Google Set to Bid $4.6 Billion for Airwaves 156
Nrbelex writes "The Associated Press is reporting that Google has offered to bid at least $4.6 billion on wireless airwaves being auctioned off by the federal government, as long as certain conditions are met. 'The Internet search company wants the Federal Communications Commission to mandate that any winners lease a certain portion of the airwaves to other companies seeking to offer high-speed Internet and other services. Such a provision, Google argues, will give consumers — who traditionally get high-speed Internet access via cable or telephone lines — a third option for service.'" We discussed AT&T's objection to Google's acquisition of these airwaves last week; this article would seem to confirm Ma Bell's worst fears.
Well that's interesting... (Score:1, Interesting)
Let me know if I read that wrong, but it sounds like Google is morally good.
Re:Cool! I hope they bid! (Score:1, Interesting)
Like they say, it destroys innovation!
Explain this "innovation" to me... (Score:2, Interesting)
Why would a closed spectrum discourage innovation? I would think not forcing people to "lease" portions of the spectrum to higher powers would curb the high cost that hinders most of the world's greatest minds.
Re:AT&T now supports open access for 700Mhz ba (Score:5, Interesting)
I think you meant to say that the auction winners would have to lease, at a wholesale price determined by someone, a third of the bandwidth to other service providers that customers would then pay to access the network.
For this to be anything more than just grandstanding for good karma by Google I'd like to see how the wholesale price is set and why it's a lease instead of a purchase. Google pays a one-time fee for the airwaves and then leases them off a third of them which generates a nice revenue stream for them. The people doing the leasing still have a competitive disadvantage since they always have a bandwidth charge to add to their business model, while the purchasers will recoup their original investment over time and not have that leasing charge on their P&Ls.
Re:Why open access? (Score:3, Interesting)
Re:Et Tu, Google, mon dieu (Score:1, Interesting)
Re:Why open access? (Score:4, Interesting)
It's based on the utterly false... (Score:4, Interesting)
1) Maximizing US Federal Government revenue is equivalent to maximizing public good.
2) That airwaves, which by natural law are a shared public resource, can somehow be auctioned/sold.
It is the modern equivalent of the English Enclosure movement. [everything2.com]
Re:It's based on the utterly false... (Score:1, Interesting)
Or manifest destiny.
Re:Explain this "innovation" to me... (Score:3, Interesting)
I though the US had Local Loop Unbundling? Or is the FCC not in the habit of enforcing a competitive market?
As a consumer, I want this because I dream that one day soon I can buy a linux smartphone that surfs the web, plays music, and connects to any of the major competitive cell-phone companies without requiring a subscription term or early cancellation fee of any kind.
Why can't you just buy & use an OpenMoko now? Can't you just get a SIM card for it or is the US telcom market seriously screwed up?
I welcome our google overlords (Score:4, Interesting)
Re:Why open access? (Score:2, Interesting)
I'm rooting for google here, i like how they're playing this one.
Re:AT&T now supports open access for 700Mhz ba (Score:4, Interesting)
Surely the obvious solution is for the government to retain ownership?
Then companies who want access can lease from the government rather than a competitor.
Why would you insist on handing over a monopoly to a private corporation in the first place?