Dish's Strategy Stokes Concerns

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DISH'S STRATEGY STOKES CONCERNS
With a swath of wireless spectrum in hand, Dish Network Corp. is moving toward eliminating a weakness in the satellite-TV business: the inability to offer on-demand content without outside help. But the weaker spectrum it purchased suggests Dish is tiptoeing toward that goal rather than making any large strides. It is widely believed that Dish will use the licenses won from the Federal Communications Commission's recently concluded spectrum auction to build a wireless network that could nearly cover the nation. But the spectrum by itself isn't strong enough to power a full wireless network without complicated tweaking, leaving some to wonder what Dish's ultimate goal is. Satellite-TV providers have been pressured to provide on-demand content as phone and cable rivals expand their offerings. But satellite-TV providers are unable to offer two-way communications services because they broadcast from satellites in space and lack an in-ground network. Subscribers can't order a movie or TV show and get it instantaneously. That is a problem as consumers change their viewing habits. Dish may be looking at its wireless spectrum as a possible solution, but there are complications. The company purchased what is known as "unpaired" spectrum, which generally allows for one-way communication, and which isn't ideal for a full-service wireless-broadband network, according to analysts. Dish could create a wireless network focused on providing on-demand content to supplement its existing service. It could use a customer's existing pipe for two-way communication.
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Dish's Strategy Stokes Concerns