NTIA Deputy Dir. John Kneur said Mon. that a group of multi-agency federal spectrum officials, the Policy & Plans Steering Group (PPSG), is on target to release a report in May on the next steps for implementing the recommendations of the President’s spectrum policy initiative, which was released in June. “We're going to meet that deadline,” Kneur said in comments to a conference sponsored by the E-Gov Institute. “That’s going to come up with the nuts and the bolts for an implementation… of each of these different recommendations.” Kneur told reporters the high-level members of the PPSG met once in Jan. but that smaller working groups have been holding continuing meetings. “The entire execution of this implementation plan is one that’s being worked on at the expert staff level. It’s being approved at the high level and we're getting contributions at the high level of the agencies as well,” he said: “We're working top down, bottom up, back and forth.” Kneur told the conference NTIA wants to make clear that the govt. is changing how it does business: “This is not just a one time exercise. We are building into our processes and into our management scheme these lessons, these improvements and we plan to execute on them.” Kneur wouldn’t disclose which spectrum ranges are being examined by NTIA for its contribution to the spectrum testbed, a key recommendation of the June NTIA report on U.S. spectrum policy in the 21st Century. Kneur said the testbed could be used to test geographic sharing of spectrum and the use of masks. “The ultimate goal is to really develop the state of the art of the technology,” he said.
Verizon came out swinging Mon. against Qwest, its rival to acquire MCI, alleging that “cash-strapped” Qwest’s possible ownership of MCI’s Internet backbone has bad implications for national security. Meanwhile, the war of words between the rival suitors also escalated on the other side, as Qwest CEO Dick Notebaert questioned whether Verizon’s buying MCI would hurt telecom competition.
NTT DoCoMo, the largest wireless carrier in Japan, announced it’s largely scrubbing its low-cost, no frills “personal handyphone system” (PHS) business and would cut its profit forecasts as a result. DoCoMo said it would stop accepting new customers April 30 and likely begin withdrawing from the business, though the carrier hasn’t made a firm decision to get out entirely. DoCoMo said it would have to post a $652 million charge that would reduce profits for the year to $7.4 billion from an anticipated $8 billion.
MCI CEO Michael Capellas said on a conference call Fri. that his company remains convinced Verizon is the “right partner” for a merger. But he also acknowledged the concerns expressed by some large shareholders and said MCI would consider the revised offer from Qwest the company received late Thurs. (CD Feb 25 p8). Capellas reflected on the merger only in general terms, at the end of a half-hour presentation on MCI’s 4th quarter and 2004 results. “Obviously we entered into in so we believe in it,” he said of the Verizon deal. “We'll also continue to honor our fiduciary responsibilities.”
The race between 3G technologies is becoming much more competitive, with Verizon Wireless’s EVDO high-speed data offering no longer the clear leader, Mike Iandolo, Lucent vp- mobility product management, said Thurs. at Goldman Sach’s Technology Investment Symposium.
An FCC order released Wed. that gives equipment makers another year to comply with new restrictions for unlicensed devices that operate in the 5.250-5.350 GHz band (CD Feb 24 p12) was a win for companies that make equipment for the frequency, sources said Thurs. At issue was possible complications for a class of devices made by companies including Cisco, D-Link, Atheros Communications, Motorola and Proxim that operate at 5 GHz, as an alternative to the more commonly used 2.4 GHz operations.
Two major cable operators, Rogers in Canada and Adelphia in the U.S., announced they'll use Nortel as their primary softswitch vendor as they roll out VoIP. Nortel previously signed agreements with Cox and Charter in the U.S. as cable operators move to offer phone service as part of a triple package along with video and broadband. With Wed.’s announcements, the top 5 U.S. MSOs have made at least preliminary decisions on who will supply their switches.
Alcatel and Microsoft announced Tues. they will jointly develop an Internet-TV platform (IPTV), with SBC the first operator to use it as a springboard into video. Microsoft and Alcatel officials on a conference call with reporters said the agreement is a major development for IPTV.
Regulatory issues and a potentially much faster approval process were cited prominently by Qwest in a letter to MCI as reasons, along with a higher dollar offer, MCI should accept Qwest’s offer over Verizon’s. But analysts told us Fri. the regulatory argument in particular may prove spurious, since regulatory review is a black box. A key factor could instead be increasingly vocal opposition to the Verizon-MCI deal by major stockholders.
Nextel said Thurs. it expects to spend $900 million in 2005 as it begins to implement the 800 MHz rebanding plan, approved by the FCC last year, which will eat up much of the company’s projected $2 billion free cash flow. About $600 million will be spent on new capacity sites, filters and working with public safety radio systems and $300 million to relocate broadcast auxiliary users and microwave incumbents from 1.9 GHz to 2.1 GHz, Nextel officials said on a call with analysts discussing 4th- quarter results.