Nextel opposed a request for a 30-day extension of an April 18 comment deadline in an FCC proceeding proposing to lift curbs on use of 900 MHz “white spaces” and to auction that spectrum. The request was filed last week by the United Telecom Council, the National Assn. of Mfrs. and MRFAC, the Assn. of American Railroads, the American Petroleum Institute, the National Rural Electric Co-op Assn. and the Enterprise Wireless Alliance (CD April 7 p7). Nextel said Tues. that a longer comment period would cause delays that could affect “the successful and timely implementation of the Commission’s 800 MHz band reconfiguration plan.” The plan adopted in the 800 MHz order provides for Nextel to retune its 800 MHz facilities twice as part of clearing incumbent licensees from channels 1-120 in the 800 MHz band and retuning NPSPAC licensees to those channels. It said lifting restrictions on use of 900 MHz white space and auctioning that spectrum would give Nextel a chance to acquire “much-needed” access to more 900 MHz spectrum. “Time is of the essence,” Nextel said, noting that initial retunings under the 800 MHz band reconfiguration plan commence June 27. “The Commission should move expeditiously to afford Nextel the opportunity to obtain this spectrum in a timely manner by adopting the proposed rule changes and scheduling a 900 MHz white space auction as soon as possible,” Nextel said. It said it was willing to discuss with the associations the issues raised by the rulemaking and would cooperate in filing joint proposals with the FCC if “mutually agreeable positions on any of these issues” were reached.

T-Mobile slammed the joint H block proposal Verizon Wireless, Sprint and Nextel (VSN proposal) submitted to the FCC in Feb. (CD Feb 14 p7), saying the proposal was “not technology neutral” and shouldn’t be adopted.

Ericsson said it backed a joint proposal by T-Mobile and the Rural Telecom Group (RTG) to revise the plan for advanced wireless services (AWS) in the 1710-1755 and 2110-2155 MHz bands (CD March 15 p8). The proposal recommended the FCC divide the 30 MHz E-block licenses into 3 parts, incorporating those parts in a modified AWS band plan. “The proposed plan will enable carriers serving rural and undeserved areas to access smaller, more affordable spectrum blocks that may be more appropriate for their needs,” Ericsson said: “At the same time, carriers desiring larger blocks may still aggregate smaller spectrum blocks and licenses through auctions or the secondary market to suit their business plans.” Ericsson in past recommended that the FCC adopt 3 licenses of 2x15 MHz. But the firm said this week that “market conditions have changed significantly” since it made that recommendation. “Industry consolidations have increased the largest wireless carriers’ spectrum holdings considerably and the market may continue to move in this direction,” Ericsson said: “At the same time, other national, regional and rural carriers need access to spectrum on a smaller scale to augment their existing voice and data services and deploy innovative product offerings.” Ericsson said the FCC must respond to such market development by adopting smaller spectrum block sizes licensees can adjust based on existing spectrum holdings to fit individual business plans.

The FCC opened access to new spectrum for wireless broadband in the 3650-3700 MHz band. The Commission said it had adopted a “hybrid” approach based on both its licensed and unlicenced regulatory models, providing for nationwide, nonexclusive licensing of terrestrial operations in the band using technologies employing content-based protocols. “I am delighted that we are today opening this 50 MHz of spectrum for the provision of wireless broadband for consumers, especially in rural areas,” FCC Chmn. Powell said Thurs.: “This spectrum has been unutilized for far too long.” He said the Commission’s “flexible” technical rules turned the band into “a potential home for new innovative technologies, such as WiMAX.”

Legg Mason predicted carriers will face a period when they will demand more spectrum, leading to active auctions and markets. “We continue to believe that after a period of relative calm that followed the European/U.S. auction frenzy, carriers are getting ready to obtain more spectrum in order to satisfy what they project to be growing demand for data services, speed, mobility, and improved service quality,” the firm said in a report. “There continues to be what we regard as a happy coincidence between (1) remaining industry uncertainty over how great and how rapid the demand for wireless broadband services will be and (2) the fact that the govt. is making spectrum available to industry on a rolling basis, with spectrum coming online in waves rather than all in one batch.” Legg Mason didn’t predict what prices carriers will pay but observed that big city spectrum is bringing in far higher payments than in smaller areas. In recent transactions, operators paid an average of $1.81 MHz/POP for spectrum in the top 10 markets, compared to 94 cents per MHz/POP in the next 46 largest markets.

Wireless technology will play an increasingly important role in homeland security, FCC and industry officials agreed at a panel discussion during the CTIA show in New Orleans late Tues. But they said hurdles stood in the way of resolving many spectrum and other problems.

Govt. needs to gradually auction off spectrum on a “reasonable schedule” if it wants to get maximum value for the “taxpayer-owned asset,” said Capitol Solutions CEO David Taylor in a technology forum Fri. by Citizens Against Govt. Waste Another panelist discussed the regulatory environment and future of VoIP.

Verizon wireless purchased 10 MHz of spectrum in the San Francisco Basic Trading Area Wed. from regional provider MetroPCS for $230 million, a company spokeswoman confirmed. MetroPCS also signed a nationwide roaming agreement with Verizon Wireless that will allow the smaller company to expand its regional coverage. The sale will be structured to reduce tax liabilities related to MetroPCS’ plans to acquire spectrum from Cingular Wireless in the Detroit and Dallas regions for $230 million.

TIA said Thurs. it supports congressional efforts to establish a date-certain deadline for DTV conversion. TIA said it would support the Dec. 31, 2006, deadline backed by House Commerce Committee Chmn. Barton (R-Tex.). Barton has said he will soon introduce DTV transition legislation, but it’s unclear if the bill’s deadline will be that early. One House source told us the bill isn’t expected to be introduced until May. Though TIA doesn’t represent broadcast entities, it does have interest in the 108 MHz of spectrum in the 700 MHz band currently occupied by analog broadcasting. “The propagation characteristics of this particular spectrum band make it extremely desirable for new, innovative broadband applications and state-of-the-art first-responder communications,” TIA said. Some licensees of spectrum auctioned by the FCC “cannot deploy new wireless services on it until the DTV transition ends,” TIA said: “Additional auctions of this spectrum for licensed commercial services are on hold, and consumers in rural America must continue to wait for broadband access.” By setting a date certain for transition, TIA said, high-tech firms can begin to plan for the potential use of the spectrum band. The deadline would also help drive the market for digital products, TIA said. Grant Seiffert, TIA vp-external affairs, said a deadline would help force action by broadcasters and manufacturers to accelerate the transition. Seiffert also praised Barton’s efforts to push the deadline. “He’s leading, that’s what’s important,” Seiffert said. TIA isn’t the only association to support the deadline in hopes of using the spectrum. The Information Technology Industry Council (ITI) also supports a hard-date deadline for broadcasters, primarily for the return of spectrum. Nick Kolovos, govt. affairs dir.-telecom issues, said its manufacturers need to know this year if there will be a deadline for return of the 700 MHz spectrum band, so they can plan on installing hardware and chips that can operate in the spectrum band. Without such a deadline, Kolovos said, it could be years before consumers reap the benefits of the spectrum. A deadline “is something needed this year for the return of this spectrum to benefit consumers,” Kolovos said.

Bidders as a whole seemed to get a good deal from PCS Auction 58, which wrapped up last week with prices significantly lower than the rash of sales leading up to the auction, Fitch said in a report. “When compared to the average per megahertz person of population (MHz POP) price of approximately $1.70 for large block transactions during the past year, the spectrum purchased during this auction ($0.99 per MHz POP) represents a good value to wireless service providers and closely compares to Verizon Wireless’ acquisition of Qwest spectrum (estimated at $1.00--$1.20 per MHz POP) in 2004,” Fitch said. To calculate the Qwest spectrum, the firm subtracted the value of the $50 million-$100 million in network assets Verizon also got under the agreement. Fitch observed that Auction 58 prices also were lower than the per-MHz POP paid by Verizon last year for NextWave’s licenses in 23 markets, at $2.85, or $1.76, assuming a high price for the 20 MHz N.Y. license. The prices are also lower than the $1.68 per MHz POP deal cut between Cingular and NextWave for spectrum in 34 markets in Aug. 2003. The report seems to raise questions about whether Nextel is overpaying for the nationwide 1.9 GHz license it will get as part of the FCC’s 800 MHz rebanding order. Nextel will pay $1.70 MHz POP, the same amount it will get back for the 800 MHz spectrum it will surrender under the plan.