NAB’s Smith: Dish, TWC ‘Hoarding’ Spectrum

The charged that the cable and satellite operators are warehousing and speculating in spectrum comes in a letter to key members of Congress. Smith says the government needs to investigate "spectrum hoarding and/or spectrum speculation."

In a letter to key lawmakers yesterday, NAB President Gordon Smith accused Dish Network and Time Warner Cable of “hoarding” spectrum at the same time the FCC is warning of a spectrum shortage and pushing a plan to take back 40% of broadcast spectrum.

Smith also recommended that the Government Accountability Office or some other independent agency conduct an investigation of “spectrum hoarding and/or spectrum speculation.”

“If America is truly facing a spectrum shortage, then it is imperative that policymakers receive an unbiased and thorough report on how private companies like Dish, Time Warner Cable and government agencies are using or warehousing this precious resource.”

To back his charge against Dish, Smith cited a story last Friday in Communications Daily concerning Dish’s agreement to buy a bankrupt S-band licensee as well as remarks Dish CEO Charlie Ergen made last November during an earnings conference call.

In the call, Ergen called the 700 MHz swatch of spectrum he bought in 2008 for $712 million a “pretty good inflation hedge….If we’re not able to strategically do something with the spectrum, there are probably other people who are able to do that.”

In his letter, Smith also reiterated the NAB’s position on the FCC spectrum plan, saying that the trade group does not object to allowing broadcasters to give back spectrum voluntarily.

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“However, we will strongly oppose the forcible return of spectrum from broadcasters who choose not to ‘volunteer,’” the letter says. “In addition, we will oppose forced relocation of TV stations into bandwidth that would harm viewers’ ability to receive full high definition TV, new niche programming choices via ‘multicasting,’ and live and local digital television.”

Smith’s letter was sent to Jay Rockefeller (D-W.Va.), chairman of  the Senate Commerce Committee; Kay Bailey Hutchison (R-Texas), ranking minority member of the Senate Commerce Committee; Fred Upton (R-Mich.), chairman of the House Energy & Commerce Committee; and Henry Waxman (D-Calif.), ranking minority member of House Energy & Commerce Committee.


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