Verizon Wireless has drawn significant attention to itself regarding the FCC spectrum auction, lobbying the FCC to change the auction conditions while simultaneously
suing the FCC outright in court over the same issue. Frontline, a startup wireless company competing against Verizon in the auction, wants the FCC to give Verizon more than just attention. The startup is
asking the FCC to sanction Verizon by banning the company from the spectrum auction altogether.
What Frontline wants Verizon sanctioned for is their failure to comply with the FCC’s rules regarding required disclosure of communication with the FCC.
“Frontline accused Verizon Wireless of not adequately disclosing the content of its conversation with FCC Chairman Kevin Martin and his staff during a Sept. 17 meeting. Under the FCC's so-called ex parte rules, companies meeting or communicating with the FCC during an ongoing proceeding are required to disclose a description of those communications to other interested parties.”
Being banned from the auction isn’t the only reasonable sanction that the FCC could use in this case. Fining the company, requiring full disclosure at this time and disallowing Verizon from future auction filings are all also viable sanctions. Of course, those wouldn’t help Frontline nearly as much in gaining an edge over their competition in the auction.
Frontline most likely fighting a losing battle
·