Feb 1, 2006 12:00 PM, BY JAMES CARELESS

The FCC released new auction rules that are expected to be effective for an anticipated June auction of spectrum in the 1.7 GHz and 2.1 GHz bands to commercial wireless carriers, which are expected to use the airwaves to enhance advanced wireless services offerings targeting enterprise customers.

These rules were needed to make FCC guidelines align with the Commercial Enhancement Spectrum Act passed by Congress in 2004, an FCC source said. That law calls for federal-government entities clearing airwaves for a commercial auction to be reimbursed for relocation costs with proceeds realized from the auction of the spectrum. Copies of the new auction rules can be obtained on the FCC Web site (www.fcc.gov).

In December, the National Telecommunications and Information Administration estimated the cost of moving government operations from the 1710 MHz to 1755 MHz band would be $936 million, which will be reimbursed to the agencies through proceeds from the auction. In addition to the 1.7 GHz airwaves, the auction likely will include bidding for the 2110 MHz to 2155 MHz frequencies.

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