Unleashing American Innovation Through Strategic Deregulation

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One critical opportunity lies in the modernization and reallocation of government-held spectrum.

American innovation is under siege. Without decisive action, government overreach threatens to suffocate the very ingenuity that made our nation an economic superpower. In a modern economy, speed and adaptability are everything.

Yet America’s private sector too often finds itself battling outdated regulatory constructs and short-sighted regimes that together slow progress, raise costs, and cede critical advantages to competitors like China. Left unchecked, these burdens risk hollowing out the very industries and enterprises that have historically fueled American prosperity and leadership in the global marketplace.

While the United States once dominated global patent filings, China now files more than three times the number of patents we do each year. This is not a reflection of diminished American talent, but a symptom of burdensome, ill-conceived regulations that stifle innovation instead of facilitating it.

The raw potential of American inventors, entrepreneurs, and small businesses remains unmatched, but potential alone is not enough. In order to regain our position on the global stage of innovation, we need to strategically clear the runway for our innovators to take us into the future. In an era defined by technological supremacy, leadership will go not to the nation with the most natural resources or even the largest economy, but to the one that empowers its innovators.

One critical opportunity lies in the modernization and reallocation of government-held spectrum. The Federal Communications Commission estimates that demand for wireless services will more than triple in the next five years, fueled by emerging technologies like artificial intelligence, autonomous vehicles, and next-generation broadband. Without decisive action, we risk creating bottlenecks that will hold back the next wave of innovation.

But vast swaths of highly valuable spectrum remain locked within federal agencies, trapped by slow-moving bureaucracies. Unlocking this resource through spectrum auctions would upgrade our technological infrastructure and supercharge private-sector development. In doing so, we can lay the groundwork for new industries, millions of jobs, and technologies that will define the next century.

Past spectrum auctions have proven just how powerful this approach can be. The FCC’s auctions since 1994 have collectively contributed more than $230 billion to the U.S. Treasury while catalyzing breakthroughs in mobile technology and wireless connectivity that touch every corner of American life. They have enabled small businesses to reach new markets, expanded access to telemedicine and remote education, and supported the growth of entire sectors like fintech and the Internet of Things. 

Innovation is not partisan. It is not rural or urban. It is American. Leaders from both parties must rise above ideology and recognize that deregulation, when done thoughtfully and strategically, is not a threat to national security, but a catalyst for progress. Every major technological revolution, from the space race to the birth of the internet, was fueled by a partnership between bold government vision and a liberated private sector. 

Beyond spectrum, the underlying problem is clear. America's regulatory architecture is not built for the pace of modern innovation. Reports from the National Academy of Public Administration and NTIA itself have acknowledged that outdated government technology and policies are major barriers to progress.

Without structural reform, we risk falling behind not just China, but emerging players like South Korea, Singapore and others across the globe. These nations have demonstrated a clear understanding of the link between agile governance and technological dominance, investing heavily in policies that foster innovative ecosystems rather than strangle them. 

As President and CEO of the U.S. Hispanic Business Council, I see firsthand how unleashing innovation empowers entrepreneurs, drives job creation, and strengthens entire communities. In the race to harness technologies like AI, 6G, and the next generation of WiFi, regulatory setbacks can define entire industries for decades. Every delay caused by bureaucratic inertia is a gift to our adversaries and a missed opportunity for American workers, businesses, and consumers. In its most simple form, the debate around spectrum auctions boils down to one decision. We can remain shackled by outdated regulations and red tape, or we can reclaim America’s mantle as the world’s most innovative, competitive, and resilient nation. 

Javier Palomarez is the President & CEO of the United States Hispanic Business Council (USHBC). The United States Hispanic Business Council (USHBC) is a voice for the Hispanic business community. A 501(c)6 non-profit nonpartisan organization, the USHBC focuses on improving access to contracting in the public and private sector, fair representation of Hispanics in business, media, and politics and ensuring Hispanics have a voice in the national dialogue. This Expert Opinion is exclusive to Broadband Breakfast.

 
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Deregulation Key to Beating America's Innovation Crisis

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