Comment: Political intrigue over 2.4GHz

Does RA want 2.4GHz opened up for commercial use?

Written by David Rae

The other day a source close to the Radiocommunications Agency (RA) let me into a secret.

He said people high up in the RA did not want the 2.4GHz band opened up to commercial use, which finally gets the go ahead today.

He said the only reason it was opened up is because of BT and Patricia Hewitt. The latter, apparently, sent the order directly down the chain and the order was quite literally "do it".

BT was desperate to get into the space because it could achieve huge profits from very little initial outlay. There was also the matter of a rather insignificant little networking company called Cisco, which will be providing the majority of the wireless kit to BT.

Of course BT will deny there way any bullying. BTexact, which lobbied for change, said the 2.4GHz spectrum was not opened up earlier was because the RA had awarded a licence to Atlantic Telecom.

Interference issues in a licensed band is a definite no-no, so the RA's hands were tied. But then Atlantic went bankrupt, and everyone breathed a huge sigh of relief. Except Atlantic, that is.

I never thought that opening up the 2.4GHz band was a particularly good idea either, purely because of the technology's three channel limitation which can result in serious interference issues in built up areas. There is also the matter of it taking away much needed revenue from 3G operators.

All the noises coming from the third generation licence holders have suggested that they don't feel particularly threatened by the technology.

They say it will complement 3G services, rather than compete with it, which is, quite frankly, a load of rubbish.

Public wireless hotspots WILL take revenue away from 3G operators. And what would really annoy me, if I was a 3G operator, is that service providers offering the hot spots do not need a licence and won't have to nearly bankrupt themselves before rolling out.

Which brings me to the subject of licences. By 2003 all telco licences become class licences, which means that Ofcom, when it comes to fruition, will start with a completely clean slate.

This could mean two things.

It could mean that the UK government wants to wipe its hands of wireless Lan technology and give potential operators a free reign in taking advantage of the technology.

Or the more likely reason is that it will give the government breathing space to see how 3G profits are affected.

If the likes of Vodafone and Orange suffer too much, Ofcom could slap some completely unrealistic licence terms on public access 2.4GHz technology.

Not only would this pull the rug from under the feet of the wireless Lan service providers, but it would give the 3G sector a welcome boost as well.

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