Subject: [NEXTEL-1] The FCC Mess- FCC Approves Nextel Spectrum Swap Plan - But At What Cost?

From: NEXTEL-1
Date: Mon, 12 Jul 2004 17:09:32 -0400

FCC Approves Nextel Spectrum Swap Plan - But At What Cost?

The FCC commissioners Thursday (July 8) unanimously approved a plan that
allows Nextel Communications to swap patches of spectrum at 700, 800,
and 900 MHz for contiguous blocks of spectrum at 800 MHz in the 1.9 GHz
band. While the decision largely gives Nextel what it wanted, the
package comes at a higher price than the company was expecting to pay.

Nextel fully anticipated having to pay up to $5.4 billion -- in cash and
traded spectrum -- to make the deal happen, but the FCC appears to have
upped the ante. While it is not yet certain exactly how much more Nextel
will have to put on the table -- the published order isn't expected to
emerge for several weeks -- sources close to the carrier estimate an
additional $1 billion could be involved.
Before the swap can be consummated, Nextel will have to produce letters
of credit for $2.5 billion which will be used to underwrite the cost of
rebanding current users of the swapped spectrum -- most of which are
public safety entities. In its press release, the FCC valued the
spectrum deal at $4. 8 billion. That added to the $2.5 billion Nextel
will have to raise in order to secure the required letters of credit
suggests the immediate price tag for the deal is $7.3 billion.
The rebanding project is expected to take up to 36 months to complete.
Public safety entities in the top 20 most congested metropolitan areas
will be rebanded first. That portion of the project is expected to be
completed within 18 months.
Verizon Wireless has adamantly opposed the Nextel spectrum swap plan.
Verizon wanted the spectrum in 1.9 GHz band put up for auction and
offered to open the bidding at $5 billion. The Bell company's impatience
turned nasty a week ago when Verizon's top lawyer, William Barr, fired
off a controversial letter to FCC Chairman Michael Powell and the other
commissioners informing them that approval of the Nextel plan would be a
criminal act. That letter has since stirred tremendous controversy
within the FCC and elsewhere. In fact, Powell made a veiled reference to
it during Thursday's public meeting.
"This is the most difficult and challenging issue I've worked in seven
years, but the cause is just and public service deserves nothing less,"
Powell said. "Much has been made of the legal risk of this rebanding
plan ...  This is the most ruthless lobbying we've ever seen. Yes, there
are risks to what we do today, but it's nothing like the risks public
safety faces everyday. We have to go beyond just the commercial value
[of the spectrum]. How do you value the lives of men and women who wear
the shield."

www.telecomweb.com

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From: "argonnj" <[email-masked]>
Date: Tue, 13 Jul 2004 16:40:46 -0000

> [of the spectrum]. How do you value the lives of men and women who wear

Verizon couldn't care less about interference issue until in involved giving Nextel spectrum 
that they wanted.  Still alittle jealous that you push to talk service sucked?  Verizon will 
drag this out in the courts for years and nothing will be solved and public safety will still 
suffer.  Good job Verizon!

 
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From: marcel_rf1 <[email-masked]>
Date: Tue, 13 Jul 2004 17:15:03 -0000

-- In [email-masked], "argonnj" <argonnj@y...> wrote:
> Verizon couldn't care less about interference issue until in 

>involved giving Nextel spectrum 
> that they wanted. 

Nextel does not care about interference. Nextel has played Public 
Safety like a broken CD. When we brought documented proof to nextel's 
attention in 1996/95 they denied it. Other iDEN carriers acknowledged 
it and worked to correct it on their own dime, No "SCAM PLAN", No 
"SCAM PLANNERS", "No "Spectrum Grab", No promise of consulting 
contracts, no Donations, Nada, Nothing. 

>Still alittle jealous that you push to talk 
>service sucked? 

I doubt that-

> Verizon will drag this out in the courts for years and nothing will 
>be solved and public safety will still  suffer.

nextel will suffer more.......trust me.

>Good job Verizon!

nextel started it Verizon and others will finish it........
nextel could have acquired spectrum using conventional means like 
every other carrier by PAYING FOR IT! nextel choose the "SCAM PLAN" 
and now they must pay the cost.  Public Safety is just along for the 
ride. As someone who has personally sat in every seat in the car I 
have a 360 degree view of the road..........

The driver is headed for a cliff and is going to jump out before the 
car crashes.

 
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From: "argonnj" <[email-masked]>
Date: Tue, 13 Jul 2004 17:56:35 -0000

> The driver is headed for a cliff and is going to jump out before the 

I take it, your not a big Nextel fan.  I happen to like the service.  As a police officer it is an 
invaluable back up communication tool.  I would hate to see it go away due to a few 
jealous companies and yes I do think Verizon is jealous of the sucess of Nextel's direct 
connect and now there going to use there financial and legal might to try and crush them 
(kind of like Microsoft does).  Not that Nextel doesn't have it own interests at heart, but 
thats the nature of business.  Nextel has a great product and they deserve alittle leway.  
That my opinion anyway and it won't change anything.

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From: "marcel_rf1" <[email-masked]>
Date: Tue, 13 Jul 2004 19:28:05 -0000

> That my opinion anyway and it won't change anything.

I'm glad you expressed your opinion.

I am an iDEN Fan. I understand your position however, I would rather rely on a 
multi-band / multi-mode phone. If you had a Cingular Dual band/ Tri Mode 
phone your chances of communicating are much better in an emergency. 

You can force most phones to 800 analog/800 TDMA/ 1900 GSM/ etc. In analog 
you can always force it to B or A band. Since analog covers most of the USA
your chances for coverage are greater. Multiple carriers are usually available on 1.9 band too.

Who can you force nextel to roam to?? nextel?   There is no roaming 
except partners, NII, Soco and telus and these carriers cover very 
specific areas.

There is no analog network for iDEN. So in an emergency situation I would rather have a 
few options rather than one and I'm sure you would too.

I like the bells and whistles from a consumer stand point but from a 
P/S stand point to put my life on the line???......Never.

If they go they go.....

Remember they are the CAUSE not the solution to interference.

It is all about the money from here on in. nextel's survival is 
dependent on this deal why do you think they are fighting so hard?

People don't realize nextel has no product, Motorola does. nextel has 
blurred the lines to make consumers think they invented and make the 
product. The only thing nextel made was INTERFERENCE. Most of us here
remember that Nextel Patended P-T-T that was the biggest insult to 
Private Wireless ever since the "SCAM PLAN". 

I know your concern is back-up communications, I would ask nextel how many
of their sites have generator back-up or redundant transport? I know the percentages
you would be shocked at the numbers. And while you are at it ask about "Roaming".

If nextel goes someone else will step in.

 
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From: sparkie_rf <[email-masked]>
Date: Wed, 14 Jul 2004 13:35:16 -0000

> If nextel goes someone else will step in.

Ayy, Ayy!

And this is the american way.

PS. It seems that Powell pulled a fast one on Timmy, by upping the
consequences of future interference if Nextel decides to decline.

I can just hear the boardroom discussion in Reston right now, Big
Timmy sits at the head of table and all the lackys argue this and
that, finally Timmy speaks and moves his to the big red "emergency
only" phone. Timmy says, "I need to call Tony." The flunkies are all
confused but bumbling Barry, who knows the truth is that it's time to
call on the big guy, Tony Soprano (1-800-HIT-MANN).

(come to think of it, I've already seen this on SouthPark!!!)

 
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From: [email-masked]
Date: Wed, 14 Jul 2004 11:31:24 -0400

Hahhahaha!

Timmy could back door Powell and collect all the MMDS spectrum he can on
the cheap, then buy some 1.9 at auction and then walk from the "SCAM PLAN".

I can see bumbling Barry West trying to take the credit. He will call it the "Consensual" plan again!

Have you looked at the MMDS deals he has been doing? One of the seller's of
MMDS to nextel told me they are  on a "Mission" and would not take NO....
He said he made 3X his money..

 
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From: "argonnj" <[email-masked]>
Date: Fri, 16 Jul 2004 20:31:16 -0000

> If they go they go.....

And this would effect all cell phone users.  Less competion means higher prices for us all!

 
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