WASHINGTON—The Bush administration on 24 October asked for an immediate repeal of the cap that limits the amount of spectrum that U.S. carriers can control to 45 megahertz in urban areas and 55 megahertz in rural areas.
“The administration supports complete and immediate repeal of the [commercial mobile radio services (CMRS)] spectrum aggregation and cellular cross-interest rules. Given the current vigorous level of competition in the CMRS marketplace, the existence of other mechanisms to safeguard against anti-competitive activity and detrimental consolidation, and the potential consumer harms if the rules are left in place, prompt repeals are not only warranted but required,” said Nancy J. Victory, assistant Commerce secretary for telecommunications and information.
Victory’s letter to FCC Chairman Michael K. Powell comes as the Federal Communications Commission (FCC), the U.S. telecom regulator, is nearing a decision that is likely to eventually lead to the end of the spectrum cap.
The letter was released to the press along with a statement by Commerce Secretary Donald Evans also urging for the repeal of the cap.
The wireless industry was ecstatic to have the Bush administration support it on this issue after losing its chance for a large chunk of spectrum for third-generation (3G) wireless in the 1700 MHz band.
“The White House, Secretary Evans and [the National Telecommunications and Information Administration] under Ms. Victory’s leadership has staked out a bold policy position that will bring new and innovative services to consumers across America,” said Thomas E. Wheeler, president of the Cellular Telecommunications & Internet Association.
