Subject: [NEXTEL-1] FCC Allows Wireless Broadband In Education Spectrum

From: NEXTEL-1
Date: Fri, 11 Jun 2004 02:01:36 -0400

FCC Allows Wireless Broadband In Education Spectrum
June 10, 2004 11:55am

By Mark Wigfield
Dow Jones Newswires

WASHINGTON -- The Federal Communications Commission unanimously approved
a planthat will reconfigure a broad swath of valuable spectrum over the
next three years to accommodate wireless-mobile broadband.

Over half of the band is licensed to educators, who traditionally used
the airwaves for educational video. The FCC rejected a proposal by staff
that would have allowed educators to sell that spectrum to commercial
users.

But it maintained its policy of allowing educators to lease spectrum to
companies. Companies like Nextel Communications Inc. (NXTL), Sprint
Corp. (FON) and wireless pioneer Craig McCaw are among those holding
both leases and spectrum licenses with an eye toward offering
wireless-broadband services.

Restrictive rules meant to protect educational video and a spectrum-band
plan that mixed the educational uses with private bands has long left
the airwaves underused. FCC Chairman Michael Powell said he hopes the
band now "will be used fully."
But he vowed the agency would monitor whether licensees make use of the
airwaves. "Use it, or get out of the way for someone who will," said Mr.
Powell.

Democrat Michael Copps praised the FCC for preventing the sale of the
educational licenses. He said 1,275 educational licensees in 70,000
locations "will have all they need to make the best use of the spectrum.

"Many believe the educators won't use [the spectrum] properly," added
Mr. Copps. "I think they're wrong."
Most educators had opposed allowing schools to sell their licenses,
equating the idea to the sale of national parks.
The wireless industry was divided over the question, with Sprint and
BellSouth Corp. (BLS) pushing to allow commercial sales, and Nextel, Mr.
McCaw and an association representing other providers saying sales
aren't necessary.

Schools can license 120 megahertz of the 190 MHz band, which is roughly
equivalent to the amount of airwaves devoted to mobile-phone service.
Educators are allowed to lease up to 95% of their airwaves to commercial
users and spend the proceeds for educational purposes.

While universities and institutions like the Catholic Television Network
have long made use of their licenses, critics say other educators
haven't. Private use of the airwaves has long been dogged by failed
businesses, including wireless cable and fixed-wireless broadband.

But industry and educators alike are hopeful the new band plan will
finally allow the airwaves to be fully tapped.
-By Mark Wigfield; Dow Jones Newswires; 202-828-3397

(END) Dow Jones Newswires
June 10, 2004 11:54 ET (15:54 GMT)

Copyright © 2004 Dow Jones and Company, Inc.

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