Dish Network has multiple options for how to build out its planned IoT network expected to be operational by March 2020 (see 1703080026) and should make decisions later this year on frequencies being used, CEO Charlie Ergen said in an analyst call Monday. The planning process will then follow, with construction to start in late 2018, he said.
Microsoft representatives pressed the FCC to set aside spectrum in the TV band in every U.S. market for Wi-Fi and other unlicensed use, in meetings with aides to the three commissioners. The software maker supported "ensuring that three 6 MHz channels are available for unlicensed use in the 600 MHz and TV bands, and highlighted the existing and potential unlicensed uses of the band,” said a filing in docket 12-268: It “discussed the importance of preserving the use of the duplex gap, channel 37 and a vacant channel in each television market for unlicensed use.”
NAB’s petition for reconsideration of the FCC repacking plan is deficient procedurally and on the merits, rehashes old arguments, and would lead to unnecessary delay, said T-Mobile, the Competitive Carriers Association and CTIA in opposition filings posted in docket 16-306 Thursday (see 1703170055). “The relief NAB seeks is not warranted on the merits and, if granted, will frustrate broadband investment and deployment,” said T-Mobile. All three entities attacked NAB’s assertion the FCC didn’t devote enough effort to creating the post-incentive auction transition plan. The broadcast association “can hardly claim that the FCC’s final rulemaking -- the result of which is the product of numerous years of advocacy by a variety of stakeholders -- can reasonably be deemed an ‘afterthought,’ and this assertion should be promptly rejected,” CCA said. Calling the repacking an afterthought “belies the thousands of pages of evidence on the record that Media Bureau carefully analyzed before releasing multiple detailed documents outlining the repacking process,” T-Mobile said. NAB’s claim wireless carriers aren’t truly interested in 600 MHz spectrum “is squarely contradicted by the fact that the auction generated the second most revenue ever for any Commission-held auction,” CTIA said. The wireless entities also condemned the petition as invalid for being late, “more than 900 days past the deadline for reconsideration,” T-Mobile said. NAB’s requested changes to the repacking plan are “based on arguments that either generally overstate the effect on broadcaster relocation or would unnecessarily delay the transition,” CTIA said. The broadcast association “already has tried, and failed, to challenge the Commission’s final rulemaking before both the FCC and the court,” CCA said. “NAB’s petition is an impermissible collateral attack on the 39-month repacking timeline disguised as a petition for reconsideration of the Media Bureau’s Post-Incentive Auction Transition Scheduling Plan,” T-Mobile said.
Verizon said it didn’t bid in the TV incentive auction because the carrier just doesn't need more low-band spectrum. Changes in the industry mean the 600 MHz band just wasn’t that important to Verizon’s future, the company said in a Friday blog post. “The next big technological innovations are coming in 5G to serve the future needs of business, education, government and consumers,” Verizon said in its most complete comments yet on the recently concluded auction. “Enhanced fixed and mobile broadband, low-latency services and massive IoT scale will thrive on mid-band and millimeter wave spectrum, which is where we are focused for growth. This means more connected services and devices, and higher broadband capacity that can benefit our entire society.” Verizon said it already has “sufficient spectrum holdings below 1 GHz.” The carrier went big in the 2008 700 MHz auction, buying the entire C-band in the Lower 48 states, plus licenses in the A and B-bands. Verizon also cited problems with the TV spectrum. “Future use of 600 MHz spectrum -- only good in the U.S. and not globally -- will take some time to figure out and deploy widely, especially in busy urban locations,” Verizon said. The carrier mentioned T-Mobile, not by name. "One competitor spent $8 billion for 600 MHz spectrum to finally acquire a national low-band spectrum position," Verizon said. "They need it, desperately. And while they continue to play catch up in 4G, we’ve had the largest national LTE Advanced footprint on 700 MHz spectrum for seven years, and it keeps getting better." T-Mobile didn't comment Friday on the auction results. "We are investing in the future," Verizon said. "We have access to 28 GHz and 39 GHz spectrum that we will use for 5G. And the fiber we acquired through our XO and Corning transactions are enhancing our current networks with a keen eye toward future needs." Comcast meanwhile has no current plans for the $1.7 billion in spectrum it bought in the auction (see 1704130056), and that spectrum won't be cleared by the FCC and available for use for several years anyway, the company said in a statement Thursday, after the auction's quiet period ended. It said the spectrum isn't necessary for the rollout and growth of its Xfinity Mobile service. It called the spectrum "a strategically compelling investment at historically low prices." AT&T also commented Friday. "The auction was a win for the FCC, the economy, consumers and the wireless industry," a spokesman said. "Spectrum is essential for our business and we believe we’re taking the right steps. Our strategy for spending was driven by a variety of factors that evolved over time."
AT&T emphasized the moves it made in Q1 to move the carrier toward being more ready to launch 5G, Tuesday in an earnings release and call with analysts. AT&T added 2.7 million net wireless customers: 2.1 million in the U.S. and 633,000 in Mexico and postpaid phone churn hit a best ever 0.9 percent in the U.S., AT&T said. But the carrier also lost 350,000 postpaid phone subscriptions.
Ericsson will have products ready for commercial deployment in the 600 MHz band in Q3, with tests to start before that, a spokeswoman emailed. Earlier this week, questions arose whether T-Mobile and others that bought licenses in the TV incentive auction will have trouble finding devices and network equipment as they deploy in the newly opened band (see 1704170042). “Ericsson is committed to the 600 MHz market and so are the 600 MHz licensees,” the spokeswoman emailed Wednesday. “Besides the focus that T-Mobile has demonstrated towards providing service in this band as early as the end of this year, 600 MHz is also starting to gain regional harmonization as Mexico and Canada, for instance, take further steps to provide services in this band. We also expect the allocation of the 600 MHz for mobile terrestrial service to gain global momentum now that the incentive auction has drawn to a successful conclusion.”
Dish Network's spectrum holdings could be "too much of a good thing," reducing its strategic options, Macquarie analyst Amy Yong said in a note to investors Tuesday. Macquarie said in a merger or acquisition, Dish's spectrum holdings -- including the $6.2 billion worth gained in the broadcast incentive auction (see 1704130056) -- could carry some baggage, as near-term carrier spectrum supply and demand is balanced, with AT&T, T-Mobile and Sprint seemingly having ample spectrum assets. A Dish/carrier merger "would likely generate regulatory uncertainty," it said. Meanwhile, 5G is using fiber and densification, and much AT&T and Verizon focus has been on fiber and millimeter wave spectrum, not on the 600 MHz auction, it said.
With Verizon and Sprint sitting out the TV incentive auction and AT&T buying relatively few 600 MHz licenses, some observers say interoperability issues could loom. But others say they have few worries and T-Mobile, with more than 70 million subscribers, is big enough to drive the market. T-Mobile stressed in a news release last week that equipment makers are looking to the band.
T-Mobile and Dish Network emerged as the big story of the forward part of the TV incentive auction, based on their high bids in the TV incentive auction (see 1704130049), analysts and other industry observers said Thursday after the FCC released results (see 1704130040). The other big news on the forward auction concerned which parties didn’t play -- AT&T bid $910 million for 23 licenses and Verizon sat the auction out. Comcast bid less than expected, $1.7 billion for 73 licenses through CC Wireless. T-Mobile won 1,525 licenses for $8 billion. Dish got 486 licenses for $6.2 billion through ParkerB.com Wireless, more than expected. Comcast came away with 73 blocks and $1.7 billion in licenses through CC Wireless. Those forward auction bidders bought the spectrum of 175 TV stations, leaving close to 1000 to be repacked by 2020, the FCC said.
The Competitive Carrier Association filed in opposition to NAB’s FCC petition for reconsideration of the post-incentive auction transition plan, CCA said in a news release Wednesday. “NAB has tried before -- and failed before both the FCC and the DC Circuit Appeals Court -- to delay new broadband investment in the 600 MHz band, and I strongly encourage the Commission to reject any attempt to push back” the congressionally based 39-month repacking time frame, said CCA President Steven Berry. The NAB petition is “nearly 1,000 days past the deadline” to challenge the 2014 auction order, CCA said. The transition plan was issued as a public notice in January (see 1701270064). The NAB petition “wrongfully claims that the FCC failed to perform a comprehensive analysis in determining repacking timelines and procedures,” CCA said, calling it ”nothing more than a regurgitation of its former baseless arguments.” The planned 39-month repacking time frame “will benefit consumers, the industry and the economy, and I strongly encourage the FCC to dismiss NAB’s petition to avoid any further delay,” Berry said. NAB didn’t comment.