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700 MHz On The Line

Hurricane Katrina won’t be the last U.S. disaster this year — the Hurricane Season, from August to November, is just getting underway. The projection calls for a total of 18-21 tropical storms (average is 10), with 9-11 becoming hurricanes (average is 6), and 5-7 of these becoming major hurricanes (average is 2-3).

WispCentric notes that a storm is also brewing in Congress over the public service, 700 MHz spectrum. Congress has to decide what to do with 48 megahertz of unallocated spectrum that will be available once broadcasters return the channels to government.

The 700 Mhz band is ideal for penetrating buildings and supplying ubiquitous, inexpensive broadband wireless. It is said to travel 3 times further than 1.9 GHz cellular and can reduce costs by 75%.

Congress must decide whether those frequencies are used for public service, commerical broadband wireless or be allocated to the public for “free” unlicensed use.

The 700 MHz Television Band

Broadcasters will operate television in channels 2-51. That will leave the Lower 700MHz Band (48MHz in channels 52-59), and the Upper 700MHz Band (60MHz of spectrum in channels 60-69) available for broadband wireless. In 1998, the FCC also made 24 megahertz of spectrum for public service users on UHF channels (63/64 & 68/69) at the frequencies (764-776 MHz) and (794-806 MHz). Qualcomm bought nationwide coverage on channel 55 for MediaFLO, their mobile media venture. But Qualcomm can’t use it, until broadcasters get off the channel.

There are still some television stations using those frequencies. Commercial broadcasters, who get tv channels “free”, courtesy of the public, may squat on “their” real estate until the end of 2008 (or until they get paid off). Meanwhile, everyone wants a piece of this action.

Faced with a September budget deadline, lawmakers are expected to put digital television at the top of their telecom policy agenda once Congress reconvenes after the August break.

There appears to be increasing momentum for Congress to set a fixed date of late 2008 or early 2009 for a digital TV transition. That would free up prized spectrum in the 700 megahertz band that could be auctioned to the private sector and used by emergency responders.

In 1997, Congress and the FCC passed legislation that allocated 24 MHz of spectrum in the 700 MHz band for state and local public safety organizations (above). The allocation was tied to the transition to Digital Television, which would remove television stations from these airwaves. However, Congress did not set a firm date for this transition to be completed.

The Senate Commerce Committee spent all day July 12th examining the DTV transition. During that hearing, the New America Foundation advocated setting aside 20 megahertz for unlicensed uses (pdf).

“It would be an enormous mistake if we were to auction off all of the public’s airwaves, which is the way it is headed today,” said Rep. Maurice Hinchey (D-N.Y.), chairman of the Future of American Media Caucus.

Public Safety organizations are calling for Congress to provide 700 Mhz spectrum to help first responders. The Spectrum Coalition for Public Safety is their lobby organization.

“It is a life or death issue,” said Harold Hurtt, Houston Chief of Police and President of Major Cities Chiefs, an organization that represents 63 of the nation’s largest police organizations. Hurtt made his comments in a video interview distributed during the Association of Public-Safety Communications Officials (APCO) International 71st annual convention in Denver.

Charles Townsend, CEO and general partner with Aloha Partners, owns 77 licenses in the 700 MHz band. Townsend says the key to making wireless broadband as ubiquitous as the cell phone is getting customer equipment costs under $200, the service itself under $50 a month and national coverage.

Senator John McCain led a charge on behalf of public safety users with his SAVE LIVES bill, S. 1268 (which has Intel’s support). McCain said obtaining additional spectrum is essential to providing police, fire and emergency personnel the tools to communicate with one another. They can’t use their 24Mhz at 700 until broadcasters move their collective butts off the property.

The House and Senate Commerce committees hope to reduce the federal budget deficit with a spectrum sale. But no sale will be effective until a firm date is set for broadcasters to return the 700 MHz spectrum to the government. Draft legislation crafted by the Republican staff of the House Commerce Committee would eliminate the 85% DTV penetration test in exchange for pushing the transition date off two years, to Jan. 1, 2009.

A key sticking point is subsidies for digital converters, which will likely cost between $50 and $100 each.

Revenue estimates for spectrum sales range from $10 billion to as high as $30 billion. In order for lawmakers to include spectrum revenue in their budget reconciliation packages, the Senate and House Commerce Committees must approve legislation by Sept. 16.