FCC To Reconsider Small Business Discounts
Feb 2, 2006, 2:22 PM by (staff)
The FCC is set to unveil a proposal that will change the rules on small business discounts awarded in some spectrum license auctions. Currently large carriers team with small regional ones to bid on spectrum in auctions. The national carriers do this to take advantage of a 25% discount awarded to small carriers on some licenses. The FCC would like to prevent large carriers from taking advantage of this discount while still offering it to smaller ones. Even if the FCC does change this rule, it has to consider comments on the proposal, and changes may not take effect until after June's 3G auction, allowing national carriers one last time to buy spectrum at a discount.
FCC Embraces New Auction Rules for Designated Entities
The FCC today formally adopted a Report and Order that makes changes to how small businesses participate in spectrum auctions. The changed rules are a response to Dish Networks' use of designated entities to place bids on its behalf in the AWS-3 auction earlier this year.
FCC Keeps Auction Reserve at 30 MHz
The FCC today finalized its proposed rules for next year's 600 MHz spectrum auction and kept the reserve for smaller carriers at 30 MHz. T-Mobile and others petitioned the FCC to raise the reserve to 40 MHz, but FCC Chairman Tom Wheeler believes the 30 MHz cap offers plenty of opportunity for those who may bid.
FCC Denies Dish $3.3 Billion in Auction Discounts
The FCC has officially and unanimously rejected Dish Network's $3.3 billion in AWS-3 spectrum auction discounts. Dish used three smaller companies, in which it owned an 85% stake each, to place bids on its behalf.
Dish Unhappy About FCC's Position On Auction Discounts
Dish Networks has confirmed the FCC plans to deny it $3.3 billion in discounts on spectrum licenses. Dish used three small companies — called designated entities — to place bids on its behalf during the AWS-3 auction earlier this year.