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The Office of Communications (OFCOM) of the UK has carried out a study on the redefinition of license areas for unsold LMDS licences. NERA Senior Consultant Dr. Soren Sorensen and former NERA Associate Director Dr. Philip Kalmus comment that the fundamental problem of UK operators is that in the current climate reserve prices for UK LMDS licenses are too high, and redefining LMDS license areas may not be enough to adress that problem. Dr. Kalmus and Dr. Sorensen further comment that, in addition to redefining license areas, a reduction in the reserve price may be achieved by offering smaller license blocks, and by allowing existing licensees to reconfigure and trade their licenses.