August 23, 2007
700 MHz auction date set for January 16
Will the FCC’s rules for the auction be enough to protect us from the duopoly racketeers? Are the feds here to protect us or are they part of the racket?
I am surprised how little buzz there has been about this in the mainstream media! The FCC set a January 16 date for the auction of what is probably the best spectrum that will ever be made available for short / medium range digital services. article on Techweb and article on Wimax News
When the 700 MHz rules were crafted the incumbent carriers (AT&T, Verizon) wanted a closed network just like the current state of US cellular. New entrant Google wanted a completely open network. Neither got 100 percent of what they wanted. Google can have its way, only if it wins.
While the cost of entry into the auction is a $4.6 billion commitment, informed estimates place the cost licenses for national coverage to come to around $10 billion. Even the largest enterprise will be betting the entire assets of their company on such an undertaking.
The Duopoly can have their way only if they win, and successfully lobby to have the rules changed. If this sounds far fetched to you, it’s important to know that they duopoly has consistently convinced the FCC to change rules and regulations in their favor since the first telephone was first made available to the public.
Even with less than completely “open market” rules on the use of the spectrum, many expect Google to participate. In my opinion the only way that the new spectrum can truly be a disruptive technology that will spur a wave of innovation is if a Google or other non-duopoly player can win a big chunk. article on Tech News Wire



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