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Long Term Evolution (LTE)


Verizon skips California RFP bid, claims FirstNet, AT&T are ‘rigging the game’

  • Written by Donny Jackson
  • 9th December 2017
Verizon reverses its public stance and does not bid on California’s procurement seeking an alternative vendor to FirstNet in a potential “opt-out” scenario, citing “onerous” mandates from FirstNet and claiming that FirstNet and contractor AT&T are “rigging the game to stifle true competition.”

What is in this article?

  • Verizon skips California RFP bid, claims FirstNet, AT&T are ‘rigging the game’
  • Verizon skips California RFP bid, claims FirstNet, AT&T are ‘rigging the game’
  • Verizon skips California RFP bid, claims FirstNet, AT&T are ‘rigging the game’

Verizon skips California RFP bid, claims FirstNet, AT&T are ‘rigging the game’

However, there has been no indication that the FirstNet core policy would be altered as the bid deadline neared for the California alternative-RAN procurement. Given this situation and Wiederecht’s public statements, industry observers interviewed recently by IWCE’s Urgent Communications were divided on their predictions, with some expecting Verizon to bid and others expressing doubt. Meanwhile, two suggested that Verizon might submit a bid but make the offer conditional, based on a change to the core policy.

In the end, Verizon decided not to submit a bid in the California procurement.

“FirstNet’s opt-out requirements do not present states with a viable opt-out option at all,” Brittingham said in his statement. “And they undermine Congress’s intent to ensure that states have a viable alternative other than using FirstNet’s chosen commercial partner.”

Although Verizon is not participating in the California RFP, the carrier has announced that it is committed to maintaining its market-leading position in the public-safety-broadband sector.

In August, Verizon unveiled plans to mirror AT&T’s FirstNet deployment by building its own dedicated public-safety core network next year. Verizon officials also have said that the carrier plans to provide public-safety users with prioritized and preemptive access on its network on the same timeline that AT&T has promised for FirstNet subscribers.

In addition to the FirstNet core policy, representatives of states considering the “opt-out” alternative have expressed concerns about costs facing “opt-out” states for accessing the FirstNet LTE core and 700 MHz Band 14 spectrum licensed to FirstNet. No state officials interviewed by IWCE’s Urgent Communications have said that FirstNet has provided any indication how much “opt-out” states would pay to access the FirstNet core network.

But the loudest objections from state representatives have come from the potential termination fee—as much as $15 billion in California, according to state officials—that an “opt-out” state would pay if its alternative RAN vendor failed to meet FirstNet guidelines and the state would have to turn to FirstNet to provide a new solution for public-safety users within the state.

After the termination-fee amounts were revealed in some states, FirstNet defended the terms of the draft spectrum manager lease agreement (SMLA) in a blog post on its web site.

“Building, operating, maintaining, and improving the RAN portion of the Nationwide Network is a substantial responsibility – a massive telecommunications infrastructure project that cannot fail our nation’s first responders,” according to the blog. “The SMLA is designed to make sure this critical public-safety mission is achieved and that the network is sustainable for 25 years.

“The SMLA includes comparable terms and requirements to those that FirstNet’s network contractor is contractually bound and accountable for in opt-in states.  In other words, we are asking no more of an opt-out state than what we are requiring of our NPSBN contractor to ensure the sustainability, interoperability, and security of the Network for public safety.”

Recently, FirstNet CEO Mike Poth has told state officials that the termination-fee estimates in the draft SMLA represent “worst-case” scenarios.

FirstNet reiterated this position in a statement today.

“FirstNet would work with the state and any interested contractors to development the most cost-efficient solution to minimize any disruption to public-safety communications and minimize the fiscal impact to the state,” according to a FirstNet spokesman.

 

Verizon skips California RFP bid, claims FirstNet, AT&T are ‘rigging the game’
1 | 2 | 3 |
Tags: Long Term Evolution (LTE) News NTIA/FirstNet Policy Public Safety Public-Safety Broadband/FirstNet News

13 comments

  1. Avatar Guest 9th December 2017 @ 3:31 pm
    Reply

    Of course the whole thing is
    Of course the whole thing is rigged and not competitive. It was designed that way from the start.

    The opt out process was added because the federal government knew it could never get away with making it a mandate. Offer states the figleaf of voluntary cooperation while making the alternative so onerous that almost no one would be willing to do it.

    What I can’t imagine is that anyone is at all shocked or surprised by this.

  2. Avatar AnonymousradiousersNY 9th December 2017 @ 4:07 pm
    Reply

    Gee, no kidding. Seems
    Gee, no kidding. Seems Verizon is spot on. Even they know no-net is a boondoggle.

  3. Avatar Anonymous7 11th December 2017 @ 2:36 pm
    Reply

    Verizon had the opportunity
    Verizon had the opportunity to bid on the original FirstNet RFP and declined to do so. Now that they are trying to cherry pick the lucrative states and can’t overcome the momentum they cry foul?

    Am I missing something?

    • Avatar Anonymous10 12th December 2017 @ 10:48 am
      Reply

      BINGO
      BINGO

    • Avatar Anonymous59 12th December 2017 @ 8:50 pm
      Reply

      Exactly! Verizon had the
      Exactly! Verizon had the SAME opportunity to bid on the RFP and chose not to. Someone should talk with the Executives that made that decision to understand the “why” part.

  4. Avatar Anonymous 123 12th December 2017 @ 10:21 pm
    Reply

    Verizon did not bid on
    Verizon did not bid on FirstNet. Verizon did not bid on the 600 MHz. Incentive Auction frequencies. AT&T got the FIrstNet bid, and therefore 700MHz Band 14. T-Mobile got the 600 MHz incentive auction frequencies. Verizon enabled their competitors by their inaction. What did they think was going to happen?

    • Avatar John_Brown 13th December 2017 @ 9:00 pm
      Reply

      What is the true value of 20
      What is the true value of 20 MHz of low band spectrum 700 MHz bands really? That depends on how you intend to use it. It seems to me that most are not aware of the fact that low band is not highly desirable for urban densification which is currently the focus of most mature cellular networks operators today. The customers demand for high speed data is mushrooming hence network operators are forced to add more and more wireless facilities (sites) to the existing network to meet that demand.
      The challenge of densification with Low band spectrum relates to the physics of RF propagation and antenna design. At a specified power level a Low band signal will propagate much further than High band signal such as PCS or AWS or higher frequencies. This increased propagation range while great for a Greenfield network in allowing for larger inter-site distance now creates limits on the ability to densify the network by adding more similar sites nearby. Building nearby low band sites will cause mutual interference as they operate on the same spectrum. The resulting interference and the low network speed it causes defeats the goal increased capacity by densification.
      Additionally at low band frequencies the antenna characteristics needed to properly control the footprint of each site are result in significantly bigger antennas than for PCS or AWS frequencies due to the physics. You are not going to be able to deploy 8 foot antennas on buildings everywhere in most Urban areas, which is generally where you do need the capacity. If the operator does such a deployment using much smaller Low band antennas with their inherent limited directivity the result will a highly interfered radio frequency environment, an RF soup !

  5. Avatar Anonymous11 13th December 2017 @ 12:29 am
    Reply

    VZW did not bid on the
    VZW did not bid on the original firstNet RFP. That alone shows how much they care about Public Safety. Now that they see they will have major State and local contracts go away they want to come play.

  6. Avatar AnonymousradiousersNY 13th December 2017 @ 12:55 am
    Reply

    Anonymous 7 & 10. Why would
    Anonymous 7 & 10. Why would they bid. They read the ridiculous business model and say no way. However, they have the nations largest and most reliable network, so why wouldn’t they want to offer service to public safety, just not through the rigged BS no net scam arrangement. Just my 2 cents

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  • Verizon skips California RFP bid, claims FirstNet, AT&T are ‘rigging the game’
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