WASHINGTON-A former wireless policy-maker has teamed with financial backers to seek spectrum for an advertising-supported national broadband wireless network that would provide service for free.
M2Z Networks Inc., co-founded by former Federal Communications Commission wireless bureau chief John Muleta, has applied to operate a national wireless broadband network in the 2155-2175 MHz band. The band is adjacent to a chunk of advanced wireless services spectrum, due to fetch the U.S. Treasury billions of dollars during an auction scheduled to begin June 29.
In exchange for gaining access to valuable airwaves via a 15-year license, M2Z said it would contribute back to the federal government 5 percent of gross revenues from subscription services it will offer in addition to free broadband wireless service. The firm said it would not rely on the Universal Service Fund or other taxpayer dollars to deploy the large-scale wireless broadband network.
M2Z said it has financial backing from Silicon Valley-based Kleiner Perkins Caufield & Byers, Charles River Ventures and Redpoint Ventures.
“The commission has both the statutory authority and the unrivaled opportunity to make affordable broadband access a reality for Americans. And it can do so by allowing the private sector to fully fund universally available broadband access without drawing from the existing USF or imposing new taxes to pay for a new interoperable public-safety secondary data network,” M2Z stated.
M2Z said universal broadband service could yield billions of dollars in economic benefits because it would negate the expansion of the USF.
President Bush has set a goal of affordable, universal broadband service by 2007. The United States lags behind more than a dozen countries in broadband penetration.
M2Z is the second startup in less than a month to ask the FCC for spectrum in furtherance of a national communications priority. In late April, Cyren Call Communications Corp. asked the agency for 30 megahertz to develop a private-sector funded national broadband public-safety network capable of providing first-responder communications interoperability around the country.
