Sprint and Nextel defended their proposed merger before the FCC, ...

harming competition. Sprint and Nextel said most objections weren’t germane to FCC review of the merger; if they deserve consideration, it’s in other rulemakings, they said, noting that some parties tried to use the merger to win reconsideration of the FCC’s recent 800 MHz order. Others, they said, asked the agency to issue a “policy statement” on roaming, though the FCC is already conducting a rulemaking on future roaming regulation. “These and similar claims are plainly outside the scope of the Commission’s review of this transaction and should be rejected,” Sprint and Nextel said. The companies pooh-poohed comments on Sprint Nextel’s prospective 2.5 GHz spectrum holdings. “Since only one of the merging companies has a presence in 409 out of the 493 BTAs in the U.S., the merger has no effect on BRS spectrum ownership in those areas,” they said. Even in 84 basic trading areas where Sprint and Nextel have a presence today, the companies said the combination of their 2.5 GHz spectrum wouldn’t harm competition or the public interest, since: (1) “2.5 GHz spectrum is neither a separate product market nor a unique input.” Because it is impossible to predict which types of service will succeed commercially in that band, “it would be premature and contrary to precedent for the Commission to undertake an antitrust analysis of these services.” (2) “There is plenty of spectrum -- both assigned to licensees and available to be assigned in the future through auctions -- with which to provide both the existing and the new services that may compete with the services Sprint and Nextel plan to offer using the 2.5 GHz band.” The companies argued the combination of their BRS assets would promote the development and availability of new broadband services in competition against other wireless carriers. They urged the FCC to give the merger expedited approval.