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WASHINGTON — Feb 01, `08 — Although a major auction of prime public airwaves, the 700 MHz, is far from finished, there already appears to be a big winner: the US consumer.

A bid on the largest portion of public wireless airwaves, now being auctioned by the US government, reached $4.7 billion Thursday, surpassing a threshold price that would trigger so-called open-access rules that would allow any legal mobile device or software program to use those airwaves.

While bidding was anonymous, analysts speculated that Google and Verizon Wireless, a joint venture between Verizon Communications and Vodafone Group, were the likely bidders on that swath, or about one-third of the total spectrum being auctioned.

Winners, however, will not be known until the entire auction by the U.S. Federal Communications Commission ends, a process that could take several more weeks. The auction began Jan. 24.

To retain the open-access conditions on that spectrum, a minimum $4.6 billion bid was required. The commission is selling a spectrum that is being freed as part of the switch to digital television in February 2009. The airwaves are considered especially valuable because the frequencies travel long distances and can easily pass through walls.

The rules, advocated by Google and a coalition of consumer and public interest groups, will help pry open traditionally closed wireless networks that prevent people from taking their phones with them when switching providers.

Google, AT&T and Verizon Communications are among 214 qualified bidders for nearly 1,100 licenses to pieces of the spectrum that vary from a nationwide swath to regional slivers.

Because of strict rules to prevent collusion, bidders won’t be identified until the auction ends, and companies are forbidden from commenting on their activity. Based on the limited bidding information available, Verizon is probably the high bidder on the open-access chunk, but Google is also a possibility, said Blair Levin, an analyst at brokerage Stifel, Nicolaus & Co.

“The amount of activity that we’ve already seen occurring demonstrates just how significant the interest is in this piece of spectrum,” FCC Chairman Kevin J. Martin said.

“The openness requirement is important both in terms of the innovation it will lead to on the edges of the network and the ability of consumers to take advantage of that innovation,” Martin further added during a briefing with reporters yesterday.

PORTLAND, Ore –BUSINESS WIRE– Dec 19, `07 — The WiMAX Forum today announced its lead certification lab is now open for formal Mobile WiMAX certification testing and evaluation of Mobile WiMAX products.

WiMAX Forum vendors may begin immediately submitting their 2.3 GHz and 2.5 GHz Mobile WiMAX equipment for testing. The WiMAX Forum’s lead certification lab is headquartered at AT4 Wireless in Spain. The WiMAX Forum expects its four other certification labs in the US, Taiwan, China and Korea to open for formal Mobile WiMAX certification testing shortly.

“Certification facilitates Xohm’s model for open access,” remarked Barry West, president of Sprint’s Xohm Business Unit. “We applaud the WiMAX Forum for this important and timely step, which will encourage device innovation in anticipation of Sprint’s WiMAX network launch in the US”Throughout 2008, service providers are expected to expand current Mobile WiMAX deployments to broader populations in their regions. The WiMAX Forum currently estimates that more than 300 operators in over 65 countries have deployed Mobile WiMAX pilots and trials.

As Mobile WiMAX deployments continue to grow in size and scope in 2008, the WiMAX Forum plans to open new certification labs in India and Taiwan to address the demand for equipment certification. Based on the proliferation of certified equipment, the WiMAX Forum will conduct additional product interoperability activities for new Mobile WiMAX profiles and features, such as testing for the planned certification for 3.5 GHz and 700 MHz profiles and core network certification through Mobile WiMAX PlugFests in 2008. More at WiMAX Forum.

Washington — Dec 18, ‘07 — A venture led by Microsoft co-founder Paul Allen has applied to bid in an upcoming auction of 700 MHz wireless airwaves, according to FCC’s “Accepted Applications” list released on late Tuesday, Reuters reports.

Allen was listed with an entity called Vulcan Spectrum LLC among the applicants who filed to bid in the FCC auction of 700-megahertz spectrum, which is scheduled to begin on January 24.

Allen and Vulcan Spectrum were on a list of scores of potential bidders who filed applications ahead of a December 3 FCC deadline. The auction applicants also included, Google, AT&T, Verizon Wireless and Qualcomm.

The FCC-run auction is expected to take several weeks, or even months, of daily, back-and-forth bidding, with the identities of the bidders kept secret. The radio waves are being returned by broadcasters as they move from analog to digital signals early in 2009. The signals can go long distances and penetrate thick walls.

FCC List of “Accepted Applications“, “Incomplete Applications” (in pdf). More at FCC (in Word).

MOUNTAIN VIEW, Calif — November 30, 2007 — Google announced today that it will apply to participate in the Federal Communications Commission’s upcoming auction of wireless spectrum in the 700 megahertz (MHz) band.

As part of the nationally mandated transition to digital television, the 700 MHz spectrum auction — which begins January 24, 2008 — will free up spectrum airwaves for more efficient wireless Internet service for consumers.

Advocacy by public interest groups and Google earlier this year helped ensure that regardless of which bidders win a key portion of the spectrum up for auction (the so-called “C Block”), they will be required to allow their users to download any software application they want on their mobile device, and to use any mobile devices they would like on that wireless network.

The winner must ensure these rights for consumers if the reserve price of $4.6 billion for the C Block is met at auction.

“We believe it’s important to put our money where our principles are,” said Eric Schmidt, Chairman and CEO, Google. “Consumers deserve more competition and innovation than they have in today’s wireless world. No matter which bidder ultimately prevails, the real winners of this auction are American consumers who likely will see more choices than ever before in how they access the Internet.”

Schmidt also praised the leadership of FCC Chairman Kevin Martin and his fellow commissioners for adopting the new rights for consumers earlier this year.

Google’s formal application to participate in the 700 MHz auction will be filed with the FCC on Monday, December 3, 2007 — the required first step in the auction process. Google’s application does not include any partners.More at Google.

Bidding separately instead of assembling a coalition does not rule out Google later signing up partners if it wins the bidding, said a source familiar with the company’s strategy. But the FCC has “anti-collusion” rules that prevent deal-making between potential bidders during the auction period.

The auction is expected to take several weeks, or even months, of daily, back-and-forth bidding, with the identities of the bidders kept secret. Big spectrum bidders typically draw up elaborate strategies, often with input from game-theory experts.

FCC officials hope the company’s participation will mean a possible new player in the wireless business and boost the amount of money the government can bring in from the auction.

Consumer demand for bandwidth could see the internet running out of capacity as early as 2010, a new study warns. US analyst firm Nemertes Research predicted a drastic slowdown as the network struggles to cope with the amount of data being carried on it.

Such gridlock would drastically affect how people use the web and could mean the next Google or YouTube simply doesn’t get off the ground, it said. The report said billions needed to be spent upgrading broadband networks.

It put the figure at around $137bn (£66bn) globally. For users, the slowdown could see a return to the bad old days of dial-up, the report predicts. “It may take more than one attempt to confirm an online purchase or it may take longer to download the latest video from YouTube,” the report cited. But it is the knock-on effect for new services that could be the real problem, report authors think. “The next Amazon, Google or YouTube might not arise, not from a lack of user demand but because of insufficient infrastructure preventing applications and companies emerging,” the report warned.

The demand for bandwidth-intensive applications shows no sign of abating. Nearly 75% of US internet users watched an average of 158 minutes of online video and viewed more than 8.3bn video streams during May, according to research by measurement firm comScore.

The financial invested required to “bridge the gap” between demand and capacity would range from $42bn to $55bn in the US, Nemertes estimates. The report is part-funded by the Internet Innovation Alliance (IIA) which campaigns for universal broadband in the US.

WASHINGTON/SAN FRANCISCO — Nov 19, ‘07 — Reuters is reporting on, Google considering bidding alone on coveted airwaves to launch a US wireless network, as a deadline nears to declare bidding plans, citing sources familiar with the situation.

Reuters further reports, “One source underscored that Google had made no decision as of Friday on whether it would bid with partners or on its own in the auction of 700-megahertz spectrum due to begin January 24.

Bidding could pit Google against top wireless carriers AT&T and Verizon Wireless. Going it alone at the government auction of airwaves would not rule out later signing up partners if Google were to win the necessary spectrum to create a network, the source said.

Google executives discussed the auction last week with Federal Communications Commission officials, including FCC Chairman Kevin Martin, sources familiar with the meeting said.

At the talks, executives for the Web search leader gave the impression of “inching more towards” a bid, one source said. Another said it is “within the realm of possibility” that partners could be brought on later if Google wins. Google has talked to a number of prospective partners, not just carriers.

The 700-MHz band airwaves, which are being returned by broadcasters as they move from analog to digital signals early in 2009, can go long distances and penetrate thick walls. The auction is seen as a last chance for a new wireless player.

Google has said it would be prepared to bid at least $4.6 billion for the biggest chunk of spectrum if regulators agreed to policies to promote open use of such networks.

Google won half of what it asked: The FCC imposed a condition on a large portion of the spectrum that would require the winning bidder to open up networks to allow consumers to use any device or applications that works on those frequencies.

But the FCC did not require open access to network capacity to be resold to independent mobile service providers on a wholesale basis, another Google request. Under the auction terms, if no one meets the $4.6 billion minimum bid, the auction for the open-access portion of the spectrum would be rerun without the open-access conditions.

Google unveiled this month plans to offer Mobile Operating System software, Android, for building Internet-ready cell phones in an alliance - Open Handset Alliance - of network operators and device and software makers. The first phones to result from it are due out in mid-2008, partners say.” More at Reuters.

GENEVA — Nov 15, ‘07 — A U.N. telecoms meeting decided Thursday to give mobile service providers access to bandwidth currently reserved for terrestrial television broadcasts, offering the promise of high-speed Internet access on-the-move anywhere in the world by 2015.

The decision will give manufacturers of wireless equipment greater security to develop better and cheaper devices, while service providers can expect significantly lower rollout costs for new networks.

U.S. officials lobbied hard for a global agreement on spectrum use, arguing that a common approach was better than each country or region deciding to use separate frequencies for next-generation mobile services.

Consumers in the United States are to gain access to at least some of the spectrum in question by 2009, but it will take an additional six years before those in Europe, Africa, China, Russia and much of the Middle East will have the same access.

The decision to open these frequencies — sometimes described as the beachfront property of the radio spectrum — to mobile services will mean significant cost-savings for telecommunications companies.

Countries agreed to the rule after a month of negotiations that boiled down to a battle between old and new media — broadcasters against telecommunications companies — for control of a prime stretch of radio spectrum.

All-night talks at the U.N.-hosted World Radiocommunications Conference in Geneva finally resulted in a deal by Thursday morning, but not without Europe’s powerful broadcasting interests winning a major concession that means the amount of bandwidth available for mobile services in their region will be half of what is offered elsewhere.

European broadcasters warned earlier this week that viewers of digital terrestrial television could see their reception interrupted by nearby cell phones if the two technologies shared the same frequency.

In addition to the reduced bandwidth, Europe, Africa, China, Mongolia, the countries of the former Soviet Union, and much of the Middle East would wait until 2015 before making the most cost-effective part of the radio spectrum available for advanced mobile services.

A U.S. government auction scheduled for February is expected to fetch up to $15 billion from the sale of bandwidth in the 698 megahertz to 806 megahertz range.

The same frequencies will be available for mobile services throughout the Americas, India, Japan, Korea and a number of other Asian countries, while the rest of the world will initially use only the 790 megahertz to 862 megahertz range.

Washington - Oct 26, ‘07 - The AP is reporting on the Wireless Association, CTIA, taking Verizon’s place and quietly filing a lawsuit that contains some language identical to the original complaint against FCC, on the same day Verizon Wireless withdrew its legal challenge.

AP reports, “The spectrum is being made available thanks to the transition to digital broadcasting by television station owners. It is expected to raise as much as $15 billion in an auction to begin Jan. 24.

The auction rules, approved by the Federal Communications Commission on July 31, include “open access” requirements on about a third of the spectrum. The winning bidder for those frequencies will be required to permit wireless customers to use whatever phones and software they choose, as long as it doesn’t harm the network.

The provision was pushed by FCC Chairman Kevin Martin, who billed it as a victory for consumers. The wireless industry was not so enthusiastic. Verizon filed suit in the U.S. Court of Appeals for the District of Columbia on Sept. 10 claiming the agency had exceeded its authority, violated the Constitution and acted in “an arbitrary and capricious” manner.

CTIA argues that the government-mandated open access provisions are unnecessary in a competitive wireless market and that the agency’s mandate is built upon “an irrational and inconsistent foundation.”

Despite the fact that one portion of CTIA’s complaint contains language nearly identical to the Verizon Wireless suit, the company and the trade association say the events are not connected. “The dropping of the lawsuit speaks for itself,” said Verizon Wireless spokesman Jeffrey Nelson. “It is clear, it gives the real rationale and that’s all there is.”

Joe Farren, spokesman for CTIA, said “there was no agreement or discussion about CTIA’s suit taking the place of Verizon.” The point of the CTIA suit was to “correct the record” regarding the FCC’s position that there is insufficient competition in the handset marketplace.”

More at AP

Ubiquiti Networks announces the World’s first 700MHz Mini-PCI card. “The World’s first 700MHz Wifi Radio. The XR7 is a compact radio module supporting 32-bit mini-PCI Type IIIA standard and features high output power (600mW), extended temperature operation, and an innovative receiver design which provides excellent noise immunity and sensitivity performance.   Utilizing Ubiquiti’s patent-pending Frequency Freedom Technology,  the XR7 was designed specifically for 700MHz mobile wifi test networks as well as long-distance, outdoor broadband wireless and public safety applications.”

More at Ubiquiti…

Wired is reporting on FCC clarifying 700 MHz auction rules. In their words “In addition to pushing back the start date for the 700 MHz auction by eight days, the FCC released a public notice today (Word) clarifying a few of the auction procedures this January, including how the minimum opening bid procedures will work.As expected, the government agency is holding tight to its $10 billion cap on the value of the entire spectrum that will be available. This, the FCC argues, will prevent companies from using money alone to outbid others.

Also unchanged are the rules governing the “C” block, or the portion of the spectrum that requires a winner to maintain open access — yeah the part everyone has been squabbling over lately. This portion of the 700 MHz spectrum will remain limited to industry titans, according to the new rules, and any company that wishes to use the frequencies will need to meet a reserve price of at least $4.63 billion.”

More at Wired…