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M2Z networks pitches FCC on free 384/128 Kbps wireless broadband by offering five percent of its revenue: The Kleiner Perkins, Charles River, and Redpoint Ventures backed firm wants national spectrum in the 2155 to 2175 MHz advanced wireless services band. In exchange, the company would pay the U.S. Treasury five percent of its gross revenues from premium services that it would offer alongside its top free rate. The former FCC wireless bureau head John Muleta and @Home founder Milo Medin founded the firm, which claims access to $400m in capital.
The FCC normally sells spectrum at auction, but M2Z is pitching this as an alternative that has a public good attached. The 384 (down)/128 (up) Kbps speed would be advertising supported, so there would be revenue to pay that de facto franchise fee even for the “free” service. They would want a 15-year license.
Posted by Glennf at May 17, 2006 1:58 PM
Categories: Financial, Free, Spectrum, Unique
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