AT&T unsure about bidding in 700MHz auction
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AT&T hasn't decided whether it will bid for the highly desirable 700MHz spectrum band because it doesn't know if it can build a profitable business given certain rules set for the wireless spectrum by the Federal Communications Commission.
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The FCC auction of 700-MHz spectrum, which started January 24, is one of the biggest sell-offs of radio spectrum in years, and it's expected to raise at least $10 billion. Wired News explains what's at stake with this list of questions and answers.
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The high bids totalled $3.2 billion in the U.S. Federal Communications Commission&#39;s&#160;auction of wireless spectrum licenses in the 700MHz band&#160;after three rounds and a day and a half of bidding.
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Investor's Business Daily - It's close but no cigar for Google in the Federal Communications Commission's much-anticipated auction of public airwaves, a process that could enable a new wave of wireless devices and services.
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Google is one of several nontraditional communications companies planning to bid on 700MHz wireless spectrum. But at this point it's really anyone's game.
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Blog: With full leasing ownership of the 700MHz spectrum, Google would try to effectively cripple the cell phone industry. Before you scoff at that idea, consider the terms under which Google would offer to buy the spectrum.
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Bidding remained stalled Tuesday on  a key piece of spectrum in the U.S. government's wireless  airwaves auction, prompting concern regulators will have to  modify rules requiring some of it be shared with public safety  agencies.
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Bidding remained stalled Tuesday on  a key piece of spectrum in the government's wireless airwaves  auction, prompting concern regulators will have to modify rules  requiring some of it be shared with public safety agencies.
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Bidding stalled on Tuesday in the  closely watched auction of a piece of wireless airwaves that  the U.S. government is selling, according to data released by  the Federal Communications Commission.
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One of the major questions as the U.S. Federal Communications Commission kicks off a multibillion-dollar spectrum auction Thursday is whether the auction will produce a winning bidder that will challenge telecom and cable-based broadband providers with a national wireless broadband network.Other questions will also be answered in coming weeks as the auctions, for 62MHz of long-range, high-speed spectrum, unfold. Will Google or another bidder buy enough spectrum to launch a &quot;third pipe&quot; broadband network? Will any bidders step forward and pledge to build a nationwide broadband and voice network for emergency response agencies?The bids to watch in the 700MHz auctions are for the C block, a 22MHz band of spectrum broken up into 12 regional licenses, and the D block, 10MHz of auctioned spectrum paired with another 10MHz set aside for a combined national commercial/emergency response agency network. Startup Frontline Wireless, one of the primary backers of the public-private model for an emergency responder network, announced in December that&#160;it had ceased operations.&quot;The pull-out of Frontline leaves the whole D Block auction up in the air,&quot; analyst Jack Gold of J. Gold Associates said in an e-mail. &quot;There is no way to know if a last-minute group will come on board. While the goal of establishing a universal network for public safety/security is a laudable goal, it is not the most lucrative area from a pure business perspective, so it is not clear how much demand there might be or who might step up to the plate to make this work.&quot;The FCC may have made a mistake in adopting the plan by Frontline, a company with former FCC chairman Reed Hundt as its vice chairman, said Carlyn Taylor, a senior managing director in business consultancy FTI&#39;s corporate finance practice.&quot;I&#39;m not sure how well [Frontline&#39;s plan] hung together from a financial standpoint,&quot; Taylor said. &quot;I&#39;m not sure anybody else is going to try to do what Frontline says they were going to do. There doesn&#39;t seem to be anybody else with a similar approach.&quot;If any other company bids on the D block, it will be much less than the FCC would have received without the national public safety network build-out rules, Taylor said.But the Public Safety Spectrum Trust (PSST), the nonprofit group of emergency response agency representatives that&#160;controls the public safety portion of the spectrum, said earlier this month it continues to support the FCC plan for the D block. The FCC should &quot;do all that it can&quot; to advance the public-private partnership meant to bring about the nationwide public safety broadband network, said Harlin McEwen, the PSST&#39;s chairman, in a statement. &quot;While it would not be appropriate for the PSST to comment on any potential bidder&#8217;s strategy, we want to restate our enthusiasm for and commitment to what the FCC has done.&quot;In the C block, the FCC required that&#160;winning bidders operate under open-access rules, meaning the winning bidder must allow any legal devices to connect to the network and allow customers to access any legal Web content of their choosing. Google, which pushed for the open-access rules, has&#160;pledged to bid at least $4.6 billion for the C block, and the FCC later set that figure as the minimum price it will accept.FCC rules prohibit potential bidders such as Google from commenting on their spectrum plans in the run-up to the auction. Bidding is anonymous, but the FCC will release some information about the auctions at its auction Web page.But several wireless industry observers have suggested that Google may not want to win the C block spectrum. Google, by getting the FCC to adopt the open-access rules and by pushing Verizon Wireless and AT&amp;T to&#160;open up their current wireless networks to outside devices and applications, has already accomplished much of what it has wanted, Taylor said.&quot;I think it&#39;s fairly widely believed that [Google] doesn&#39;t really want to be the actual carrier,&quot; Taylor said. &quot;That doesn&#39;t mean they still wouldn&#39;t buy spectrum and then work with somebody else who&#39;s a carrier.&quot;A subcontracting arrangement with a wireless carrier would make sense for Google, she said.Blair Levin, a telecom analyst with Stifel, Nicolaus &amp; Co., also doubts Google will be a major player in the C block bidding. With the U.S. stock markets tanking in recent weeks, Google may not want to spend $10 billion to build a national network, he said, referring to the estimated cost.Before the FCC set the auction rules in July, Google had also inquired about the legality of selling spectrum on a wholesale basis. The FCC ruled that such a plan would be legal.In addition to the current wireless giants AT&amp;T and Verizon Wireless, other companies to watch are the cable television providers, satellite TV providers and handset maker Qualcomm, Taylor said. Qualcomm and cable provider Cox were among the 214 bidders approved by the FCC this month.Look for wireless carriers such as AT&amp;T and Verizon to bid defensively, she said. &quot;If the traditional mobile carriers really are the final winners of most of the spectrum, then nothing interesting happens,&quot; she said. &quot;They don&#39;t want to see some major new entrant coming in.&quot;Falling stock prices on Wall Street may discourage some competing bidders, with the auction coming at &quot;precisely a bad time&quot; for investment in a new nationwide network, Taylor said. But these auctions may be the last chance for a third nationwide broadband network, she added.The 700MHz spectrum band carries wireless broadband signals three to four times farther than some higher spectrum bands, making it perfect for long-range broadband networks. &quot;If you&#39;re going to build a green-field network from scratch, you want to build it at low megahertz like this,&quot; Taylor said. &quot;If anybody was seriously considering launching a fully new competitor ... from scratch, this is the chance. There isn&#39;t going to be another one, probably.&quot;
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Chunk of spectrum latest must-have accessory for the super-rich? The FCC has revealed the list of bidders interested in owning a little 700MHz, a spectrum due for release in January next year with the switch off of analogue TV.â¦
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Blog: AT&T's deal to sell the iPhone drew criticism from Democrats, and a defense from Republicans. The arrangement might led to an open access requirement for a 700 MHz spectrum auction next year.
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At the close of the first full day of&#160;bidding for 700MHz wireless spectrum&#160;Thursday, the Federal Communications Commission reported nearly $2.8 billion in provisional winning bids.
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A bidder on Thursday offered $4.71  billion for a key piece of wireless airwaves being auctioned by  the U.S. government, surpassing a minimum bid requirement and  triggering a condition that the spectrum be accessible to any  device or software application.
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(InfoWorld) - AT&T Inc. has backed away fromÂ earlier complaints about proposed open-access rules on parts of theÂ 700MHz spectrum to be auctioned by the U.S. Federal Communications Commission by early next year. Draft auction rules floated by FCC Chairman Kevin Martin have "struck an interesting and creative balance between the competing interests" that are lobbying the commission, AT&T said of its understanding of those rules in a statement Wednesday. Just last Thursday, AT&T Vice President Robert Quinn had written the FCC saying the so-called Google plan for open-access rules for part of the auctioned spectrum "would turn the clock back on a decade of bipartisan consensus on the proper approach to wireless deregulation." In addition, open-access rules could expose the FCC "to a reversal in the courts," with lawsuits delaying the auction winner from using the spectrum, Quinn wrote on July 12. The open-access proposals would diminish the value of the spectrum and amount to "corporate welfare," AT&T said. Since then, AT&T has gained a better understanding of Martin's draft auction rules proposal, AT&T said Wednesday. Martin's proposal, as AT&T now understands it, would "allow" the auction winner to experiment with some open access rules, Jim Cicconi, AT&T's senior executive vice president for external and legislative affairs, said in a statement. "The plan would enable the introduction of an alternative wireless business model without requiring changes in the business models of AT&T and others in what is a highly competitive wireless industry," Cicconi added. Google Inc. and several consumer groups have called for open-access rules on a portion of the 60MHz of spectrum to be auctioned. Under open-access rules, auction winners would be prohibited from blocking or slowing Web content from competitors, and they would have to connect to any wireless devices customers wanted. In addition, under open-access rules proposed by Public Knowledge and other groups, the auction winner would have to sell spectrum access to competitors at wholesale prices. Open-access rules are needed to encourage a third national broadband competitor to the large cable and telecom carriers, the groups have said. "We urged the commission not to rely on a status quo approach to the upcoming auction," wrote Richard Whitt, Google's telecom and media counsel, in a letter to the FCC July 9. "Rather, the agency must do what is necessary to bring about robust forms of ... broadband competition." Public Knowledge, a digital rights group, has said Martin's draft rules don't go far enough. While Martin wants device portability and no blocking of Web applications, he hasn't called for wholesale access to the spectrum. Without wholesale access, it's unlikely a third broadband service could challenge cable and telecom services, Public Knowledge has said. Art Brodsky, communications director for Public Knowledge, called the new AT&T position a "remarkable turnaround." But Randolph May, president of the conservative think tank, The Free State Foundation, said he disagrees with AT&T's interpretation of what the auction rules would allow. "My impression (perhaps erroneously) had been that Chairman Martin's proposal would mandate an open access ... regime in the one block [of the spectrum]," May wrote in an e-mail. "There is a significant difference between 'allowing' and 'mandating.' My understanding is that absent a mandate, nothing at all in any existing or proposed FCC rule would prevent the winning bidder from voluntarily adopting an open access business model."
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The FCC releases names of 266 companies officially planning to bid in the government's upcoming 700-MHz-spectrum auction. More than half those botched their initial applications, including big names like Verizon, AT&T,  Qualcomm and Alltel. They have until Jan. 4 to qualify for the auction.
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The maverick network service provider run by former Netscape CEO Jim Barksdale, and that was largely responsible for convincing the US Federal Communications Commission to impose new and innovative rules for bidders on certain blocks of the 700 MHz UHF spectrum, is now saying it may not be able to bid after all. In a formal complaint to the FCC filed Monday, lawyers for Frontline Wireless accused the FCC of "getting it wrong" by having set the asking price of the choicest blocks in the auction too high.