I'd say off the top of my head we should use the gross revenues. I don't think we'll have to give AT&T a discount. :-)
To anyone not following close, the only license WinStar bid on yesterday was for New York. This includes the entire New York BTA (Basic Trading Area) minus the PMSA (Primary Market Statistical Area) that CVUS owns as a reward for developing the LMDS technology.
The PMSA covers primarily the five buroughs in NYC.
The BTA covers parts of New Jersey, Connecticut, and Long Island.
The entire population in NY BTA is 18,050,615, but CVUS' PMSA covers 8,546,846, meaning the license WinStar bid on covers 9,503,769 people in the neighborhoods surrounding NYC.
I assume WinStars current 700 MHz in NY probably covers about the same market as CVUS' PMSA. That would seem to make a play for this LMDS NY licenses a pretty good move.
Of course, they're still saying a 38 GHz auction will occur in 3Q of this year. |
