Verizon can’t keep up with growing data demands, wants to acquire SpectrumCo licenses


verizon wireless
Ma Bell isn’t the only one having problems with spectrum. So is Big Red. Verizon is running out of spectrum to support growing data demands. So they filed a request for FCC, asking if they can acquire AWS spectrums from SpectrumCo.

Verizon executive director of network strategy Bill Stone admits their network doesn’t have enough spectrum to meet growing demands for 4G data. As of now, only 5 percent of their customers use LTE technology but the company is helping others migrate. Unfortunately, this migration to LTE doesn’t make the load lighter for their EV-DO network because demands for it are also growing.

To alleviate the problem, Verizon is deploying LTE femtocells and small cells to increase the capacity of their LTE network. He adds that “…while femtocells provide some congestion relief, they will never be able to meet the skyrocketing demand.” Verizon sees the acquisition of $3.9 billion AWS spectrum licenses from SpectrumCo as the main solution for increasing data demands.

AT&T pulled the same strings when they filed a request to FCC for the acquisition of T-Mobile, reasoning they “didn’t have enough spectrum.” But it became too controversial, forcing AT&T to drop the request. As of now, Ma Bell is urging customers to upgrade their 2G devices starting in the New York metro – possibly killing off 2G in the future.

I’m not sure if FCC is going to warm up to Verizon’s request. Let’s just see what will happen.


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