Legislation eyes auction of family-friendly spectrum

Reps. Anna Eshoo (D-Calif.) and Christopher Cannon (R-Utah) introduced a bill to foster deployment of a national, family-friendly wireless broadband network with open access, an initiative the mobile-phone industry was quick to pounce on.
The Wireless Internet Nationwide for Families Act, which includes components of a private-sector proposal rejected by the Federal Communications Commission and now the subject of litigation, calls for two auctions. The first would encompass the 2155-2180 MHz band and the second would involve yet-to-be identified spectrum below the 3 GHz band. The two auction winners would be required to complete construction of networks within 10 years, and they would have to cover at least 95% of the population.
“The cost of broadband service is a barrier for too many families who want broadband, with more than 100 million Americans without broadband at home,” Eshoo said. “By every measure, the U.S. is losing the international broadband race and our competitiveness as a nation is at stake. The Innovation Agenda made a commitment to spur affordable access to broadband and this bill will go a long way to providing universal broadband access.”
Eschoo’s bill directs the two national licensees to provide a tier of free service — one absent of obscene and indecent material — to consumers and public-safety agencies.
“The results of the 700 MHz auction disappointed many of us who hoped that a new entrant would emerge,” said the California lawmaker. “Seventy percent of the spectrum auctioned went to only two carriers. While the auction required under this legislation is open to anyone, it is my hope that the bold conditions of requiring free, family-friendly service will encourage the entry of a new kind of national broadband service provider.”
The cellular industry is not keen on the Eshoo- Cannon regulatory approach.
“Flexible use spectrum policy has been a tremendous success for wireless consumers, commercial operators and the U.S. Treasury. To reverse course and have the federal government dictate the business model a bidder may employ is not something we would support,” said Joe Farren, a spokesman for cellular association CTIA. “The recently concluded 700 MHz auction is evidence of how such well-intentioned dictates can result in fewer bidders and lower auction proceeds.”
Farren added: “As the United States is behind its major trading partners on a megahertz-per-user ratio, we agree with Congresswoman Eshoo that additional spectrum must be made available and we look forward to working with her on this important endeavor. However, mandating how providers should deploy and use such spectrum is something we can’t support.”
The FCC is considering options for the 2155-2175 MHz frequencies, a valuable band that remains idle.
Last August the FCC tossed out applications of M2Z Networks Inc. and other parties that applied for 2155-2175 MHz band to construct a national wireless broadband network. M2Z challenged the agency action in the U.S. Court of Appeals for the District of Columbia Circuit. Briefing in the case begins this spring and will continue throughout the summer.