SpectrumAuction
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Google bluffing on 700MHz bid?
With the stage primed for a heavyweight fight between Verizon and Google in January's 700MHz wireless auction, there's some chatter today that Google might actually be bluffing. Bloomberg is reporting that some analysts think that Google has been simply making a lot of noise so that the FCC would enact those controversial open-access rules, but that it doesn't intend to place bids beyond the $4.6B minimum. That strategy would mean that El Goog would get an open network upon which to play, but not have to pony up for the actual towers and infrastructure. Of course, this flies in the face of nearly everything else we've heard to date, like Google pronouncing that it's putting "money where our principles are," and possibly even building a secret test network on its campus, but it's not necessarily unthinkable -- with carrier partners in the OHA and Verizon's surprising decision to open its cell network, it certainly seems like Google's getting pretty good at manipulating airwave politics.
Verizon Wireless abandons fight over 700MHz auction rules
Worried that Verizon's complaints about the open-access rules in the upcoming 700MHz spectrum auction would shake things up in a negative way? As of now, your anxiety is apparently unfounded. According to The New York Times, Verizon Wireless has "abandoned its legal challenge of the Federal Communications Commission's rules for its auction of radio spectrum, removing a potential obstacle to the much-anticipated sale." Interestingly, there's not a lot of backstory as to why the carrier suddenly decided that pressing on wasn't in its best interests, but we'll accept the white flag, regardless.[Via ZDNet]
FCC delays 700MHz spectrum auction by 8 days, finalizes bidding rules
Back in August, it seemed pretty certain that the 700MHz spectrum auction would go down on January 16th of next year. Now, however, the FCC has officially delayed the auction by eight days to "provide interested parties with additional time after this announcement of competitive bidding procedures to develop business plans, assess market conditions and evaluate the availability of equipment for new 700MHz band services." Reportedly, the aforementioned parties only have from November 19th to December 3rd to fill out a short-form license application, and if all goes as planned, a "mock auction" should commence on January 18th, 2008. If you'd like to get into all the reserve prices, upfront payment deadlines and top secret details about the hors d'oeuvres that will likely be served at the forthcoming event, feel free to hit the read link for all 122 mind-numbing pages. [Warning: PDF read link][Via PhoneScoop]
Verizon files lawsuit over open-access rules in 700MHz auction
Talk about gettin' riled up. Verizon Wireless has reportedly "challenged in federal appeals court the FCC's 700 MHz open-access rules," claiming that the auction "violates the US Constitution, violates the Administrative Procedures Act, and is arbitrary, capricious, unsupported by the substantial evidence and otherwise contrary to law." Once you're done swallowing that mouthful, it'll likely be difficult to resist rolling your eyes, as it's pretty clear whose interests are being looked after in the suit. Nevertheless, neither Verizon Wireless nor an FCC spokesman would comment further on the filing, but needless to say, at least one carrier isn't exactly kosher with that succulent 22MHz block of spectrum being so open.
Google still likely to bid in 700MHz spectrum auction
We know, the 700MHz soap opera is wearing a bit on us too, but just in case you were worried that the latest FCC shakeups would deter Google from coughing up $4.6+ billion when the time was right, fret not. Reportedly, Chief Executive Eric Schmidt "told a conference of regulatory and industry leaders in Aspen that his company would 'probably' move ahead with plans to bid for wireless spectrum freed up once broadcast television networks switch to digital from analog in 2009." When asked by T-Mobile USA's government relations chief Thomas Sugrue "whether Google planned to take part in the auctions for wireless broadband networks," the exec simply stated that placing a bid or two would likely be "the way to answer that." So, there you have it -- until next episode...
Google 'still very interested' in 700MHz spectrum auction
Just in case you had any suspicion that Google may retract its interest in bidding for the 700MHz spectrum after the rules neglected to afford the winner wholesaling rights, Chris Sacca has intervened to clear things up. According to the search giant's head of special initiatives, the firm is "still very interested in the auction" despite not getting all of the rules for the spectrum sale set in its favor. Of course, the FCC did choose to approve the whole "open access" bit, and while Mr. Sacca declined to elaborate in order to keep details of Google's strategy on the DL, it seems safe to say that it will indeed be busting out the checkbook come auction time.
DirecTV-DISH consortium all but dead in spectrum auction
As the historic federal auction for wireless spectrum heats up and the proverbial wheat begins separating from the chaff, the first major victim of the escalating bidding war seems to be the satellite TV consortium composed of DirecTV and DISH-parent EchoStar. Combining their resources in the Advanced Wireless Services auction as a limited liability corporation known as Wireless DBS, the two companies were hoping to pick up a chunk of spectrum that they could use to offer WiMax broadband services to customers and compete directly with telcos offering so-called "triple-play" packages; currently, the two sat TV providers have only been able to offer Internet service through partnerships with established broadband carriers. Apparently the billion dollars that Wireless DBS was willing to spend ended up not being enough to cover the requisite regional licenses they would need to offer nationwide service, as the cost for such such complete coverage is now anticipated to be at least $4 billion. The next move for the satellite providers could involve either partnering up once again with a company like Clearwire, or waiting until next year to bid in the 700MHz auction -- but that auction could see even higher bids, and the resulting spectrum would be unavailable for use until 2009. Sorry guys, we know how badly you wanted this one, but when you come to a gun fight equipped with nothing but a pocketknife, well, things are bound to end pretty poorly.[Via Techdirt]
DirecTV and EchoStar talking merger again?
Nature abhors a vacuum, so now that the AMD/ATI deal has gone from rumor to reality, we're in dire need of another potential mega-merger to fill the void. Luckily for us, News Corp. owner and the real "king of all media" Rupert Murdoch recently made some tantalizing comments on the Charlie Rose Show that may indicate DirecTV's renewed interest in merging with Dish Network parent EchoStar. Although he obviously didn't come right out and say that the two companies were involved in talks of any sort, Murdoch did suggest that the television landscape has shifted enough since the last merger attempt in 2002 that "it would be much harder for the government to turn it down" this time around. However, he also cautioned that a deal would be difficult if EchoStar CEO Charlie Ergen -- whose clashes with News Corp. execs reportedly put the kibosh on merger talks all the way back in 1997 -- insisted on running the new entity as one of EchoStar's conditions. Ars Technica sums up the situation nicely by suggesting that although a merger would help both companies in their quest to offer broadband service should they succeed in picking up some spectrum at next month's FCC auction, government regulators would be unlikely to approve such a deal for the same reason as last time: there are still too many consumers out there whose only option is satellite TV, giving a combined DirecTV-Dish entity monopoly status in certain areas of the country. Long story short: there's an excellent chance that Murdoch would love a deal to go down, but chances are it ain't gonna happen.[Via Ars Technica]
M2Z Networks pitches free national wireless broadband to FCC
It might be a bit far-fetched, but M2Z Networks is offering an interesting deal to the FCC in exchange for a bit of that high priced spectrum that's about to be auctioned off. The plan is to provide free ad-supported national 512Kbps wireless broadband, along with a premium service, using the spectrum in the 2155-2175MHz band. In exchange for the spectrum use, M2Z would give the FCC five percent of their gross revenues. We wouldn't think the FCC would ditch their normal auction method for just any hair brained scheme, but M2Z was started by former FCC wireless head John Muleta and @Home founder Milo Medin, and claims to have access to $400 million in capital. Free national wireless broadband is also surely in the public's interest, so this just might work after all.[Via WNN]
