Will the FCC Comply With Harmful DOJ Recommendations on Spectrum?
Since 1994, the Federal Communications Commission (FCC) has been conducting competitive auctions for the use of electromagnetic spectrum, which is used to send electromagnetic signals through the airwaves. Spectrum carries signals used for radio, TV, mobile phones, mobile broadband, and other personal communications systems. To be considered a qualified bidder, companies must submit an application and a down payment. These auctions in the past have been conducted over the Internet so they can be tracked by those bidding. However, over the last few months there have been some developments in how the process for bidding may be moving forward, which coincides with a change in leadership at the FCC. Last week President Obama tapped former fundraiser Tom Wheeler to head the FCC after current FCC Chairman Julius Genachowski announced his retirement. According to Forbes, there are a host of issues that will be welcoming him in his new role, “Mr. Wheeler will be confronted with several pressing issues, ranging from the FCC’s merger-review authority to the broadcast-spectrum auctions to net neutrality to the IP transition.” The first issue that will be at the doorstep of the new FCC Chair will be DOJ’s attempt to weigh-in on Spectrum auctioning, as the department authored an ex-parte submission to the FCC a few weeks ago calling on the commission to “ensure that the allocation of spectrum at auction does not enable carriers with high market shares to foreclose smaller carriers from improving their customers' coverage." The DOJ’s wading into this issue comes as the FCC will be opening up a new auction in the 600MHz band (used primarily for TV, Radio and Mobile Broadband).