Big wireless Auction ends, Winners still secret
Posted on Wed, 19 Mar 2008 00:34:13 CDT | by Luigi Lugmayr
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By Peter Kaplan
WASHINGTON (Reuters) - A U.S. government auction of wireless airwaves ended on
Tuesday raising a record $19.59 billion, but winners of the valuable spectrum
were not immediately identified.
Analysts view Verizon Wireless, a joint venture of Verizon Communications Inc
and Vodafone Group Plc , as the most likely winner of a nationwide piece of the
airwaves called the "C" block that attracted a $4.74 billion high bid.
"This is spectrum that's obviously ... very valuable -- will be critical to
trying to provide additional wireless broadband services," Federal
Communications Commission Chairman Kevin Martin told reporters after the auction
ended.
The C block spectrum includes a requirement sought by Internet leader Google Inc
that would make it accessible to any device or software application.
The winners of the hundreds of licenses were expected to be announced within
days. Martin said the announcement would come after the FCC's four other
commissioners approved an order he said is needed to formally end the auction.
The 700-megahertz spectrum is being returned by television broadcasters as they
move to digital from analog signals in early 2009. The signals are valuable
because they can go long distances and penetrate thick walls.
Potential winners in the auction, that began January 24 and went through 260
rounds of bidding, also include entrenched carriers like AT&T Inc and possibly
new competitors like Google, EchoStar Communications Corp and Cablevision
Systems Corp .
Under rules set by the FCC, bidders' identities have been kept secret during the
auction.
The order Martin has proposed to end the auction would "de-link" the one block
of airwaves that did not meet its minimum bid requirement -- the "D" block --
from the rest of the spectrum.
Under FCC rules, the winner of the D block would have had to give police,
firefighters and other public safety groups priority use during an emergency.
The FCC could decide to re-auction the D-block airwaves and possibly modify the
rules and the minimum price to make it more attractive to potential bidders. FCC
officials have declined to comment specifically on what they will do.
(Reporting by Peter Kaplan; Editing by Tim Dobbyn)
© Copyright 2007 Reuters.
Posted on Wed, 19 Mar 2008 00:34:13 CDT | by Luigi Lugmayr
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