The FCC said its Automated Maritime Telecom System (AMTS) spectrum auction raised $1,057,365, with 4 bidders winning 10 licenses. The licenses are being offered to carriers that plan to provide marine voice and data communications, similar to a wireless phone system, to tugs, barges and other water vessels. The qualifying bidders were the AMTS Consortium, Paging Systems, Telesaurus-VPC and Thomas Kurian.
Wireless Spectrum Auctions
The FCC manages and licenses the electromagnetic spectrum used by wireless, broadcast, satellite and other telecommunications services for government and commercial users. This activity includes organizing specific telecommunications modes to only use specific frequencies and maintaining the licensing systems for each frequency such that communications services and devices using different bands receive as little interference as possible.
What are spectrum auctions?
The FCC will periodically hold auctions of unused or newly available spectrum frequencies, in which potential licensees can bid to acquire the rights to use a specific frequency for a specific purpose. As an example, over the last few years the U.S. government has conducted periodic auctions of different GHz bands to support the growth of 5G services.
Senate Commerce Committee Chmn. McCain (R-Ariz.) will propose a $1 billion subsidy for DTV converter boxes when the Committee takes up new legislation designed to set a 2009 deadline for broadcasters to vacate the analog spectrum. The Commerce Committee is scheduled to mark up the bill Wed. The bill relies on estimates that auction proceeds from that portion of the 700 MHz band of spectrum could net the govt. $30-$70 billion and quotes both testimony from FCC Chmn. Powell and New America Foundation figures.
An air-to-ground (ATG) telecom order resolving a fight between Airfone, owned by Verizon, and competitors including AirCell and Boeing has been sent to Chmn. Powell from the Wireless Bureau. However, sources told us Fri. that the item may not make the agenda for the Oct. 14 meeting since some of the commissioners’ offices are just starting to focus on the issue and may not be ready to vote. A broadband over powerline (BPL) order also was sent to the chairman from the Officer of Engineering & Technology and is likely to be the item that gets the most attention at the meeting.
Auctioning off a nationwide block of spectrum is an “interesting opportunity,” a senior FCC official said Thurs. In a Communications Daily audioconference, Bryan Tramont, chief of staff for Chmn. Powell, said the Commission is considering that in a future auction, which would be welcome news for national carriers and their Wall St. backers. Tramont and 2 former FCC officials also engaged in a debate over the future role of designated entities (DEs) in spectrum auctions. Tramont made clear that the FCC is on schedule with its Auction 58 of 234 10- MHz licenses, many of which are coming from NextWave. The conference took place a week after the FCC dismissed concerns of some carriers about moving forward with its H- block auction (CD Sept 10 p1).
The FCC Thurs. overrode wireless industry objections and approved a rulemaking and spectrum reallocation that will start the ball rolling toward a controversial auction of H-block spectrum, most likely within the next 2 years. The order passed 5-0 despite the vociferous objections of most wireless carriers.
SAN FRANCISCO A senior FCC economist proposed revving up the so-called Ferree plan for the DTV transition by committing a little of the anticipated proceeds from auction of returned analog spectrum to short-term offers of incentives to broadcasters to give up Ch. 60-69 by 2006. “The market on its own is just not doing it,” Evan Kwerel said of the transition on an Intel Developer Forum transition policy panel here after our deadline Wed. “We're going to have to find a good way to compensate the losers,” over-the-air only viewers as well as affected broadcasters, he said: “We really need to compensate broadcasters to clear out sooner” than a proposed 2009 hard deadline.”
Reauthorization of the Satellite Home View Improvement Act (SHVIA) was described by Hill sources as the only “must pass” legislation as Congress returns from its Aug. recess after Labor Day. But congressional action to raise broadcast indecency fines also seemed likely. SHVIA is winding through the House and Senate, and both bodies have passed indecency fine legislation. Other issues, such as VoIP and spectrum relocation, were considered in flux. The Senate could take up controversial copyright reform legislation. Hill staff and lobbyists caution, however, that a focus on intelligence reform in the wake of the 9/11 Commission could crowd out other legislative initiatives.
The FCC placed its annual CMRS competition report on the agenda for the Sept. 9 open meeting, along with a significant order that would launch a controversial auction of H-block spectrum (see story elsewhere in this issue). The annual CMRS report, mandated by Congress, provides updated information on such issues as market share, services offered and subscriber levels. On the H- band auction, the Commission confirmed in the notice the items concern spectrum at 1915-1920 and 1995-2000 MHz and at 2020-2025 and 2175-2180 MHz. The Media Bureau will present 2 items, including an order on obligations TV broadcasters have to children. Some complained that the draft wasn’t very aggressive (CD Aug 26 p2). The bureau will also present an order with rules on digital low power TV, TV translator and TV booster stations. Also on the agenda: (1) A call for comment on a recommendation by the N. American Numbering Council to reduce the time interval for porting between wireline and wireless carriers. (2) The 4th report on deployment of advanced telecom services. (3) The International Bureau’s 2nd annual report on the satellite industry. The bureau started the industry report series a year ago to “put everyone on the same page,” according to one industry official.
Sprint and Nokia said new test results show use of the H-band for mobile services could lead to massive interference problems for other PCS users. Sprint filed the results at the FCC on the eve of a decision whether to place the H-band auction item on the Sept. 9 meeting agenda. Late Thurs. the item was on the sunshine notice for the meeting, cutting off further debate and dealing Sprint and other carriers a blow.
Satellite operators led by the Satellite Industry Assn. (SIA) are joining wireless carriers in objecting to a proposed auction of H-block spectrum. The satellite interests see potential interference from the 1995 MHz to 2000 MHz or upper band part of the allocation. Wireless carriers see potential interference instead from the lower band allocation at 1915-1920 MHz. Wireless carrier sources said Wed. the new round of objections may not be enough to stave off a vote establishing an H-block auction at the Sept. 9 meeting.