As recently as earlier this month, the FCC’s top broadband official said when it comes to spectrum, “there is not enough of it.” So, it’s possible U.S. regulators might just fall for this: T-Mobile USA has asked lawmakers to allow the FCC to sell a chunk of airwaves to commercial wireless carriers, rather than designate them for police officers and firefighters as they were initially intended for.
T-Mobile made the request in a letter Wednesday, a day ahead of a House subcommittee hearing on the issue, reports the WSJ. T-Mobile is clearly looking for other sources of spectrum for its next generation network. Earlier this week, rumors surfaced, saying that T-Mobile might be in talks with Clearwire (NSDQ: CLWR) or MetroPCS over their spectrum holdings.
Unlike T-Mobile, AT&T (NYSE: T) recommended that public safety groups raise funds and build their own networks on their own. I addition, they suggested they use LTE, which is the same 4G technology being used as AT&T and Verizon (NYSE: VZ). The government might hesitate in making that requirement since it would block out other network technologies, like Clearwire’s WiMax.
The block of spectrum is sitting somewhat vacant. In the last auction, the FCC failed at attracting selling a private company on the idea of paying millions for the airwaves and then setting aside a portion for public safety. However, it likely would require an act of Congress to allow the FCC to sell the airwaves solely for commercial use. T-Mobile argues that the revenue from the sale could help pay for building a standalone network on a different set of channels.
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