Groups offer range of ideas for 700MHz auction

Public safety officials embracedO'Brien's plan early, saying it offered them the spectrum they need. The plan found a cool reception in Congress, however, mostly because it would cost billions of dollars in lost auction proceeds.

While Congress has not moved to make the necessary changes to the digital television transition legislation that the Cyren Call plan would require,O'Briensaid he's optimistic theFCCwill adopt the "essence" of his plan.Frontline Wireless LLC, another startup founded by a group of tech andFCCveterans, made a similar proposal in February.

The Frontline plan has generated significant debate in Congress and in the broadband industry.O'Briensaid the Frontline plan would accomplish many of the same goals, but he still believes his plan is better.

"We were building ... as much pressure as we could to get the relief we were looking for,"O'Briensaid. "When [Frontline] introduced their proposal, it relieved some of that pressure by diverting to a different model."

Frontline's plan would marry 10MHz of spectrum from the chunk to be auctioned with 12MHz assigned to public safety. That 22MHz would be auctioned, with the winner required to build a network that gives priority to public safety agencies. After public safety needs are met, the network could be used for commercial services, although Frontline has called on theFCCto require wholesale access for other providers.

Frontline has assembled a team of tech and wireless industry heavyweights, includingCEO Haynes Griffin, founder ofVanguard Cellular Systems;Chairwoman Janice Obuchowski, former assistant secretary for communications and information at theU.S. Department of Commerce;James Barksdale, former CEO of Netscape; andL. John Doerr, a partner in the venture capital firm Kleiner Perkins Caufield & Byers.

The Frontline plan gives public safety the best chance for an interoperable, next-generation network, saidReed Hundt, Frontline's vice chairman and a former chairman of theFCC. The difference between the Frontline and Cyren Call proposals is that Cyren Call asked for a "government handout" of spectrum and money, while Frontline relies on private money to build the public safety network,Hundtsaid.

Verizon Wireless Inc.has opposed Frontline's plan, particularly its call for open access rules. Such rules would drive down the cost of the auction, saidDick Lynch,Verizon Wireless' executive vice president and chief technical officer, during a Senate hearing in June.

ButVerizonwants an auction that favors large providers,Hundtcountered. "The way to get a really low price for the treasury is to sayVerizoncan have it all, because nobody will bid," he said. "Verizonwanted to buy all the spectrum and put it in the bottom left-hand drawer. It's an effort to monopolize."

Verizonhas generally declined to comment about the 700MHz auction, butLynch, in his June testimony, called on theFCCto auction a 20MHz block of spectrum that can be used across theU.S.This would allow theU.S.to "lead the world" in fourth generation wireless deployment, he said.

Verizonalso opposes open access rules, similar to net neutrality rules proposed by some consumer and advocacy groups for existing broadband networks. "The auction needs to make the spectrum available in ways that will promote, not cripple, broadband,"Lynchsaid. "The commission should set auction rules that allow for full and fair competition by qualified bidders, without artificial and unwarranted constraints."

Past competition auctions without such conditions have created a competitive wireless marketplace offering a "broad range of digital offerings,"Lynchadded.