FCBA Panel on the FCC Incentive Auction Proceeding - NYC 6.5.2013

Federal Communications Bar Association (FCBA) Panel on the FCC Incentive Auction Proceeding at T-Mobile NYC on June 5 2013.

Speakers:
· David Donovan, New York State Broadcasters Association
· Christopher Wieczorek, T-Mobile US, Inc.
· Charles Bell, Consumers Union
· J. Armand Musey, The Summit Ridge Group
Moderator:
· Jonathan Cohen, Wilkinson Barker & Knauer, LLP

http://www.fcc.gov/incentiveauctions

http://www.fcba.org/

http://isoc-ny.org/p2/5633

PUNKCAST #2195

Webcast support: NYI http://nyi.net

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uh... panel

so uh...

thank you all for being here

um...

as is obvious are our topic is the uh...
upcoming fcc_ incentive auction of

broadcast spectrum

and

we've got paid

commanders panel

that buys you have

uh... what i was uptrend who's just
spent a couple minutes setting the table

with some of the background history

how he got at this point

uh... and then uh... charles

will give us

kind of a consumer perspective

outdated as the broadcaster perspective

uh... armond

of none of them

for want of a better term wall street or
financial analyst perspective on the

auction

and i'm chris from t mobile out

carrier

perspective uh... you know they're
obviously

some of the most interested parties

the spectrum

ultimately

let's talk a little bit of background
some basics

and he could use some of the process and

uh... on

how many people

ride the subway on a regular basis

okay most of us okay so i had an
interesting experience on the subway

the other day not always on the subway
but used to

commute every day and

you know it used to being that you were
on the subway and everybody has a

newspaper and you know consuming
information

the other day

you know sunday newspapers

but almost everybody was glued to their

mobile device

so they were consuming information but
they were using spectrum to do it dot

inc paper

so that's really what this is all about

uh... demand

delivered to mobile devices and here

so uh...

cisco has put out app

studies every year

local networking index

uh... and they found in the most recent
report that global over this mobile data

traffic

increased by seventy percent

in the year twenty twelve and is
expected to increased thirteen full time

between seventeen th

and um...

one other interesting statistic is that
by the end of this year

the number of mobile connected to vices

will exceed the number of people

that's kind of michael

the idea of the consent of auctions has
been kicking around for a while

kinda got a little bit of uh...
kick-start inv two thousand married in

the economic stimulus legislation

uh... was

among other things direct the fcc_
developed the national program plan

which they cannot win

twenty ten

um...

and along with a a presidential
directive that president bomber issued

in june of twenty ten

set of policies kal

freaking out

five hundred never person spectrum

uh... other uses

commercial mobile use uh... within ten
years three hundred never hurts within

five years

it's now

three years later

gotten a reactor not even close to
getting there yet but

a hundred and twenty megahertz piece in
the national broadband plan

uh... was to come from

the broadcast

uhf_ spectrum

in twenty twelve

um...

after a whole lot a lot being by

the administration

and wireless industry which

really needs the spectrum to provide
services

title six

of d

of the middle class tax relief act

was passed

uh... offer us the fcc_ to conduct

disincentive auction and requiring that
would be conducted

on a one time only basis

sometime within ten years

uh... the fcc_ started the proceeding
on last fall

comments have been filed others always a
lot of turn that sparked is somewhere in

the middle of that process right now

uh... so what is inside the box

in prior

fcc_ spectrum auctions which they've
been doing apples twenty years

uh... the fcc_ would identify spectrum

uh...

carve it up in the licenses

an auction it off

to the highest bidder

and if there were a conference

those frequencies

usually there would be a process of up
to relocate them with the new licensees

sharing the cost for the relocation

incentive auction

approaches this in a different way

uh... allowing

the incumbent users actually participate
in the auction process

uh... fault

on a volunteer basis

to relinquish their spectrum's rights

in exchange for payment

is an enormously complicated process

one of the more than one commissioner
has referred to as

three self-confidence

uh... sort of a lot of moving parts it's
a very difficult problem for the fall

and um... but

the sec_ has put a lot of resources
uh... into it

and of

the industry's also

are uh...

uh... close attention

and lobby happily

um... so for the wireless carriers

it's important

how much spectrum will

be clear

will it be our nation wide basis or will
there be different amounts of spectrum

figure in different market

uh... one of the key components of as to
how much fat content here's how many

broadcasters were

step up to volunteer to relinquish the
spectrum usage rights

deeper into the needs are issues like
should they be a report unpaired

spectrum blocks what technologies will
benefit

from different

uh... choices on the been planned

um... how much

of the spectrum should be permitted to
be used for unlicensed use as opposed to

license uses

um...

there's a companion proceeding at the
fcc_ on mobile spectrum holdings

uh... to determine whether there should
be limits placed on the amount spectrum

the anyone in turkey

uh... and have an interest in that could
have an effect on the cartoon process

and uh... proximate but our jeanne

uh... their part number of

uh... auction game theorists the
academic community some of whom been

hired by the sec_

for the most brilliant minds

in this field are actually working for
the fcc_ to try to develop

new and innovative auction models that

uh... recent

would produce

most efficient

reasonable winds differ on that

and the broadcaster side obviously the
the key issues have to do with the

impact on broadcasters who choose not to
relinquish spectrum

uh... if some of the un ship broadcast
band

is reallocate it

grandpa

users matt spectrum

will have to be repack

convicted repackaged

years ago with big transition

uh... it was a

not an easy process i think it's fair to
say

that's going to be

down again

in this

the broadcasters who do we have no
interest in the leaking spektr

we have no reason to see this as
anything but a no

no-win proposition

further trip there

planned the differences game this point

out for the broadcasters whom

are looking at the possibility of
relinquishing spectrum

uh... in some

way shape or form either going off the
air early or not

uh... how much

isn't work house debate values and
harmon will address of some of those

issues

and of the option of cultures
correspondence important there too

as i mentioned that there is a

scores of people at the fcc_ working
on this this for

five number

with a few months old of there may be
more people now who've been brought in

as on things have

started to heat up

uh... acting chairwoman clyde burn

uh... has articulated

uh... that she intends to stick with the
conditions

chairman jack healthy

previously announced

timetable

of getting uh... auction rules uh...
issued through

working order

by the end of this year

with the incentive auction taking place
twenty fourteen

in my travels i think outer

fair amount of skepticism that timetable

can actually be met

uh... and on a recent appearance on
c_-span chairman jack asked even kinda

left little room for

slippage

connecting

uh... but as i said the auction has to
happen

by statute by twenty twenty two

that leaves a lot of removing obviously

drags on

for a year

before they have the option that might
be a lot of

a different dynamics that

can play in

a lot of things that we talked about
today may become

that's that sort of the overview

and michelle you can put up for

charleston's slides right

okay

so im project well i've worked out uh...
consistent with the nonprofit

organization that publishes

and so um... work but nonprofit
organization that advocates for

affordable accessible indications

handout

on one point out that were part of the
larger community groups uh... concerned

with having a free and open and that's

with having

wexford driving and partners and
programs for urban areas

patents and to pursue the

of uh... ownership and contents
controlled media system

and so there's quite a number of other
organizations in our space that we

cooperate answer expertise much much
smaller lappy

um... that no telecom industry

rv industry but we have quite a number
of groups participating like uh... free

press consumer federation of america

their foundation approach but foundation

maybe access project

and so organizations like that uh...
we'd been together the sort of hat hat

public interest spectrum coalition and
if you google for that time you can find

a lot more expertise and i personally
have of people mop-up papers about top

until

i think we accept the proposition that
was behind pete walker upper uh...

authorizes the incentive options that

uh... wireless users growing by leaps
and bounds and there is intense

interested in and

uh... cap

more stuff

so as we also think that the use of the
proceeds of the spectrum to find uh... a

public uh... safety broadband network

uh... for snacks is really important
issue we think of uh... telephones uh...

and wireless devices as public safety
devices and in that way it's interesting

to note that over

thirty four million people at the end of
two thousand and twelve were values

wireless phone as their exclusive

uh... telephone device and that's a lot
of implications because it means if you

need to report of fire or a medical
emergency house

bigger weddings

drexel importance here

and recently when we have the uh...
destructions caused by hurricane cv we

have this hearing over in jersey with
the fcc_ call

about network resilience

and this is an issue that's real
important to the consumer public

interest community activist wireless
industry

aren't we think it should work we have
standards for things like that not so

lifeline rep rates for phones for people
who may not be able to afford service

so uh... so that's just one of the many
kumarakom

graphic pictures that we deal with as a
consumer

what i really want to flag in my remarks
because i know there's a lot of ways you

can come at this issue

uh... i wanted to just kind of step back
at the kind of fifty thousand foot level

and look at the contacts

where we have a highly concentrated
uh... ownership

of telecom and media

companies generally speaking here in the
united states and we have to build the

company but

went to try to get across the idea that
people are really fighting for the

attention of the consumer

and very screens

that we use so screening of your mobile
phone

the screen if your computer screen
tablet hosting of your television set

and if you think of the companies that
are involved in each of these spaces

here there really media giants

most of the spaces you know we know for
mobile phones

uh... conscious highly concentrated in
that space

in prague and we've been facing some
really significant problems with

uh... sort of cartel

left the fact that project

uh... you see the same thing in the
broadcast and cable space that controls

the quality of

cabinet

how personal non-profit publisher bypass
you might

about the for digital

portion of the apocalypse

apple face book who an amazon which by
the company's you're gonna have to

negotiate with my content seen by
anybody

so river much part of the next

ordinance tablets you know you have
um... i'd had a great example of the

tethered device where the

operator apple has a cough a lot of
control over what types of contracts

have here

and i think it's important to consider
this habits and particularly the side of

things because we have a lot of
competition abroad three months

and mobile

wireless service and to have the same
company is uh... really involve large

positions in the space for us

when it comes to bribe begins

um... and this is an important for
smartphones uh... and uh... fraud and

abuse in your home

that's twenty percent of americans have
access to only one single drug provider

of another big shop americans only has
access to to apple e and we are good but

there's really not effective competition
between two apple isn't that what the

market slump country prices remain

exceedingly high

consumers don't have choices of what
howie carr

cable or selected channels that they
wants

and um...

lots of other constraints on the use of

of of the internet that they might not
otherwise thanks

we see it from that situation the lack
of an incentive to expand markets to

build out underserved rural and urban
areas

and lower prices for consumers

and we've seen an increasing number of
sorts private deals that are beyond the

reach of public policy

that go against the concert

so when you look at the wireless space
we've got four companies

uh... verizon eighteen c

sprintin cmo over control that ninety
percent

wireless market

obsolete replied that a very high level
concentration

and just two of them have more than
sixty percent of the market

uh... so we would argue that this time

interferes with the um...

normal operations of a mile market
economy

americans pay an average of about six
hundred and thirty-five dollars here for

mobile service

and this is far more than other
countries

uh... in europe for consumers might pay
a hundred and fifty to two hundred

dollars a year

uh... from service including smart phone
service

so we would argue that consumers are
being hurt by excessive

uh... market concentration and wireless

and so the relevance of that time

reply in one of the aspect here is that

some of the advocates and our

area to consumers

community area would hope that the
wireless after

to provide an affordable for type for
broadband

uh... that could be

help to are expand competition speech
which is

but we see many efforts by industry

uh... actors to foreclose that for
example by pushing legislation

flipping and community ownership or
prevent community

operation

robin what works

up so when it comes to the spectrum
auction

we can also see that uh... left you know
if you just give it to the normal

way things have been working an awful
lot of the spectrum ends up in the hands

of those for companies and the fear that
many people have from this auction

particular that much

more a spectrum would go to the top two
companies of arrives in and eighteen

team

and this is from a study that was done
by a mike cooper from consumer

federation of america

so we argue that consumers need
competition and choice

uh... when it comes to wireless service

and in that way in a lot of that

out the rest is feeding center for us

uh... it's made clear that fcc_
canceling rules of general credibility

including rules concerning spectrum
aggregation to promote competition

uh... the fcc_ could for example and
pose of women and how much spectrum any

one company could have

a spectrum cap

and they can also set rules for specific
options prevent any one company from

winning too much dot com

in an option

so we think that this capacity that the
fcc_ has is critical

and really must and and has to be used
to advance consumer interest in

competition and choice wires

and one other sort of

supporting point architectural point is
we think there's a very strong case for

expanding she argues unlicensed spectrum

um... that might be shared by many uh...
many users

uh... we think that shared use of public
airwaves lower consumer costs and

increase consumer value

uh... it also encourages experiments
that experimentation and innovation such

as development of new wifi technologies
award for new

new things using radio spectrum

uh... and one example of this would be
greater ability to carry traffic

off-loaded from the mobile networks

we think of people using tablets in
coffee shops and so forth its

i actually have been estimated as much
as twenty five billion dollar figure and

data traffic goes over

those types of of usage is using cheered
you suspect around out through a common

wi-fi network

and so that reduces some of the burden
on the cell towers and backhaul and so

forth

uh... and is also good thing for
consumers

uh... who are able to get uh...
information that they need out working

in those contacts

so we think up through the use of
unlicensed spectrum we could have

increased coverage of wifi and similar
technologies

uh... and also expanded world project
employment thank you very much a benefit

to consumers

so before it is that incentive
interactions there's a lot of commercial

pressure

to sell africa available spectrum that
we have

commercial parties out what we would
argue that we need a mix of strategies

other payments the public interest in in
the use of that spectrum and after all

it is the public's airwaves are so we
should decide and democracy that we want

them to do use

cut

answer the question of central europe

uh... unpopular we will have

a discussion

stance if any of the speakers

say something that

you of what common honor have a question
about her we'll unclear on for that will

happen

please feel free to raise your hand

problem happened isn't active

no enough

i thought you might

that military attack but the social
publicly-funded prison kepada

hot and at

that your account

um...

my name is david dominant presence and
your favourite catches association

and i've been dealing with the
commission for for quite some time

sexual for

for example in the last digital

uh... transition

off just a couple of things at to begin

all of the year

the concerns that broadcasters have
large would deal with over the years

transmission

now you can receive local television to
a number of engine distinctive satellite

you can receive at the cable

you could receive two files

you can get it

through a variety of sort of paid based
service

what were focusing on concerns that we
have here

or the ability to continue to transfer

signals

to the american public

free over the air

in effect

for the consumer simply to be able to go
out getting antenna

and receive that signal

while is that important it's important
for a number of things

first of all it is the acts as an
effective counterweight

to pay based services and in fact in
recent years you've seen something what

is called court cutting in the business

which folks are in fact reverting back
to over the air television with an

antenna

also purchasing netflix

and create package so it is a consumers

that support

the second piece of the sister of
emergencies

i do have some of flyers that i i put up
for

in terms of

during hurricane season in new york city
for example

when most of the public communication
systems went out for a variety of

reasons

with their collective power greater with
they were overloaded with flooding

over the year television

remained on the air as the great

so was able to continue providing
service

two new yorkers

it also coupled in partnered with radio
stations where

nbc_ news for example in town

with being broadcast over dot you are
radio

wabctv snooze

and during about six or sandy

was being broadcast the audio portion

uh... by wcpn payment asap

and the combined efforts inconsistency
cbs_ fox x

you're looking at about a hundred and
twenty two hours of storm covered for

free without marshall

soviet aspect of providing local public
service i think it's exceedingly

important

and while all of us have cable and all
of us have satellite it's important to

remember

just to give you some numbers in new
york city along with about six hundred

and forty thousand people

who get their television over the air
within

most of those populations of the most
vulnerable populations in new york city

across new york state the numbers about
one point

two five million people

uh... in rochester for example i believe
it's eleven percent of the total

population

and those numbers

tend to be grown

so the use of the spectrum is
exceedingly import for continued service

but also for development of new services
not get that in the end of chapter with

respect to mobile

uh... gtv

but what are our major concerns here

we really have

three key issues here that cut across
the whole proceeding

we walked a successful foster option

provided that is indeed voluntary

but it's important that it

is successful law go into a number of
reasons why i think we

issues we need to look at

to ensure that it is successful

the second point is

most of our members and in most
broadcasters intend to stay in

broadcasting

after the incentive often other words
not necessarily participated

they should be able to be held harmless

and other words all of you is that can
receive this signal right now over the

us and canada

should be able to do so after this is
all over

we've learned in the gatt transition

that when you stop producing coverage
here is a moving people around consumers

they call us

they call the fcc_

uh... kit

jess becomes a mess so you have to be
exceedingly careful here and for a

number of reasons

we'd have to intrigues building and
shifting around it's going to be far

more complex

than it was in two thousand um...
digital transition

the final thing is and and i just want
to touch on this because it is rather

esoteric

weenie n workable standpoint

so that one spectrum's is reality and
often the often incentive options

to the wireless companies

we need a band play

that is efficient

but one that will not result in it

ditional interference

to consumers worked hard to watch
television

so those of the treaty

key things

we support a voluntary option

we wanted to be successful

we need to packing that holds

consumers harmless

so that they can still get

free over-the-air television and one of
the envelope doesn't result in a whole

lot of things

was drill down a little bit on

first it has to be voluntary

congress is that it was the voluntary we
assume we will continue to be voluntary

but what does volunteering

would voluntary means is that we're
going to

have an incentive auction those
broadcasters allot dissipate

in those broadcasters who don't

don't have to

and will be held harmless

they were a number of ways

you could get delayed federal
regulations to co

create quote

incentives to participate in the auction

and we have to be very careful that we
don't stripped down that path so we

truly want to be volatile

broadcasters

would get compensated in this auction

if the trend in their six megahertz work
the spectrum

they would get property port

if they decide to cut deals and share
channels with other stations in the

market

thereby freeing up some shingles

also

if they moved from uhf_ which is the
price factor in that

that the wireless industry would like

down to the vhf_ thing

now the reason why you may get
compensated for that is in the future

there

it dot the transmission capabilities
actually a veteran uhf_

india chip

we all grew up with

to four five seven nine

remote chance

not necessarily digital

in digital uhf_ channels actually
superior

so there should be some compensation

i think

the other aspect to this and and i know
what appeals for the cuts in the

cineplex very late into the valuations

you want broadcasters to participate in
the auction

so the question is if i truly my six
megahertz what is it worth

in the auction

what would you get paid

and he had just sitting here today is

we don't know

jerusalem generic ways to look at this
one i will pay you consistent with what

your broadcast business thoughts one
word

you have a way to take a look at is the
snow

you're going to get paid for the value
of your spectrum

to the potential ultimate user

think of it is selling lane

when he gets shopping center are
starting to use comes in in you sell

your house and your plot of land

is the value that you get the value of
it as a residential structure

or is it the value of the potential
entity that's going to ultimately

usually

even all into something else those it
through very different valuations

and the question is right now in
washington

is how was the fcc_ going to adopt
walls from or will they adopt rules

regarding things

and that's an extremely important issue

there is also a collateral issue

that and that jonathan brazen makiel's

yes you see is potentially new who can
participate in the auction who the

potential purchases can

those are issues regarding whether or
not we have to walk away and and with

respect or allege to upload suspect
ownership in spectrum

uh... we really don't take a position on
that

but it is something that you have to
look at because clearly will affect the

price

and they very well effective dissipation
right-wing option

what is our real concern here

for goals

who will remain broadcasting and serving
their communities

it's in the statute

and the statute says in doing all this

the fcc_ shelby all reasonable efforts
to preserve

as indicated

coverage here is a population served
reach broadcast television licenses

in effect when you look at this it says

holdem harmless

leave consumers disenfranchised

you should be able to serve the same
people that were serving

unfortunately when you begin to look at
this there were those who don't believe

that says what we think it's at

because you have to resolve reasonable
effort

what does that mean

in addition

the statue

details

the definition of a coverages

that's what that's all we g sixty nine
reference

christian

however the fcc_ has started a
collateral proceeding redefining what

all we can sixty nine

with the engineer definitions are

the net effect if that will be to
actually potentially reduce coverages

so we're very concerned about this

this is the guy posted the broadcasters
were that's the north star

and that's what we're trying to make
sure the sec_'s faithful

to the statutory provisions

how complex is this going to be at a
very high level

if you took a hundred and twenty
megahertz which is what the sec_'s

national bargain amp plants said

out of channels thirty one two fifty one
nationwide affecting six hundred and

seventy two

for power stations directly

two hundred nine class a stations

in over three thousand more power to be
stations

and i have to take those from channel
thirty one a fifty one

put that into

uhf_ channels between fourteen thirty

that is a real difficult task in new
york for example three channels a

devoted to

when mobile public safety

three television shows already

bring out your specter show one

because it's going to be difficult to
put these in

the other piece to this

anything

effectiveness is not necessary ltd

to those folks who channels thirty one a
fifty one

it's everybody

it's all potentially all television
channels

resilience

to pull out your engineering shoe horned
and make this work

you may have to reshuffle the entire
death

which means every channel

e being reassigned and channel number

just like we all went through gatt
transition

all this time

you won't have a scandal of station that
stays on the air what to do it

you're gonna have taxes shutdown move
channels around in new york city tickets

really complex because everybody's on
them fire and then they'll try to move

to world trade which brings out a whole
host of issues

i know you can see this

it's fair and obviously

if i'd take a hundred and twenty
megahertz out of

or twenty television channels

out of the television being the new york
what does that do

in rochester

it will affect seven out of seven

television stations in rochester will be
affected

and we have a diminution of service

if no one purchasing trading option

but the sec_ still try to take a
hundred twenty megahertz suspect

in the city

thirteen out of twenty seven off their
television stations in new york city

will be affected

stating their alternative way

to avoid a reduction incorporate of the
remaining stations

you may have to get thirteen out of
twenty seven stations in new york city

to participate option

that's pretty high number

rochester or buffalo

you know how to get into this little bit
later

it's very early tied up here

because of our friends north of the poor

uh... you work

indirectly means this

when you sit op

when you do chale allotments for
television or for any specs

you pick a point

and it does longitude latitude i'm gonna
put that this channel

now in order to

put in a channel on the same channel

i have to go hundreds of kilometers away

otherwise to interfere and sort of a
classic venn diagram overlap

the reason why new york city is
implicated

is this

any television

that's within two hundred and fifty
miles of the board

of four hundred climbers

on has to go to canadian

sparked the tree

if i right out of stations in rochester
or buffalo buffalo is that i have to see

oj simpson rajas

a lot of rochester

rockets is going to have to see a lot
less from syracuse

syracuse is gonna steal from albany

and you betcha all believers who still
trust you're from new york city

the state is going on in pennsylvania

and together we'll try to steal from the
jurors

that's what happened

back in the fifties politically that
isn't gonna work but the bottom line is

when you're doing trio optus

the space differentials that you need to
do that allotment feely substantial

so that's sort of what this means

the net effect that this is initial
we'll numbers

using the real allotment um...
engineering basics that we use when we

did deacon

uh... channels reports

so of talk about this why were barber
concern

obviously we're concerned about all the
author of who was in new york city all

six hundred forty thousand

an editable funneled populations

were concerned about that all week a
sixty-nine perceiving that the fcc_

has

because it may be redefine how we define
interference

and the way the fcc_ has a service
serious is

this is the area that you can serve

picture it is a circle

you can receive at but if i put a
station over here out of stock causing

interference around the edges

it's the interference from the store

that allows consumers to watch
television without getting smell flaws

what is the digital

that proceedings exceedingly important
to us

translators

translators are concerned that most
people think they're inter-mountain west

concerns

in upstate new york if your mom likes
public television the way you get your

signaled to walk the adirondacks

is by a translator

in new york city on long island

but where big trouble queens

in a little bit further out gets their
signal just threw up what we call

filling translator

because that the area have to get it
different from

so we need to put a separate translator
on iraq

under the fcc_'s rules all translators
are not

repeat not protect

connections statutes or of sources that
correct

the statute does not

protectees work give them a priority

that does not mean legally you can't
protect

but in terms of what is guarantee
protection

this is what could happen

and as a result we may lose a lot of
service in new york state

it's not just the problem on track

canadian voters choose a significant

if you look at the arrangement that we
currently have with canada

there are literally

harvard's

of megahertz of spectrum on the other
side of the border that are not being

used by our canadian brothers

stdout

what well the issue is

what's in it for them and why should
they give it to us

new york state broadcasters along with
the wireless industry the publicity

processes that you haven't asking tick
check this issue up

to a very high level

we've always had poor nations issues
across the border with the fcc_

ministries canadians

but this isn't just an industry

interference issue

this is this is bad

the respect among the other side of the
board that will solve the rochester

buffalo which at

if we could get

so senator schiller and send a
deliberate have asked

that uh... sectors that carried

in actually kick these debates in these
discussions up to a very high level

and every one of the new york delegation
support

in new york city there's another issue
that's unique to the city

and that's what i was microphones

right now because of a lot of the white
space decisions

um... there are two television channels
that have devoted to wireless

microphones

in new york city

this proposal proposes to squeeze out
those two channels and have a lot of

share

our concern is that we use wireless
microphones are on the spot news reports

it's nothing specific

i have no idea what the next dot for
terrorist attack is going to be

or where you go with a hurricane cnb
widow floods even a breach

need to be able to go out to be sure
that your wallace microphones work this

is one of the conditions in this
proceeding

but not a whole lot of people focused on
in new york city is important because it

affects news

news gallery and a lot of wireless
microphones and by broadway that's a

whole moments of issues

as i said this impacts all stations

the other thing to keep in mind
relocation costs

congress since i work with some five
billion dollars

i don't think that's gonna be enough

and the question is whether the with
that should be the sec_'s budget for

relocation costs

or whether or not

it will be more expensive

i can tell you in new york city the
relocations cost i've got to be farmer

about not with a young and hip around
the country

particular to try to work on on empire

don't work for a preponderance uh...
parliament

definitions masato

uh... we support what's called the down
from fifty one plan

are concerned with the proposals that
some of the proposed that a canal

is that we do not want the variable plan
which the sec_ is proposing

is that you would want to have

essentially nationwide walk for miles
it's easy for them they can make a quick

they can sell it

what other concepts which they have

wireless

services

let's save the end

and new york

but then you sense that come in albany

for television

when you get near the edges of what we
call a case of markets

there is a todd's potential witness in
the second kore

and as a result of have to create
separation distances

that are hundreds of clock potentially
hundreds of kilometers long

and that's a very inefficient way to do
it so we support

always a down from fifty one but to make
sure that broadcasters

are in their own trouble spectrum and
not having to share

code channel and certainly in new jersey
market

i'll leave you with us

the future

do not think of television as turning
something on the sitting at home

watching lawrence welk that our parents

weird within two years of two thousand
none is where the digital transition

took place in two years

willing to use it develop mobile canteen
technology

we're in the process now of developing

a new digital standard

not only from or fissionable far more
flexible

one of the problems that doesn't get
talked a lot

is set for the last several years we
have been frozen in place

not knowing one aspect was going to do

and we need some certainty to create
investment

so that we can improve service

we're still the number one shows in
terms of news entertainment content

going out there

but we need to compete in this wireless
world

and what will happen but would you do
have to sell

as for the record my parents

really liked what and

you know that i i i was just offered a
situation that's for sure

utility it said

gave you charles

imagine and i realize wait for a day of
the things that make creature which will

make israel is more campbell

divisions you let the discussion

konzi

but first a little bit more visible
lillian

disclosure which was not paid you
mentioned you were saying

spermine about what would you call me
really is a lesion worker stated to the

satellite leading telecom industry and
have been spirit really large amount of

time on spoken violation recently

in fact wrote uh... to be persuaded you
are probably right suspect which have

something to evaluation will get into
that

including one student you are probably
rights and if we bought the rights for

television broadcasters newspapers may
be of interest

this is a sort of talk about his back on
the process lee

valuation challenges of the building
their case dose of price information

was people into in past clearly
determined for mobile data is

rising dramatically and playing golf in
the charts all kinds of

answer based always showed his muscle
upward draft

from the looks like that

uh... spine is supposed to anybody

and so that you love that the sec_'s
clean-cut itself will be shortstop from

and uh... in the past really seven years
the dramatically increase the amount of

spectrum mobile phone

instead be megahertz

g six hundred made megahertz

it was like a pretty across the great
all through the government agency to be

working on

polarities that he was really has more
spending bill walker mobile broadband

and any other country if you will find
except germany which is six hundred and

fifty megahertz of just slightly higher

but still we're looking for more

the fcc_ ones that another three
hundred agar hurts is for the two

thousand ten national broadband plan

and used for that

disability come from the television

broadcasters

finance basu every year today

most political toughest argues that the
pull off his that peace there entered

three megahertz

or usually less

generally speaking reality spectrum when
the sec_ tries it is a

very long laborious process that takes

all forever

and here's

from the uh... time period at stake in
the past

and so this is so much impulses was set
up to

digital equipment

she will allow the broadcasters that
like his lawyers to volunteerism lead

relinquish their rights

and therefore speed things up a little
bit

they start to think about the public
broadcaster to sell it

kind of interesting situation

answer

that's because

when you think about

you know the fcc_ buyback spectrum

is uh...

it's kind it's kind of awkward because

the broadcasters

although they have licenses they don't
have property rights and those licenses

so we really

you know the sec_

live from a legal perspective aside from
the the jobs act was passed to arthritis

he said of option

doesn't really do need to buy it back

not near the licenses course although
great with me congressmen not lobbyists

soccer

buddies here at eleven

if they really could do that

what creates a loud

insomnia symbolism

how would you pay to get something back
that you know we need to pay for

that's uh... integrates a dynamic where
it

the options not

district economic situation

so it's not like the original store to
buy an apple and

face travels

you really you're going to buy apple
from the egg corner

he's your brother in law

who has a sick kid but you really know
that you got the apples re-try the night

before

and so you have received a battle

they fear this is so much going on that
really has nothing to do with the market

these let's call them

what what you're looking at

good but the real reason yes he's he's
paying the broadcasters is that

they want tour options but since you
know what i was uh... writers

but if it's a good way for broadcasters
buckingham may save the wireless

providers they want to sell it to you

yelled yet but there's much we pay as
much because the envy their residents or

undermine

uh... there's also the broadcasters to
have a friend and political power

and of course about that's the whole
thing such as to their city buses

the little more serious a practical

considerations which is essentially

effect

creative property rights

from you know from

factual perspective

spinning about so there's

the situation the broadcasters and try
to understand how much the fcc_'s do

want to pay them

uh... it's is just fought with

uh... more political issues then really
i a strict economic issues

on the other side

you have the

the wireless providers

and there you have

as really unusual situation coming up at
the same time

there's actually no consensus in terms
of the future growth rates in terms of

demand

you're

is too much consensus in terms of supply

angle

gold little bit more

boarded people say that smartphones are

coming out everywhere excuse and like
nineteen times mankato videos being used

and a m traffic is increasing matically

but there's a conference recently and
then the answer machine to machine

so increasingly there's all the place at
the crime issue to transmit data

to a different networks

and so on out

adhesion comments add to that

right now there are more wireless
devices more people to know if you drive

people to sell to to know what i was
computer sold machines

there's a lot of data from a cisco

began talking about um... mission this
earlier talking going up by seven

percent year over year

oh one-issue point is that the top

one-percent users of our news it is a
portion of traffic

that but papa blues download you every
year

smartphones forgy has there been a
dramatic impact in terms of increasing

usage

tablets of course he even more so

the bookcase in terms of demand for
spectrum says that these trends are

oldest

implying that wireless usage is is
essentially the building to the roof

erica is essentially is the opposite
saying that

deductible and plan effective

on the new data plans that essentially
been

phased out are largely based on a
courtroom still have one

but umm

most people have been blues mostly
rapidly

there's been a lot of all wireless cap
expanding the last several years which

essentially has been dividing their
wireless sites

in there for allowing you to use the
testimony or

uh... exactly look at the the spectrum
out there below on

split uh... to get your words

what sort of it is reused

when you're talking about

excerpt you have to get her to the uh...

you're a spectrum

big a third of the scribbled out

so a lot of the spectrum its license out
there

has even been

them both out

love your

order from her chemo holds both at the
moment

so there is a place that

suggests that the growth in data demand
is actually slowed

uh... significant vectors such a good
day from the sec_ i wasn't able to

pick it up again

can carry uh...

traffic demand growths

projections you every year envisaged jim
and projections of actually come down

uh... dampened down

naps in numbers but the not of increases
started to come down so it's a real

debate about

uh... the rate of demand at demand
increase

only charges apply to the similar

uh... debate going on

one-sided says that you know moore's
spec not much respected in the coming

online

yes he's he's already allocate uses
stuff

instead of option though may never
happen because to me so hard awful that

happens

so far down the road and very few
broadcasters would dissipate

and so they won't be anywhere near two
hundred twenty megahertz or revise

twenty-four beggars are talking about
now

look inside cells

well actually all of the spectrum is
coming online those processes are in

place for the three hundred megahertz

in addition to this model unless the
spectrum that's coming online

what was the second was alluded to
earlier so this is the second that could

be used up without a license in shared

in enormous amount of

spectrums being considered for
unlicensed use all fourteen hundred in

business for before megahertz

uh... that compares the six hundred made

places they are so we have right now

albright also about five hundred and

inside five hundred fifty

notable wifi spectrum

somewhere between four and forty game on
tv

just in my father megahertz of
unlicensed spectrum union karen

status date shipped

reason for a long

on this guy get help

extremely out variations are

i was asked talking to you uh... two
people added

the conference recently learned

you said very much u

spend their whole life

working with uh...

license holders

and working on sailed in print and sales
of licenses

and one said that

uh... television

broadcasters are not going to just
taking large numbers in the spectrum

auction because he's been getting up
your whole perspective because it's

increasing at such a rat race

the person who i respect equally

well you know actually what's gonna
happen is you so much on my suspected i

mean i really need to have this out
incentive auction

strengthening

itself

the option e-series

up about nine billion eight nine billion
maybe maybe even more you know how much

to be back in cost

intently

suitable dates of the spread needs to be

between how much the government pays the
broadcasters and how much

they uh... they get on the other side
needs desperately to be at least at

literature is putting the a lot of
pressure

on uh... the sec_ to increase that
number

selective

the extradition of the treasury

is one of the year

big debates is how hard is the fcc_
gonna push the broadcasters for a low

price

they talk about the via the uh... denom

of economic aspects of that

it is again a lot of the based on that
on one hand the who wants to get it done

quickly have incentive did as did the
broadcasters a fairly generous price as

long as they can

meet that concert nine ten billion
dollar a twenty million dollars tread

decides that slowly the treasures but a
lot of pressure on them

and without the use of the broadcasters
and say

you need to stay in this auction you
need to stay tuned place

because we're not only did the specter
that

if you don't just any option

we have to get that after a

that process is in the a lot less
pleasant way

that is the real put other relevent
dancers what is the market saying

and i saw her giggle miles is the bus
what wall st

who's the divisions that reduce paper

is incredible ah detail in this

and he's a allies essentially every
spectrum auction for them

in every spectrum sale it's been
reported

enticing by as frequency about these
other factors and global detail

witnesses is the actual

average annual place increasing
inspected

in waco

were tells us

insult people it goes down here its
price is still going up which is going

up at a lower rate

so close to what was your places to live

you see there are two thousand this area
that i don't really know

everybody's worried yet with all the
smoke was coming out

usually especially out there

home indians but this is that

inviting all these maps

adventures out wireless companies were
able to eat meat that man one set of

smart phones working

here that the visitors and and and and
that was filled with yours

rising almost in flat

and position um...

policy tracker

kunin alice's of about two hundred
options internationally of spectrum

included last couple of years it

globe witnesses all those all us

but uh... globally actually the price
for spectrum has gone down adoptions

governments have been

such a getting less revenue fortunes

than the last couple years now having
prior years

and there's a couple of inexorably lead
to this point what is that

removes uh... four-g_

pronounce maltbie

more than service unit three g al larger
mounts a spectrum

uh... more efficient in support of
spectrum

sewers and uh...

fifty megahertz blocked that might be
fiber six times

more fishing on a per megahertz that
basis tampa five megahertz block

as soon as demand for much larger blocks

that's all that's also encourages a
consolidation of the industry

uh... so business as usual bidders
because it makes no sense to get the

small block so i get large blocks

isn't really speaking is this less
bitter that's

i hope that uh...

push some of the consolidation

when you have to i disagree with that

with that

with with charles dot on

us-led

house luggage everyday as cm hooking up
with that only

permitted from the air spaces that

by far the lowest pricing anyone world

us consumers use about ten times worse
opens about ten times

realtor countries in so that those
little higher

but the price for meeting place for
megahertz is uh... still low

seven percent of the

uh... four-g_ users in the world right
here in united states as on zero four g

in europe because the wireless carriers
that

you just don't investment

resources will pop up

some of these uh... these issues

alleges that in some countries

the they provide easing the sec_'s
government is to be close

it makes more sense to have larger
blocks spectrum

artisan policies with their spectrum
auctions

although the number of buyers

uh... to make sure that people who will
you get the fish in size

blocks a spectrum

this is a real trade-off between

trying to have competition

and try to have spectrum blocks that are
efficiently uh... fish in the slides

celebrating turns into a muslim refunded

protected

forces at work

please

it was

industry perspective is that you all

past it as a lifeline to keep the
neutral

although it won't let it ought to have
anything about your kids live all of the

own altogether set for the

bobcat fighting a specialized oracle

twenty mobile

uh... the by i think it's just one thing
whatever i'm proud of it off at an

engineer opengl took effect last
michigan attorney

and i've been doing the spectrum worker
for a couple of years now include david

was working on the various issues i
think that dvd transition i was still in

high school

but there was intimidation electable
while now that i love letters in st

and love

sl generally just intensity of michael
here today is sitting up

first wave of sheer today glass is half
full not happen

that the the process is working
distorted transparent hot of process

more lesson we think there's a lot of

the opportunities i can say i i work at
it it it is our daily basis

before the fcc_ and practicing for
silent like senior citizens are not in

we think there's been a lot of progress
in a lot of

very helpful consist of

well that's why i want to keep it

a brief so i think you've done three
sixty three and a half either seven

eighty eight right

all right

so on

i think the issue that i thought it
would be uh... are really going to be

critical or what the broadcast
participation

how many

we're and we're going to look at all i
think david allude to that

the physical location a broadcasters to
presenting option are very important

because of the way the broadcast
allocation a structured

even if you got no purchase additional
campaign new york city broadcasters as

he gets on the part apart were going to
get some new jersey you can get a lot of

spectrum in new york city potential

also that's actually a a major issue

uh... within just a vicious top

wireless position

carriers to know how did it of you know
what i got a four hundred evaluated that

there's been a apart as well

you talk a little more about the went
under

the other ideas set by the statutory
obligations

bothers the statute of jobs that and
actor but by my bat nine point three

billion dollars a specific allegations

seven billion dollars for the first of
all off with city hall that security

problem that work

one point seven five four progress or
location in a couple

no with congress works a couple hundred
million their home coupled with their

hit and you're out there in your have
been on bbc

it's not cynical unique

so that the flooding also cheating the
public policy obligations

deficit-reduction is

all in one of several

polsey obligations actually

we can point out competition is very
important and i think we we've heard

that a repeated over and over again
davis when others broadcast you provide

a competitive input for the cable
operators charles of one l that there

needs to be while some fishermen for
multiple consumers are appeal to gain

access to it

on then pointed out that you should be
little competition so maxim prophesied

it

darnell martins

itself

but capitation is an overriding thing
that you see here and i think we all

experiences l firsthand and is it a
statutes as section three oh nine

about enabling statute one of them
foreign criteria the government and

congress has said is that the wild
dissemination auctions

at a competitive selection for the
people of options

to broadcast as options are picking it
because of the spectrum that's involved

in slow dance spectrum butler

you can talk about more

really is a opportunity provided
competitive but

for church you don't have it out

team all being one of us uh... sprint
has very little that

uh... worst u

the legacy appel operating companies
rising att_ up quite a bit of it

provides aldrich drawn at about that

all but one of the pope is all the time
of and plan because at figured as a sums

up the television and uh... i'm here we
keep hearing about that it does have an

important issue

the sec_'s on july these different and
plants in the it

the implicit affectively says

house inspector may be divvied up that
without unsold unlike its sale was only

name if you think of it in terms of real
property

the fcc_ proposed a van planet initial
notice proposed rulemaking

that wasn't true

pocket by the recent

positively receive a lot of folks a lot
of initial public commoners

proposes alternative ideology most of
them actually grievous idea from going

from jail fifty-one

the tv stations

dalam

that the ban

uh... an ap

uh... suggested that t mobile suggests
that bribes and eighteen feet that

occurs at crittenden vendors in fact it
is pretty you know for consensus

uh... recently two weeks ago lunch
evangelicals his last day

the uh...

as easy but up about notices for into
other band playing ideas based on some

of the implant

doesn't receive that it's always great
to have uh...

i think it's actually obviously as you
see because of the fact that you've had

a stress para processes

more ideas being discussed because

let's face it this is a very technically
challenging issues

and i think that's very important for
there'd be a wide dissemination ideas

thoughts

you know but they all the parties are
really trying to work with the pros and

cons of this issue that

nothing is gonna be briefed always gonna
be some kind of caught

uh... what had happened

but if i've inked in for the use of
distinguish what our plan is to make it

a perfect

and what are possibilities from a
connection doable

and i think that there are there are
impediment that they're but they're very

few possibilities and

final make things work tonight
economically feasible way that

technically feasible

uh... and i've been in my fine you can
see that some of this

these different then carefully sets or
what

the major essay

anti-tank five proffer that are being
well an extended by the fcc_

on the original accusing others of the
year there's little italy mentioned

small there's no

cuisine or testing on the same time

you can see that that votes of the work

he said that their friends apparently

the team although perspective that we
were there but ah...

filed work hard ideas to maximize the
amount of care of spectrum pare out we

can get trained for israel right
competitive for inputs and

you know more about what's called uplink
it about language in case you don't need

a provider

divorce and wide about a public unlike
self

uh... needs adoptions is really missed
last opportunity ghetto foothold or

toehold even end up

below their structural area

uh... what you stand for it is a new
york city

the way in perspective algeria city it
gives me a spectrum bright spectrum

envelope and that's it

artist friend just recently at somebody
itself on a political or the other

probably provide a

statements in terms of the amount of
capacity that's out there

and so

this instead of auction process
theoretically could meal maybe make up

two hundred twenty made or suspect with
a local

that's a lot of the lotto uncertain
about what

almost double the amount of existing law
that spectrum

uh... and so have an opportunity
accidental

down one fifty one days

gel fifty-one ever sorry for the
c_-section and i need that are very

publicly

and you work

you definitely frequencies in the work

delve further into the sixty six ninety
eight six and seven six eight six

the fcc_ is original band where that
she had

somewhat of a tv as some of the mobile
operations there

tv stations and more more mobile
operations down below it

and that kind of assist let

on and so

that was they were southern challenges
and you ponds affected with that and

that's

uh... what they mean contrast yet yet
and other doesn't mean it down to fifty

one

versus the fcc_ game plan

that shows me that she had the kids
using something like that they had

alluded to the earlier called a variable
pamphlet

on what's called a sample of the fear
have some kind of variability component

or very possibly geography

gimana spectrometric covered in new york
city

probably isn't going to the same man
sections we covered

in topeka kansas or in san francisco

and having the flexibility to you that
we think is very important i think those

that are all why does anything support i
don't

david and i said that requires a
slightly different record our concerns

get into the least common denominator
approach uh... does not if you know he

says don't the small sonata specter
dictates how the entire country works

out

and that's problematic because in
reality there may be part of the country

surf along the border were no spectrum
is cleared because of canadian border or

similar impediments and that's the
failed upheld auction appeal process so

this is

tables below

interest with the others that are

as these issues sandbags

you have this here

certainly

large chunks

proposals so

economic as well as engineering
efficiencies

the rationale for the people yeah i
think there are some some fish is

exactly what i think you all the

uh... there is a lot of a political also
although just a published all the

different i think i get a better dot the
graphics of the lord is my beforehand

um...

but income at the very similar ezekiel

well anything unusual

complex

there's a good idea

so what they are of wide variety of
ideas we think having

origin is not a simplistic but

washington us chunks of spectrum

injury but i know

we've been in the county uh... about
um...

praise for having a lot

headed by members of the largest on
apparel i suspect available for further

story is that

wife because where reasons the old
overweight as a technical issues and we

thought this is doable unlike an actor
should we want to see we want to see a

lot of spectrum out there because

it provides

a lot of

no four fissionable all part

and so everyone can somewhere

on the way it is a lot for his if they
were using air smartphone estimate for

delhi calvin is of little

waiting list

he awaited it more difficult question
every business uh... since president do

you go to experience is pretty deodorant
south tv's or hope that i can do that

as a reference matter but

visiting a friend forever folks are
realized

this spectrum the slogan spectrum
illegally good for what's called

coverage purposes as opposed to pass it
purposes we see that they will tell you

why file footage people use wifi
alkylene

because the wifi on the world's largest
chunk of spectrum nevertheless signals

this whole idea broadband communications
that you're awfully novel thing

a lot of rise in three g uh...
networking is a cd mazen twenty one

point two five-letter respect

is changing the party will also

uh... three g and four g you and he s
slash h escape loss

uses three twenty four

mega perspectives on top of the bigger

verizon mt mobile in agencies healthy
americans about ten megahertz and that

sort of the last meeting the twenty four
months

at this stuff is for that

there's a little bit novelty for the the
contiguous that somehow the spectrum

works out

but it was a lot point that i want a
long-lasting of

that they could afford to realize that
this is an somewhat so there's a

government

congress has expressed a preference to
see

dissipation yeltsin

this is not a if you see is working to
write his son it's another to be a mocha

brittan

broker middleman alike

on this i guess so it's a session
cessation program

you're not looking at your look instead
of ice people that is the case

i think that's a really important notice
on the boundaries with you can do it as

david parts of the really should be
voluntary

uh... enters the right way to do it and
will call willfully deliberately until

usgs whatever it is

from that kentucky myself of india seven
minutes and i have banners

them

first here

bollinger

standards

streamline markers

orchestrated cc we're not going to

you were

for virtual order

with had used his unit armed

through the us treasury because
they're going to be uh...

so comparable pressure out

voluntariness you know how i don't we
hope not

i think the question of voluntary again
up to now serve in congress up long-term

means exactly what it is not

but there are a number of ways to go
about their wheat packet

for those who do not want to speak to me
packing is not volunteer

that's required

and so then the question becomes even if
i don't want to participate in it in the

context of attacking as my coverage area
going to get produce to the point

where i begin to lose service area

we'll we've redefined the engineering
aspects of broadcasts video we two sixty

nine proceeding

war against loose servicer

there may be in its strength is
sensitive voluntary participation in the

auction that's why

and are needed for the part of our
halloween what this auction to succeed

because of the sec_ makes in a
priorities that we want to take it was

somewhat units

we'd want to take a hundred and twenty
megahertz factor

then the next question is ok for those
who were left how do we make that fit

and that's really one of the issues that
that comes up here at the same time

benefits group of we've talked about a
little bit

there's tremendous pressure

brought to bear to have a successful
option to fund

federal deficit reduction but certainly
public safety aqua as well

so we want to succeed

were beginning to see some things that
make us a little nervous but i i'm

hopeful that will be able to work it out
struggle for his part

yet

for small business spectrum

discussed

throws out the over the last twenty
years lifetime

um... there is a station allocated for
this small businesses

was physically abused

one-third others at this time

turns out that over the last decade

about twenty billion dollars that given
the school is a step further

the large corporations with inspection

besides designated entities

those are the other than uh... we filed

forty years ago

uh... doctors without eight eight
billion dollars worth of differences out

so small business

diseases with the

is all my life corporations isn't easy
for us

eighteen in writing this to get do you
get this section of the use of the

homestead

every couple of years scratches yes
brunt of it all up and staff

icao situations

at the back everybody there isn't a
whole

in additional regulatory flexibility

analysis which is a small business

investors

it turns out that in that debate used by
the sec_ is nineteen ninety two

this bold is a suspect in the nineteen
ninety two

doesn't want to give you the history
left spectrum

over those pages which is contracted did
meetings he had been arrives

mobile hospital instead

the thirtieth scare everybody is that
the although the white house is

connected to the special access lines in
briseno

and so it would have now basically is
too large corporations testified fuels

with their families so that you mobile

a lethal

with ron sensations in new york

the same exact access

published effect cease-fire spectrum
analysis because what happens is these

guys hence we want to know that uh...

affinities across the united states

so e-ticket twenty billion dollars of
inspections reversal

is knows that he wasn't

for small businesses for small
businesses that had been requested a

budget got fired for watching

especially axis feels is right

for example in new york

weekday athletes and teams for it

hanji excited about it because of a twin
specters data is not a lot of these

products

confirms

yeah i think that would be to keep in
mind is big

this issue which i am at the

wireless carriers

or at where the broadcasters

it's a very different intensive business
night who's who is looking up then

through the they don't know the exact
arrangements but certainly both att_

bryson where they cut top twenty cos he
paid me for a hinder the lobbying in

being the uh... the cj

is also insurance issues right there

iniki's also in the top

over the top twenty

as well

there is a very

very politically uh...

your own

motivated in industry

the other thing and turns to see the
broadcasters won the reasons that so

much political clout

is that every congressman wants to be on
good terms with their local radio

station so they get coverage begins at
six and from the equal oftentimes that

can be exempt from equal coverage
requirements

uh... and so it's

makeup industry for a small business
person doesn't have the money to do the

prop lobby

its side

the senate money

desi exceptions olivia inspection is a
stable

can give you the satellite area

this and you see a cc

appear to need any of the backward
eclectic stability in terms of waivers

in terms of when bill that he's been
quite need to be uh...

deadline ticket

cdc dac seeing some flexibility there
but it's it's usually areas was not

there's less competition

the uh... is

zuza

sent the president has to do with small
businesses to from above us

busby share

he's radar screen that's

over-the-top asking him handlers

is

which is for the simple

three days

i think

it's fair to say that uh... fcc_'s

outweigh

the program through out

and you know in part

in my own personal opinion

he's had something to fact trying to

provide incentives

businesses

people

and had

difficult the access to capital

to get into a business that was a very
capital-intensive business

very difficult thing to do thank you

and so the fcc_ use increments

for ensemble and it's

seemed uh... improvise advantage

tudors logged option

didn't work out well yes he's seen it in
the states and how they

diseases deal with them

uses

well i mean

tho rolls have any doubts but

you know and i have

it's it's not direct

with breast cancer was one of the to
listen to broadcast

has been a lot our televisions

which the fcc_ his portion faucet for
over a

fifteen years

uh...

the net result of this proceeding may
very well be the squeeze out most of

your low-power tv stations in the
united states uh... up because in terms

of recapping

while they while the fcc_'s coolers

well power to you translate is not given
protection under the statute

so when you doing any sort of meat
packing the mom and pop translators

throughout the west

and also to upstate new york

as well as your book power tv stations

uh... may very well gets wasted by i i
wanted a subject that touches a

controversy there there is

disagreement about whether it is easy as
the ability of the current blue

aloha or entrance there's actually
because just because a lot of good news

that he does that mean one way or the
other whether you know others

instruction from congress like you know
right over silicon members of the

chapter of the senate no power and
chances are specifics chasm is that

you've been so

we did the work include that's because i
i agree great but it doesn't mean that

they could be unless you're saying

but the staff is believed that they are
actually

using indicating

do you get to school

yeah she accidentally kaplan is enough
decision that it's being

it's stated

israel has a lot of the editorial is
inevitably area to see how they are on a

rock star wasn't television's the and
malaise property to get through then we

have a different discussions with the
peace of the new york going affair while

tell us about that

and their pay an accident you know
that's a very kazakh really i think goes

the crux of this

is that if you look at all of this
renewed you want six hundred megahertz

spectacle and because of its propagation
characteristics

certainly if you're looking for

efficiencies in cell division and more
physical move higher up in the p m to

cover new york city and the whole east
coast kore

the six hundred megahertz bien does is
it gives you

to refer propagation characteristics
particularly when you want to start with

afloat

a one too many the next level ability
you what happened

they can pick it up on this marvelous is
exactly the point here

right now i can get mountain lakes
television or we're working in canada

for free

i don't charge for that all you have to
do is go to radio shack to buy sell for

twenty nine dollar intending to buy
suffolk

id tv which right now the precious
project about for two hundred fifty

thousand a day

and i can watch in albany fourteen
channels

for free

with an antenna

now of course

if this goes through and a lot of the
spectrum gets

squeezed out and sure enough

kits purchase

and your developers for our floating
down when you're right you may still be

able to get it

we'll take a moment

supposes

zero

here

mrs

uses

with food

hello

with the one

right reserve that is after u

these people are going on

religion

tv methicillin-resistant sandy

it's patriot their disaster

laws

not

history

except for the whole

that's what this is a question that

pretty

asean

his

harshness

past

i think those notes

it doesn't number of things and doesn't
literally fear you need some assistance

that the state first

because translators are not protected
and number are

of of public tv

organizations in the various states

world news a significant amount of reach
if you look over at filed

on the surface republic of inflation
filed in this proceeding they're very

very concerned about

and as a month

there i think some public tv

and it does it really does vary from
state to state that have large-scale

networks

may not participate or may not suffer
roads rules within the state

first they don't systems or university
on stage

are for that

classic public television station

uh... i think that there are

one could look at it that there are some
business opportunities if i have two or

three public television stations in the
market and i certainly can participate

and century kept the revenue from one in
order to keep the other

uh... the parent public tv station
going

by the same token i know a lot of folks
in the public tv industry that

you know they do you do they're very
serious and review their mission

as as providing

non-commercial service to the public
over multiple television stations the

building up a multi cast over those
stations provides a plethora of of new

and exciting services soap

i guess the real issue is i'm sitting
here today i can't tell you how many

public

tv entities

wilkens bracelets and start off by
person without no

what i do know though

is that depending on how many how the
auctions go

we want to make sure that they're
covered jurors

and the populations they serve

aren't diminished

as a result of a re packing policy

that results in small cap

would it be she didn't want to state
abc_'s resulting ideology

uh... reducing the amount of spectrum so
right now the licenses are six megahertz

with the children's mission gently
donate six megahertz chip like as a

television uh... channel

those decision to give up perhaps half
of the spectrum or share spectrum of

another station kitten you're right way
and quite can raise the money director

robert you'll always have a six-member
chat

the technology is based in cincinnati
unable to put nineteen point three four

megabytes per second down that string
and i can subdivide dozens of channels

hearings in fact that's that's what it
was you know i'm not

not technically lucinda not cutting it
down for members of the site

until you get the signature charity

i think it would be hearing from your
membership about

liability

has an option

he attracted

practical challenges

uh... i think that there were some
people who were who are working out but

i have to tell you it's not a whole lot
does not this is not received a whole

lot of time

arm there are some technical issues with
it

unlike now where i can multitask do
multiple channels

i am responsible for the transmitter

at the worst content that goes over
those channels

that's it

what channel sharing approaches more
came to almost a condo approach

were on the same building

but i actually have different homes

and working out those relationships

in other words if your channel twenty

i may own the first channel twenty but
my children

twenty point two

will be on by ended license to some
other entity

but we will be sharing the same transmit

in the same power

in the same facilities

so working out those arrangements i
don't think we're quite there yet

uh... i i i really do think what's
incumbent upon the fcc_ in and i know

that working extremely hard on this

is this a century to develop we have
little or no answer

we do need to see the software for
repair

to make sure that

to see how it works

we do need the rules

established to try to get a sense of how
this is all work

went through all that sort of comes to
fruition and i think it will boost this

year

uh... my folks are looking at it but i
don't think it was meaningful

commitments

the question

subleasing confused by the wireless
microphone issue why did i didn't just

say

that's just some sense how law pieces
aside from a new publisher to digital

system which is much more influence on

widened

correspond issue

is

a lot more complex and than most people
think you have right now things base

a number of wireless microphones that
are one since

are part of very very large entities

um...

you have a lot of folks spoke spoke to
some some the music business some

broadway using wireless microphones
somewhat license summer nine

the broadcasters you using license
wireless microphones

and i think that actually with the
sec_'s trying to do his

by taking that specter way servant to
drive the technology

and to shifted but as of yet they
haven't requirement they don't want

wireless mic and have to go if

my biggest concern innocent our debate
has been

right now if i walk colbern that

but they want to cover it yankee stadium
are covered and i have to five hundred

determines

to make sure that my wireless microphone
won't work through event

i have the typing to divert database
right here

essentially koala rsa conference early
around yankee stadium

on and work

supposed to happen isn't unlicensed
weapons not supposed to be netspace

that's come to the white space database
at their word that working out right now

my biggest concern is that

we still use all what called spectrum

released the two channels that they've
been left us with the sec_ left this

is a result of a widespread proceeding

for all the wireless microphones
licensed once microphones to new york

city to cover news and public affairs
process

alan engineers tom and that's just not
enough

it's just completely cramp whether you
think that

you do it right off of miles plan are
not using long-term

we are using in certain delivery
situations sort of from our problem of

back to the station

you do have some folks who using trots
out

which allows you to use your cellular
companies to get from the remote rock

back to the studio

one of the things that

run into unfortunately during burgess is
when i was sudden all that explodes

usage becomes really important

is your still using your salary for
structure inconsolable

and cancer shut down

so we still cling to very much

the use of what we call argument uh...
progresses in respect of the two-tiered

yes

because that is dedicating water

saheb

president ms

question primarily for two on

do you think that it's necessary for the
commission to

resolved

and and

birthday

tackles some of the other issues
proceeding

you know i think it's it's it's not
necessarily all isn't perfect

before you get all your persons that we
think it is important to start working

on

and what the fcc_ has done

their plan isn't the first thing that it
is worked out so we do think it's very

important

obvious to me perfectly resolve but no

ninety percent of children all argument
is that the family for most of the rest

of the items that

but there are many things in the
interruption process

every one of these things a little mob
the changes wanted the optional for iraq

to reverse the dissipation rules are
regulate the foreperson specials right

aggregation that's right now with all
the first things that can be adjusted

uh... come to know what

this anti-pollution does what

with the flu has

effect on the issue that set up for

used on the other than the providers

instead of

the sec_ in terms of gauging how much
interest you can be divided on the other

side

used in effect and as you might want to
broadcasters

or anyone that show helpful this new
process

usually what will be comply under the
influence of

wouldn't it

report driver process

the census which

coverage disposals hubert sister

it

he learned a lot of the side of the
event that we're doing is about politics

usually the thing that would be if we
don't forget that spot

indeed the option would be limited all
with the top thirty five stations of the

document we megahertz is up thirty five
markets

dot byrd winners lesson that if you
pardon smaller amounts

into those markets uh... in terms of
salinas the wireless carriers with louis

jordan places probably in with a few
dollars supper megahertz obviously like

new york

worth of that that within this your
prime spectrum

in terms of how much they actually do
the broadcasters

uh... delete

lobbies markets is unused

broadcasting spectrum right also tubes

some of the market now absolute not
martin's growth

people are all going to go before will
probably have reveals that his date from

manchester to return

martyrdom for just a bunch of just about
everything

while seeking here's the problem that we
don't understand speaking records i have

a few courtyard is a future for example

aren't sure if i don't want

i don't have a channel five and harkin

our original five improper why because
regularly to fear

with boston profits of the southern part
of last year's i have a channel five in

new york i don't have a channel five in
philadelphia because i had a channel

five in philadelphia

of northern new jersey would work for
because you get completed

over that entire area you don't see
another channel five

until washington dc

that doesn't mean it's being abused

that means is that the way the system is
based in terms of the conference here is

that pride

the engineering calcium you can't pop
another station

so when people see uh... chart this is
all my cock you got all this this space

and inwards

employees theory

is wide open television sets

i'm building a television set a lock on
to a particular attention reject all of

us

i can i think that set works within a
certain environ

and if you start with pics squeezing and
stations or short space

what you get essentially this massive
amounts of interference

perhaps the best example of what not to
do

and no one was this is but if you listen
if your return under any and they have

some time

in your car

and what you hear is a lot of staff

and that was because everybody started
shoe warning in a ham stations all over

the place and essentially

hindu it becomes a lot of extra alleys
and you can start disposed of the

sec_'s assuming that there's roughly
thirty five markets in the country

where there's not recliners free

tivoli

maybe thirty five markets

where there's not really sweet
rescissions

contract that's their houses what what
what do you are hearing a lot of comfort

and i'll tell you one of the problem for
processing analysis

when the fcc_ brought the and worked
as a referendum on the brothers have

preferred said they could get a hundred
and twenty mr perspective

could get this nationwide

they forgot to include all the spectrum
agreement with canada

when they pick for did something later
said uh-huh which include elvis assuming

no one participates in the auction

if they want to get a nationwide block
that number one down about six

memberships

helped you may be able to get spectrum
montana

you may be able to get stuck in the
middle of kansas

but on the east coast which is where
everybody wants

you have a spectrum crunch

and that christ starts and

that north amid a summing up there if
you've got a little bit so they weren't

that's just going to be recognized our
market exchanging their military

attitudes those questions

part of the present for u

it gets easier because there is

there is a retired generals and those
who work the debate

that's right range and absolute
disagreement here

so maybe it's more a one issue is
clearly a target of what the issues that

is

is president whatever

that will come down to a lot to q held
the sec_ runs the option

and there's been a couple proposals as
to whether will be at blind auction

where people put out the price

and the sec_ decides to accept or
reject it

of the other

process that uh... and uh... we're going
to be in the mechanism from the sec_

recently impunity

and the

bottom of this

was that

they be doing a process where they're
going to preach station

essentially give them a place to accept
or reject

and so that would have it's a very
different place

uh... there's another

process than they do

whereby

every station presenter

spectrum

yes easy looks at it

and that's a one market they want to
take part of them

everyone will get

take whether eyes twenty s

everywhere that is that they're there
will be at the same as the price

susan overdue for medicines

that may be used then you have certain
stations that are between mark major

markets maybe between your boston

in which are going to be

you're affecting multiple markets and
the fcc_ has decided he wanted to

you really have to get out

the address what but i i i uh... what
points something yet carolina dot

carvalho point because i know you can't
be

if you want to help clear if you work

because of the way the allocation so
that you really should start looking at

hartford grocery store looking at at
albany you should start looking at

believe it or not now in philadelphia
but poster

all of the cause of the way indifference
patently goes live those smaller market

every day since a large markets

for clearing purposes that spectrum

could be very valid

and for our friendship answer or also
you've got to see if i can get ballfield

off

what chemical

order phrase into a discussion parkinson
s birthday stuff

whose entire although the

let me let me ask you about haitians
into the concerns but we're not or the

biggest mce d market that have a big
impact the policies that affect the

script

uh... panel

so if they have a situation where nobody
dissipates and in new york city

but if you get that this scranton tv
stations

begins

actually give them a lot of money that
relocate and its entire where throughout

the other

first a look at officer

dot navajo

so you know they said that s era and
that's what you know i think the new

everyone everywhere went out there that
i would expect

just be killed use cozy has completely
knocked out by the people that one of

the l

so little hole

or what about those poll out analog
spectrum comes up and i think that the

central tenets that

simply can't pay to get it for a lot of
money to get one or two tv stations in

your state of the state which includes i
think it's a real possibility

if it's only a lot of spectrum that
shakes out of the whole use coast the

future

telecast hesione analysts to

and as you were too

is important to this whole

seasick steve has evolved

mentioned last night

you think about the thing that thing

become more prominent happened

initiates getting more and more changing
his spectrum sherry

immediately

if any of the spectrum

it with st

you have any pieces newly ordnance that
came with his viewpoints gap

the allocated for shared use

uh... that's become incredibly hot topic
in fact uh...

usually

oakland speculative copy that studio

innocent relativistic people usually
there were no that means that

there's a recall it was

include more information but spectrum

the idea that spectrum d here that
licenses yuqing usually dramatically

increasing usage letters study on

w judo vicinity even you know

imports the recent new york chicago

and most of the second is use less than
twenty percent of the time

milliseconds

lessons which they

as that was used given day

so that you credible legalization
speculate that the uh...

million but when she reached uses the
more pressure to december the forbidden

deepest gaffes world allegations which
is that good

i think it's a measure of the highest
ensuring that those broadcasters vision

and i'm a home for a graphic

as is born out of the getting the
broadcasters have decided not to think

it's really important

and how it's easy goes about doing that
concern you know the in case after drug

addiction

walter

uh... whether it's not a very specific
target outreach work not certain

monetary now's a mechanic

surekha spirit that were correct there's
a leadership role in making the gospel

singers organization i think that's

as report

i think this too is that the signature
of television broadcasting

and what it somewhat of a alike and
eighteen to twenty four months we've got

the support of the crisis

in cuba are worth again today is

from a reference

looking at years down the line

uh... wonderful replace and there may be

different instances considerations
broadcasting community

but you're somewhat

for like they are for a little more tv
and i think that what you think that off

and sat i've had enough i thought what
animal tv visual receiver in it

alternately that make may not take all
and there may not be

uh... maybe at the client is important
for him and i may be a lot more people

interested in

deciding to go to where the only uh...

uh... peaceful tv watching and that
you are about to speculate on

uh... cool

speculate that the committee

however i'm not sure have

of and reactors feel that i fill the
innovations begun you've seen so much

attention

celeste yours

units of some they really want

the head

door at halftime of the every event

leather notice there that it's a system
we can get your local stations on the

internet for mentality

like that

it's nice to have a huge impact on the
the spectrum are a lot of people

watching broadcast over an area that may
be over its own

is that what does that you're so upset
about this that

um... you've actually threatened to go
off the air

yet

of these uh... boasted of the zillions
radio ninety percent of their uh...

audience

of three people cable and

in satellite it uh... areas taking it
for free

ronin undermine a marketing actually
sensitive off the air makes sense when

you get back to spectrum watches the
whole day and it's a spectrum auction

should that happen and it's a long shot

that should happen uh... that
dramatically change the dynamics became

editor spots perfect

but the air

i thought art

uh... let's look at

actually uh... app

plattsburg misogynistic martins

of using

birmingham yet

michael milken wednesday

involved here

that

right

conception

that's the cynicism a concerted
intervention that has no of her

are you didn't use surfer like that

districting got off to think that it's
not a reptile

through a dormitory reworked

at this point in

i mean i i i think the question the
question is is because obviously you

have litigation that's based on uh...
copyright law

and you drove us put the circus

and whether or not someone has a
business

after having

creating

no justice

quote-unquote technology or gimmick to
create thousands of little antennas and

say aha this is your sense of providence
therefore copyright act

uh... with that

he sustained ultimately by the courts to
deny do happen

uh... split

uh... i think you sell

if you don't want shot part of their so
i am not

i don't believe area was going to kill
lee auctions swooped down to i also

don't think it's going to kill

the television business model

because i'm not so sure how long will
will be around

given

essentially

are unions

flagrant violation of copyright law

uh... what we believe that the scores of
lawyers who are probably more

who jordan but it didn't happen right

it makes a marvelous story but in the
long term for financial aspects are

personal i just don't see it lasted

sis

work

but

uh... i i i think there are two other
hidden issues and i don't know how

the first i think will become more
product that's been discussed the matter

is

what role if any will be international
agreements with canada

right now the sec_'s said that that
working with canada through that

traditionally a subcommittee

uh... at the bottom line is

that may not

enough

itni require greater work

all at the international law and we'll
see how that goes

i think that may become much more
prominent issue going forward the second

so decade mission appears and it's a
difficult one

is that the broadcast industry is the
middle of once again changing its

transmission system atsc

red-hot

now whenever you change a transmission
system you actually changed the dynamics

of howard

of coverage and what you think to put
that system

the industry would hold the mass that
maybe we ought to waged antioxidant

packets will pick up the new

um... atsc system

the commission said no we're not gonna
work

what what you see happening on the
television industry in the last couple

of years despite the fact that aspect of
your speaking

programs for

is a continuation of development

of new transmission and technical system

which would provide more ways to meet
consumers and platforms

if this auction gets delayed out

at the same time this hectic about
develop

you may see some changes

esterhaus pro but

that's a long shot down the road

but if something to keep in mind because
the truth is the system is in the

prosecution

that work

on signaled the start time

was up

uh... easily ankeet

the

prevent care and probably one