Obama endorses tax deal's spectrum provisions

President Obama praised Congress on Thursday for agreeing to legislation that would extend a payroll tax cut and auction television airwave licenses to wireless companies.

He promised to sign the bill as soon as it reaches his desk.

"[The legislation] includes a critical element in the plan I outlined in the State of the Union to out-innovate the rest of the world by unleashing mobile broadband, investing in innovation, and building a nationwide public safety network," Obama said. "It will mean a stronger economy and hundreds of thousands of new jobs."  

The legislation would authorize the Federal Communications Commission (FCC) to auction off television airwave licenses, splitting some of the revenue with the stations that choose to participate. The airwaves, known as spectrum, are worth billions of dollars to wireless carriers, which are struggling to meet the growing data demands of smartphones and tablet computers.

The bill would also set aside some airwaves to create a nationwide wireless broadband network for first-responders.

In total, the spectrum provisions would raise an estimated $15 billion to offset the cost of extending unemployment benefits.

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