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Home - NEXTEL DIGITAL PLAN HURTS SMR DEALER
Archived Articles

NEXTEL DIGITAL PLAN HURTS SMR DEALER

by Reily Gregson November 4, 1996
written by Reily Gregson November 4, 1996 Share
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Dear Editor:

As a full-time reader of your magazine, I enjoy the upfront articles. I have been employed in the two-way radio business for the past 10 years.

With the rapid changes taking place, systems change and grow. I am sure you are well aware of the actions of Nextel Communications Inc. They have won the majority of the 800 MHz channels, and acquired the rest.

The problem here in the Pacific Northwest is, that as they build out their digital network, they are tearing down the analog systems. This then forces the existing customer base to upgrade on to this system, even if they have made recent equipment purchases. There is very seldom any place to go for this type of radio service without making another equipment change. This makes it very hard to sell equipment to customers in the “not yet” digital areas. As a long-time salesperson that deals with customers on a long-term basis, I cannot in good faith sell a radio service that may become extinct before the payments are made.

Customers do not want to invest thousands of dollars in analog technology, just to have Nextel tear the system down in a couple years. This also can give Nextel a bad reputation in new areas as they try to enter the market.

I think the Federal Communications Commission has sold out to the large network systems. A businessperson can no longer enter into a non-monopoly enterprise. Freedom of trade has died in the United States.

Jim Pies, Yakima, Wash.

WILLOWRN PROPOSAL IS CALLED LUDICROUS

Dear Editor:

On behalf of PCS 2000 L.P., I feel I must respond to WillowRun L.P.’s letter to the editor, which was printed in your Oct. 21, 1996 issue regarding PCS 2000.

Due to securities law constraints placed upon us in connection with our capital call, I cannot comment on all of the inaccuracies in WillowRun’s letter. In any event, I do not believe the media is the appropriate forum to litigate the issues raised by WillowRun’s petition to deny to the Federal Communications Commission. Nevertheless, the ludicrousness of the proposal WillowRun has made to resolve its dispute with PCS 2000 should be self-evident. Also, that WillowRun sought to have its interest in PCS 2000 repurchased at a substantial premium is an incontrovertible fact.

Finally, you should understand that although we do not intend to respond every time WillowRun makes a statement or writes a letter to the media, we would be pleased to provide to you an in-depth interview explaining PCS 2000 and its business, following completion of our capital call and the receipt of our licenses.

Richard Reiss, Chief Executive Officer, SuperTel Communications

RCR Publications welcomes letters to the editor responding to articles and commentary presented in the newspaper or stating opinions on other topics relevant to the wireless communications industry. Letters must be signed by the author. RCR reserves the right to edit letters for style and space.

Letters can be mailed to the company at 777 E. Speer Blvd., Denver, CO 80203, sent by fax to (303) 733-9941, or sent by e-mail to [email protected].

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