FloTV closes and spectrum sold

The telecom operator AT&T has agreed to buy spectrum in the lower 700 MHz frequency band licensed by Qualcomm.
AT&T will pay $1.93 billion (1.47 billion Euro) for the D and E Block of spectrum licenses (channels 55 and 56 unpaired) which Qualcomm had acquired for $683 million in federal auctions between 2003 and 2008.
Qualcomm had planned to use the spectrum for its mobile TV service called FloTV but it failed to gain sufficient subscribers and is being closed down by March 2011.
The Qualcomm spectrum will help AT&T alleviate network congestion problems such as those experienced by its customers who use Apple Inc.’ iPhone, said Craig Moffett, an analyst at Sanford C. Bernstein & Co.
Source: Bloomberg
Item added : 27th December 2010