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Time Trippin’: AT&T inhales McCaw; industry girds for PCS, auctions … 19 years ago this week

Editor’s Note: The RCR Wireless News Time Machine is a way to take advantage of our extensive history in covering the wireless space to fire up the DeLorean and take a trip back in time to re-visit some of the more interesting headlines from this week in history. Enjoy the ride!

AT&T-McCaw completes largest wireless merger
It’s a done deal. AT&T Corp.-the nation’s largest long-distance telephone company-and McCaw Cellular Communications Inc.-the biggest cellular operator in the land-are now one. The two firms closed the $11.5 billion merger Sept. 19, following conditional approval by the Federal Communications Commission earlier the same day. The two companies had set a self-imposed Sept. 30 deadline to complete the largest telecommunications deal in history. AT&T is now expected to finish what McCaw began several years ago-purchase Lin Broadcasting Corp. McCaw holds 52% of Lin, a major cellular carrier with interests in New York, Houston, Dallas and Los Angeles, and was under contract to either buy the rest of Lin by next year or risk losing all equity in the company. … Read More

Qualcomm introduces handset, software for PCS marketplace
Gearing up for upcoming personal communications services auctions, Qualcomm Inc. has introduced several products based on its Code Division Multiple Access digital technology, including the company’s first portable phone for the PCS market. Qualcomm’s eight ounce QCP-1900 transmits radio frequency power at extremely low levels, giving the phone five hours of talk time and 72 hours of standby time on a single battery, surpassing power capabilities of many high-end cellular handsets by more than four times, according to Qualcomm. The new portable also provides broad coverage and extended capacity. The phone uses Qualcomm’s 13 kilobit per second voice coding option, designed to provide voice clarity comparable to that of a wired phone, according to the company. … Read More

New 500 area code may boost demand for 1-number services
Demand for one-number services may become even greater now that the non-geographic 500 area code is available, according to Accessline Technologies Inc., a company in the one-number ball game. The Federal Communications Commission began releasing the non-geographic, 500 area code in July. Companies such as Accessline, as well as large operators like AT&T Corp. and Ameritech, have received the numbers to sell to customers. … Read More

Arch begins nationwide paging without building infrastructure
Arch Nationwide Paging says it has built a nationwide paging network without constructing one. Last fall, Arch announced its intention to offer paging service in every major U.S. city by using other carriers’ existing infrastructure and the company’s proprietary software. The company says it has made significant progress toward that goal. Arch Nationwide is a wholly owned subsidiary of Arch Communications Group, based in Westborough, Mass. Thus far, a core of 18 carriers have signed up for the service. Some are small and some are large, such as GTE Corp., The Westlink Co., a start-up company formed to buy U S West Inc.’s paging business, McCaw Paging and Dial Page Inc. … Read More

Firm plans to aid PCS hopefuls in bidding, building, branding
Positioning itself for the impending rush on broadband personal communications services licenses, The PCS Group, a Minneapolis-based consulting firm, has formed to offer one-stop assistance to entrepreneurs in this emerging wireless industry segment. The PCS Group President Brian Friedman said, “To succeed in PCS will require significant planning, forethought and market distinction. It won’t be enough to merely provide another cellular service.” To help achieve this goal, The PCS Group said it plans to offer a variety of services to clients at each step of the bidding-building-branding journey the novice companies must make, noting it intends to provide “these services through key alliances with leading communications industry service providers and equipment manufacturers.” … Read More

FCC plans to stamp out fraud early on in spectrum auctions
With huge sums of money expected to be bid on broadband personal communications services licenses later this year, the Federal Communications Commission has adopted a get-tough policy on auction fraud. The agency is investigating alleged fraud in auctions in late July for interactive video and data service licenses. At that time, the agency collected $214 million from IVDS bidders, but a number of winners defaulted on making down payments several days after the auction ended. FCC officials suspect some successful bidders who defaulted misrepresented their financial qualifications, illegally masqueraded as women- and minority-owned businesses for the 25% bidding discount, and tried to persuade successful bidders to delay payments. … Read More

FCC to force wireless providers to offer enhanced 911 services
With the number of people using mobile telephones increasing each year, federal regulators want to improve 911 emergency service for calls made over the airwaves, and could force carriers that fail to meet future government standards to put warning labels on handsets indicating their limited capability. Today, cellular phones are becoming a popular public-safety tool, accounting for a half million 911 calls every month. That figure is expected to skyrocket in coming years as cellular, personal communications services, specialized mobile radio and mobile satellite phones make their way to the mass market. … Read More

Firm uses a ‘cool’ technology to make clearer base stations
Illinois Superconductor Corp. said it has introduced an interference filter for cellular base station receivers that uses superconductor technology, enabling the base station to hear weaker signals more clearly. Superconductivity involves cooling certain metals and alloys to a very low temperature so electrical currents can be transmitted without resistance. Illinois Superconductor’s filter rejects undesired radio signals, making the radio receiver’s sensitivity greater and allowing weak signals to be heard with greater clarity, according to the Evanston, Ill.-based company. … Read More

Carriers reporting lower churn, but industry analysts disagree
Accurate cellular subscriber churn rates continue to be elusive for most people to obtain except those really “in the know” at cellular service companies, which makes it difficult for analysts and consultants to confirm carrier reports that their churn rates are decreasing. BellSouth Cellular Corp. is proud of its churn rate, which it says is running at less than 2% per month this year. US West Cellular says it has in the past and continues to experience monthly churn rates below the national average, which it estimates at between 2% and 3%. Ameritech contends that while cellular carriers overall average an annual 22-23% churn rate, Ameritech Cellular Services has rates at almost half of that. The company wouldn’t provide a monthly figure. … Read More

BellCos form Unibridge venture to offer service to PCS carriers
Six regional Bell telephone companies have signed a joint marketing agreement to offer their individual network services and products to new personal communications services providers. Ameritech, Bell Atlantic Corp., BellSouth Telecommunications, Nynex Corp., Pacific Bell and U S West Communications have joined together to offer their standard services under the Unibridge name. The companies will decide independently the availability and pricing of the products and services, depending on the applicable state and federal tariffs and regulations. … Read More

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