Cable and Satellite TV Set Their Sights on Airwaves

Everyone is getting into everyone else’s business — in the same way that telcos are starting cable divisions, broadcasters are seeking to launch mobile services. “On Wednesday, Time Warner, Comcast, Cox Communications, EchoStar Communications and DirecTV, a unit of the News Corporation, will be among the 168 qualified bidders in the government’s multibillion-dollar auction of radio spectrum, that precious commodity that allows voice calls and data to be sent over the airwaves.” The expectation is that they’ll use the spectrum to offer mobile services and wireless internet, and there’ll be some competition from the wireless carriers to try and head that off. However, the article reckons that most of the wireless carriers will be waiting until the auction in 2008 for their big purchases — the exception being T-Mobile. There’s also some questions raised as to how well any new entrant will do, although one analyst predicts at least one new infrastructure player in every market. If competition leads to a desire for carriers to differentiate themselves there will hopefully be a wider market for mobile content.

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