Working Paper
The German UMTS Design: Insights From Multi-Object Auction Theory
Christian Ewerhart, Benny Moldovanu
CESifo, Munich, 2002
CESifo Working Paper No. 680
CESifo, Munich, 2002
CESifo Working Paper No. 680
We briefly survey several insights about value and revenue maximization in multi-object auctions and apply them to the German (and Austrian) UMTS auction. In particular, we discuss in detail the exposure problem that caused firms in Germany to pay almost Euro 20 billion for nothing.