Techs & Trends
Spectrum via ATTWS and Cingular
Ok here is a question that has been on the backburner of the ole mind.
When Cingular acquires ATTWS, what happens to the spectrum (airwave bandwith) that ATTWS owns?
Consider HOW MUCH spectrum Cingular will now own is just staggering. Granted its mostly redundant and covers 90% of the area they already own....
Anyone else think the FCC will force Cingular to release some of that spectrum? Or perhaps there will be a bunch of charges that Cing has to pay after the merger? Ideas? Comments/
When Cingular acquires ATTWS, what happens to the spectrum (airwave bandwith) that ATTWS owns?
Consider HOW MUCH spectrum Cingular will now own is just staggering. Granted its mostly redundant and covers 90% of the area they already own....
Anyone else think the FCC will force Cingular to release some of that spectrum? Or perhaps there will be a bunch of charges that Cing has to pay after the merger? Ideas? Comments/
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GWFOX said:
Anyone else think the FCC will force Cingular to release some of that spectrum? Or perhaps there will be a bunch of charges that Cing has to pay after the merger? Ideas? Comments/
We'll be selling. The recent deal with T-Mobile is just the start.
FCC approval will certainly require that we sell more. Just as well -- unused spectrum is an expensive commodity. I can't see us wanting too much more in most markets with double-coverage.
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That's an issue currently before the FCC. Cingular naturally wants to keep as much as it can, but the FCC can and will force them to sell spectrum they truly don't need.
The issue is - how much spectrum does Cingular really need? Cingular's proposal to the FCC argues that the combined company will need 50 MHz to support all of its analog, TDMA, and GSM users, plus an additional 30 MHz for WCDMA, for 80 MHz total in most areas.
In areas where the merger would leave them with more than 80 MHz, they freely admit they will need to sell that excess spectrum, and they've already started that process with the recent T-Mobile deal.
But it's also possible that the FCC will force them to sell more, leaving them with less than the 80 MHz they ...
(continues)
The issue is - how much spectrum does Cingular really need? Cingular's proposal to the FCC argues that the combined company will need 50 MHz to support all of its analog, TDMA, and GSM users, plus an additional 30 MHz for WCDMA, for 80 MHz total in most areas.
In areas where the merger would leave them with more than 80 MHz, they freely admit they will need to sell that excess spectrum, and they've already started that process with the recent T-Mobile deal.
But it's also possible that the FCC will force them to sell more, leaving them with less than the 80 MHz they ...
(continues)
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If past FCC decisions are an indication of future decisions Cingular will get more than 30 MHZ but less than the 80 MHz they are asking for. They also may be allowed the 80 MHz during the transition to WCDMA or until the phase-out of TDMA/AMPS and then they will be forced to give up the additional bandwidth.
If Cingular is allowed 80 MHZ for good it could very well be challenged in court by Verizon who was forced to give up many licenses because they would have had an unfair amount of bandwidth.
Either way the "new" Cingular will be much larger than the current Cingular but smaller than the combined ATTWS and Cingular.
There are some multi-regional carriers who are very license hungry who are eagerly awaiting the outcome of the FCC...
(continues)
If Cingular is allowed 80 MHZ for good it could very well be challenged in court by Verizon who was forced to give up many licenses because they would have had an unfair amount of bandwidth.
Either way the "new" Cingular will be much larger than the current Cingular but smaller than the combined ATTWS and Cingular.
There are some multi-regional carriers who are very license hungry who are eagerly awaiting the outcome of the FCC...
(continues)
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