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FCC to Investigate D-Block Auction

eweekhickins writes "Feds and public interest groups are taking seriously accusations that someone tampered with the wireless spectrum auction process. The block of spectrum that was supposed to go to emergency responders failed to get close to the reserve price, raising suspicions that someone was trying to make money off the Sept. 11 national tragedy. But that would never happen, right?" This is a follow up to last week's allegations.

2 of 54 comments (clear)

  1. Begin long Conspiracy theory thread in 3,2,1 by splatter · · Score: 1, Informative
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    "(I) have this unfortunate condition that causes me not to believe a single thing any politician says when a mic's on.
  2. Re:So basically.... by asuffield · · Score: 2, Informative

    Yep, you'd be asking yourself why you want to spend 1.3 Billion Dollars for the privilege of building a network that is 3-10 times more expensive than regular networks. It probably also has to be tied into the latest NSA data dragnet system as well.


    I believe the expectation was that bidders would be putting together a package where the extra hardware was paid for by government grants, arranged separately. Most US communications infrastructure was paid for that way (the "investment" of the private companies tends to be investment in marketing and executives, not in the actual wires). Since the up-front licensing cost is lower, that means this block is attractive to smaller companies who are better at running things and willing to accept a lower profit margin, while the gorillas grab up the rest of the blocks and prevent any smaller companies from getting a place at the table.

    Unfortunately it didn't work out - but the principle is sound (although the price tag may not be).