2.1 GHZ PLAN GAINING STEAM AT FCC
Much of the behind-the-scenes discussion in the 800 MHz proceeding is now focusing on whether Nextel will get 10 MHz at 2.1 GHz instead of the spectrum at 1.9 GHz it had sought. The FCC is reportedly looking closely CTIA’s April 30 proposal, which, sources said, was offered in part in reaction to Commission concerns. Sources said that even if the FCC adopts the 2.1 GHz proposal it could still reach a decision in a matter of weeks because key staff have already given related issues substantial attention.
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“Momentum is toward” the 2.1 GHz plan if only because FCC staff believe it would be easier to defend in court than adopting the 1.9 GHz plan, one lobbyist said Mon. “The FCC had some concerns about whether they would be able to withstand court scrutiny of 1.9,” the source said: “The other carriers have said they won’t take it to court if it’s 2.1. That’s a big benefit to the FCC.”
Several sources said the FCC is interested in the CTIA arguments but has to decide how to address Nextel’s strong opposition. “FCC staff are looking at the 2.1 GHz plan,” a carrier source said. “The question becomes whether they are willing to call Nextel’s bluff. What happens if Nextel says we quit? We want to call everything off.” A 2nd source compared the situation to “a game of chicken” between FCC staff and Nextel.
In the latest filing, CTIA late Fri. disputed Nextel claims that 2.1 GHz spectrum isn’t equivalent to the 1.9 GHz spectrum it had sought. That filing came a week after CTIA floated a compromise plan.
“Despite its initial representation to the Commission that the 2.1 GHz band was suitable replacement spectrum, Nextel now objects to the use of that band,” CTIA said. “CTIA believes that the 1.9 GHz and 2.1 GHz bands are both well suited to support commercial mobile services, and would provide the contiguous spectrum necessary to support advanced wireless technologies. CTIA believes that the characteristics of the 2.1 GHz band are in fact comparable to the 1.9 GHz band, and the differences are of far less consequence than Nextel suggested.”
CTIA said the 2.1 GHz proposal also would be good for public safety groups: “It’s essential to remember that the focus of this entire proceeding is to remedy public safety interference. The choice of 1.9 vs. 2.1 GHz does not affect the process of relocating public safety at all.”
In an April 22 FCC filing, Nextel discussed in some detail why it regards 2.1 GHz as much less satisfactory than the 1.9 GHz proposal, which was first floated by Verizon Wireless. Among its arguments, Nextel said clearing the band would be much more expensive than clearing the 1.9 GHz band. As an example, Nextel said that while it could clear UTAM Inc. from 1910-1930 MHz at a cost of $15 million, clearing the 2170-2175 MHz band would cost $150 million.
Nextel also said equipment costs would be much higher. The carrier said since 2.1 GHz was essentially a “spectrum island” beyond commonly used CMRS bands: “Nextel would have to invest in the design and manufacture of new network infrastructure and handsets.” Nextel also said potential interference from spectrum neighbors is much less understood than at 1.9 GHz.