Comcast talks about starting an MVNO using Verizon's network

Comcast talks about starting an MVNO using Verizon's network
Cable giant Comcast could be ready to start an MVNO powered by the Verizon network. During Comcast's third quarter earnings call on Tuesday, CEO Brian Roberts said that his company would start a trial and test out a wireless service after a six-month waiting period expires. The waiting period apparently started the moment that Comcast decided to invoke a three-year agreement it had with Verizon, to use Big Red's pipeline for an MVNO.

Comcast owns 11 million Wi-Fi hotpots that it can use to help start a hybrid service that will offer both voice and data over Wi-Fi. When out of the range of a Wi-Fi signal, users will turn to Verizon's network for coverage. It is the same type of service offered by Google's Project Fi, which relies on the cellular networks belonging to AT&T and T-Mobile when the hotspots it employs are out of the range of subscribers.

Comcast is the nation's largest cable provider and also owns Universal Pictures (which is currently distributing "Steve Jobs"). Back in May 2014, the company was rumored to be exploring a purchase of T-Mobile. That obviously never worked out, and now Comcast is looking to lease Verizon's network.

According to Roberts, Comcast will be taking part in the 600MHz spectrum auction that the FCC is holding next year. The low frequency 600MHz signal travels farther and penetrates buildings better than higher frequency spectrum. Earlier this month, opening bids for the auction were announced by the FCC.

source: Bloomberg

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