Taxpayers failing to get their fair share of wireless gold rush
[Commentary] Dish now controls billions of dollars’ worth of unused wireless spectrum that it obtained from the federal government as well as through a series of acquisitions, such as its $2.9-billion spectrum purchases last year from failed satellite operators DBSD North America and TerreStar Networks. Under the terms of a deal cut in December with the Federal Communications Commission, Dish now has seven years in which to start operating a wireless network covering at least 70% of the population. If it fails to do so, its wireless license from the FCC will expire. Dish's attempt to purchase Sprint isn't about serving customers. It's about positioning the company for a wireless future that, regardless of what role the company plays, will be worth a bundle.
Consumer advocates remain wary of the ongoing trend of consolidation among telecom companies. "These Frankenstein-style mergers among weaker players are no substitute for real competition in the mobile, broadband and video markets," said S. Derek Turner, research director of Free Press in Washington. "Until something is done about the market power that companies like Comcast, Verizon and AT&T abuse daily, consumers will be stuck paying higher bills for mediocre services," he said. The reality, however, is that sky-high bills and mediocre service have become hallmarks of the U.S. wireless industry, and there's little anyone can do to change that.
Taxpayers failing to get their fair share of wireless gold rush