First Steps for Google in its Wireless Airwave Plans
Google is readying plans to make a big showing in a coming auction of wireless airwaves. And contrary to recent speculation, the Web-search leader is likely to bid by itself, rather than partner with a company that has more experience building and operating wireless networks, BusinessWeek.com has learned.
The company will make its plans public by Dec. 3, meeting a government deadline set for prospective bidders, according to a person familiar with the matter. The auction, scheduled for January, gives participants a rare opportunity to assemble spectrum for a national network in a single swoop, potentially creating a competitor to existing mobile service providers AT&T (T) and Verizon Wireless, a joint venture of Verizon Communications (VZ) and Vodafone (VOD).
Google first indicated in July that it might participate in the auction. The Internet search and advertising company had said it was ready to commit “at least $4.6 billion to bidding for spectrum,” but only if certain conditions were met: The government would need to alter the auction rules (BusinessWeek.com, 5/3/07) to ensure broad participation in the bidding and to require the creation of “open” networks that let consumers use the phones and services of their choosing. In short, Google wanted to weaken traditional wireless players’ control of the devices consumers can get and how they use them.
