The FCC has shot down the idea of allowing two or more wireless network operators to bid on spectrum jointly. Sprint and T-Mobile hoped to join forces in some bidding and requested permission to do so. FCC bureau chief Roger Sherman said the idea would contradict the FCC's wish to see competitive bidding from a wide range of companies, large and small.
This ruling plays totally into the hands of big red and blue. The premise of this ruling is to eliminate the collusion of larger carriers while giving the chance to the smaller. The problem is, there are very little smaller carriers left with enough financial backing to make such a bid on this valuable spectrum. This once again puts all the financial power into AT&T and VZW for individual bidding. Do T-Mobile and Sprint have the potential to successfully bid individually on said spectrum? Possibly, but it really is not a safe financial commitment. The funds needed to secure the spectrum is going to be astronomical in comparison to past auctions. Then to have reserved funds to put the spectrum into operation is going to further mount the mone... (continues)