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Verizon Wireless hedges bets on open-access plans

As momentum grows behind Federal Communications Commission Chairman Kevin Martin’s proposed open-access plan for the 700 MHz spectrum auction, Verizon Wireless reiterated its opposition to open access while at the same time working to influence the details of a potential ruling.

Stipulations wanted
According to the Wall Street Journal, Verizon Wireless CEO Lowell McAdam told the FCC that, if open-access stipulations are adopted, auction winners shouldn’t be required to guarantee that all applications running over their networks would work properly.
Shortly after the news, Verizon Communications Inc.-parent company to Verizon Wireless-issued a press release that essentially restated the carrier’s opposition to open access.
“If the FCC persists in imposing open access requirements on the ‘C’ block of spectrum to be auctioned, Verizon urges that the rules should be constructed to give the customer the ability to choose to have the same kind of relationship with a carrier that the customer enjoys today,” Verizon Communications stated. “In other words, the customer should be able to purchase a handset from a carrier and enter into a service agreement with that carrier, thereby giving the carrier responsibility for optimizing all aspects of the customer experience.”

FCC members weigh in
Last week a majority of the members of the FCC voiced support for the open-access component of Martin’s 700 MHz plan during a hearing before the House subcommittee on telecommunications and the Internet, according to reports. Democratic Commissioners Jonathan Adelstein and Michael Copps said they supported the open-access plan, while Republican Commissioners Deborah Taylor Tate and Robert McDowell said they were undecided.
The FCC is set to vote on rules for the 700 MHz auction sometime in the next few weeks, and bidding on the valuable airwaves is set to occur sometime in December or January. Martin’s proposal includes some open-access stipulations for 22 megahertz of the 60 megahertz of spectrum to be auctioned.
Internet giant Google Inc. has promised to bid $4.6 billion in the upcoming auction if the FCC adopts an unrestricted, open-access framework for the 22 megahertz of spectrum. Google is calling for rules requiring open applications, open devices, open services and open networks. Martin’s plan embraces some, but not all, of Google’s proposals.
While AT&T Inc. recently eased its stance on the upcoming auction, essentially agreeing to Martin’s open-access proposal, cellphone association CTIA remains steadfastly against any stipulations on the spectrum licenses.
“CTIA opposes encumbering this valuable spectrum with unnecessary regulations and restrictions that place bidders on unequal footing, limit the utility of the spectrum, and ultimately drive down the value to consumers and the U.S. Treasury,” CTIA states on its Web site.

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