[BC] PICN and FCC Rules

[Mark Humphrey]

On 6/13/06, Harold Hallikainen <harold at hallikainen.com> wrote:

> The license is for a fixed term and specifically disclaims any right to
> the spectrum beyone the term of the license. However the statute also
> calls for a renewal expectancy if certain conditions are met (typically
> "build out" on cellular systems and stuff like that). So, it's ALMOST a
> purchase of the spectrum, but not quite. When you sell an asset, you're
> doing "asset trading" (debit cash, credit spectrum asset) and not really
> generating any income. However, Congress uses the cash from this asset
> trade to "balance the budget." They can really only cover expenses with
> income, not sale of assets. I liken it to burning your house down to stay
> warm. Eventually you're going to be cold.

Have any of you been following the recent M2Z Networks proposal?

M2Z is headed by John Muleta, former head of the FCC Wireless Bureau
under both Clinton and Bush 43.   The group wants to license
2.155-2.175 GHz to provide "free" advertiser-supported 384 Kpbs/128
Kpbs pornless, wireless Net access -- along with a paid 3 Mbps premium
unfiltered service -- using OFDMA, and is asking to (gasp!) bypass the
auction process.

Instead, the U.S. Treasury would receive 5% of annual sales.  In other
words, rather than blowing the money up-front on auction fees, it
would go solely towards rapid network buildout, with a significant
payback promised over the long term.    I hope they succeed (this
could set a precedent that would benefit the small entrepreneur, as
well as the public), but I know the big telco/cable liars -- I mean
lobbyists -- will pull out the big guns in an attempt to kill it (in
the same way Verizon reacted to the Wireless Philadelphia initiative.)

The plan is quite ambitious: 33% of the population would receive
service within three years and 95% would be covered in ten years.
Here's M2Z's FCC application (124 pages, but it thoroughly explains
the proposal):

http://www.m2znetworks.com/pdf/Application.pdf

More coverage here:

http://wifinetnews.com/archives/006622.html
http://www.businessweek.com/technology/content/may2006/tc20060522_430352.htm?campaign_id=rss_tech

Mark