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UPDATED 12:20 EDT / JUNE 20 2012

The Wireless Spectrum Crunch Continues

The speedy mobile Internet connections that many US consumers take for granted may be about to hit a serious roadblock. Wireless traffic is pushing the boundaries of the current communications infrastructure, and consumption shows no signs of subsiding. Unfortunately, things are only going to get worse. Analysts predict US wireless use will double annually for the next three years. According to The Federal Communications Commission (FCC), this rapid growth will result in demand for wireless radio spectrum to exceed supply by 2013. By 2014, deficit will double.

Why should you care? If wireless demand exceeds the spectrum capacity, end users will begin to experience problems like slower connections, dropped calls and higher prices.

The Obama administration announced a plan last year to free up some of the spectrum over the next decade, but the plan will take almost a decade to implement. Last month a presidential advisory committee released a report urging the government to make better use of the radio spectrum controlled by federal agencies. The plan, which Google chairman Eric Schmidt and Microsoft chief research and strategy office Craig Mundie helped author, suggests using spectrum sharing technology to increase spectrum capacity. According to the report the radio spectrum controlled by the federal government could be used as much as 40,000 times as efficiently as it is currently. In the meantime, carriers have moved to implement their own solutions.

Throttled

Wireless have begun implementing data caps and throttling mobile connection speeds to gain more control over their wireless traffic. Last week AT&T filed a proposal to the FCC that suggested some rule changes that would make it easier for AT&T’s 4G LTE to take advantage of the unused spectrum AT&T owns. Even if the FCC approves the proposal, analysts believe it will take three to five years for new spectrum to be useable. Verizon is also engaged with FCC to get more spectrum. The company made a bid to buy unused spectrum from cable companies, which the FCC is likely to approve.

Ultimately, the government and industry will have do more than apply Band-Aids. The radio spectrum is a finite resource, and it’s being used up. The final solution will likely be a combination efforts – freeing more spectrum, more efficient technology and unfortunately price increases to curb consumer use.

 


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