FCC rejects T-Mobile wireless auction proposal

The FCC met again today to consider rules to use for an upcoming auction of 600MHz wireless spectrum after delaying the decision at a meeting a couple weeks ago. On the table was a request from T-Mobile to modify the proposed rules to help smaller carriers, T-Mobile included, obtain some of this spectrum instead of seeing all of it being bought up by big carriers like Verizon and AT&T. Unfortunately for T-Mobile and fans of the little guys, the FCC decided to move forward with the proposed reserve of only 30MHz for bidders who may be smaller and struggle with raising necessary capital.

FCC Chairman Tom Wheeler has indicated in the past that the FCC is trying to balance the need for a diversified number of market participants versus maximizing the revenue raised by the spectrum auction. Today’s decision would seem to indicate the Commission members agreed that the current rules would strike the proper balance.

Wireless carriers will be interested in this 600MHz spectrum as it generally does a better job of penetrating walls to provide service inside structures and it has the capability of traveling over long distances. This means carriers do not have to deploy quite as many antennas and they can provide better service.

The auction is anticipated to be held in 2016.

source: The Verge

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