Microsoft co-founder on 700 MHz bidders list, Verizon Wireless not

By Scott M. Fulton, III | Published December 19, 2007, 11:23 AM

We won't know exactly what bidders plan to spend for a lucrative chunk of spectrum upon which to build new wireless services, but we do know who the bidders are. And at least for now, there are a few surprises.

Thus far, the preliminary list of bidders in the US Federal Communications Commission's 700 MHz auction is a veritable cavalcade of small telecom companies, plus small and large companies alike looking to become telecom companies. Google Airwaves, Inc. is the least surprising, and perhaps most spotlighted member of the group thus far.

But lurking toward the bottom of the alphabetical list of the FCC's accepted applicants is a little company called Vulcan Spectrum. Or perhaps not so little: It's one of the many ventures of investor Paul Allen, co-founder of Microsoft. Among telecom operators, Vulcan's presence may actually be no surprise. Allen's group has actually been a frequent buyer of repurposed wireless spectrum, including in and around the vicinity of 700 MHz.

For example, in the fall of 2002, Vulcan Spectrum acquired a handful of licenses in the 700 MHz area through a similar FCC auction, though of much narrower bandwidths. And in the summer of 2006, Vulcan mounted a team effort along with Allen's Charter Communications cable group, to procure wireless licenses for future use in direct competition with telcos' planned triple- and quadruple-play services.

Perhaps more notable than Allen's presence on the FCC's "approved" list -- albeit the preliminary one -- is who is not on the list. Verizon Wireless (at least by name) is conspicuously absent. At one time having objected to the FCC's rules, VZW later withdrew its complaints, and appeared to be a willing participant.

Thus far, Aloha Partners -- one of the nation's largest, and usually most successful, wholesale purchasers and resellers of spectrum, and a frequent sparring partner of Vulcan -- is also absent from the "approved" list. So is Frontline Wireless, the maverick communications company run by former Netscape chief Jim Barksdale, which may have actually come up with the original idea for the open access rules which the FCC partly accepted -- the rules which Google later took credit for advocating.

And AT&T is also off the "approved" list at present, though a check of a second FCC list of "incomplete" applicants this morning shows AT&T Mobility Spectrum, LLC clearly listed. Part of the gamesmanship of the auction process may include major players not completely revealing their plans too early, and in the meantime downplaying the value of the spectrum, criticizing the "cart-a-phone" access rules, or pretending to be reticent on account of how high some bids could likely become.

Comments

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Who cares. Google is gonna win it, they seem to be unstoppable and one day will rule the world, enslaving humanity and using our bodies as batteries.

Oh wait thats the Matrix.

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Re-check the incomplete list. It includes VZW, Frontline, and Alltel.

So, it seems they've made the appropriate applications, just that they haven't been approved yet.

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