ARGUMENT

As long-time proponents of spectrum caps, PISC's members would normally welcome AT&T's sudden enlightenment on the valuable nature of this tool in fostering competition. But when one of the largest wireless carriers suddenly switches from consistent opposition to spectrum caps to sudden support, particularly when that carrier is vertically integrated with one of the nation's dominant wireline providers and is a recent beneficiary of the Commission's decision to relax even the existing spectrum screen, it calls for a healthy dose of skepticism. Contrary to AT&T's apparent belief, nothing requires those concerned about wireless consolidation to rise to this obvious bait.

The Commission should reject AT&T's attempt to invoke the spectrum screen for what it is: a hypocritical and blatantly anti-competitive move designed to muddy the waters around the increasing demand for spectrum caps that genuinely promote competition in wireless services. In the past, AT&T has strenuously objected to application of a spectrum screen as a precondition for bidding in the700 MHz auction. In its application to acquire Dobson Communications, AT&T persuaded the Commission to raise the existing screen by including other spectrum, such as the 700 MHz spectrum. When AT&T's acquisition of Aloha's spectrum triggered review even under this more relaxed screen, AT&T once again persuaded the Commission that the universe of potential competitors warranted grant of its applications without divestitures or significant conditions. AT&T's successful bids for numerous 700 MHz licenses further compounds this overwhelming spectrum advantage.

To read the full document, please see the attached PDF file below.