Drew FitzGerald

As America races to deploy next-generation wireless technology, several arms of the government are at odds over how to allocate space on the radio-frequency spectrum for 5G. The Federal Communications Commission, which sets policy for spectrum licenses, has openly fought with the Commerce Department, which houses agencies that use spectrum for weather satellites that are crucial to predicting hurricanes. The departments of Transportation, Energy and Education have also objected to various plans to open up airwaves for faster networks.

The four major broadcast networks have filed a suit in federal court to shut down Locast, a nonprofit streaming service funded in part by AT&T and founded by a Dish Network lobbyist that offers their feeds to subscribers for no charge. CBS, Disney's ABC, Comcast’s NBCUniversal, and Fox argue that Locast is retransmitting the signals of their local TV stations without permission, in violation of copyright law.

Charlie Ergen has long tried to muscle his way into the US wireless business. When his rivals had no other choice, the billionaire behind Dish Network finally got his way. John Legere, the chief executive of T-Mobile US, called Ergen in late May after it became clear T-Mobile’s proposed takeover of Sprint  was in trouble. Ergen had been the most outspoken corporate critic of the proposed $26 billion deal—a merger that would leave the US with three giant cellular companies.

Apparently, the Justice Department is pushing state officials to support a planned settlement that would allow T-Mobile US and Sprint to merge by selling assets to Dish Network. The discussions come in response to some of the state attorneys general who have already filed a federal antitrust suit seeking to block the more than $26 billion merger. The talks include attorneys general from states that refrained from joining the lawsuit. A spokesman for New York’s attorney general said the Justice Department hadn’t contacted his office nor shared any details of a potential merger settlement.

Apparently, the Department of Justice is poised to approve T-Mobile’s merger with Sprint under a divestiture plan that would equip satellite-TV operator Dish Network with the building blocks for a new wireless network. The companies have spent weeks negotiating with antitrust enforcers and each other over the sale of assets to Dish to satisfy concerns that the more than $26 billion merger of the No. 3 and No. 4 wireless carriers by subscribers would hurt competition.

US wireless companies’ limited access to some of the nation’s most valuable airwaves threatens to slow down their plans to build faster 5G networks. At issue are broad swaths of the radio spectrum in frequencies that can travel long distances and penetrate buildings. This “mid-band” is considered ideal for faster, fifth-generation wireless service. Sprint and Dish Network already hold large amounts of mid-band spectrum not yet put to work serving customers. Other nearby frequencies remain reserved for satellite communications and military use in the US. 

AT&T, Verizon, and T-Mobile were the biggest spenders on a pair of Federal Communications Commission auctions designed to spark investment in next-wave 5G networks. The auctions covered two swaths of wireless spectrum -- the 24 gigahertz (GHz) and 28 GHz millimeter wave bands -- frequencies once considered too extreme for cellphone service. FCC Chairman Ajit Pai has made those frequencies a cornerstone of his strategy to spur 5G investments.

The Trump Administration’s swift-moving plan to promote 5G networks is running into resistance from the weather-forecasting community. The dispute centers around ultrahigh radio frequencies that the Federal Communications Commission recently auctioned off for use in the country’s next-generation wireless networks.

Apparently, the Justice Department antitrust enforcement staff have told T-Mobile and Sprint that their planned merger is unlikely to be approved as currently structured, casting doubt on the fate of the $26 billion deal. In a meeting earlier in April, DOJ staff members laid out their concerns with the all-stock deal and questioned the companies’ arguments that the combination would produce important efficiencies for the merged firm.

Two US providers of phone services for correctional facilities called off their planned merger after the Federal Communications Commission refused to clear the deal. Closely held Securus Technologies Inc. and Inmate Calling Solutions LLC withdrew their merger application after FCC staff reviewing the deal said it would hurt the public interest.