Wednesday, May 13, 2015

Dish's Designated Entities Under Attack

More organizations are piling on the designated entities that Dish Networks used to bid in this year's AWS-3 spectrum auction. Rather than bid directly, Dish had three small companies, in which it has an 85% stake, bid on its behalf. Two of the three companies won a number of spectrum licenses totaling $13.3 billion. Because the designated entities are small, they qualify for a discount that would let Dish reap a windfall $3 billion price reduction on the licenses. Dish's competitors aren't happy and more of them have filed petitions with the FCC asking the discounts be denied. A new joint filing by the NAACP and Communications Workers of America makes such a request, as does a separate petition filed by the National Action Network. The FCC has not yet awarded the licenses to the entities and is mulling changes to the rules regarding designated entities and the small company discount. Dish and its small company partners contend they followed the auction's rules.



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