Google’s Spectrum Plans: Could Go It Alone; Hires Game Theorists For The Bid

Now that Google (NSDQ: GOOG) has got the Android out of its system, in more ways than one, the focus is on the spectrum auction, coming up early next year. It has previously said it could bid up to $4.6 billion of its own money in conjunction with others. Now, turns out, the company might just go it alone, reports WSJ. For the bid, Google would rely on its own cash and possibly some borrowed money.
It already is running a test version of an advanced wireless network at its Mountain View, CA, headquarters, the idea being to gain some experience, and get into it seriously when and if the time comes. The test network, under license from FCC, includes transmission towers erected in the campus, with handsets running Android mobile OS.
But the story does say that plans could change between now and a Dec. 3 FCC deadline for declaring an intent to bid. Google did put pressure prior to the declaration of the spectrum auction rules, which resulted in one block of the national spectrum being designated as open (where any mobile device or software application could run on it), so it may have to come through on the big promise.
Since the auction will be intense, Google has hired game-theory specialists to help plot its auction strategy, the story says.
As to why it decided to go alone: “the complexity of the possible bidding scenarios and auction outcomes has led Google executives to believe they would benefit from the flexibility of bidding alone. They were also concerned about alienating allies by selecting some and not others as bid partners,” the story says. And the fact that it would have no problems raising additional cash.
For all of Google’s mobile related moves, read our dedicated section here.