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FCC votes to auction C-band satellite spectrum for 5G use
FCC chairman Ajit Pai has been pressing for an auction of "mid-band" wireless spectrum that could be useful for expanding the reach of 5G, and on Friday the commission voted to approve rules for just such a redistribution. The rules cover "C-Band" spectrum that satellite companies like Intelsat, SES SA and Telesat are currently using, and include payment incentives for those companies to speed plans to shift operations away from those frequencies by dates in 2021 and 2023. Otherwise, the spectrum will need to be freed up no later than December 5th, 2025. Those payments could add up to $9.7 billion, and dissenting FCC commissioners argued that there wasn't enough consideration on how much they should be or how funds from the auction should be distributed, and that the FCC was misusing its powers under the law. Jessica Rosenworcel said in a statement (PDF) that, "We could start a fund a new initiative to help with rural broadband. We could fund the nation's transition to next-generation 911, which is sorely needed and would benefit public safety in every state. Or we could use some of the revenues to seed a Homework Gap Trust Fund to help our nation's students stuck in the digital divide. It could support WiFi hotspots for loan in every school library—and virtually eliminate the Homework Gap overnight."
FCC chairman wants public auction to repurpose satellite bands for 5G
The FCC's ongoing 5G push might set up a conflict with the satellite industry. Chairman Ajit Pai is pressing for a public auction of wireless frequencies in the C-band spectrum (the 4GHz to 8GHz range often used by satellite companies) for the sake of 5G service. This would help the FCC clear up "significant" frequency space in a quick fashion, generate money for the government and "ensure continued delivery" of existing services, Pai argued. He hoped to auction off a 280MHz slice while leaving the upper 200MHz available.
Senators ask the FCC to limit 5G auction to protect weather forecasts
In March, the Federal Communications Commission (FCC) began auctioning blocks of the 24 GHz spectrum, which could be used to implement future 5G networks. Shortly afterward, the US Navy released a memo warning that 5G in the 24 GHz band could interfere with weather satellites. Now, Senators Ron Wyden (D-Ore.) and Maria Cantwell (D-Wash.) are urging the FCC not to allow wireless companies to operate 5G in that spectrum until weather forecasting operations are protected. The Senators wrote a letter to FCC Chairman Ajit Pai yesterday, citing the Navy's memo and accusing the FCC of ignoring "the serious alarms the scientific community is raising."
Apple, others urge Congress to make more radio spectrum available
A number of technology companies sent a missive to top lawmakers in Washington, DC, yesterday, urging that they authorize freeing up additional radio frequency spectrum for mobile devices. The letter was signed by Apple, Alcatel-Lucent, Nokia, Intel, Qualcomm, Samsung, Cicso, Ericsson and Research In Motion. The companies feel that the feds could auction off some of the spectrum that's currently used by government agencies. By doing so, the companies would gain valuable spectrum for mobile data and the US government would gain some much-needed revenue in return. The companies noted in their letter that, "Now is the time to ensure the incentive auctions are as robust and successful as possible at liberating spectrum. We should also turn our collective attention on ways to reap the economic benefits of underutilized federal spectrum assets." To open up the spectrum used by government users, the combined companies suggested that federal users should be incentivized to "become more efficient, to share with one another, to vacate or to lease their spectrum." [via Gizmodo]
Clear Talk latest beneficiary of Verizon's 700MHz spectrum fire sale
After horse-trading with the FCC and DOJ to gain AWS spectrum from cable venture SpectrumCo in exchange for its 700MHz A and B bands, Verizon has found another taker: Clear Talk, who just signed an agreement to purchase 10 lower B-block licenses. That follows an agreement with Nortex in Texas along with Panhandle Telecom in Oklahoma, and will cover Clear Talk's markets in Maryland, Texas, Georgia, Florida, Nevada and New Mexico. Big Red is evaluating other bids for its lower 700MHz licenses and is also leasing upper C-block frequencies to 20 operators in order "to jumpstart the delivery of 4G LTE in rural areas." Verizon's tat for that tit will be that it can wholesale its services to cable companies like Comcast and Time Warner, making it well worth the company's while, we can imagine.
FCC votes in favor of rethinking spectrum holding rules, goading broadcasters into wireless selloffs
FCC meetings can be momentous occasions under the right circumstances, although it's seldom the case that we see the agency pass two potentially far-reaching measures in one sitting, like we just saw on Friday. To start, regulators have voted in favor of a proposal that will review spectrum sale rules and might drop the case-by-case determinations in favor of a more consistent screening mechanism. The reexamination will also consider a change to the ownership rules surrounding wireless frequencies that treats bands below 1GHz differently than those above -- the better to address a chorus of smaller carriers that don't like all the prime spectrum going to the companies with the most existing clout, namely AT&T and Verizon. FCC Chairman Julius Genachowski argues that reform could spur innovation through more competition, although dissenting Commissioner Robert McDowell is worried that consistent rules will somehow create "uncertainty." Side-by-side with the review, the FCC is proposing an incentive-based reverse auction strategy to have TV broadcasters voluntarily give up their spectrum for cellular and data use. The multi-phase approach would have TV providers set the price at which they're willing to sell their spectrum to the FCC; those that just can't bear to part with their airwaves would be corralled into a tighter band range to make for larger available frequency blocks in the auction that follows. As with other FCC proposals, there's likely to be a long interval between the auction vote, the review and any definitive rulemaking, let alone an impact -- auctions by themselves can take years to play out. Still, any success with the measures could head off spectrum crunches while simultaneously preventing any solutions from consolidating too much power and creating their own problems. [Tower photo via Shutterstock]
FCC to vote September 28th on proposal auctioning UHF spectrum, Weird Al might still approve
The FCC has been more than a little eager to repurpose spectrum as wireless internet access takes off: white spaces and iDEN frequencies have already switched roles, and that's not including the myriad of spectrum swaps. Add one more wireless variety to the list, as FCC Chairman Julius Genachowski has confirmed his agency will vote on a proposal for incentive-based auctions of UHF spectrum. When the Commission meets next on September 28th, it will decide on whether or not to lure broadcasters into giving up the usually TV-focused space for the sake of data lovers everywhere. The freed-up airwaves in the proposal would mostly be unlicensed spectrum with "WiFi-like uses," but at a much lower frequency than the 2.4GHz and 5GHz bands that WiFi needs today: as the first consistent, unlicensed spectrum at that range in the US, it could create opportunities for longer-ranged, free wireless that aren't even on the table in 2012. Not that we have much of a choice in taking action today. Any accepted rules won't be completely finalized until mid-2013, and the auction itself won't take place until 2014. Still, the UHF plans foster dreams of more wireless for everyone -- and we suspect that even one Mr. Yankovic wouldn't mind giving up Channel 62 for a long-distance home network.
India planning fresh 2G spectrum auctions for November 12th
India's Department of Telecommunications has issued guidelines for the forthcoming 2G spectrum auction, penciled in for November 12th. While the subcontinent has already flogged off its 3G bands, it withdrew 122 licenses in the 1,800MHz and 800Mhz waves due to allegations of serious corruption. The country has set the starting price of $2.5 billion, a figure that the networks have balked at, saying that it'll cause tariffs to increase -- but is less than half of the $5.61 billion the country had originally sought to raise during the first, scandal-ridden auction.
UK pins the slow move to LTE on carriers, Australia targets auctions for April 2013
Aussies and Brits have been waiting awhile for either a truly broad LTE launch or to get any LTE at all. That wait is coming to an end, but not without some grousing. UK Minister for Culture Ed Vaizey has alleged that any slow movement stemmed from carriers that have "threatened to sue" regulator Ofcom if it's too hasty and does something they frown upon. Needless to say, that remark has ruffled a few feathers: one of the earliest expected British LTE providers, Everything Everywhere, tells Pocket-lint it has "no appetite" to take Ofcom to court and drag 4G deployments through the mud. Things are going a little more smoothly in Australia, if on a later timetable. The Minister for Broadband, Communications and the Digital Economy, Senator Stephen Conroy, now expects Australia to auction off 700MHz and 2.5GHz wireless frequencies in April 2013. That could lead to a very long wait for wider 4G service in the country, but at least the 700MHz support will be good news for device makers that don't want to be mired in disputes over LTE devices they've brought over from the US.
Canada relaxes rules on foreign ownership of wireless companies, plans spectrum auction for first half of 2013
The Canadian government made a major announcement on telecom policy late this afternoon, revealing a change that opens the door to more foreign ownership of wireless companies -- an issue that's been a point of contention for some time. As The Globe & Mail reports, the new rules will allow for 100 percent ownership of companies with a market share of ten percent or less -- something that can then grow beyond ten percent, so long as it's not done through mergers or takeovers. Previously, total foreign ownership in telecom companies has been restricted to 46.7 percent. Along with that news, the government also confirmed that the anticipated 700MHz spectrum auction will take place in the first half of 2013 (with a 2500 MHz auction to follow within a year), and that there will be caps in place that are said to "effectively ensure that new wireless entrants and regional providers have access to prime spectrum." The auction will also have some conditions intended to bring service to rural areas, and there will be a block of spectrum reserved for public safety use. All of this, the government says, is intended to "provide Canadian families with more choices at low prices," although we'll naturally have to wait and see if that last bit pans out. [Tower photo via Shutterstock]
AT&T and Verizon lobby for less FCC spectrum control, Sprint and other carriers respond
Since 1993, the FCC has held the ability to restrict bidders' participation in spectrum auctions based on their current spectrum holdings, needs and dominance in the marketplace. Given that wireless spectrum is a public resource, the current law tasks the FCC with the responsibility to ensure competition in the marketplace and prevent monopolies and duopolies from forming. A new proposal contained within the JOBS Act, H.R. 3630 -- a sweeping bill that primarily addresses the extension of unemployment benefits -- threatens to strip the FCC of this authority and return spectrum auctions to the freewheeling wild west era. The bill is so controversial that former FCC chairman, Reed Hundt, recently called this proposal "the single worst telecom bill" he'd ever seen, and, "a repudiation of the smartest auction theorists in the world." Today, the CEOs from many of the US's smaller telecoms -- which include Sprint, T-Mobile, Cricket, C Spire and Bluegrass Cellular (among others) -- officially lodged their objections to this proposed bill based on the notion that, left unrestricted, AT&T and Verizon Wireless could start bullying smaller carriers in the race to acquire more spectrum.While the majority of the bill deals with making additional spectrum available, Section 4105 of Title V -- the controversial bit in question -- is ostensibly the work of lobbying efforts on behalf of AT&T and Verizon. Are the nation's top two carriers legitimately concerned that the FCC will limit their ability to participate in future auctions? Sprint contends that the current law has worked rather well for both top dogs, which together control approximately 73 percent of the spectrum under 1GHz. There's no doubt that spectrum is the bread and butter of the wireless industry, but as a public resource, it deserves to be allocated in a way that promotes competition and best serves the citizens. Regardless of your gut reaction, it seems that the topic deserves some legitimate debate. If the proposed bill hits the Congressional floor and is mired down amongst discussions of unemployment benefits and flood insurance reform, just how much of this important discussion will fall on deaf ears?[Tower photo via Shutterstock]
T-Mobile urges Congress, FCC to keep spectrum auctions competitive
T-Mobile may be getting a new batch of spectrum as a result of its failed merger with AT&T, but it's obviously going to always be on the hunt for more, and it's now urging Congress to ensure that the playing field for future auctions is level for all bidders big and small. Specifically, it's asking members of Congress to reconsider some pending legislation that it says would "effectively preclude the FCC from considering existing spectrum holdings in determining the qualifications for participation in auctions." That, it suggests, would put smaller players like itself at a disadvantage to the big spectrum holders in future auctions (namely, AT&T and Verizon), and would represent a drastic break from the past twenty years -- during which it says the FCC has continued to fine-tune it's process to ensure "pro-competitive auction rules." T-Mobile's full case, laid out by VP of Federal Regulatory Affairs Kathleen Ham, can be found at the source link below.
Dutch officials contemplate barring KPN, T-Mobile and Vodafone from spectrum auction
A spectrum auction looms on the horizon in the Netherlands, but three of the country's largest players may be excluded from participation. As you know, earlier this week, Dutch authorities raided the offices of KPN Mobile, T-Mobile Netherlands and Vodafone Netherlands in a price-fixing investigation. The Netherlands Competition Authority (NMa), which carried out the raid, stressed that its visit does not mean the operators are guilty of collusion or hint at the outcome of its investigation. Now, Dutch lawmakers and the country's Minister of Economic Affairs must come to a decision about the auction that's set to take place in the spring of 2012 -- which is likely to be well in advance of any final report from the NMa. One option tossed around has been to postpone the auction, though, as lawmakers point out, this could hinder the development in the mobile space and further limit competition. Alternately, had any of the named companies actually profited from the alleged collusion, there's a risk that these monies could be used to purchase additional spectrum and further extend their dominance. Those discussing the matter hope to move quickly, though it certainly seems difficult to make any decision of this magnitude lightly.
UK 4G network auction delayed, spectrum sell-off pushed back to the end of 2012
The dizzying world of 4G speeds remains a distant prospect for Britons, with telecoms regulator Ofcom deciding to delay the auction for the next generation of mobile spectrum. It was looking to sell off two potent bands of wireless network by the end of this year, but those plans have been put on hold by some legal jostling and desk-banging from UK carriers, with the British equivalent of the FCC saying it received several "substantial and strongly argued responses." The sell-off delay might not affect any launch dates for 4G (already being tested in rural parts of the UK), as the bands up for grabs still won't be available until 2013. But eventually all of this to-ing and fro-ing will test even the Brits' stoic patience.
UK 4G spectrum set to be auctioned off next year
Ofcom, the UK version of the FCC, is currently sitting on two fat bands of prime 4G spectrum, at 800MHz and 2.6GHz, but it won't be doing so for long. This morning has seen an announcement from the independent regulator that it's looking to sell off those airwaves to the highest bidder, as early as 2012, pending the conclusion of a consultation on how to ensure the auction helps promote, rather than stifle, competition. The 800MHz band comes directly from spectrum freed up by the country's transition to digital television, and together with the 2.6GHz is equivalent to three quarters of all the mobile spectrum the UK uses today. The usual suspects of O2, Vodafone and Everything Everywhere will be vying for prime position in the next wave of superspeedy internet ... we just wonder how 3G-centric network Three will react to the news. [Thanks to everyone who sent this in]
Obama announces plan to free up 500MHz of spectrum, invest in 4G for rural areas, and build out nationwide public safety network
We knew the White House was on board with the FCC's desire to free up an additional 500MHz worth of spectrum over the next decade from private and federal holders, as announced last year, and now Obama has announced the plan to do it. The plan is to incentivize the current spectrum squatters with a share of the revenue gained from auctioning off the spectrum -- mostly for mobile broadband use -- which only seems fair, and for now it seems those auctions will be voluntary. But that's just the tip of the iceberg: the plan also includes a $5 billion investment in constructing 4G networks in rural areas (with a goal to reach at least 98 percent of Americans with the service), a $3 billion fund for 4G R&D to help the rollout, and $10.7 billion for a wireless public safety network. The beauty of this plan is that all these proposed costs are offset by the spectrum auction, which is estimated to raise $27.8 billion, of which $9.6 billion will be dedicated to deficit reduction. Oh, and the best news? The government has already found 115MHz worth of Federal spectrum that it can free up by using its other spectrum more efficiently, and has another 95MHz worth in its sights. Hit up the source link to see President Obama's speech on the subject, which has just begun, or check it out embedded after the break.
Australia to pay Telstra A$11 billion for entire copper network
The Australian government just found the infrastructure for its A$43 billion national broadband project and eliminated its largest competitor in one fell swoop -- pending shareholder and regulator approval, Telstra will receive A$11 billion of that money in exchange for its entire landline network. Telstra will decommission its monopoly of copper cables to make room for the government's fiber and migrate its customers to the resulting 100Mbps National Broadband Network (NBN) as those light-bearing threads roll out. While Telstra might become a smaller player in the internet and cable business without a land network of its own, it may get even larger in the wireless space -- the company says it's received "written confirmation from the Prime Minister" that it can bid on a chunk of precious LTE spectrum should the deal go through. Press release after the break.
Spectrum cash-out option might still be on the table for FCC, broadcasters
Silly us for thinking this issue had been drawing to a close! Indeed, rumors are swirling again that the FCC is looking into the concept of getting television broadcasters to trade in some spectrum in support of the nation's universal broadband initiatives -- initiatives for which significant additional airspace is likely needed, and for which the Commission is expected to file its master plan to Congress next month. The latest information from BusinessWeek says that companies might be offered the opportunity to share in the monetary spoils of any auction that would come out of reclaimed spectrum, a privilege usually reserved for the government's coffers alone. It's unclear whether the move would be voluntary, "voluntary," or compulsory, but any strong-arm move on the part of the Fed is likely to get some hellish pushback from the nation's broadcasters -- they cherish their spectrum as much as they ever have and many feel as though they're finally on the cusp of capitalizing on the promise of mobile TV. Even with significant cash incentives, this could easily become a battle royale for years to come.
Ad & broadcasting company tells government to give everyone HDTV
Being primarily focused on the consumer end of HDTV, we've rarely crossed paths with news from DG FastChannel, but this stopped us in our tracks. Put simply, it's a proposal to turn around some of that analog TV spectrum sale cash and distribute an HDTV to every household in the U.S. that wants one, digital converter box-style (everyone remember how well that worked out?) Considered seriously, we'd assume companies like DG FastChannel and its partners have invested greatly in preparing for HDTV and would love if all their viewers could see it that way, and we can certainly appreciate the idea that watching standard def is fundamentally wrong. Still, new digital divide or not this attention grabbing bit of PR probably has about as much chance of getting high definition in every home as there is of another DTV switch delay in the next three days.
Verizon CEO joins AT&T in backing digital TV delay -- as long as it's short
After initially opposing the Obama administration / Jay Rockefeller digital TV delay -- pushing the analog TV shutoff date back from February 17 to June 12 -- Verizon CEO Ivan Seiderberg has jumped on board with competitor AT&T in support of the plan. Considering Verizon just dropped $9.63 billion on the soon / not-so-soon to be vacated airwaves for its 4G wireless rollout this is an interesting position to take, but it appears that as long as the delay is a mere 115 days he can join AT&T ($7 billion or so invested) in waiting for the DTV converter coupon program to work itself out. Of course, if anyone wants to take advantage of the extra time to subscribe to FiOS or U-verse, we're sure that wouldn't be problem either.
