Comcast joins top mobile carriers in 600MHz spectrum auction

Comcast is getting ready to bid on spectrum as it prepares a move into the mobile broadband business.

Bidding under the name "CC Wireless Investment, LLC," Comcast submitted its application a few months ago and is now one of 62 qualified bidders announced by the Federal Communications Commission on Friday. These bidders have submitted down payments and met all the necessary requirements to participate in the auction, which is shifting 600MHz airwaves from TV broadcasters to wireless carriers. Bidding is scheduled to begin on August 16.

Comcast has said it will only buy spectrum if the price is right, but there are ample signs that it is planning a mobile data service. Comcast has activated a Mobile Virtual Network Operator agreement with Verizon Wireless that will let Comcast resell the carrier's service, and it has created a new mobile division, Multichannel News reported. Comcast has also been developing a large network of Wi-Fi hotspots, in part by turning its cable Internet customers' home modems into hotspots.

Verizon Wireless, AT&T, T-Mobile USA, US Cellular, and a Dish Network subsidiary also qualified to bid in the spectrum auction, while cash-strapped Sprint decided not to participate in what could be the best chance to acquire low-band airwaves for many years to come. Low-frequency airwaves are the best ones for covering long distances and indoor spaces. The bidders also include regional carriers and 20 that qualified for small business bidding credits.

As noted by The Wall Street Journal, the first round of the reverse auction involving TV broadcasters turned up 126MHz of spectrum that could be purchased by wireless operators. But bidders are unlikely to spend the $86.4 billion necessary to buy all of that, which means the auction could go through multiple rounds before demand meets supply. "The auction won’t likely end until late this year or next," the Journal wrote.