Dish defends bid tactics in US spectrum auction

Dish defends bid tactics in US spectrum auction

03 FEB 2015
Dish Network

Dish Network made no secret of its strategy in the Federal Communication Commission’s auction, despite coming under fire for now claiming back $3.3 billion in discounts.

The satellite broadcaster “fully complied” with rules in the FCC’s contest from which it emerged as one of the major winners, said a statement.

And the rules were unanimously approved by the whole commission, the company pointed out.

“Our approach — publicly disclosed ahead of the auction — was based on DE [designated entity] investment structures that have been approved by the FCC in past wireless spectrum auctions, including structures used by AT&T and Verizon.”

The Designated Entity programme is designed to encourage bids from small firms, in order to encourage some diversity in network ownership.

Dish made bids via two partnerships — Northstar and SNR — which qualified as designated entities by claiming less than $15 million in annual revenue.

The broadcaster was the second highest bidder in the record-breaking auction with $13.3 billion, behind AT&T, and is now in a position to claim back $3.3 billion.

However, one of the regulator’s five commissioners called for an investigation of the discounts, claiming that paying discounts to Dish “made a mockery” of the DE programme.

Author

Richard Handford

Richard is the editor of Mobile World Live’s money channel and a contributor to the daily news service. He is an experienced technology and business journalist who previously worked as a freelancer for many publications over the last decade including...

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