Court Refuses to Delay August Wireless Auction

COURT REFUSES TO DELAY AUGUST WIRELESS AUCTION
[SOURCE: Reuters 6/29, AUTHOR: Jeremy Pelofsky]
On Thursday, the U.S. Court of Appeals for the Third Circuit refused to delay the August sale of valuable wireless airwaves despite concerns raised by some smaller carriers. Council Tree Communications and others had sought a stay to block the auction from starting until the court could rule on Federal Communications Commission regulations aimed at limiting eligibility for discounts during the sale. The agency offers discounts of up to 25 percent depending on a company's financial position, a move that was designed to encourage smaller entrepreneurial companies to participate. However, some have struck partnerships with national carriers. Small bidders like Council Tree had worried the new rules would make it difficult to get financing to fund their bidding and thus barred from the auction. But the Court ruled that the petitioners failed to establish that they would suffer irreparable harm without a delay and other bidders have indicated a willingness to participate despite the new restrictions. The FCC is slated to begin auctioning the licenses for advanced wireless services on August 9 in a sale analysts have said could raise $8 billion to $15 billion.
http://today.reuters.com/news/newsarticle.aspx?type=technologyNews&storyid=2006-06-30T010731Z_01_N29261964_RTRUKOC_0_US-TELECOMS-WIRELESS-AUCTIO...