CTIA Weighs In Against Nextel
Are they waiting for another disaster to occur?
In effect, they are saying that Nextel should give up some of its spectrum for free. In the very next sentence they (or in this case their front the CTIA) are saying that the FCC should force Nextel to pay $3B or more for spectrum because spectrum is too valuable to give away for free.
Verizon can't have it both ways and our safety should come first. If you take spectrum away from someone its seems fair to give them a replacement for free or at least for a minimal fee, which $3 billion is not.
The one who made the mistake here is the FCC not Nextel. Why then should Nextel pay for the FCC's blunders?
Nextel has planty of cash since they have the lowest churn and by far the highest revenue per subscriber.
$5 billion was for the 1900 MHz (extended PCS) spectrum, which everyone agrees is much more valuable. That's because Nextel (or whoever eventually gets it) could use (almost) off-the-shelf CDMA or GSM gear in that band.
The $3 billion is for 2100 MHz spectrum. It's not quite the same as Europe's 2100 MHz band, so it would require new equipment that doesn't exist yet. That would require more money spent on equipment, which is why any reasonable company wouldn't be willing to spend as much on that band of spectrum.
Verizon Wireless and the CTIA are simply trying to make sure that things are fair. $3billion for nationwide spectrum isn't that bad, and it would help to offset the cost of relocating the emergency systems. Verizon offered $5billion for the 1.9ghz spectrum simply because that's what it's worth, probably more.
So get off the high horse, put down the walkie talkie and think about it from outside the nextel box.
pattwak said:
They're not waiting for another disaster to occur. They're trying to make whiney nextel pony up some real cash for nationwide spectrum that it feels it doesn't really need to pay for.
Verizon Wireless and the CTIA are simply trying to make sure that things are fair. $3billion for nationwide spectrum isn't that bad, and it would help to offset the cost of relocating the emergency systems. Verizon offered $5billion for the 1.9ghz spectrum simply because that's what it's worth, probably more.
So get off the high horse, put down the walkie talkie and think about it from outside the nextel box.
Actually I was referring to the situation in a manner that suggests ALL participants are respon...
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My main point is that no matter the spectrum should not be sold for less than market value. If the 2100 spectrum is not as valuable as the 1900 spectrum than so be it, but still it is the FCC's duty to make sure it is not just given away. Spectrum is public space and no tax payer should want it to be sold for anything less t...
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jhmlbrgr said:...
Why is everyone blaming this on VZW?? The story says that the CTIA has the proposal for NEXTEL to get the 2100 spectrum. Does VZW all of a sudden own the CTIA too??? You guys are all ridiculous. Do you think the Cingular or T-Mobile or Sprint want Nextel to get that spectrum any more than VZW does, I doubt it. Every carrier is against Nextel getting cheap spectrum, so why is VZW all off a sudden the anti-christ?
My main point is that no matter the spectrum should not be sold for less than market value. If the 2100 spectrum is not as valuable as the 1900 spectrum than so be it, but still it is the FCC's duty to make sure it is not just given away. Spectrum is public space and no tax payer should wan
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jhmlbrgr said:
Why is everyone blaming this on VZW?? ...
Because the FCC was ready to make a decision a few weeks ago and finally end this mess. But just a few days before the meeting, Verizon put out a very public press release that pre-emptively attacked the decision the FCC was supposedly about to make. I'm talking about the unsolicited $5 billion bid for the 1900 MHz spectrum that the FCC wanted to give to Nextel (for a fraction of that).
The thing is, no one disagrees with Verizon, (except Nextel,) but they did take specific action derail the process, and they were successful.
muchdrama said:...
J...I think what everyone's referring to is that the CTIA doesn't usually get involved
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If someone is hurt or dies because of this mess then what will the public think of verizon, the firm who obstructed an impending resolution out of its own greed.
If the FCC believes that the way to resolve this is by moving nextel from part of that spectrum then the FCC must compensate Nextel with new spectrum. It is really that simple.
The FCC has generally given new spectrum to anyone who was forced to move and even compensated them for moving or have you forgotten what the part of PCS auction revenues were used for.
If nextel did not have to...
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This forum is closed.