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Dec. 4, 2008

Ongoing discussions and voting on the use of AWS-3 spectrum are scheduled for Dec. 18 at the next FCC meeting, the Commission's chairman said today.

A minimum of 25 percent of the overall spectrum must be used for free public broadband data service, and without pornography.

So far, M2Z Networks is the leading company expected to bid on the controversial spectrum auction. Overall, M2Z’s plan is to build a mobile Wi-MAX network using TDD techniques. The network may be ad-supported with location-based services, CEO John Muleta explained.

But there may be a strong legal challenge to the upcoming vote by incumbent wireless carriers, such as T-Mobile USA. That company, along with AT&T, CTIA and others, are strong critics of the FCC’s plan, based on claims that too much interference would exist alongside current AWS-1 networks using FDD techniques.

Other agenda items for the Dec. 18 meeting include digital television, E-911 mobile service and satellite radio.

For its part, T-Mobile conducted a public test to illustrate the interference, but FCC engineers said any interference can be overcome with current technology.

On Dec. 2, T-Mobile suggested an alternative “Broadband Maximization Plan,” also based on FDD, which M2Z categorically rejected.

Funded by Kleiner, Perkins, Caufield & Byers, M2Z maintains that its opponents are only claiming interference as a diversion tactic and that the real issue is nothing less than money.

The existence of a free network will most assuredly cut into incumbent’s profit margins, Muleta said.

This battle has been ongoing for many months now, and has been escalating in the past six weeks. It will be interesting to see how the FCC votes on all of this, and, most important, its reasoning behind the vote.

The industry will be watching very closely on the outcome of the Dec. 18 meeting.

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Source: The Federal Communications Commission.