FCC Wireless Auction: Google Wins, AT&T Wins, Americans Lose

by: MBoz

Tue Jul 31, 2007 at 19:29


I'm surprised no one has blogged about this yet, so let me take the first swing:

The FCC set its rules for the upcoming wireless auction, essentially splitting the difference in favoring both AT&T (who wanted no restrictions) and Google (who wanted complete open access).

The end result is a big step forward, but is much less than it could have been, and we all lose as a result. Read more at Scholars & Rogues:
http://scholarsandro...

MBoz :: FCC Wireless Auction: Google Wins, AT&T Wins, Americans Lose

Tags: , , , , , , (All Tags)
Print Friendly View Send As Email
What's next on the open spectrum front? (0.00 / 0)
The FCC ruled as most expected but as few preferred (on both sides of the issue, including FCC Commissioners other than Martin).

Though more will be known when the Commission issues its written order (a few weeks?), the big question is likely to be whether Google (or some other non-incumbent) will step up and not only bid, but outbid incumbents for the 22 MHz licenses, which are broken up into major regions, six of which cover the Continental U.S.  That will determine whether this is a true victory or merely a step forward whose value will be largely dependent on incumbent's strategies with regard to implementing the Commission's "openness" requirements. 

The track record on this score suggests incumbents, if they win the 22 MHz of "open" spectrum, will find ways to bend the FCC rules to the priorities of their own business models, though this doesn't necessarily mean there won't be more openness in terms of wireless apps and devices. But it would certainly mean there won't be a new "third pipe" created form the 700 MHz spectrum.

As Susan Crawford has noted, another thing happened yesterday at the FCC that could have impacts on "third network" prospects.  The Commission issued two reports on technical testing of two prototype devices designed to use broadcast "white space" spectrum on an unlicensed basis.  Susan's comments and my cursury read of the intro of one of the reports suggests the devices did not fare too well from the FCC's perspective.  My understanding is that the two devices were submitted by Microsoft and Philips, who are part of a "high-tech" coalition supporting unlicensed white space that includes Google, Intel, HP, Dell, Samsung and perhaps others.

Since I didn't try and maybe couldn't digest the test reports (very technical), I'm not sure what their significance is.  But it seems likely that the news was more bad than good in terms of the likelihood that the FCC will open up the white space on terms sought by the high-tech coalition and a range of consumer/citizen advocates.

My guess is that Google and other parties focused on all this are going back to the drawing board in terms of revising strategies to take into acccount both of yesterday's developments.

As I laid out in a recent report, I think municipalities could play a key role in dealing with white space interference issues that can't be addressed via solutions proposed by the high-tech consortium, at least to the FCC's satisfaction. 

Advantages I see in my proposed approach include:

1) strengthening of ties between the muni-wireless, unlicensed-spectrum and open-network "movements"; 

2)maximizing the amount of white space spectrum the FCC will allow to be used (which could be 100-200 MHz or more, vs. the 22 MHz of quasi-open" spectrum in the 700 MHz band), which seems especially important in light of the initial not-very-positive test results issued yesterday; 

3) focus use of the freed-up spectrum on "open networks" and other public interest goals (e.g., low cost and universal networks vs. targeting high-profit customers; supporting delivery of public services, etc.) and;

4) provide a substantial amount of additional "open" spectrum in the white space bands that can help Google or other non-incumbents develop a viable business plan that can justify a winning bid in the auction of the 22 MHz of "open" 700 MHz spectrum.

The broader point is that, following yesterday's 700 MHz decision and white space test results, it's time for commercial entities and citizens groups favoring increased competition and openness in the next-generation broadband Internet arena to recalibrate their strategies, and reconsider the best ways to continue working together to maximize the extent these policy goals can be furthered by use of the spectrum that will be freed up by the digital TV transition.  Given the excellent propagation characteristics of this spectrum, it presents a unique and historic opportunity not likely to emerge again.

Apologies if this is too long and unclear as a comment.  When I have more time, I'll try to clean it up and post an edited version on my diary.


USER MENU

Open Left Campaigns

SEARCH

   

Advanced Search

QUICK HITS
STATE BLOGS
Powered by: SoapBlox