Verizon Wireless Challenges Spectrum Auction Rules
Published September 14th, 2007
Verizon Wireless is legally challenging the Federal Communications Commission’s rules for January’s 700MHz spectrum auction mandating an open network accessible to all legal devices and software.
In a Sept. 10 filing with the U.S. Court of Appeals for the District of Columbia, the nation’s second largest wireless carrier calls the rules “arbitrary, capricious and…contrary to law.”
Verizon Wireless and other carriers lobbied the FCC for months to make the spectrum available on a high bid basis, but the agency ruled on July 31 that the prime airwaves being vacated by broadcasters as part of the digital television transition would be reserved for open access.
The idea closely mirrors the auction suggestions of Google and others. While Google has not formally announced it would bid on the spectrum, it has pledged to the FCC it would meet the $4.6 billion bid minimum if open access requirements were attached to the auction.
Verizon Wireless and AT&T, in particular, contend that open access rules would favor one business model over another. Incumbent wireless carriers currently restrict the types of devices and software that can run on their networks. The rules also run contrary to the FCC’s policy over the last decade of awarding spectrum to the highest bidder.
“Verizon Wireless respectfully requests that this court hold unlawful, vacate and set aside the [auction rules] and provide such additional relief as may be appropriate,” Verizon Wireless wrote in its appeal.
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