not just increased awareness within the utility sector, which it has, the ecosystem that's growing of vendors and solution providers continues to expand. And those are providers of LTE technologies that typically are working across multiple bands and so we're also going to see real benefit from that as well.
Let's take another last perspective on this. I think it's extremely positive. Historically, the utility industry took the position, they took it at the FCC repeatedly. We can't participate in auctions. We're not able to raise the capital to invest in spectrum. And we just saw a number of them obviously having overcome that participate in this auction. They'll participate in additional auctions, I am sure. Looking at the utility industry, there's something where we seek to be a long-term partner, we're fine with this movement. We think it's absolutely positive