FCC Moves 700MHz Auction, Keeps Open Access Ruling
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Richard Baguley Published on October 10, 2007 Comment on this |
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10th Oct 07 – The Federal Communications Commission (FCC) has decided to move the auction of the 700MHz spectrum back a week, but has decided to keep the open access conditions on one of the frequency blocks on offer. Despite heavy lobbying by Verizon, the auction (which will now take place on the 24th of January) will still include conditions on the biggest chunk of the spectrum that will force whoever buys it to allow any device to connect to it.This chunk of the frequency spectrum is being freed up by the move from analog to digital TV, and it is so coveted because the frequency will allow for wider coverage: the lower the frequency, the further the signals travel. This means that whoever wins the auction could build a network that covers more people with fewer transmitters, which would make it easier and cheaper to build. Lower frequencies also pass easier through walls, allowing for better coverage inside buildings.
After lobbying from Google and others, the FCC decided to place conditions on one chunk of the spectrum to be auctioned; the winning bidder would have to allow any device (with certain technical restrictions) to connect to their network on that frequency. At the present (and with the other frequencies being auctioned) the winning bidder can pick and choose which devices they want to be allowed to use the frequency, which would allow a cell phone network to restrict which phones can be used on their network.
Verizon didn't like this idea, and lobbied to get the FCC to remove this condition, as well as filing a lawsuit. However, the FCC didn't accept their comments and left the open access condition in there. It reamins to be seen if Verizon will continue their lawsuit or try to block the auction in other ways.
Google may also be bidding in the auction, with a view to building their own wireless data network. “We are still carefully analyzing whether and how we might participate in the upcoming auction” said Richard Whitt, Google's Washington Media and Telecom Counsel in a recent blog post. “However, if we do end up bidding and ultimately win the spectrum in question, we would ensure that consumers have the right to decide which devices and applications they want to use on our network.”
Many other companies are also likely to bid, but they will need to ensure that they have a full bank account before they do: the FCC has set a tough set of qualifications for those looking to bid, with the bidders for the open access license having to stump up at least $4.63 billion dollars. The rules and regulations for the auction are available on the FCC site.
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