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March 15, 2012

T-Mobile Leads the Charge with an Interoperability Petition of the FCC

The wireless phone industry is quickly becoming one filled with haves and have-nots. Verizon and AT&T Wireless dominate 56 percent of the 332.8 million wireless customer subscriptions in the United States. T-Mobile and Sprint currently hold approximately 12 percent each while a number of smaller, mostly regional companies troll for the roughly 20 percent that remains. As the sand quickly runs out on the legitimacy of 3G devices and 4G variants step into the mainstream, that gap is likely to grow unless the Federal Communication Commission (FCC) intervenes.

The FCC is due to vote on the issue of interoperability in the 700 MHz band where virtually all 4G and 4G LTE devices are currently operating. Currently, the 700 MHz spectrum is parceled out with Verizon devices operating exclusively between 70-746MHz and AT&T devices using 746-787MHz with no overlap in frequencies between those two or any other wireless carriers. This wireless spectrum turf war matters most to the carriers not named Verizon or AT&T whose 4G devices are currently unable to roam on the two major networks. AT&T and Verizon are essentially blocking out all other potential competitors by cornering the 4G market.

T-Mobile is leading the charge by petitioning the FCC to mandate interoperability of LTE devices specifically citing that it would help emergency first responders by allowing their equipment to operate in either spectrum. This would allow devices from all wireless carriers to roam the 700MHz spectrum freely and open the door to even more competition.

Setting aside, any private political opinions about the government’s regulatory role in the economy, competition is good for consumers. It is no surprise that Verizon and AT&T are resistant to interoperability at the moment claiming the two need to overcome some technical hurdles to make the two ranges of bands work together. Their case is that forced interoperability would slow the expansion of LTE coverage.

The FCC is due to meet again next week, and interoperability of the 700MHz band is on the agenda and specifically the likelihood of interference were the two bands to be interoperable.






Edited by Jennifer Russell


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