Major mobile firms dominate $17bn US auctions

The auction of 422 wireless licences raised a total of $17bn and among the winners was Verizon Wireless - part owned by Vodafone - who paid $4bn for two New York licences.

AT&T also managed to secure a foothold through its stake in Alaska Native Wireless for $2.89bn. While Bellsouth and SBC Communications used its joint venture Cingular.

The auctions have been the subject of controversy over recent months. Paul Posner, president of Allegheny Communications, has threatened legal action, claiming that small carriers not aligned with major players were unable to compete fairly.

The FCC claims major carriers are allowed to own stakes in smaller carriers and form joint ventures providing a controlling interest is not held.