Spectrum

A proposed rule change before the Federal Communications Commission for spectrum licenses in the 3.5 GHz band presents a clear choice between the needs of the few and the needs of the many—though with some complications.  The FCC is on the cusp of making a decision about a spectrum auction that has pitted the nation’s largest wireless carriers against a broad and eclectic coalition of shippers, railroads, ports, electric companies, manufacturers, and rural internet service providers.

[Commentary] Bruce Henderson hypothesizes that a stable, competitive industry will never have more than three significant competitors and that the industry will find equilibrium when the market shares of the three competitors reach a ratio of 4:2:1. Taking a closer look at the wireless businesses of the four major operators in the U.S., the market share in revenue terms at the end of 2017 was: Verizon (38%); AT&T (31%); T-Mobile (17%); and, Sprint (14%). In terms of profitability as measured in operating income before depreciation and amortization (OIBDA), the relative differentials wer

The Multicultural Media Telecom and Internet Council and National Association of Black Owned Broadcasters told the Federal Communications Commission it needs to work with SNR Wireless and Northstar to help them qualify for designated entity (DE) bidding credits, a way to encourage minority participation in spectrum auctions. The two companies teamed with Dish Network to acquire $10 billion worth of spectrum licenses in the AWS-3 auction.

Sprint’s plan to merge with rival T-Mobile in a $26 billion deal has triggered memories of dead phones and spotty service for some longtime Sprint customers, but the companies say such pitfalls are in the past. The customers are recalling the havoc of Sprint’s 2005 merger with Nextel Communications, much of it driven by the companies’ differing technologies. It took nearly eight years and billions of dollars to wind down Nextel’s so-called iDEN system—known for its chirpy push-to-talk cellphones—before all customers were taking calls on Sprint’s network.

If the government approves Sprint and T-Mobile’s bid to merge, customers of lower cost pre-paid plans — say from Boost and MetroPCS — could face changes. Both Sprint and T-Mobile also sell prepaid services at lower costs and under different brand names: Sprint has Boost and Virgin Mobile USA, while T-Mobile offers MetroPCS. The two also wholesale their networks to such third-party resellers as Consumer Cellular, Republic Wireless and Ting; AT&T and in particular, Verizon, are less open to the resellers.

A coalition of 11 carriers and corporations, eight industry associations and the nation’s largest port authority have sent the Federal Communications Commission an auction proposal for the Citizens Broadband Radio Service (CBRS) spectrum band that represents a middle ground between rules currently in place and a proposal submitted recently by organizations representing mobile carriers. CBRS auction plans have pitted the mobile carriers, who want larger license areas to support mobile 5G services, against those who want to use the spectrum for fixed wireless broadband and who argue

[Commentary] The proposition here is simple: This T-Mobile/Sprint deal will shrink the market for nationwide mobile wireless service from four players to three, giving consumers fewer choices and increasing the likelihood that prices will be higher and service offerings will be less consumer-friendly. Decreased competition in a market that is already consolidated? This deal should be an easy one for the government to reject. Companies seeking to merge typically promise the sun, moon, and the stars to regulators in order to obtain approval, and T-Mobile and Sprint are no different.

The Federal Communications Commission adopted a Notice of Proposed Rulemaking to consider updating the framework for licensing Educational Broadband Service (EBS) spectrum in the 2.5 GHz band. The NPRM proposes to modernize and rationalize the EBS spectrum in the 2.5 GHz band to allow more flexible use. The item proposes to rationalize the service areas of existing EBS licenses and to provide additional flexibility to current and future EBS licensees.

The Utilities Technology Council, a trade group representing hundreds of US utility companies, is urging federal agencies to make sure that power and electricity providers retain control of interference-free spectrum so they can continue to operate their own private wireless networks. Utilities Technology Council noted that part of the reason utilities need their own licensed spectrum is because “utilities have built out and maintained their own ICT networks, rather than outsourcing service from commercial telecommunications carriers.

[Commentary] Is our government bound by the rule of law or the rule of President Trump? The Department of Justice's Antitrust Division must consider this question. Here's why. There is a two-part, simple legal standard for deciding whether the proposed combination of Sprint and T-Mobile should be allowed. Would it harm competition in such a way that consumers would suffer?