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US to auction off airwaves

p2p news / p2pnet: America’s Defense Department and 11 other government agencies say they’ll spend close to $1 billion on new communications systems and, "The 90 Megahertz of airwaves the agencies will give up will be sold at an auction that could be held as early as June 2006," says Reuters.

"The airwaves are seen as prime real estate for companies to offer wireless services like mobile wireless high-speed Internet access."

Commerce department national telecommunications and information administration chief Michael Gallagher is quoted as saying, "We need to make sure the industry has the resources" for new services and the additional airwaves will help carriers "to be the broadband competitors of tomorrow."

The bands to be sold include 1710-1755 Megahertz and 2110-2155 Mhz, says Reuters, adding:

"The biggest cost is expected to be moving the Defense Department, at almost $289 million, followed by the Justice Department at approximately $263 million. Other agencies switching airwaves include the Energy Department, Federal Aviation Administration and NASA".

Also See:
Reuters - US gov’t move to new airwaves to cost $936 mln, December 28, 2005

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2 Responses to “US to auction off airwaves”

  1. Reader's Write Says:

    owning an airwave is as ridiculous and selfish as owning airspace above a building. how can an airwave be sold when no one owns it in the first place. as far as i understand it, the FCC does not own it, but can only regulate it. how is it possible to sell an airwave?

    now that howard stern has a 5-year/US$500million satellite radio contract,i wouldn’t be surprised if he was one of the first bidders.

  2. Reader's Write Says:

    This article describes the process pretty well.

    http://www.washingtontechnology.com/news/11_2/news/9979-1.html

    And with the prices the airwaves are going at nowadays, I don’t think even Howard could afford them.

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