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CTIA urges for more spectrums before congressional subcommittee

date: July 25, 2001

Tom Wheeler, President and CEO of the Cellular Telecommunications & Internet Association (CTIA), yesterday testified before the House Subcommittee on Telecommunications, Trade and Consumer Protection regarding the wireless industry's need for more next generation spectrum.

The deployment of 3G wireless services will not happen in the U.S. until some kind of accord can be reached on how to compensate the Defense Department for being forced to move out of the radio spectrum bands that the industry desires, an official from the Department of Defense today told lawmakers.

The Defense official also told the House Energy & Commerce Subcommittee on Telecommunications and the Internet that the agency will need proper compensation, and a definite timeline to make the move.

"If the military would pursue the path it has already outlined to migrate to other bands of spectrum and auction the airwaves it currently uses, it would earn billions of dollars to pay for both the move to new frequencies as well as the necessary upgrades to strategic and tactical equipment across the board." said Tom Wheeler.

Compensation could reach $35 billion to $40 billion through license auctions, and the timeline could preclude widespread rollout until 2010.

"Global competition also affects our decisions," continued Wheeler. "We are the only nation with an arbitrary cap - of 45 MHz - whereas Japan, France, Germany and others enjoy double the amount of spectrum the U.S. government has made available to its wireless industry. ".

 



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This book discusses 3G services from the view of what is needed for the service to provide value to the user, what is the value proposition for the user, how will money be made out of delivering the service, and discussions on how revenue sharing propositions might work to benefit content providers and network operators. 3G operators should take note of this highly recommended book.

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