@jbtaylor on tech

Did you make any New Year's resolutions? 

Twin Bells Verizon and AT&T have.

The companies' lobbyists have resolved to grab spectrum with the hopes that no one in the media will notice or cover it.

I don't think the reporters I work with are going to fall for that though. And I certainly don't think consumer are going to stand for it once they learn what's going on.

So what's the scoop?

Current law, the result of a bi-partisan compromise in 1994, gives the Federal Communications Commission the authority to set what's known as "eligibility rules" for auctions.

Asleep yet?

Stay with me. This is important.

Basically when the FCC holds a spectrum auction, it sets rules which determine which companies can participate at various points in the auction. These eligibility rules are the tool which the Commission uses to ensure that competition remains in place in the wireless industry. 

This regulatory authority isn't new and it's not unique to the FCC -- numerous other Federal agencies use similiar authority which auctioning off other public resources such as surplus government property, assets seized by law enforcement and public land use rights.

Since 1994, under both Republican and Democratic FCC Chairmen, more than 80 wireless auctions have been held which netted the U.S. Treasury $60 billion in revenue. In every single one of these succesful auctions, the FCC has had eligibility rules. 

But Verizon and AT&T want to change that. Why would the lobbyists for AT&T and Verizon be working overtime to change a law which has been so successful for taxpayers?

I'll cover that in my next post.

p.s. Please remember that this is my person blog and does not necessarily reflect the views of my employer. (The same goes for my Twitter feed, BTW.)