Mobile, Dish bid combined $14 billion in USA airwaves auction: FCC
Almost a year after it began, the major auction in the US has been concluded: T-Mobile US was able to secure important spectrum in the two-stage procedure.
And Charlie Ergen needs to find a use for the billions of dollars in wireless spectrum that Dish has acquired.
"These auction results are a win for everyone, especially consumers, and generated BILLIONS for broadcasters and USA taxpayers".
T-Mobile President and CEO John Legere released a video discussing the auction results, which included his usual animated style and digs at the competition.
After a year of talks, the FCC announced that T-Mobile won a bid for 1,500 wireless licenses in the 600MHz frequency range that we know as LTE. More recently, both carriers have been focusing closely on getting 5G rolled out as quickly as possible and the 600 MHz spectrum is not suitable for supporting 5G. But the low-band spectrum, which T-Mobile says covers longer distances than other spectrum types, will shore up signal strength within buildings and in rural areas.
"T-Mobile now has the largest swath of unused low-band spectrum in the country". All of that means better coverage with fewer towers.
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So why did T-Mobile walk away with the most 600MHz spectrum? Comcast plans to offer wireless service by June to its home Internet customers by reselling Verizon Wireless data, but it could use the new spectrum to boost coverage later on.
There's some big wireless news out today, as the FCC has announced the results of the 600MHz spectrum auction that kicked off past year.
One other thing to keep in mind is that T-Mobile paid a ton of cash for this new network expansion. T-Mobile has pulled solidly ahead of Sprint with 71.5 million subscribers, compared to Sprint's 60.2 million.
Dish Network, which has amassed almost 80 MHz of spectrum but has spent years looking for a wireless partner.
Verizon's absence, and the strong showing from companies like Comcast that don't now operate cellular networks, is a sign of the changing telecommunications landscape. In that earlier auction the big buyers were AT&T and Verizon, but we had a different mix of players this time around. T-Mobile executives will share more details and answer questions regarding the auction results during the company's first quarter earnings call. "While we celebrate reaching the official close of the auction, there is still much work ahead of us".
"What is most interesting to us was (Verizon) was nowhere to be found", Jennifer Fritzsche, an analyst at Wells Fargo, said in a research note, adding that "we continue to believe Verizon's interests lay in the higher band spectrum assets".
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