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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting -- Ignore unavailable to you. Want to Upgrade?

To: kech who wrote (15112)	9/20/2001 9:32:26 PM
From: pcstel	Respond to of 196713

This dream has gone from dust to reality a couple of times but it is sad to see this as another dream dashed by the bombing. I don't think it was dashed by the bombing. It was dashed by Nextwave. Like I speculated all along.. It was the build-out requirements that killed them.. When Nextwave filed BK.. They had already progressed 3 years into their build-out requirements. When Nextwave ducked into BK. They were no closer with funding to build out the network, and pay for spectrum than they were when they bid for the spectrum. When the FCC obliged by the court order and returned the licenses to Nextwave.. Nextwave had multiple sources of funding lined up and ready to start building the network with a "clean" set of licenses and build-out periods. The FCC simply returned the licenses and told them.. You have 18 months or so to complete your build-out, and we plan to appeal the lower court decision to the Supreme Court.. This left Nextwave lacking in the ability to attract sufficient funding due to the "flux" of the threatened "Supreme Court" request to hear the case... None the less.. Nextwave now held the licenses that the FCC returned and the build-out clock was running!! Since it was going to take 9 months to find out if the Supreme Court would even hear the case.. That was another 9 months off of the build-out requirements, and another 9 months without large scale funding commitments. Several folks here argued that Nextwave would be entitled to a complete new "build-out schedule"... THAT OBVIOUSLY WAS NOT THE CASE!! The fact that Nextwave could not get substantial funding without the Supreme Court decision in hand was a none issue for the FCC. They gave them back the licenses, and the clock re-started ticking the minute they did!! Nextwave was caught in a poor position... Wait for the Supreme Court to make a decision to hear the case and watch their "Build Out Time Requirements" all but expire. Which would have made funding impossible with such a short "Build Out" time frame remaining... The fact that they could not attract current funding without a final decision from the Supreme Court was not of a concern to the Commission. The build-out timetable continued.. In the end.. Nextwave knew they were screwed either way.. The FCC was the one in the position of power.. Even though most here speculated that Nextwave was the one in the position of power. So the make a deal.. Walk away with some cash and some spectrum to play Wireless Data Service Provider... or possibly "off" to another SP company. And if you don't think that the above was notthe case.. Look at this sentence in the release!! NextWave would keep its D, E and F-Block spectrum, but the FCC must still develop buildout requirements for those frequencies. Game Over!! PCSTEL