The Wall Street Journal insists that Google will in fact be bidding in the upcoming 700Mhz auction. That spectrum, considered the last great batch of "waterfront property," could be used to offer a national wireless broadband network that could challenge incumbent interests. There was some doubt over whether Google would bid.

The FCC refused to meet Google's demand that auction winners be forced to offer wholesale access to competitors. The FCC did apply some Carterfone-esque rules requiring carriers allow any mobile device to access the network, but some legal experts believe the rules are filled with intentional loopholes making them all but meaningless.

Google had argued that the current auction process was rigged so that companies like AT&T and Verizon held the upper hand. The search giant's primary concern has been that incumbent wireless operators will strangle Google out of the mobile market with their own mobile services (and advertising platforms).

Obviously operating your own network is one way to circumnavigate any incumbent wireless stranglehold on your content or ad delivery. Given that running a wireless network might be outside their core competency, the company would probably bring in a build and operations partner, or lease the spectrum to another company with the obvious understanding that Google content and services would be king.

But according to the WSJ, Google is prepared to at least bid in the auction alone because they were "concerned about alienating allies by selecting some and not others as bid partners." Google's currently working out the minimum $4.6 billion financials ahead of the December 3 FCC deadline for declaring intent to bid.