Subject: [NEXTEL-1] Spectrum Battle Heats Up

From: [email-masked]
Date: Fri, 30 Apr 2004 14:07:37 -0400

Spectrum Battle Heats Up

The battle over spectrum continued this week as the Cellular
Telecommunications & Internet Association (CTIA) tried to negotiate a
compromise between its members, saying it was trying to find a solution
that does not give any particular carrier an unfair advantage. Nextel's
spectrum swap proposal to the FCC is being contested by its competitors,
particularly Verizon Wireless. CTIA filed today a proposal with the FCC
that moves Nextel to less-valuable spectrum. Nextel did not participate
in the vote and indicated that it would not accept alternative spectrum.

====================================================================================

News Release

April 30, 2004

Travis Larson

(202) 736-3207

CTIA Proposes 800 MHz Compromise

-Guarantees $3 billion for public safety's transition and spectrum for
Nextel-

WASHINGTON, D.C. - The Cellular Telecommunications & Internet
Association (CTIA) yesterday urged the Federal Communications Commission

(FCC) to adopt a new compromise proposal on 800 MHz. The new plan
provides more than a three-fold increase in funds for public safety
communications over the "Consensus" Plan and grants Nextel 10 MHz of
spectrum at 2.1 GHz - the same spectrum Nextel originally requested when

it first presented its 800 MHz transition plan to the FCC.

"This compromise puts public safety first and that's the most important
thing. Public safety has been swinging in the wind for too long. This
proposal ends public safety radio interference in a prescribed period of

time, and makes sure the costs of rebanding are completely covered. The
plan is also legally sustainable, doesn't put any one company at an
advantage and gives Nextel the spectrum it had originally asked for,"
said Steve Largent, President and CEO of CTIA.

In its letter to the FCC, CTIA asked that if the Commission determines
it is necessary to reband public safety assignments and grant spectrum
to Nextel outside the 800 MHz band, that it go forward with several key
principles in mind.

These include:

(a) requiring Nextel to deposit a minimum of $3 billion into a trust
fund for Public Safety and Critical Infrastructure licensees to ensure
adequate funding;

(b) using an independent trustee to manage the money and payments;

(c) granting Nextel the spectrum it originally requested at 2.1 GHz; and

(d) in order to provide Nextel a strong incentive to reband quickly and
nationally, requiring Nextel to relocate and pay for Public Safety
before getting its spectrum grant on a market by market basis.

To ensure a resolution to this complicated issue in public safety's
favor, CTIA proposed, "Public Safety would work with a Trust Fund
administrator to ensure that rebanding is completed and interference
problems are solved efficiently, effectively, and in a timely manner."

The plan guarantees, "A minimum of $3 billion from Nextel to fund
rebanding and other measures ordered by the Commission to address the
interference problem." In addition to contiguous spectrum in the 800 MHz

band after rebanding, Public Safety would receive an additional 2.5 MHz
of spectrum within 800 MHz, as detailed in the Consensus Plan proposal.

For a copy of the filing, e-mail Travis Larson at [email-masked].

# # #

CTIA is the international association for the wireless
telecommunications industry, representing carriers, manufacturers and
wireless Internet providers.

www.ctia.org

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