AT&T indicated to the Federal Communications Commission this week that it disapproves of proposed rules for the upcoming incentive auction for 600MHz spectrum. FCC Chairman Tom Wheeler has floated a plan that would reserve spectrum in each market for companies that don't already have low-band spectrum. Thanks to its 700MHz spectrum holdings, AT&T would be restricted from bidding in about 70% of U.S. markets for the 600MHz spectrum. Wheeler's proposal has yet to be officially implemented, but AT&T's Joan Marsh said, "If the restrictions as proposed are adopted, AT&T will need to seriously consider whether its capital and resources are directed toward other spectrum opportunities that will better enable AT&T to continue to support high-quality LTE network deployments to serve its customers." If AT&T doesn't participate in the auction, it could hinder the FCC's goal of generating money to build a public safety network. The FCC is scheduled to vote on the incentive auction rules by May.