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story category Fight Brews Over FCC's Plan For Smut-Free National Wireless
Congressional Dems take aim at T-Mobile's bogus interference claims
(old news - 01:19PM Wednesday Aug 13 2008)
tags: competition · wireless · alternatives
Last fall, the FCC denied (pdf) a plan by M2Z networks that would have offered free nationwide broadband to 95% of the country, using a 20MHz chunk of unused spectrum in the 2GHz band. The plan called for the government to provide the needed spectrum for free, and in exchange M2Z would have handed over 5% of the company's revenue. M2Z also promised to offer 384kbps free (content filtered) service and a $20-$30 3Mbps tier to 95% of the country in ten years. While it sounds promising, it's unlikely to ever leave the ground.

We are concerned that unnecessary interference testing would needlessly delay this auction and that this constitutes the very rationale to kill this effort totally
-Democrats Ed Markey, Anna Eshoo
Last fall, M2Z argued that FCC loyalty to incumbent operators impacted the decision. The FCC counter-argued that the M2Z plan offered slow speeds, and that M2Z's deployment benchmarks were both "misleading" and "not particularly aggressive." M2Z considered taking their fight to court, but instead lobbied Rep. Anna Eshoo (D-CA) to push the plan through Congress under the guise of the pending Wireless Internet Nationwide for Families Act.

Ultimately, the FCC also crafted their own proposal, which involves auctioning a 25MHz piece of spectrum in the 2155Mhz band (something incumbents wanted), with a 95% free national buildout as an attached condition. Both the original M2Z proposal, the proposed law and the FCC plan involve filtering any content on the free tier that could prove "harmful" to a five year old. From the FCC proposal (pdf), the company who wins the spectrum must implement a system that:
filters or blocks images and text that constitute obscenity or pornography and, in context, as measured by contemporary community standards and existing law, any images or text that otherwise would be harmful to teens and adolescents. For purposes of this rule, teens and adolescents are children 5 through 17 years of age;

While Kevin Martin very much likes the proposal because it falls in line with his personal quest to protect the nation from boobies, incumbents don't want the added competition. T-Mobile has been busy claiming the Time Division Duplex (TDD) technology involved in such a system would cause interference, despite the fact they use the same technology successfully overseas in the Czech Republic and global tests show interference is minimal.

The FCC's smut-free wireless plan got two big thumbs up this week from Eshoo and Edward Markey (D-MA), who penned a letter to the FCC taking aim at T-Mobile's interference claims, and urging the FCC to move forward with the plan. The letter notes that UK regulator OFCOM has already tested the technology and found little to no interference potential. "We are concerned that unnecessary interference testing would needlessly delay this auction and that this constitutes the very rationale to kill this effort totally."

Between free-speech advocates who believe the filters are unconstitutional -- and incumbent wireless lobbyists who don't want the added competition, the project is facing a very steep uphill climb.

Related:
  1. Motorola Androids To Hit T-Mobile, Verizon
  2. Clearwire Promises Late Year Growth Explosion
  3. This Is Not The WiMax Miracle We Were Promised
  4. Clearwire Launches In Ten New Markets
  5. AT&T's 'Blogger Guy' Faces Public Backlash
  6. Verizon's New Wireless Pricing Is An Insult
  7. Analyst: Apple Will Stick With AT&T Exclusivity
  8. Clearwire Launching In Chicago October 6
Forums » Fight Brews Over FCC's Plan For Smut-Free National Wireless
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Post a:
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

N2H2

Sounds like N2H2 will be getting a nice deal with an ISP. A filter that blocks what the FCC wants and then more with really no ways around it.

Smart!

GOLFnSUN
Enjoy the sun
Premium
join:2002-03-03
Avalon, NJ
·Sprint Mobile Broa..
·Comcast


2 edits

Free WiFi would look like this

Snapped 2008-08-13 13:38:37

»pbskids.org/


Snapped 2008-08-13 13:38:20

»www.webkinz.com/us_en/


Now these are great for 5 year olds, but the free part of this nationwide system will be worthless for 90% of the users. So what M2Z is asking for is FREE spectrum so they can sell their 3 mbps tier at $30/mo that can show porn, news, social sites, etc. that aren't appropriate for 5 yr olds.
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bbenso1

join:2004-11-28
Baltimore, MD

Re: Free WiFi would look like this

said by GOLFnSUN See Profile :

So what M2Z is asking for is FREE spectrum so they can sell their 3 mbps tier at $30/mo that can show porn.
Not FREE. M2Z would pay the government 5% of their revenue. So instead of getting one payment up front the government would be getting recurring revenue as long as the company stays in business.

Matt
Gone playing Dragon Age Origins
Premium
join:2003-07-20
Jamestown, NC
·North State Commun..

Re: Free WiFi would look like this

said by bbenso1 See Profile :

said by GOLFnSUN See Profile :

So what M2Z is asking for is FREE spectrum so they can sell their 3 mbps tier at $30/mo that can show porn.
Not FREE. M2Z would pay the government 5% of their revenue. So instead of getting one payment up front the government would be getting recurring revenue as long as the company stays in business.
Yes free. If they don't make money (or use creative accounting to hide it) they don't pay the Government a dime.

I am all for unseating the incumbents and releasing their stranglehold on the last mile, but this is a terrible use of the spectrum. I have to agree with the FCC on this one for once.
bbenso1

join:2004-11-28
Baltimore, MD

Re: Free WiFi would look like this

said by Matt See Profile :

said by bbenso1 See Profile :

said by GOLFnSUN See Profile :

So what M2Z is asking for is FREE spectrum so they can sell their 3 mbps tier at $30/mo that can show porn.
Not FREE. M2Z would pay the government 5% of their revenue. So instead of getting one payment up front the government would be getting recurring revenue as long as the company stays in business.
Yes free. If they don't make money (or use creative accounting to hide it) they don't pay the Government a dime.
Incorrect. 5% of REVENUE, not 5% of PROFIT. If they bring in $1 million and have operating costs of $2 million they would still owe the government 5% of that $1 million even though they actually made no money.

So, the only way that the government would see no money from this deal would be if M2Z had absolutely zero income. If that were the case I can guarantee that the company wouldn't be around for long and then the government would get their spectrum back.

Matt
Gone playing Dragon Age Origins
Premium
join:2003-07-20
Jamestown, NC
·North State Commun..

Re: Free WiFi would look like this

said by bbenso1 See Profile :

Incorrect. 5% of REVENUE, not 5% of PROFIT. If they bring in $1 million and have operating costs of $2 million they would still owe the government 5% of that $1 million even though they actually made no money.

So, the only way that the government would see no money from this deal would be if M2Z had absolutely zero income. If that were the case I can guarantee that the company wouldn't be around for long and then the government would get their spectrum back.
Did you read the filing? This only applies to their "Premium Offering" subscription service. And they "may" offer it. It doesn't say they HAVE to. They can plaster the free service ads or any number of creative schemes to make money that is exempt and never offer a premium service.

Matt
Gone playing Dragon Age Origins
Premium
join:2003-07-20
Jamestown, NC
That is exactly what I was thinking Tk.

Not to mention, 10 years to build out 3Mbps? 10 years ago most of us were still on DIAL-UP! 3Mbps will be the equivalent of dial-up by then, not to mention 384Kbps.
probboy

join:2008-01-10
Natick, MA

Snowball's chance...

There is no way any operator (incumbent or otherwise) will be able to build out a new network covering 95% the nation (no idea if this is based on population or area) within 10 years, particularly one that is going to provide a free service.

I predict that this will be another Nextwave-like debacle: They'll get the license and sit on it until the FCC complains and tries to revoke it. Then the courts will get involved and somehow AT&T or Verizon will ultimately end up with the license after paying the original licensee a ton of money.

This will go the way of free city-wide WIFI networks.

Great work if you can get it.
Markie

join:2003-07-26
Kalispell, MT

Re: Snowball's chance...

My problem with this:

Montana, North Dakota, South Dakota, and Wyoming most likely won't be covered AT ALL.

This should include an additional provision such as 80% of each state's population being covered. (which wouldn't be at all difficult in Montana - 10-15 sites with the same coverage as a cell tower would do the trick probably)
hottboiinnc
ME

join:2003-10-15
Cleveland, OH
·Time Warner Cable
·buckeye cable

they could build it out. But who is going to pay for 3Mbps of service in 10 years? especially for $30? i know i'm not!

The thing is that they're timeline for speeds being realized over the 10years is not what the country needs to see. Talk about rolling back the times on speeds this is it.

Plus they'd have to find someone that will actually build the equipment for them to use and then deploy it, test it, and then open it up for use. Unless the "free" service will be the beta testing.

They should just purchase WiMax Lite licenses and start building out that way. show the FCC that they can actually do something to deserve this.

Hmmm

@wideopenwest.com

Savvy 5 year olds?

What 5 year old owns a laptop?

Shouldn't it be more like TV? PG-13 at least or something?
Forums » Fight Brews Over FCC's Plan For Smut-Free National Wireless


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