Google buys megahertz

Google has confirmed its plans to participate in the auction for the purchase of a frequency band in the US radio to create its own national wireless network. In January of next year, the US Federal Communications Commission (FCC) will issue a license to operate in the so-called “700 MHz band” (frequencies from 698 to 806 MHz). Google intends to start the fight for it with the rate of $ 4.6 billion. The total amount is expected to be much higher.



Interestingly, the company applied for participation in the auction almost at the last moment before the end of their admission, holding competitors in suspense.



Radio access is needed by a company to deploy a high-speed mobile network access network for smartphone users of its own production and other devices on the Android platform, as well as, importantly, all other devices on any software, without restrictions “for their own”. The principle of "open access" to the network, which the company requires from the FCC in case of its victory, will provide an opportunity to access the Internet from anywhere in the US for millions of users. Awesome altruism (according to experts at Citigroup, the company will have to spend up to $ 7.5 billion to build a network), as always, with direct commercial benefits - the more Internet users, the more Google ads look. The payback period of even such a huge investment is estimated by analysts no more than 10 years.