Satellite TV providers exit FCC auction

Satellite TV providers DirecTV Group and EchoStar Communications on Wednesday pulled out of the Federal Communications Commission auction for licenses to deliver advanced wireless services.

The joint venture formed by the two companies, called Wireless DBS, was expected to be one of the hungriest bidders putting up $972.5 million for the auction. But early this week, Wireless DBS began scaling back its bids. Eventually, it withdrew altogether.

Roger Entner, a telecommunications analyst at Ovum Research, believes the price of the licenses was too steep for the satellite companies to swallow.