Editor’s Note: The RCR Wireless News Time Machine is a way to take advantage of our extensive history in covering the wireless space to fire up the DeLorean and take a trip back in time to re-visit some of the more interesting headlines from this week in history. Enjoy the ride!
Cellular carriers continue to believe bigger is better
Since the passage of the 1996 Telecommunications Act, it seems rarely a week goes by without the announcement-or rumor-of another blockbuster telecom deal. The recent flurry of merger and acquisition activity clearly is changing the face of the telecom landscape and prompting debate about where the multibillion dollar deal-making frenzy might be leading the industry. Many analysts are taking a closer look at who is merging with or buying whom, and why. Cellular-related merger activity drawing the most attention recently includes: … Read More
Lucent and Philips create joint venture
Lucent Technologies Inc., the equipment division spun off by AT&T Corp. last year, and Netherlands-based Philips Electronics N.V., one of the world’s largest electronic companies, announced plans to combine their consumer phone equipment operations in a joint venture sure to create the largest phone supply operation in the world with a combined turnover valued at more than $2.5 billion. The company, to be called Philips Consumer Communications, will develop, manufacture and market corded and cordless phones, digital and analog cellular phones, answering machines, screen phones, pagers and other mobile electronic devices. All products made by the new company will have the Philips brand name. … Read More
FCC to set antenna site rules
The wireless telecom industry apparently has failed to secure support from federal regulators and the Clinton administration for broad pre-emption of antenna moratoria, though efforts are in play to provide limited relief to carriers. The Federal Communications Commission, according to sources, is expected shortly to propose guidelines to detangle health-related antenna siting disputes between wireless carriers and local and state regulators. The commission is expected to examine what documentation wireless carriers should produce to demonstrate compliance with federal radio-frequency exposure rules and what process should be available to cities and states that believe licensees are not abiding by those rules. The wireless industry supports self-certification for RF exposure compliance. … Read More
GSA codifies federal guidelines to hasten wireless buildouts
Following a nearly two-year-old presidential memorandum, a notice of inquiry and several industry forums held earlier this year, the General Services Administration instituted rules June 11 governing the placement of commercial wireless antenna sites on government lands. Published in the Federal Register June 16, the GSA bulletin provides “general guidelines and processes” allowing wireless network buildouts on federal properties. A committee comprised of industry and federal agency representatives considered such issues as evaluation processes, site pricing, fee reimbursement mechanisms, site security and access and site request denial tracking prior to crafting the guidelines. … Read More
Despite spinoff, AT&T tops carriers in revenue and net income
AT&T Corp. still topped the revenue and net income charts among the major carriers in 1996 even though it has spun off two divisions into stand-alone companies, including Lucent Technologies Inc. British Telecom again placed second in both categories. AT&T’s revenues dropped year-to-year to $52.18 billion, down from $78.59 billion in 1995, but its net income soared to $5.61 billion from $4.15 billion. British Telecom’s revenues rose to $22.1 billion from $21.2 billion, while its net income increased to just more than $3 billion from $2.8 billion the prior year. … Read More
5 C-Blockers unite
The consolidation of C-block personal communications services license holders has begun earlier than expected as five licensees have combined to form one partnership. Aer Force Communications L.P., Fortunet Wireless Communications L.P., High Country Communications L.P., New England Wireless Communications L.P. and Southeast Wireless, which together hold 31 C-block licenses scattered across the country, have formed Fortunet Communications L.P. … Read More
Does digital overlay cellular network perform as well as PCS? Analysts disagree
Now that many personal communications services providers are operating in several cities, most are advertising better call clarity than users received with cellular analog service. But will call clarity remain an issue once cellular carriers begin to aggressively market the same digital features? If customers are going to be asked to switch to digital, “they are certainly going to look at all the options. When that day comes for the customer, it’s a significant chance [for us] to get the customer,” said Tom Murphy, Sprint Spectrum L.P.’s director of public relations. And call clarity is one option. Prudential Securities Inc. in New York agrees. It believes PCS providers will have an edge over cellular carriers in terms of migrating customers to digital from existing analog channels, especially in highly dense markets. … Read More
Iridium IPO is oversold, firm offers more shares
Iridium World Communications Ltd., which plans to launch a satellite-based global telephone and paging service, went public June 10, raising $240 million in an offering of 12 million shares of Class A common stock at $20 per share. Iridium plans to begin offering service in September 1998. The consortium, which expects to have launched 10 low-earth-orbit satellites by the end of this month, must have all 66 of its planned satellites in service before it can go into commercial operation, said Robert Kaimowitz, senior analyst for Unterberg Harris, New York. … Read More
Microsoft investment to speed Internet access
A $1 billion capital infusion from Bill Gates’ Microsoft Corp. will help cable giant Comcast Corp. accelerate construction of a fiber-optic cable network to expand Internet access to millions of Americans. In purchasing an 11.5 percent stake in Comcast, the nation’s fourth-largest cable company and also a provider of cellular telephone services, Gates is hoping to boost sales of Microsoft’s array of online and interactive software and services among Comcast’s 4.3 million customers. Philadelphia-based Comcast also is a partner in Sprint Spectrum L.P., which holds licenses to offer nationwide digital wireless service. It is still unclear how the new alliance might affect Comcast’s wireless interests. … Read More
PCS clients flood call centers
In a number of “hot” markets around the country, a tidal wave of demand for new personal communications services is swamping some companies’ customer service departments-forcing scores of would-be customers to spend as much as an hour on hold as they try to activate their new service. When customers are placed on hold at PrimeCo Personal Communications L.P., a recorded message politely thanks them for their patience, adding: “Our success is based on your satisfaction.” PrimeCo has been sending letters to less-than-satisfied customers apologizing for the delays in reaching their service centers, blaming the problem on faster-than-anticipated growth. … Read More