Google blamed for 700MHz auction bid shortfall
15 April 2008 - 17:04
Three US government representatives have alleged that Google wilfully manipulated the recent 700MHz spectrum auction, and as a result potentially dissuaded bids in excess of $10bn extra. Republicans Cliff Stearns and John Shimkus together with Democrat Eliot Engel used a hearing today to express their concerns that, in pledging to meet the $4.6bn reserve set for Block C and thus secure open-access, new potential bidders were deterred.
“I suspect that if Google had been interested in more than just manoeuvring within the system. It could have prevailed in the C block and become a new [wireless] entrant. I suppose we cannot blame them for trying to get free access to the spectrum; what is more concerning is, that even though we knew what they were doing, we let them manoeuvre this way anyway” Cliff Stearns, Republican representative
Google themselves have confirmed that their key priority - even more important than actually winning any spectrum - was ensuring that the open-access criteria they had petitioned the FCC for were written into the Block C contract. The clause ensured that whoever finally won the Block - which turned out to be Verizon Wireless - would be required to allow compatible devices and software from any source to access whatever network is built. Many saw Google’s motivation as ensuring that, even without carrier support, its Android platform would still be relevant to next-gen networks, as it could potentially supply the handsets itself.
Initial estimates for the total to be raised by the FCC’s auction put the figure as high as $30bn. In the end, $19.1bn was raised. Google is yet to comment on the allegations.
[Via Google blamed for 700MHz auction bid shortfall - PHONE Magazine]
2 Comments | Tags: FCC spectrum auction, Google, Google Phone
15 Apr 2008 - 18:52
republicans are just all about the free market, aren’t they? except when they aren’t, like when they want an extra $10 billion to throw into the iraq hole.
07 May 2008 - 9:04
Hey Politicians! Don’t you realize how STUPID your thinking is?
Google promised to meet the $4.6bn reserve. If new bidders would be dissuaded by a $4.6bn bid, certainly would NOT have gone ANYWHERE NEAR a bid of $30bn! Use your heads!
So in the end, Google didn’t dissuade anyone. They, in fact, GOT the minimum bid required to insure the “open-access” that Google themselves REQUESTED! (You didn’t think that “open-access” was the idea of you pinheads in the first place, did you?)
Google has, as they have in the past, raised the bar on what the public should get. Not mentioned in this article was the fact that Google kept raising their bid against Verizon Wireless. They just didn’t have as much money as Verizon. WHO would have been able to outbid Verizon, tell me!
You should be THANKING them for their bid! Otherwise, you probably wouldn’t have gotten even the $4.6bn minimum!
Jezus! You politicians are stupid! Stop wasting our tax dollars pursuing a lawsuit that will go nowhere!