Going Once, Going Twice...

GOING ONE, GOING TWICE...
[SOURCE: Washington Post, AUTHOR: Editorial Staff]
[Commentary] The FCC's current spectrum auction rules proposal would theoretically improve access to Internet services. It has relatively stringent build-out requirements meant to alleviate some of the rural-urban digital divide. In practice, though, build-out requirements are difficult to enforce. The FCC proposal requires the purchaser of a spectrum block adjacent to the public safety block to "coordinate" with discordant emergency responders nationally, to negotiate such details as constructing a public-private network and sharing the contiguous spectrum blocks but giving public safety priority. The terms of the FCC proposal sound vague and unenforceable and, worse, they allow local public safety groups to opt out, which would defeat the purpose of a nationwide network. None of the auction conditions on the table would forbid any company from bidding, despite what many lobbyists suggest. Restrictions would just make spectrum less valuable to some potential bidders, thereby bringing down bids (now expected to reach about $15 billion total). The FCC has partially protected itself against revenue losses by setting minimum bids. To maximize revenue and public policy goals, it should keep the conditions on open devices and applications and drop the private-public safety arrangement.
http://www.washingtonpost.com/wp-dyn/content/article/2007/07/15/AR200707...
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