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The FCC today announced a plan to reform spectrum rules in the 2.5-2.7 GHz MMDS/IFTS band. This spectrum, assigned to the Multipoint Distribution Service (MDS) and the Instructional Television Fixed Service (ITFS) is the frequency band most likely to be used by WiMax in the United States for competiton with DSL and cable modems. Currently Nextel and Sprint own about 2/3rds of those commercial frequencies in the United States.

The FCC’s Order (pdf) says:

In today s Order, the FCC takes a number of important steps to restructure the 2495-2690 MHz band and facilitate more efficient use of the spectrum. First, the Order creates a new band plan for 2495- 2690 MHz, as shown in the attached diagram, which eliminates the use of interleaved channels by MDS and ITFS licensees and creates distinct band segments for high power operations, such as one-way video transmission, and low power operations, such as two-way fixed and mobile broadband applications.

By grouping high and low power users into separate portions of the band, the new band plan reduces the likelihood of interference caused by incompatible uses and creates incentives for the development of lowpower, cellularized broadband operations, which were inhibited by the prior band plan.

In order to reflect these new opportunities for providing broadband service, today s Order renames the MDS service the Broadband Radio Service (BRS), while maintaining the ITFS label for ITFS licenses and operations.

The Order also expands the original MDS-ITFS band by adding to it five megahertz of additional spectrum from below 2500 MHz, which increases the total size of the band to 194 megahertz. This will provide room for the future relocation of MDS Channels 1 and 2, which are presently located in the 2.1 GHz band.

The FCC says the new, more flexible rules “will facilitate the growth of new and innovative wireless technologies and services, including wireless broadband services and extend broadband service to rural and underserved areas”. It will also preserve operations of existing licensees, including educational institutions offering instructional television programming to their students. But it also (apparently) opens the MMDS spectrum up for cell phone communications.

The Wireless Communications Association (WCA) applauded the action.

WCA President Andrew Kreig commented:

“WCA is thrilled that the Commission’s decision reforming the rules for this premier band for advanced broadband services is largely based on our original proposal, and will thereby unlock the consumer and educational benefits of this spectrum. Details of this complex order are still to be released. But comments at today’s Commission meeting indicate that the hard work by the Commission and relevant stakeholders will lead to huge benefits for the public in receiving advanced wireless services under flexible use conditions, whether the user seeks mobile, portable or fixed services as optimal”.

Steve Stroh’s take::

No license exempt operations are allowed.

Instead of carving the band into 6 MHz channels, the band is repartitioned mostly into 16.5 MHz “Blocks”, leaving seven (7) 6 MHz channels in the middle of the band primarily for continued operation of television broadcasting.

All existing leasing arrangements are preserved, but a “kicker” is that any for any new leases of ITFS channels or blocks, the usage must comply with ITFS requirements (educational uses)…

The agency allows education organizations to continue leasing their spectrum to commercial wireless services, but refused to allow those education organizations to sell their licenses and said they must still keep 5 percent of the airwaves for educational purposes.

Only five, 6Mhz IFTS channels and two, 6MHz commercial MMDS channels, apparently, are allowed to use high power. The other spectrum is divided into 16.5 Mhz bands, each with 3, 5.5 MHz wide channels (plus a guardband). They must use low power.

We here at DailyWireless are (frankly) not very knowledgeable on the reasons for this change…but we maintain a healthy skepticism.

Since 5.5 MHz harmonizes nicely with 5 Mhz requirements of W-CDMA “3G”, perhaps WCA members really just want to sell out. And perhaps what the FCC really wants is to auction unused frequencies to cellular carriers. What’s it worth…$50 billion? Would cellular carriers “buy out” Wi-Max spectrum holders before it becomes a competitive threat? Will the “low power” bands be enough to provide competitive Wi-Max service in the United States? Will the new unlicensed TV band prove viable?

Inquiring minds want to know.

Related Dailywireless articles include Spectrum Cowboys, TV Broadband, Mobile TV Spectrum and NextNet Deploys.

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