SAN ANTONIO – RCR’s Dan Meyer sat down with Sprint and T-Mobile US to discuss spectrum, focusing on an event that will unite the two rivals whether or not they pursue a merger. The carriers clearly agree on the importance of the upcoming 600MHz broadcast incentive auction. Also joining the discussion at the Competitive Carriers Association Global Expo were representatives from Dish Network, the National Association of Broadcasters, and C Spire Wireless.
“I love this show because we’re free to beat up on AT&T and Verizon,” said T-Mobile VP of regulatory affairs Kathleen Ham. AT&T and Verizon Wireless are the only major carriers who are not part of CCA. Although the panel managed to avoid direct criticism of the two elephants who were not in the room, their discussion focused on the perceived need for the FCC to limit those carriers’ access to the low-band broadcast spectrum.
“We hope they’re going to approach it the right way,” said Ham, noting that low-band spectrum provides the indoor penetration carriers need in order to effectively deliver video, and that it is the most effective spectrum for building out service to rural areas. Ham clearly thinks the stakes are high, noting that she doesn’t see any other auction on the horizon for this type of spectrum.
“We use a resource that is scarce. You can’t make more spectrum,” said Larry Krevor, vice president for government affairs at Sprint. “If the goal of the Communications Act is to promote competition, and if we as consumers are better off with competition, then this is a place where the market in and of itself has not assured a distribution of comparable spectrum across different carriers. I think every carrier would like to have a mix of high, medium and low-band spectrum because the propagation characteristics and other characteristics of different spectrum make different bands more suitable than others for different applications as you build a big network.”
Building a big network is clearly a goal for Sprint, and Krevor believes it will require a more nuanced regulatory approach to spectrum. “Today when the FCC looks at spectrum it doesn’t really differentiate in its competitive analysis very much as to the different properties of different bands,” he said. “The spectrum screen just looks at raw spectrum.” Krevor believes that this approach is not appropriate in a data-centric world in which voice will eventually become a data application. He hopes the FCC will consider the properties of different bands not only in future auctions, but also when evaluating proposed mergers and acquisitions between spectrum holders.
Dish Network noted that it has worked closely with Sprint, T-Mobile US and the regional carriers to encourage the FCC to put limits on the amounts that Verizon Wireless and AT&T can acquire. “We’re definitely very interested in low-band spectrum and hope the Commission recognizes that value and adopts some reasonable limits on the amount that carriers can acquire,” said Hadass Kogan, associate corporate counsel for Dish Network.
