WASHINGTON-Bankrupt NextWave Telecom Inc. is asking its judge to allow it to conduct a $39 million trial of wireless broadband technology in Las Vegas using spectrum to be obtained from IPWireless Inc.
“Given the nascent nature of the wireless broadband technologies and services, proceeding with a full-scale commercial wireless broadband trial is a critical element of NextWave’s operations that will facilitate implementation of its business plan and ultimate reorganization,” wrote NextWave in a brief filed with Bankruptcy Judge Adlai Hardin Oct. 1. “To advance NextWave’s strategy of becoming a leading, nationwide provider of wireless broadband services, NextWave seeks the court’s approval to make the expenditures necessary to enhance their existing network in a test market and then commercially operate the system in that market on a trial basis. For a variety of reasons, NextWave has targeted Las Vegas as the market in which to conduct such trial.”
NextWave is forced to buy the Las Vegas spectrum from IPWireless because it just sold its Las Vegas license to Cingular Wireless L.L.C.
It is unclear from the filing how much NextWave expects to pay for the IPWireless spectrum nor whether NextWave believes it can receive approval from the Federal Communications Commission to buy the IPWireless spectrum.
“We think we can operate on MMDS (multichannel multipoint distribution system) frequencies in Las Vegas with the complete authority of the FCC,” said Michael Wack, NextWave senior vice president and deputy general counsel. Wack added that the price has not been made public.
Judge Hardin will hold an interim hearing on NextWave’s interim plans Oct. 8. NextWave has asked that Hardin approve $4 million of the $39 million in trial costs at that point so it can begin the initial steps of the buildout for the trial.
Oppositions to NextWave’s plan are due to the court by Oct. 21 and a final approval hearing has been scheduled for Oct. 29.
NextWave expects the trial to last through January with users both associated with-called alpha-and not associated with-beta-testing the service, which will allow both fixed wireless data service and mobile service via various devices, including personal digital assistants.
