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Sprint spectrum auction decision of little concern to CCA members

T-Mobile US, CCA members expect little impact from Sprint’s decision to forgo 600 MHz incentive auction

FORT LAUDERDALE, Fla. – Sprint’s recent decision to sit out the upcoming 600 MHz incentive auction did not appear to surprise nor alter how many operators are preparing for the highly anticipated proceedings.

At this week’s Competitive Carriers Association Annual Convention, a T-Mobile US regulatory representative noted that Sprint has been relatively quiet in regard to recent filings concerning the auction process and has a history of passing on such auction proceedings.

“It’s not a surprise that Sprint is not going to participate,” explained Kathleen Ham, SVP for government affairs at T-Mobile US, during a lunchtime panel on the topic. Sprint had also hinted there might have been as much of a need for a larger reserve of spectrum set aside outside the bidding arms of Verizon Wireless and AT&T, she added. T-Mobile US, CCA and a number of its carrier members had petitioned the FCC to set aside up to 40 megahertz of spectrum for carriers holding less than one-third of the total sub-1 GHz spectrum in a given market, with the FCC recently settling on a 30-megahertz set aside.

Ham added that even without Sprint’s participation, she expects the proceedings to be well attended and successful, comments that were echoed by Tim Donovan, VP of legislative affairs at CCA, who said there were “good vibes” from carrier members in the room.

That would seem to have also included Eric Woody, CTO and COO of regional operator Union Wireless, who said Sprint’s decision would not in any way impact the telecom operator’s participation plans.

Michael Calabrese, director of the Wireless Future Project at New America, noted that with Sprint out of the picture and the FCC limiting the amount of spectrum a single bidder can purchase, rural carriers now have an outstanding opportunity to pick up valuable 600 MHz spectrum without having to bid against their more deep-pocketed rivals. However, Calabrese said the FCC needs to remain vigilante in maintaining the integrity of the auction proceeding in order to make sure larger carriers don’t game the system to the disadvantage of smaller carriers.

One potential participant that remains a dark horse is Dish Network. Alison Minea, director and senior counsel for regulatory affairs at Dish, noted on the panel that the company is still analyzing its position, but that Sprint’s departure has increased potential interest.

Dish recently struck a deal with the FCC connected to the AWS-3 auction, agreeing to return some of the spectrum won by designated entity bidding partners Northstar Wireless and SNR Wireless as part of a settlement into Dish being accused of abusing designated entity rules.

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