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The FCC says bidding of the new AWS band (1.7/2.1 Ghz), is scheduled to start Aug. 9th. According to the FCC, 81 applications for the advanced wireless services auction were accepted for filing, while 171 applications were deemed incomplete and must be corrected to remain eligible.
The US FCC is scheduled to begin auctioning 1,122 licenses for Advanced Wireless Services (AWS) in a sale that analysts have said could raise between $8 billion to $15 billion.
Satellite provider DirecTV Group joined forces with rival EchoStar Communications and Liberty Media to bid on the sale as did Washington Post's Cable One, the report said.
A rival venture backed by the No. 3 wireless carrier Sprint Nextel and major cable operators, including Comcast and Time Warner, as well as an entity run by Cablevision Systems also sought to participate in the bidding.
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| The Cable-Sprint Venture
Funding: Three-year deal calls for $100 million from Sprint, $100 million combined from the three cable companies.
Revenue Share: There will be no revenue sharing within the joint venture. Each entity “owns” their respective “cable” or “wireless” subscriber. Companies earn a one-time commission for cross selling a service.
Cable Subscribers: 41 million
Sprint Wireless Subscribers: 46 million
Cable Homes Passed: 75 million
SOURCE Multichannel News
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The Sprint/Cable Venture, which aims to deliver wireless phone and data service to cable subscribers, filed a short-form application listed under SprectrumCo, while Cablevision founder Charles Dolan is bidding through Dolan Family Holdings.
Rupert Murdock's DirecTV may also use AWS to deliver 2-way wireless services. A large number of bidders from smaller, rural companies are also bidding.
Cellular companies, particularly Cingular and T-Mobile, may be the biggest bidders. That's because the new band is designed to harmonize with "3G" systems in other countries - those are predominantly GSM-based W-CDMA 3G systems.
Verizon Wireless, T-Mobile USA, and Cingular filed short-form applications, though Cingular is one of the applicants that must resubmit its filing with corrections by July 18. Upfront payments are required of all applicants by July 17.
Bidders were quiet about their plans, citing concerns with FCC rules on collusion. Relocating some federal users of the 1710-1755 MHZ band may also be necessary before service begins, perhaps in 2-3 years.
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