American Tower has decided not to go forward with implementing a noncompete amendment to its Master Contractor Agreement after receiving negative feedback from its construction contractors and wireless carrier customers that the new contractor program announced on May 31.
“We’ve listened to your input, and that of our wireless carrier customers, and their concern that our contractor program announced in our May 31 letter would potentially impact their ability to deploy network enhancements on American Tower assets,” wrote Jared Morley, director – supply chain, American Tower. “In response, we have decided effective immediately, not to go forward with implementing the First Amendment to Master Contractor Agreement and by this letter are giving you notice of this decision.”
The May 31st letter asked contractors to sign a noncompete amendment to American Tower’s master contract agreements, agreeing to not to work for a wireless communications provider on any new tower within one-half mile from an American tower site. The amendment was a response to wireless communications carrier efforts to lower their antenna space rental costs by building towers near macrosites where they already have antennas and where they believe the rent is too high, known as a high rent relo.
“While we think this change reflects the right approach at this juncture, American Tower still strongly believes the proliferation of proximate towers to existing towers could result in future regulation and local zoning changes that impede the deployment of necessary infrastructure,” Morley wrote. “However, we continue to support our customers’ efforts to enable the next-generation of wireless technologies and are committed to working in partnership with you to achieve this result.”
J. Sharpe Smith
J. Sharpe Smith joined AGL in 2007 as contributing editor to the magazine and as editor of eDigest email newsletter. He has 29 years of experience writing about industrial communications, paging, cellular, small cells, DAS and towers. Previously, he worked for the Enterprise Wireless Alliance as editor of the Enterprise Wireless Magazine. Before that, he edited the Wireless Journal for CTIA and he began his wireless journalism career with Phillips Publishing, now Access Intelligence. Sharpe Smith may be contacted at: email@example.com.