Mobile financial systems present privacy and security concerns for consumers and raise the risk of data brokers gaining consumer information without explicit consent, commented the FTC Thursday to the Consumer Financial Protection Bureau (http://1.usa.gov/1tHQPkH). It acknowledged that “mobile technologies provide consumers with unprecedented efficiency and convenience to conduct financial transactions.” The comments responded to a CFPB request for information this summer. The FTC mentioned mobile banking and location-based discounts as several perks to mobile finance: “Some mobile technologies, such as mobile carrier billing, may be especially beneficial for unbanked and underbanked consumers.” But with the benefits come risks, the FTC said. “Consumers using mobile financial services may be at risk for liability for unauthorized charges or unfair billing, as well as the increased collection, use, and sharing of consumers’ personal and financial data,” the FTC said. “These issues may raise particular concerns for the underserved or economically vulnerable consumers using these services.” Mobile payment security has been widely discussed recently, after Apple revealed its mobile wallet platform Apple Pay, which lets customers upload credit card information and simply use their phone to pay at participating retailers (CD Sept 10 p17). Apple said Apple Pay -- by generating a one-time-only number for each transaction and limiting credit card number exposure -- is more secure than credit cards (CD Sept 10 p21). The FTC issued a 2013 full report on mobile payments (http://1.usa.gov/1qodt03), which highlighted “the importance of clear disclosures about dispute resolution and liability limits and the need for mobile payment companies to provide greater transparency surrounding their data practices,” said the commission.

The FCC and NTIA jointly summarized their July 18 public notice on coordination procedures for the AWS-3 bands, in the Federal Register Friday (http://1.usa.gov/1oDDsin). FCC Commissioner Ajit Pai had sharply criticized Chairman Tom Wheeler for allowing the Wireless Bureau to approve the public notice on coordination on the 1695-1710 MHz and 1755-1780 MHz bands using delegated authority (CD July 21 p11).

Sprint won’t participate in the FCC’s upcoming AWS-3 auction but “will continue to evaluate the opportunities presented by the upcoming 600 MHz incentive auction,” a spokesman said Friday. Industry observers had anticipated that Sprint wouldn’t get involved in the AWS-3 auction due in part to its interest in next year’s incentive auction (CD Sept 12 p1). Friday started an eight-week “quiet period” when “few to no” secondary spectrum transactions are likely to occur because parties interested in bidding in the AWS-3 auction can’t speak to one another during the two months before the auction’s Nov. 13 start date, said Wells Fargo analyst Jennifer Fritzsche in a note to investors. The “explosive” growth in mobile data usage since the U.S.’s last significant spectrum auction in 2008 and significant uncertainty about the incentive auction mean carriers will “see this as their last chance to get their hands on some spectrum for a while (at least from the government),” Fritzsche said.

One tower executive predicted some 90,000 cell sites will be built in the U.S. in the next five years, and tower companies continue to express a preference for macro rather than small cell sites, said Wells Fargo analyst Jennifer Fritzsche Thursday in a research report, citing discussions her firm hosted at CTIA. The “densification” of AT&T’s and Verizon’s networks is “still in the early stages,” with Sprint and T-Mobile “not even starting this effort,” she said. “In terms of challenges -- a continued theme was on the aging of some of the tower assets,” she said. “The point was made that many of the current towers were built at a time when cell sites were much smaller. The analogy was made that carriers are trying to put a VW Bug on top of a popsicle stick."

The Canadian National Railway Company (CNRC) agreed to pay a $5.25 million civil penalty to settle the FCC Enforcement Bureau’s investigation into the company’s purchase and use of hundreds of wireless radio facilities in the U.S. without prior FCC approval, the FCC said Thursday. Some of the CNRC’s radio operations had been ongoing since 1990 under CNRC’s predecessors, more than two decades before the company disclosed the violations, the FCC said. “Today’s action sends a clear and strong message to the railroad industry, as well as other industries that rely on wireless technology, that they will face very serious consequences when they fail to comply with the Commission’s Rules,” Enforcement Bureau Chief Travis LeBlanc said in a news release (http://bit.ly/1pcfIRQ).

Office of Management and Budget Director Shaun Donovan alerted Congress Sept. 8 that OMB authorized $69.9 million be released from the Spectrum Relocation Fund to several government agencies, he told Senate Commerce Committee Chairman Jay Rockefeller, D-W.Va., in a letter. The money went to the departments of Defense, Homeland Security, Justice and Interior, all with an eye toward the AWS-3 auction. “We are pleased that OMB Director Donovan has approved funding to allow the affected agencies to continue planning for Auction 97,” said Wireless Broadband Coalition Executive Director David Taylor in a statement. “Doing so avoids potential delays in the relocation process and sets the stage for a successful auction -- one that promises to fully fund federal agency relocation costs while protecting critical national security communications capabilities. Auction 97 has the potential to benefit consumers and taxpayers, generate billions in additional funding for FirstNet, promote US broadband deployment, and create thousands of jobs in the US."

Representatives from the Alliance of Automobile Manufacturers (AAM), the Association of Global Automakers (AGA), GM and Toyota met Sept. 4 and 5 with aides to FCC Chairman Tom Wheeler and the other four FCC commissioners, along with Office of Engineering and Technology Chief Engineer Julius Knapp and other OET staff. The auto industry representatives said in an ex parte posted Tuesday that they briefed FCC staff on the status of Dedicated Short Range Communications (DSRC) operations in the 5.9 GHz band. The industry representatives also discussed their participation in the IEEE Tiger Team discussions exploring the feasibility of unlicensed use of the 5.9 GHz band (http://bit.ly/YxBlqz).

The FCC Office of Engineering and Technology (OET) said it granted approval for Google to operate its TV band database with new registration procedures for protected facilities (http://bit.ly/ZhbAuu). Google’s new registration procedures replace procedures used by Spectrum Bridge, another approved TV band database administrator that currently manages registration of protected entities on Google’s behalf. OET began a 45-day limited public trial of the new registration procedures June 2 (CD May 29 p6). Google is providing requisite registration facilities for protection registration online, OET said Wednesday.

Amazon said Prime members in the U.S., U.K and Germany can view Prime Instant Video on Android phones after downloading the latest update of the Amazon App for Android (http://bit.ly/1qCxB1h). Android smartphone users will have access to more than 200,000 movies and TV show episodes via the Prime Instant Video player app at no cost in addition to Prime membership, which was raised in April to $99 per year, the company said Tuesday.

Apple revealed plans for a new mobile payment system called Apple Pay during a Tuesday event in which the company unveiled a number of new products, including the iPhone 6. (See separate report above in this issue.) “We're totally reliant on the exposed numbers and the security codes that all of us know aren’t secure,” said Apple CEO Tim Cook during his presentation. Apple Pay allows users to scan a credit card, Cook said, uploading the information into their phone or Apple Watch -- a new wearable smart watch the company announced Tuesday. Cook said this process will be more secure because it generates a different code each time a user pays, reducing credit card information exposure. Apple has faced FTC action over unauthorized in-app mobile purchases, agreeing to refund at least $32.5 million in January (CD Jan 16 p12). Apple account security was also questioned after the hacking of dozens of celebrities’ Apple accounts. Apple Pay will be available in October, said the company’s website (http://bit.ly/1tIjfyR).