Netw Wk6Assignment

In: Business and Management

Submitted By stevenbaughman
Words 929
Pages 4
Steven Kurt Baughman Strategic Management of Tech
NETW-583-11265
Professor Ted Mikell
June 15, 2013

Why Google's attempted to buy into wireless via the 700 MHz Spectrum Auction

Google saw a chance to enter into the wireless marketplace and become a cellular network operator with a 50 state network. Google would not only compete with AT&T and Verizon by entering this market, but it would have had the opportunity to network with other entities and develop innovative new products. The 700MHz frequency is able to travel long distances and penetrate walls, everyone in the mobile telecommunications market sees the potential to extend mobile broadband services by using this frequency if they can obtain a controlling block of the wireless licenses the FCC was auctioning off. [“The FCC is auctioning 1,099 wireless licenses in the 700 MHz band, but the most attractive spectrum for many bidders is the “C-block” of 12 regional licenses that may be combined to create a 50-state network.” ]http://en.wikipedia.org/wiki/United_States_2008_wireless_spectrum_auction

What do they hope to accomplish?

Google saw the chance of entering into the wireless market and the potential growth it could bring to the company in core competencies and product development. The executives of the company realized the risks associated with taking over this new area of broadcasting, including the multi-billion dollar cost of building and maintaining a 50 state network. But their goal was probably centered on growing a large wireless software portfolio currently includes Gmail, Maps, Docs, Calendar Sync and various other applications. Google may have wanted to control downloading applications to smart phones. No-one beyond Google’s Board of Directors and top executives really know what they hoped or planned to do if they gained the control of the 700MHz broadcast frequency…...

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