FCC Official Optimistic for Finding 3G Airwaves

A senior Federal Communications Commission official said he was ``still optimistic'' the U.S. government would find more airwaves to accommodate the expected need among wireless companies who want to offer high-speed mobile Internet and data services.

``We are still trying to find more spectrum,'' Tom Sugrue, head of the FCC's wireless department, told Reuters on the sidelines of the Cellular Telecommunications & Internet Association annual meeting.

The FCC, along with the National Telecommunications and Information Agency, are expected to release final reports next week on the potential use of all the airwave bands for so-called 3G wireless devices and services.

Last fall, then-President Clinton last fall ordered government agencies to work together with the private sector to hasten the adoption of 3G technology amid concerns that U.S. high-tech companies were falling far behind overseas rivals.

``I don't think we're at a crisis point in terms of being behind Europe but we need to keep moving or we could be,'' Sugrue said. Separately, Sugrue noted that he had not ``seen a slowdown in (the) buildout'' of wireless networks despite the economy winding down.

The FCC, in coordination with the Clinton administration, last fall developed a timeframe to auction off the spectrum for 3G services by Sept. 30, 2002.

However, part of the problem in allocating airwaves for 3G uses is that much of the necessary spectrum is being used by the federal government including the Defense Department for national security operations and would have to move to other airwaves first.

Plus, the promise of 3G technology has been overshadowed by the cost and risk of deploying services commercially. In Europe, telecom operators have spent about $100 billion on 3G mobile phone licenses, and they are now faced with a possible debt crisis if they cannot recover expenses.

As a result, U.S. carriers are expected to proceed much more cautiously, and analysts say 3G services may not be widely available in the United States for many years. SPRINT MAKES STEP FORWARD

Sprint, the wireless arm of the nation's No. 3 long-distance telephone operator, earlier on Tuesday said it would move toward offering 3G services later this year using existing PCS spectrum.

In the first of a four-phase plan, 3G technology will initially increase the network's voice capacity and data speeds reaching 144 kilobits per second. Later phases will support multimedia services and on-demand video conferencing.

Sprint said peak speeds would reach 2.4 megabits per second (mbps) in late 2003 with 3G1xEV-Data Only and climb to speeds of 3 mbps to 5 mbps for voice and data by early 2004.

``Despite the speculation and buzz about the delay of other carriers' 3G services, Sprint is on track for 3G migration starting at the end of this year and working closely with its infrastructure vendors in the testing, preparation and planning for 3G deployment,'' Sprint PCS President Charles Levine said.

The FCC has proposed allocating the 1710-1755 megahertz (MHz) band, currently used by the government, for commercial purposes. It has also asked for comment on the possibility of allocating the 1755-1800 MHz band, which is also held by the government, for commercial mobile and fixed services.

In addition, it has proposed designating the 2110-2150 MHz and the 2160-2165 MHz bands specifically for advanced services like 3G, switching from their current use for a broad variety of fixed and mobile services.