DISH may plan mobile TV with new airwaves: analysts

By Sinead Carew and Peter Henderson

NEW YORK/LOS ANGELES (Reuters) - DISH Network Corp's surprise win of wireless airwaves in an auction may be the first step toward building a mobile television service or a bet on a scarce commodity by CEO Charlie Ergen, analysts said on Thursday.

The second largest U.S. satellite television company spent some $711 million for a nearly national block of licenses with one-way communication capability, according to U.S. regulators.

Wireless telephone companies snapped up most of the spectrum in the $19 billion Federal Communication Commission auction of airwaves being vacated by television broadcasters moving to digital formats.

DISH's spectrum would be difficult to use for two-way

communication, such as on mobile phones and data devices. But such devices could receive communication sent over those

airwaves -- such as television.

"That spectrum is best suited for broadcast. The assumption you'd make is that they'd set up some sort of mobile TV service," said Pacific Crest Securities analyst Steve Clement.

The spectrum is adjacent to mobile video broadcast airwaves owned by Qualcomm Inc's Mediaflow broadcast unit. "It makes more sense for one provider to operate both pieces of spectrum," said Clement, but he declined to speculate on whether a deal might happen between DISH and Qualcomm.