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The 700mhz Spectrum Auction In Perspective

YIAAL writes "Writing in Popular Mechanics, Robert X. Cringely looks at the upcoming auction of the 700mbz spectrum, which is currently used for soon-to-be-defunct analog TV. 'Why are all these companies so excited? Because the 60 MHz of spectrum that's about to be auctioned is the last prime real estate for mobile communications that will be available in the U.S. for decades to come ... Some pundits (that would be me) think Google will bid to win its spectrum block, then will trade that block to Sprint/Nextel for some of that company's 2.5-GHz WiMAX licenses that are far better suited for data.' Plus, the prospect of offering unlicensed data service in the 'white space' between existing broadcast channels."

10 of 88 comments (clear)

  1. Just a thought... UHF 60-69 for... TV? by RingDev · · Score: 4, Interesting

    And what would happen if one of the bid winners licensed existing TV stations to broadcast over some specific frequency just as they already are? Sure, it's not innovative or revolutionary, but the broadcast TV model has already proven profitable, and there are a LOT of people in the US with out HD TV's/Converters. Seems like there could be a rather solid market out there to continue the status quo, at least for a while until the HD penetration numbers rise.

    -Rick

    --
    "Most people in the U.S. wouldn't know they live in a tyrannical state if it walked up and grabbed their junk." - MyFirs
    1. Re:Just a thought... UHF 60-69 for... TV? by greensoap · · Score: 5, Insightful

      Based on the auction rules, there is nothing limiting the potential licensees to which technologies they use the licenses for. (Except maybe the blocks designated for public safety.) The cost of each license is probably enough to prevent it. The cost and the geographic limitations that is; most licenses are fairly small (designed for potential Commercial Mobile Radio Services [CMRS]) the exception being Block C in the Upper 700 MHz with is broken into 12 geographic area groupings.

      Traditional analog broadcasts had higher power ratings and larger coverage areas than allowed by the new licenses. The reasons being that the broadcasts were all one direction and the broadcasters were attempting to get the signal to as many people as possible. The new licenses are designed with CMRS in mind. CMRS doesn't use the coverage TV broadcast did, the more coverage the more transmitters requiring a piece of the network. Whereas, TV there was just one transmitter. Because CMRS is all about two way communication, it makes more sense to keep the each transmitting network small and have many of them. That way you can let, say, 20 people transmit within a range of frequencies on 10th avenue and one block over allow a different set of 20 people to transmit within the same range (the network serving 40 people across the two city blocks). Increase the power rating, hence the range, now the same geographic area only serves 20 people because there isn't enough spectrum space to serve more within the frequency range. (Okay, very crude example with very little actual engineering. Somebody familiar with current GSM standards could provide a much more accurate example. But, this should convey the concept.)

      Because the licenses were designed with CMRS in mind, the power ratings are lower and the size of each "cell" is smaller. In order to have effective TV broadcast you would have to buy many of the license to ensure you didn't cause interference over another licensee's geographic coverage.

      Furthermore, it doesn't make sense for a broadcasting company to spend large dollars on new licenses when those broadcasters are all transitioning to digital TV. It makes more sense to just go with the transition and tell consumers that it isn't their fault because the government made them do.

      Basically, there is really nothing in the auction rules themselves, but economically speaking it would not be a wise business decision.

    2. Re:Just a thought... UHF 60-69 for... TV? by hedwards · · Score: 4, Interesting

      In general I agree, I've played around a bit with my wee small antenna and an atsc tuner, and the results are far better than I was getting with an ntsc tuner. The picture is crisp, clear and consistent in a way that the analog signal never was in this room.

      But anybody that lives out in the boonies, the places where getting quite a bit of static are going to be screwed over if they haven't gone satellite.

      Overall though, I think that the people that are screaming to maintain the status quo and the horribly inefficient allocation of the airwaves for an increasingly small minority need to think about the common good, and consider whether they have a right to forgo paying for a subsidized box if it means depriving everybody of the use of the spectrum.

      It would in many ways make more sense to subsidize a basic satellite package for people that live far enough away from the nearest broadcaster than to maintain the system as it is.

      Even if the spectrum is bought out by a company that misbehaves in the end, we still have an additional choice to make, whereas previously we had one fewer option. And that's a good thing either way, it gives a chance for a new service to sink or swim.

    3. Re:Just a thought... UHF 60-69 for... TV? by evilviper · · Score: 4, Informative

      But anybody that lives out in the boonies, the places where getting quite a bit of static are going to be screwed over if they haven't gone satellite.

      Actually, you've got that exactly backwards. Those on the fringes who get ANY picture on analog TV stations, should expect to get a perfect ATSC signal. It has been proven in practice a great many times (a web search should turn up plenty of accounts). And more to the point, broadcast radius is, in fact, ATSC's biggest strength over DVB.
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  2. Helloooooo, McFlyyyyyyy! The coupons! by Anonymous Coward · · Score: 4, Informative

    They already have the coupon system ($40 off a tuner, and surely someone will make a simple one for less than that).

    You're a few years too late in your complaint.

  3. Re:Transcript of the trade by mounthood · · Score: 4, Interesting

    Google: Hey Sprint/Nextel, trade you my 700 Mhz for your 2.5Ghz!
    (awkward pause)
    Sprint/Nextel: nah.
    (awkward pause)
    Google: ... damn!
    Google: OK we'll just buy you.

    http://finance.google.com/finance?q=Google+Sprint
    --
    tomorrow who's gonna fuss
  4. Re:so whatabout my grandma? by ch-chuck · · Score: 4, Funny

    Yeah, it really sucked when they switched records from 78rpm to 33rpm - my grandfather had to go out and buy a whole new turntable and stylus, bastards.

    --
    try { do() || do_not(); } catch (JediException err) { yoda(err); }
  5. Re:Check your summary please! by nacturation · · Score: 4, Funny

    What are we talking about here? Millihertz? Millibitz (or whatever the 'z' in mbz means)? Missed By Zonk.
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    Want to improve your Karma? Instead of "Post Anonymously", try the "Post Humously" option.
  6. Re:The 700MHz Band is great for data by morton2002 · · Score: 4, Interesting

    The better propagation characteristics do have a drawback: limited frequency reuse. The cells will have to be spaced further apart to avoid overlap, resulting in more users communicating with the same tower. Furthermore 700 MHz doesn't have the scattering properties of higher frequencies that allows for multipath signal combining, which is tremendously useful in non-line-of-sight situations. This means that coverage in dense urban environments will have to rely exclusively on the partial propagation through buildings, which may leave shadows on a coverage map. These quiet zones could be targeted with additional tower placement, if not for the frequency reuse problem.

  7. Re:The 700MHz Band is great for data by slonik · · Score: 5, Informative

    The article is just plain wrong when it states that the 2.5GHz band is superior for data, it is not. Throughput is primarily dependent on bandwidth, so 20MHz at in the 700MHz spectrum will effectively carry the same amount of data as 20MHz in the 2500MHz spectrum.

    As someone who professionally designs cellular networks I can tell you that for data services 20MHz at 2.5GHz is much better than the same 20MHz at 700MHz. The data rate is determined not only by the channel bandwidth but also by the amount of interference that is generated by neighboring base stations. This interference depends on the RF propagation characteristics. At 2.5GHz the RF signals die off much faster with the distance than at 700MHz. As a result your interference levels will be lower at 2.5GHz. The downside is, of course, that cell coverage area of each individual base station will get smaller and you have to deploy them at substantially higher density. Rule of thumb: for voice you are coverage limited and you want your 700MHz (or 850MHz, ATT, Verizon) and big cells. For data you want small cells and high frequency band (2 or 2.5GHz).

    Just my two cents from the tranches.