Never underestimate the power of signals - game theory in frequency auctions | with Stephan Knapek

In 2020, the Nobel prize for economics was awarded to Robert Wilson and Paul Milgrom for their contributions to complex auction formats. In this episode of Game Changer, Stephan Knapek, Managing Partner at TWS Partners, talks about frequency auctions as a practical application of such complex auction formats. He explains why the state uses auctions to allocate frequency bands to telecom providers, and how these auctions are structured. He also gives insights to the strategies of the bidders, and shows how some of them exploit flaws and loopholes in the auction ruleset in order to send signals to their competitors. If you want to read more on this topic – and if you are fluent in German – you can check out Stephan’s articles in the German newspaper Handelsblatt, where he commented on the developments of the German 5G frequency auction in 2019: https://www.tws-partners.com/about-us/media/press-news/handelsblatt-5g-auction-in-germany/

Om Podcasten

In Game Changer, the podcast by TWS Partners, we want to share our enthusiasm and passion for game theory and its applications. We invite guests from business and academia to discuss how they use the power of game theory in their profession to make a difference – and to learn some fun anecdotes, useful facts and valuable insights along the way. Join us on this journey, and find out that game theory is much more than a topic for ivory tower discussions.