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FCC To Approve Dish’s Wireless Venture, But Impose Power Restrictions

FCC chairman Julius Genachowski has given his nod to Dish Network’s desire to compete with other telecommunication giants in the wireless market, though restriction could be imposed on its power consumption.

Genachowski said he would approve the new business venture of Dish Network to come up with its new 4G wireless network because it simply creates more competition on the market.

“If approved, these actions will promote competition, investment, and innovation, and advance commission efforts to unleash spectrum for mobile broadband to help meet skyrocketing consumer demand, while unlocking billions of dollars of value to the public,” FCC spokesman Neil Grace said yesterday, according to CNET.

However, the federal agency asserted that it would impose a limitation on Dish’s power consumption to avoid interference with other airwaves – a thing that seems impossible for the telecom.

“While the FCC would grant full terrestrial rights, its proposal to lower our power and emissions levels could cripple our ability to enter the business,” R. Stanton Dodge, Dish general counsel, said in a statement.

“If the FCC adopts this draft, the 3GPP (Third Generation Partnership Project) specification will likely be reopened and an FCC rulemaking will be needed for the H Block,” Dodge said. “Until we know how to manage issues like interference from the H Block, we may have to put on hold activities like radio design and network build out while we wait for the H Block rulemaking and another 3GPP process to be completed,” Dodge added.

According to Credit Suisse analysts Stefan Anninger and Ashton Ngwena, the proposed restriction is not a surprised considering that Dish should first make the initial move to limit its uplink spectrum in order to save the neighboring H Block.

“The good news is that this proposed order is not final and we urge Chairman Genachowski and the commissioners to recognize that the Dish plan delivers on the greatest public interest — the most investment, the most jobs, and the most spectrum,” said Dodge.