Just as we had suspected all along, Verizon has officially won the open access C block of the 700MHz spectrum. AT&T walked away with a nice-sized chunk, too—227 regional licenses that'll nicely patch up the holes not covered by the huge swath they bought from Aloha Partners last year. The 700MHz band is spectacularly suited for use as a wireless broadband network—perfect for Verizon and AT&T's upcoming 4G networks, both of which are LTE-based. For more details, check our handy-dandy 700MHz auction guide, which tells you everything you need to know. [Reuters, Thanks Yoshi]
FCC 700MHz Auction Winners: Verizon Wins C Block
3:44 PM on Thu Mar 20 2008
By matt buchanan
6,185 views
35 comments












Comments
Who won Em City?
chuckle chuckle
I guess this means I didn't win. :(
I'm a still sorta confused on what open access means.
Will Verizon have to allow others to use the network with their permission, like their new rules with cell networks, or is it completely different?
did my last comment post?
I was wondering what open access means, because I'm sorta confused on it.
I guess I don't understand what effect this will have on anyone. Can someone fill me in?
@c-lin' Fanboy:
you mean, WE didn't win.
poor google, i wonder what made them stop bidding?
I'm with the above posters. Should I care?
so wait... AT&T actually did get something? Redneck speech confuses me.
"...holes leftover from the massive they bought from Aloha..."
can I be an editor?
@danger_the_pirate: You have to ask it so they understand...
Can has editor?
It means verizon was using a bid sniper. bitches.
@highfloydelity: Pulled from the auction guide link in the article.
Why Would Someone Pay BILLIONS for It?
Every frequency band has slightly different physical attributes. The 700MHz band penetrates walls fairly easily and travels well, making it perfect for either cellular or long-range wireless broadband that could provide an invisible alternative to DSL and cable. It could simply augment a major telco's existing holdings with a powerful wireless network, but it could also mean a lucrative new ISP for Google or some other non-telecom behemoth.
"Verizon Wins C Block" 4?
cause i'm the wackiest, there's no question i can dance
dance in my pants and in your face
yea, my rap is a disgrace, but i can dance
i got sun, i got shine
move back hardcore, cause i'm going for mine
did i mention before that i can dance?
i'm wacky d!
So google made them require open access and didn't even place a bid? Haha, there must be some major google hate going on somewhere.
@DocGratis: lolz
Even after reading the guide to the auction, I'm still sort of confused about what these "blocks" are. Are they blocks of actual spectrum, like going from a certain number of mhz to another, or a block of territory where it applies? If the latter, does that mean the FCC is only making open access the rule for a portion of the US? What's up with that?
I can't wait to have a phone with giant rabbit ears on it. When it gets staticy you just slap the side of it. Quit messing up my v-cast, slap!
@danger_the_pirate:
FFS PEOPLE!!
I admittedly am guilty of faux pas like this all the time; but what say we all just run our comments through word or put a spell checker on here to save all the English majors from coming on here and grammar-picking.
Let's get back to the sarcasm, entertainment and wit shall we?
Now I don't personally bring any of those things to the table but let's at least make room for those that do, and save the fucking spell checking for the class room. The spell-checking and proof reading comments are getting old; quickly. No one here really cares about what a great editor/proof-reader you are.
It's a grammar or spelling error. Yay. Let's move on.
@dancinbojangles: Each block is a block of spectrum. In really basic terms say Verizon has the C block in an area, and AT&T has the B block inside of that area. So that means that AT&T and Verizon both can operate in that area since they have different blocks of spectrum in that area. If Verizon owned C block and B block in an area then no one else can compete with Verizon there. Well I should say if Verizon owns C, B, and A in an area, which I am sure is the case in some areas.
@awesomerobot: I'm sure that Google made bids, but they were probably bidding up the C block so that the winner would hit the reserve that would require the winner to be open access. So basically Google won their open access without having to build out a network.
@TechnoElf: & @awesomerobot: Also without having to cough up 4 billion dollars (^points pinky towards mouth^).
Nice move google, but I would have much rather seen someone outside of big telecom pick them up. Wishful thinking, I know, but at least it would have been a change of pace. Now we're back to the same old Telecoms gouging the consumers bump-n-grind.
@awesomerobot:
Of course they placed a bid. They placed an opening bid to make sure that the open access rules got activated no matter who won.
But I'm still mad at google for being cowardly and not going for it by really trying to win the auction. Something truly revolutionary could have happened if they did. I guess all they wanted was to be able to spread their android OS without the telecom controlling what devices or apps were made for it.
*sigh*
Maybe verizon will really try to improve their image with their "open access" agenda.
Ah-hah, thank you so much TechnoElf. I was really having trouble reconciling the "area" and "spectrum" parts.
@awesomerobot: Google hired game theorists prior to the bid to guide them through it. This stage represents only one phase of a much larger chess game. Methinks Google got just what they wanted.
@dancinbojangles: Both.
The auction featured both nationwide blocks of spectrum and blocks of spectrum broken up by region. There were multiple blocks up for bid in the auction.
god damn i hate verizon!!!!!!!
Damn! They beat me by $2!
Really tho, do we SERIOUSLY think Whorizon is going to leave this completely open? It looks good on paper, but what's the fine print?
@s017jrs:
god damn bidding snipers!
So, when does the map come out showing the coverage that they own? lol
@TehBoj: hehe, you said verizon..., hehe...
In 2010 when LTE is a reality (at least in their eyes) Verizon and ATT will merge.
Then poop.
You know...while Google may not have put in a legitimate bid to win the auction. We should be thanking them for removing Verizon from the death grip on controlled 700Mhz. They strove for open access, and they even get to put it on someone else's dime.
The "blocks" of auction are chunks of frequency, as some have described. However, they also have geographic constraints (all except the D block, which didn't receive a bid above the reserve price so nobody won it). The C block spectrum was the most attractive because (1) it has the most bandwidth and (2) the bidder only needed to assemble a small number of licenses (12, I think) to build a nationwide footprint.
I keep hearing people talk about LTE at 700 MHz, and while it is likely that we will see some deployment of LTE in this band, the data rates won't be as great as some would think. This is because bandwidth of any individual license is much smaller than the 20 MHz needed for a full rate LTE carrier.
In fact, the A and B spectrum blocks are only 5-6 MHz wide, and are probably unsuitable for LTE systems, as only a single carrier could be deployed. The C block could host two 5 MHz carriers, that is it.
Interesting that the D spectrum, which actually had the most bandwidth to offer in a single nationwide license failed to get any traction. This is because the FCC reserved a portion of the D block for public safety priority access. In practical terms, this means that Joe or Jane Public would be booted off the system if a certified public safety worker needed to make or receive a call. I'm not saying that giving safety workers such as fire or police priority access is a bad thing, but imagine if you are a network operator trying to explain/debug a bunch of seemingly random dropped calls with paying customers. After all, poor coverage and dropped calls are probably the #1 complaint people have with carriers to begin with.
I'll be very interested to see if Google bid up the C block above the reserve to drive the open access provision.
If they were able to do this and force Verizon (the carrier with the most need for new bandwidth in the US) to pony up for spectrum *and* open their service like never before, then this has to be viewed as a huge strategic win for Google (and hopefully the public at large).
All I want is MoFI from McDonalds drive-thru to place my BigMac order!
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