Stories
Slash Boxes
Comments

News for nerds, stuff that matters

Slashdot Log In

Log In

Create Account  |  Retrieve Password

AT&T Slams Google Over Open-Access Wireless

Posted by Zonk on Fri Jul 13, 2007 12:39 PM
from the wham-wham-wham dept.
Robert writes with a CBROnline article on AT&T's objection to opening up a nationwide wireless spectrum. Their statement is made on the grounds that it will aid Google in their bid to get bargain-basement broadband prices. Google is just one company asking for open-access requirements on wireless signals; Skype, DirecTV, and EchoStar are others. From the article: "Yesterday, AT&T weighed in. In a letter to the FCC, AT&T said Google's "eleventh hour request" was self-serving because it would encumber licenses in the forthcoming auction 'with a laundry list of intrusive 'open access' requirements that would, perhaps, entice Google to participate in the auction. By its own admission, Google's request is intended to diminish the value of those licenses, thus preventing wireless service providers such as AT&T from bidding on them and clearing the path for Google to obtain them at below-market rates.' AT&T also said an open-access network would deprive taxpayers of billions of dollars, and inhibit the growth of wireless broadband in the country."
+ -
story

Related Stories

[+] Technology: Google Set to Bid $4.6 Billion for Airwaves 156 comments
Nrbelex writes "The Associated Press is reporting that Google has offered to bid at least $4.6 billion on wireless airwaves being auctioned off by the federal government, as long as certain conditions are met. 'The Internet search company wants the Federal Communications Commission to mandate that any winners lease a certain portion of the airwaves to other companies seeking to offer high-speed Internet and other services. Such a provision, Google argues, will give consumers — who traditionally get high-speed Internet access via cable or telephone lines — a third option for service.'" We discussed AT&T's objection to Google's acquisition of these airwaves last week; this article would seem to confirm Ma Bell's worst fears.
[+] News: FCC Looks To Offer Consumers More Wireless Choice 65 comments
An anonymous reader writes "The FCC is butting heads with wireless phone companies over 'wiggle room' the government organization wishes to allow consumers. Along with the move to the auction system, the government is removing restrictions on pieces of the wireless spectrum, which will allow a freedom of choice not usually seen with wireless communication devices. 'In the past, when the F.C.C. auctioned spectrum for cellular service, it allowed the winners to determine the equipment and applications that would run on their networks. That created the current status quo, in which a vast majority of American consumers buy a handset from a wireless service provider. The open-access rules, which will apply to about one-third of the spectrum being sold at the auction, represent a significant departure from past practice. They require the winners to let consumers use any tested, safe and compatible device or application on its network. Entrepreneurs could sell handsets with capabilities that are unavailable -- or unavailable at affordable prices -- from current carriers.'"
This discussion has been archived. No new comments can be posted.
The Fine Print: The following comments are owned by whoever posted them. We are not responsible for them in any way.
 Full
 Abbreviated
 Hidden
More
Loading... please wait.
  • Yeah right (Score:5, Funny)

    by cromar (1103585) on Friday July 13 2007, @12:43PM (#19850247)
    AT&T also said an open-access network would deprive taxpayers of billions of dollars, and inhibit the growth of wireless broadband in the country.

    Isn't it good to know AT&T is looking out for us?
    • by Pointless-'IZ'-Us (932207) on Friday July 13 2007, @12:45PM (#19850267)
      Yeah. Stupid AT&T. Thank god Google is looking out for us.
        • Re:Yeah right (Score:5, Insightful)

          by cayenne8 (626475) on Friday July 13 2007, @02:12PM (#19851371) Homepage Journal
          "Meanwhile, AT&T sees a lapse in the way they can gouge customers and don't like the potential hit to them. Plus it's another way they can slow down what they see as a major competitor."

          The thing is, it appears the way Martin has written his recommendation so far...that AT&T or Verizon, or anyone could buy one of the 6 geographical chunks...and block a nationwide competitive network. From the article:

          "Whether or not Google is readying to build a nationwide wireless network may be a moot argument. Martin's proposal reportedly contains provisions that would divide up the spectrum into six large geographic regions, rather than a single nationwide block. That would mean an incumbent operator could buy just one region to prevent such a network.

          There also, reportedly, is no language in the proposal that requires an auction winner to build a network at all. This means an incumbent could buy a regional spectrum merely as a way to block any such nationwide network."

          So, while this is all conjuncture at this point...there are some risks out there that could really blow it for the consumers in the US. I hope they do some serious thinking at the FCC before putting this out to bid...too bad the general public doesn't have a lobbiest we could all contribute to, to lobby for the general public's best interests!!!

    • Re:Yeah right (Score:5, Informative)

      by russ1337 (938915) on Friday July 13 2007, @01:01PM (#19850481)
      >>> ..open-access network would deprive taxpayers of billions of dollars...

      Sure, some taxes might be lost during the SALE of those bands... but it would save the taxpayers TRILLIONS of dollars by providing a true level playing field which promotes competition and innovation instead of treating 'locked-in' customers like fish in a barrel.
      • Re:Yeah right (Score:5, Insightful)

        by mmeister (862972) on Friday July 13 2007, @01:35PM (#19850895)
        Don't forget, AT&T also claimed it would: >>> ..inhibit the growth of wireless broadband n the country. I think AT&T (and ALL the other wireless carriers) have done a great job of that already. Considering that the US is pathetically behind in broadband connections (both wired and wireless) compared with most other industrialized nations, it is time for our Gov't to start acting on behalf of the people and not just the corporations. We pay the most money for the least amount of bandwidth. Instead, we have a disjointed high-speed connection (that is most often capped and limited), the broadband that is available isn't compatible with other carriers, so they duplicate the same work to lock us in. Europeans have an open-access 3G connection that doesn't lock you into one carrier AND they only charge you from outgoing calls (meaning you don't pay twice). If competition alone would have us at the same point, I say let it rule -- but the fact is that we, the end consumer, suffer because it's about maximizing short term profits. These are our airwaves and to keep them locked up like AT&T would like will only insure that our nation will fall far behind in today's information age.
          • Re:Yeah right (Score:5, Informative)

            by mmeister (862972) on Friday July 13 2007, @04:27PM (#19852779)
            While that may be true geographically. Population wise, *new* Europe represents about 2x the size of the US.

            Actually, the difference is that European officials mandated interoperability and pushed for 3G. Here, our Congress pushes for whatever is in the best interest of AT&T, Verizon, or Comcast. And those companies are looking to maximize profits with as small of an investment as possible.

            Since most folks don't have a lot of choice: be it cable where you choices are between Cable and uh, nothing if you're not close enough to DSL ; or wireless where you are locked into a contract for 2 years and the contract is automatically extended anytime you make ANY change. The result is there is no driving force behind getting end users true broadband. Also, it doesn't help that our gov't defines broadband as something like 200Kbps.

      • Re:Yeah right (Score:5, Insightful)

        by smilindog2000 (907665) <bill@billrocks.org> on Friday July 13 2007, @12:59PM (#19850461) Homepage
        This is such a classic example of doing what's right for the overall good of the country, vs doing what's right for big financial contributors (telcoms, in this case). What's the right thing to do? Duh, total no brainer. I hope the FCC is given the freedom to do it's job for a change.
  • Yeah Sure (Score:4, Funny)

    by Soporific (595477) on Friday July 13 2007, @12:45PM (#19850269)
    Google sucks because AT&T smells like roses and shits rainbow sherbet.
  • Redundant (Score:4, Interesting)

    by Jaaay (1124197) on Friday July 13 2007, @12:46PM (#19850277)
    Practically every company is trying to oppose anything Google does since it's a risk for them. Google has a cash cow with adsense similar to what MS has with Office/Win... with billions of $ in unused cash AT&T probably thinks with some justification it's only a matter of time before they get bored and move in on their markets with some VOIP services that could hurt their core business.
  • ahem (Score:5, Interesting)

    by drinkypoo (153816) <martin.espinoza@gmail.com> on Friday July 13 2007, @12:47PM (#19850279) Homepage Journal

    AT&T also said an open-access network would deprive taxpayers of billions of dollars, and inhibit the growth of wireless broadband in the country.

    AT&T also said an open-access network would deprive AT&T of billions of dollars, and inhibit the growth of AT&T in this country.

    Anything that's bad for AT&T is probably good for everyone else. I know that comes off a bit prejudiced but Ma Bell pt. II is alive and well in this country. (Love the kinder, gentler death star logo, too.)

    I know that google is just another corporation, but honestly, does anyone believe they're more 'evil' than AT&T?

  • Showdown (Score:5, Funny)

    by Duncan3 (10537) on Friday July 13 2007, @12:48PM (#19850293) Homepage
    Evil monopolistic empire vs. evil all knowing empire. This is gonna be entertaining!

    We lose either way of course. Capitalism rocks.

    .
      • by GeffDE (712146) on Friday July 13 2007, @02:18PM (#19851435)
        I hate this about /.

        Capitalism is basically financial engineering: figure out a way to get "the most buck for your bang/product." In a lot of instances, the most cost-effective way to do that is to rig the playing field in your favor. Capitalism is premised on a Free Market; however, once a company is successful beyond a point, it gains the power to tie up the Invisible Hand (with monopoly practices, collusion, government interference, subsidies, etc.) and thereby destroy the Free Market*, which is how they rig the playing field in their favor. It is actually in the best interests of a corporation to not have a free market. They all want captive markets where they can wring as much profit as possible. Capitalism is the problem because it is capitalism that brought about corporate government interference in an effort to maximize profits. The other problem is that corporations do not give a fig about consumers (beyond the fact that they must be kept happy enough to keep consuming); it is, however, the government's sworn and bounden duty to protect its citizens, at least according to the principles espoused by John Locke, whose thinking, coincidentally, greatly influenced the Founding Fathers of the US.

        I'm so sick of all this libertarian "The Government Scares Me" tripe. The government scares me too, but when I look at what's bad in the government, it has all been brought about by powerful lobbies, the vast majority of which are corporations or industry groups. Those scare me so much more because in this day and age, they are (almost) effectively puppet-masters.


        However, I completely agree that this problem wouldn't exist if we didn't have auctions or we had completely fair auctions. And also that Google is much much better than AT&T. It's just the tired, fallible libertarian claptrap that gets to me. I'm sorry for venting on you; believe me, it's not personal.

        *As an aside, I find it ironic that /.ers don't like invisible hands that Create or Intelligently Design things, but are downright chummy with other invisible hands.
  • Yes, but... (Score:5, Insightful)

    "[...] an open-access network would deprive taxpayers of billions of dollars [...]"

    Speaking as a taxpayer, it seems to me that a nationwide open-access spectrum would be a very worthwhile thing to get by forgoing those "billions of dollars".

    (Nice to see that AT&T is looking out for my interests, though.)
  • oxidize

    "The one-size-fits-all mentality that characterizes open access regimes for the wireless industry would begin the process of stifling innovation and creativity in our industry," Verizon Wireless general counsel Steven Zipperstein said to the House Subcommittee on Telecommunications and the Internet. Zipperstein said that while congress and the FCC had been "barraged" with requests to regulate the spectrum with open-access requirements, there is no evidence of how the current closed wireless market has failed consumers.
    Funny how proponents of deregulation don't want truly open markets.

    And then he has the gall to claim that the oligopoly of telecoms has not failed consumers.
  • Summation (Score:5, Funny)

    by BooRolla (824295) on Friday July 13 2007, @12:49PM (#19850319)
    Dear Congress,

    Please do not allow others to compete in communications. We are a monopoly and like it.

    Sincerely,
    AT&T
  • From the article: (Score:5, Insightful)

    by QCompson (675963) on Friday July 13 2007, @12:53PM (#19850371)

    "The one-size-fits-all mentality that characterizes open access regimes for the wireless industry would begin the process of stifling innovation and creativity in our industry," Verizon Wireless general counsel Steven Zipperstein said...

    This is the same BS talk that these telecoms use in the net neutrality debate. "Innovation" and "creativity" seem to be the new corporate-speak for "monopolize" and "profit".
  • by grapeape (137008) <.moc.rr.ck. .ta. .7epopm.> on Friday July 13 2007, @12:59PM (#19850443) Homepage
    AT&T forgot to mention how open access would increase competition and reduce their stranglehold on the market. We have been down this path before when AT&T was broken up, anyone old enough to remember having to essentially rent your phone from Ma Bell? AT&T and SBC managed to gobble up Ameritech, Southwestern Bell, Pacific Telesis, Bell Shouth and after merging themselves we are right back were we started, yet they have the nerve to call Google's request self-serving. Maybe its time for the FCC to wake up and realize that open access isnt going to inhibit growth, it will enhibit AT&T's version of growth which has always been expand and strangle out competition in markets they want to be in and own enough spectrum to make expansion into area's they may not even see as worthwhile difficult for anyone else to grab a foothold in.
  • AT&T whining (Score:5, Insightful)

    by jshriverWVU (810740) on Friday July 13 2007, @01:22PM (#19850729)
    I'm not a troll really, but this really sounds like AT&T is whining. If google can do it, make money, then their business plan is better. But from AT&T's point of view I can see why they are upset, and they are just trying to protect themselves.

    This is really about the same as MS embedding IE to kill off other companies who were solely browser developers (Netscape?).

    I think the big different here, and I may stand corrected, is that google isn't doing it as a lost leader to lock someone in, but to better their product. So if that's the case I support it. Only time will tell though as things roll out.

  • by dattaway (3088) on Friday July 13 2007, @01:28PM (#19850833) Homepage
    since the head of the FCC is a former AT&T lobbying professional, I'm sure they will be able to see the evil in Google's willingness to compete and provide better services. Poor AT&T keeps facing new competitors every year. Its a tough playing field when other people keep bringing out new and better services. The FCC needs to put an end to Google's ideas and bring us back to the old telephone and online pricing models.
  • by Some_Llama (763766) on Friday July 13 2007, @01:34PM (#19850887) Homepage Journal
    Black is white, up is down, left is right.

    If you want to know the true meaning of a corporation's PR or marketing, just translate it to the opposite of what they say.

    Fixed versions:
    "AT&T also said an open-access network would SAVE taxpayers of billions of dollars, and ENCOURAGE the growth of wireless broadband in the country."

    Easy.
  • What???? (Score:5, Interesting)

    by guspasho (941623) on Friday July 13 2007, @01:56PM (#19851157)
    So Google is asking to make the spectrum cheaper. And AT&T is complaining about that. Why? Nothing is stopping AT&T from competing in the auction. If they can compete in the auction for expensive spectrum they can compete in an auction for cheap spectrum. You know what this really sounds like? AT&T is whining because what Google is suggesting means that AT&T actually has to compete for a change.
    • by twitter (104583) on Friday July 13 2007, @01:08PM (#19850555) Homepage Journal

      But the auctions have serious flaws that allow the incumbents to rig them. Google is trying to reduce ATT and Verizon's ability to co-operate and screw others like Google. It would lower the price of spectrum to something more like a free market value. What you have now is more like a monopoly price from the people who fought tooth and nail against analog modems. I can correct the assertion of ATT reps to make it more like reality:

      By its own admission, Google's request is intended to diminish the value of those licenses, thus preventing wireless service providers such as AT&T from bidding on them and clearing the path for Google to obtain them at below-racket rates.

      A fair auction is in everyone's best interest.

      A better system would completely eliminate government interference, because it there is not spectrum scarcity and it's regulation no longer serves a purpose [slashdot.org].

    • by mabhatter654 (561290) on Friday July 13 2007, @01:15PM (#19850643)
      google won't bid unless they can get "lots" of channels across the country. If they're biding say 20 channels per market, Google would like the FCC to make 3-4 channels have a franchise across ALL the markets. For example then gooogle would bid on the lot of "channel 1" in every market at once. Google is interested in devices, not "phone" that scares the bejeebers out of the phone companies.
      Google also wants provisions for national "open" channels if they can't get a nationwide one. That way a group of small people could buy them up for a "community" network and be able to mass-market devices without corporate interference. In effect Google is asking for what would amount to "wireless internet". It's right there, the FCC could create a wireless, pervasive, on good frequencies with high end spread-spectrum like wireless "n" uses.. on a national scale! It's too bad this is all going on in board rooms, it could be the biggest public sector news story not being reported!
      • by OnlineAlias (828288) on Friday July 13 2007, @03:51PM (#19852429)

        The incumbents (AT+T, Sprint and Verizon) cry and scream every time anyone says anything about opening up the spectrum. They will lie, cheat and steal to make sure that no one can set up shop on that spectrum and not pay the incumbents for it.

        There is a perfect example of their outright lying right in this quote. The incumbents say doing it Google's way will devalue the spectrum itself. They say that it will cost the taxpayers billions if Google gets it way.

        Wrong.

        Every time, they say this very same thing in an effort to scare the committee into thinking that they won't get those billions from the incumbents, knowing all the while that the committee has strong political pressure to get the most money out of the auction that they can (even the US governement notices 15 or 20 billion dollars).

        Not only is it a lie about devaluing the spectrum (after all, if it is devalued, why would they care to buy it?) but it is a lie about who is going to lose money. The money for the auction goes to the government, not the taxpayers. The "taxpayer" in the end gets nothing but higher cellular bills due to lack of competition...in fact, the incumbents aim is to buy up all the spectrum and pave over it with a parking lot, which makes sure no one will ever be able to use it.

        Take it from me, a guy very close to this industry. Google is certainly not the evil ones here.