FCC Stops Clock on Verizon–SpectrumCo

Delays deal vetting two weeks to take comments on impact of proposed T-Mobile spectrum trade

By John Eggerton -- Broadcasting & Cable, 6/27/2012 9:24:25 AM

The FCC has called a 14-day timeout in its vetting of Verizon's proposed purchase of advanced wireless spectrum from cable operators (SpectrumCo partners Comcast, Time Warner Cable and Bright House, and, separately, Cox).

The FCC stopped its informal 180-day shot clock on the deal after Verizon announced it was proposing trading spectrum with T-Mobile, contingent on FCC and DOJ approval of the SpectrumCo deal since that trade would include some of the spectrum being acquired from cable operators.

The 14 days will be a period in which the public can comment on the impact of the T-Mobile trade on the SpectrumCo deal. One impact could be to make the SpectrumCo deal more FCC-friendly by reducing Verizon's spectrum totals in some markets.

Some SpectrumCo deal critics have already weighed in, saying the spectrum trade does not change the associated cross-marketing agreements they argue will reduce competition between the telco and cable operators to the detriment of consumers.