Subject: [NEXTEL-1] Verizon Wireless Calls For Spectrum Auction

From: Marcelrf <[email-masked]>
Date: Thu, 26 Feb 2004 17:12:21 -0500

Verizon Wireless Calls For Spectrum Auction
BY SUSAN RUSH
FEBRUARY 26, 2004

With a decision expected from the FCC within the next few months, Nextel
Communications Inc.'s proposed Consensus Plan is once again taking some
heat.  The latest: Verizon Communications is calling for an auction of
the 1.9 GHz spectrum in question.

In a letter to the FCC, Verizon Wireless vice president for business
development Molly Feldman said, "As Congress and the commission have
said many times, spectrum auctions represent the best way of ensuring
that spectrum is put to its highest and best use...The only way the
government can obtain the fair market value of that spectrum is to
auction it."

Nextel's so-called Consensus Plan is designed to shift public safety
agencies from the 800 MHz band to other frequencies to solve
interference problems in the band. It was first introduced in November
2001 by Nextel and 13 public safety and industry organizations and
companies. But since the proposal was unveiled, it has faced fierce
opposition from the likes of Verizon Wireless, CTIA, the United Telecom
Council, AT&T Wireless and other wireless carriers that claim approval
of the plan would give Nextel a competitive boost.

Earlier this month, Verizon presented findings by Kane Reece Associates
Inc. that reiterated Verizon's beliefs that Nextel would get a $7.2
billion windfall if the Nextel-proposed spectrum swap goes through.

In other Nextel/Verizon competition news, it looks as though
push-to-talk has once again raised some eyebrows at the U.S. Department
of Justice. The DOJ reportedly delivered requests for information to
Nextel, Verizon Wireless and Motorola. A call for information, however,
does not necessarily mean an investigation will result. The DOJ did,
however, file an antitrust case against Nextel and Motorola back in
1994. The case has since been settled.

Although the DOJ is mum about its request for information, Nextel
confirmed a request has been made. Company spokeswoman Audrey Schaefer
says, "We did receive a request for information, and we are supplying
information." She declined to comment further on the request.

Motorola, a Nextel supplier, reportedly has been asked for information
as well, but company spokesman Bill Parke says, "We do not comment on
specific investigations." He went on to say that the company does
cooperate with proper requests for information from governmental
authorities.

Gina Talamona from the DOJ declined comment on the information inquiry.
A Verizon Wireless spokesman did not provide comment either.

http://www.wirelessweek.com/index.asp?layout=newsat2direct&starting=1&pubdate=02/26/04

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From: Marcelrf <[email-masked]>
Date: Thu, 26 Feb 2004 18:10:53 -0500

VZ won't pay for their existing B-Side spectrum.

This is the end of the road for Nextel and the Consensus plan.

History Repeats Itself-

In 1999 Nextel attempted a similar Scam to acquire Nextwave's 1.9Ghz
spectrum for a song. Until Congress sent a letter
(http://www.house.gov/commerce_democrats/press/106ltr57.htm) to the FCC
(Kennard who played dumb) the FCC was prepared to sell the spectrum to
Nextel way below market value. After Nextel was busted they disappeared
and left the FCC to answer questions from the congress. A similar fate
is about to occur to Public Safety. Rather than play spectrum shuffle
Nextel should take the $850M and correct their poorly deployed network.

Broadcasters will never pay for any spectrum previously allotted to them
for free. The FCC needs to apply pressure to manufactures to seed the
analog to digital transition by reducing prices on next generation
equipment.

BTW- I suggested a spectrum auction months ago.

[email-masked] wrote:

>  Marcel: as long as Verizon Wireless LLC is willing to pay renewal
> fees equal to $.45 per MHz/pop for its B-Side cellular licenses it
> received for free in the 1980s, I see no problem with its calling for
> a spectrum auction of the 10-12 MHz of 1.9 GHz spectrum that would be
> involved in an 800 MHz rebanding.  Verizon and the other wireline
> cellular carriers seemed to have developed Alzheimer's re how they
> obtained their B-Side cellular spectrum.  Whie we are talking some
> sense here, perhaps the VHF and UHF broadcasters need to pay an
> spectrum lease fee on the analog TV licenses as well.  The amounts
> raised by these fees over seven years would pay most, if not all, of
> the total relocation costs of the Consensus Parties' Proposal. But
> then I could be wrong. P. Waugh
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