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What Companies Plan for Their Shiny New 700 MHz Spectrum

CenturyTel weighs in early plans to use its 700 MHz spectrum for wireless overlay.

Telephony Online reports that CenturyTel has announced that it intends to use its shiny new 700 MHz spectrum for wireless overlay in rural and low-density markets. CenturyTel is mum on what technology it plans to use or exactly when it might start deployments. The company notes that much of its spectrum won't be cleared until February, 2009 when TV broadcasters finally exodus from the band.

What I find most interesting about this is the overlay concept whereby CenturyTel will use its spectrum to cover its existing ILEC markets where it has a lot of fiber footprint. Presumably it will be able to tie the wireless relay sites into its wireless network and since 700 MHz propagates so very well, it would serve a great value to add broadband coverage very affordably to CenturyTel subscribers too far from town centers to take advantage of its wireline footprint. Will other carriers follow a similar strategy? That is hard to say. I suspect that some may attempt to duplicate a mostly unicast strategy like Qualcomm is doing with its 700 MHz spectrum.

For rural carriers though, this model makes enormous sense. As it will require relatively few towers to serve a given area, even ones with fairly heavy tree cover. Granted the 700 MHz spectrum bands don't allow the delivery of very high bandwidth pipes, but for rural applications where customers have few alternatives if any, it is a great example of some service versus no service.

CenturyTel got spectrum that covers about 53 percent of its current footprint in Arkansas, Louisiana, Ohio and Montana with some coverage in another seven states. The price paid averaged about 70 cents per MHz/POP.

Tim Sanders

The Final Mile

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Friday, April 11, 2008 in BusinessDeployments  | Permalink | 


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