The FCC released the text of its decisions aimed at speeding 5G wireless buildout by targeting state and local hurdles to small-cell deployment. The 116-page declaratory ruling and order (here) in docket 17-79 and Friday's Daily Digest was adopted by commissioners Wednesday with Jessica Rosenworcel partially dissenting (see 1809260029). Local governments expect to mount a court challenge (see 1809270040).
Former FCC Chairman Tom Wheeler said many interests are using 5G as an excuse to get things they want, in a Brookings Institution blog post. T-Mobile and Sprint use the race for 5G as evidence their deal should be approved, Wheeler said. The FCC “has used the race to justify extending Washington’s regulatory reach down to telling local governments how to do zoning for antenna siting,” he said. Satellite companies want to recast their licenses for 5G spectrum and seek a “potential monetary windfall” from a private auction, he said. It's time for cooler heads to prevail, said Wheeler, a Brookings visiting fellow. “5G is an important step forward for wireless technology that will benefit consumers and drive economic growth,” he said. “However, it is time to take a deep breath and let logic temper emotional battle cries and political gamesmanship. We need to spend less time worrying about China and more time asking how we can we race to make 5G work for all Americans.”
The FCC Office of Engineering and Technology approved special temporary authority for Nokia to demo end-to-end citizens broadband radio service to customers in Murray Hill, New Jersey. The STA will “allow the company to enhance its efforts to design and develop equipment to meet the communications needs of our customers,” Nokia said. Ericsson said the FCC approved certification for its CBRS portfolio. “The 3.5 GHz CBRS band for LTE will be used to improve wireless broadband access and performance in the U.S.,” the company said. “The shared spectrum approach adopted in the CBRS band is key to meeting service providers' network capacity challenges as data demands increase. CBRS will also open up new opportunities for private LTE operators, enterprise and cable companies, and will support mobile broadband and Fixed Wireless Access applications.”
T-Mobile said it's rebranding its prepaid MetroPCS product as Metro by T-Mobile. T-Mobile, which completed its buy of MetroPCS in April 2013, said it’s time for a makeover. The combination of T-Mobile’s and Sprint’s prepaid lines under one company is seen as a potential sticking point to their proposed deal (see 1808270049). “Metro by T-Mobile launches next month with new all-unlimited plans, including a tier that features Amazon Prime, making it the only U.S. prepaid wireless brand to include all the shopping and entertainment benefits of Prime … and, the first and only wireless brand to include Google One, a subscription with expanded cloud storage and mobile backup,” T-Mobile said Monday.
As a standard essential patent holder, Qualcomm needs to fulfill its obligation “to license to everyone from downstream clients to competitors,” the Computer & Communications Industry Association and the ACT|The App Association argued Tuesday, backing the FTC in the agency's anticompetitive complaint. Qualcomm argued in its own filing (in Pacer) against the relevance and timing of CCIA and ACT’s filing. “The law is clear that Qualcomm cannot interpret that obligation to include hidden, unstated limitations, or to refuse to license to a willing licensee,” CCIA CEO Ed Black said. “Qualcomm’s unwillingness to license competitors threatens wireless competition and could harm American competitiveness in 5G technology.” Qualcomm argued against the “belated filing” one week before Qualcomm’s opposition to the FTC's motion for partial summary judgment was due. "In addition to the timing problem, and the irrelevance of ACT and CCIA’s views, both organizations are affiliated with firms that are actively litigating against Qualcomm in other forums,” Qualcomm said. Apple is an ACT sponsor, and Intel and Nvidia are CCIA members, the filing said. “Moreover, counsel for ACT and CCIA has previously appeared in this case as counsel for Broadcom, which recently tried to acquire Qualcomm in a hostile transaction.”
T-Mobile's buying Sprint faced numerous oppositions last month (see 1808280038) but this week got considerable love. Replies were due Monday to oppositions and many were posted Tuesday (see 1809170025). Many of the filings in FCC docket 18-197 questioned whether Sprint would survive without T-Mobile. T-Mobile and Sprint said they would be stronger together. Both have “standalone plans to deploy 5G networks, [but] the New T-Mobile network will be far superior and will create expanded capacity and lower costs so that American consumers will pay less and get more,” the carriers said. “Notably,” none of the oppositions disputes this point, they said. “Opponents insist either that the merger is unnecessary to build such a nationwide 5G network or that the standalone companies have alternatives to merging. They further hypothesize that the transaction will result in harmful effects on specific segments of the wireless market, rural areas, and company employment.” A recurring criticism is the deal would reduce service or raise process for prepaid plans “attractive to cost-conscious and low-income customers,” the deal partners said. “These concerns, like those raised on T-Mobile acquired MetroPCS, are unfounded. Following this merger, all MetroPCS, Boost Mobile, and Virgin Mobile USA customers with compatible handsets will benefit from the increased capacity and improved service quality that the New T-Mobile nationwide network will provide.” The transaction "comes at a precarious time for Sprint, which has been struggling for years as the nation’s fourth-largest wireless carrier,” the Competitive Enterprise Institute commented. “As the most highly leveraged S&P 500 company, with $32 billion of net debt, Sprint faces an uncertain future as a nationwide wireless carrier capable of competing with larger rivals.” The combined company “will be in a far better position to deploy wireless services to all Americans than would either company alone,” TechFreedom said. The group said many opponents “understate” how competitive the U.S. wireless market is. “In perhaps no other industry are the economies of scale larger than in broadband, and wireless broadband in particular,” TechFreedom said. The National Emergency Number Association said it rarely files on transactions but sees the deal as potentially benefiting emergency calling. T-Mobile is a leader in efforts to improve 911 calling, doing most work in-house, NENA said. “Such work, if carried over to the combined companies, will benefit T-Mobile customers when dialing 9-1-1 from their mobile devices."
Initial applications to bid in the FCC’s first high-band spectrum auctions were due 6 p.m. EDT Tuesday. The agency eventually will publish a list of short-form applications, both those deemed complete and incomplete. The 28 GHz auction starts Nov. 14 and 24 GHz auction about one month after completion of the 28 GHz auction. Cowen’s Paul Gallant wrote investors earlier Tuesday that one big question is whether Dish Network will jump in. “If Dish submits an application, it could complicate any merger or spectrum sale discussions with wireless carriers” because of anti-collusion rules, he noted: But talks are still possible as long as a company “cordons off its bidding team from its deal team.” Gallant is also watching other non-carriers that file applications. “No pre-auction analysis would be complete without noting the distant possibility of Amazon, Google or some other deep-pocketed, non-traditional bidder jumping in,” he said. Dish has gone big in other auctions, especially the AWS-3 and TV incentive auctions.
The White House is planning a Sept. 28 meeting with federal and industry officials on developing and deploying 5G, officials and lobbyists said. FCC Chairman Ajit Pai and NTIA Administrator David Redl are expected to speak. Executives are also expected to attend, with several telling us they received invitations Friday. Those notices didn’t include specifics on who would be there or what issues would be discussed, the officials said. The White House is aiming for the event to focus on an industry-driven approach to ensuring U.S. leadership on 5G, with included discussions on rural broadband and spectrum issues, two lobbyists said. President Donald Trump’s administration drew ire from Capitol Hill and the private sector in January after a leaked National Security Council draft memo proposed 5G nationalization because of concerns China could otherwise build a network (see 1801290034). The administration mentioned 5G deployment in its December national security strategy (see 1712180071 and 1712270032). NTIA referred questions to the White House, which didn’t comment. The FCC also didn’t comment. “5G has taken on a somewhat nationalist component and is more and more considered an important strategic platform for economic competitiveness,” said Information Technology and Innovation Foundation Spectrum Policy Director Doug Brake. “Hosting a summit to gather input and discussion on the topic to inform policy across federal agencies makes a lot of sense.”
FCC Commissioner Brendan Carr will be in Arizona Friday to meet with local leaders about “the smart infrastructure policies they are putting in place to pave the way for next-gen connectivity and opportunity in communities” across the state, his office said. In Gilbert, Carr will meet with Mayor Jenn Daniels “who has helped her community be one of the first in Arizona to streamline the deployment of small cells, which are the building blocks of 5G,” said a news release.
Sprint said Wednesday it's launching a new version of its plug-and-play “small cell,” the Sprint Magic Box Generation 3. Sprint first launched its Magic Box last year for homes and small businesses (see 1705030046). The new version offers speeds “up to 25 percent faster than the previous model, with an even quicker start-up process,” Sprint said. “The smaller footprint and improved antenna provides customers more location flexibility without the need to place the device directly in a window." It will be available by year-end, Sprint said.