[Satellite TODAY 06-20-12] AT&T and SiriuxXM filed a joint proposal to the U.S. Federal Communications Commission (FCC) to propose a solution to some longstanding interference concerns between AT&T’s unused spectrum in the 2.3 GHz band and Sirius’s satellite radio service, the companies announced June 19.
In the proposal, AT&T agreed to give up about 10MHz of its Wireless Communication Services (WCS) spectrum as a “guard band” to prevent interference with Sirius’s satellite transmission. The proposal also includes changes to the rules governing spectrum in the 2.3GHz band, making it easier for AT&T to use this spectrum for its 4G LTE network. LightSquared had similar interference issues earlier this year, which prevented the FCC from authorizing its spectrum license.
In a June 19 research note, Guggenheim Partners Analyst Paul Gallant said the FCC’s approval of AT&T’s proposal could hurt satellite provider Dish Network and wholesale 4G wireless service provider Clearwire.
“If AT&T can use its 2.3MHz spectrum for LTE, it may not need to buy spectrum from Dish. And it may not need to partner with Clearwire,” said Gallant. “Also, if AT&T can acquire some of the other WCS licenses from parties that currently appear unlikely to build, for example NextWave, Dish and Clearwire could become less attractive spectrum targets for AT&T.”