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Before going any furthur here is a quote by (Isaac Asimov)::
Part of the inhumanity of the computer is that, once it is competently programmed and working smoothly, it is completely honest.

A Brief History of Cellular
Cellular Background

1921 -
Detroit Michigan Police Dept. made the earliest significant use of Mobile radio in a vehicle in the United States. The system operated at a frequency close to 2 MHz. The channels soon became overcrowded.

1940 -
New frequencies between 30 and 40 MHz were made available. Increasing the available channels encouraged a substantial buildup of police systems. Shortly thereafter other users found a need for this form of communication. Private individuals, companies, and public agencies purchased and operated their own mobile units.

1945 -
First public mobile telephone system in the U.S. was inaugurated in St. Louis, Missouri with three channels at 150 MHz. Six channels spaced 60 kHz apart were allocated for this service by the FCC, but the mobile equipment was not sophisticated enough to prevent interference.

1947 -
A Public mobile system using frequencies in the 35 to 44 MHz band began operations along the highway between New York and Boston. These frequencies were thought to carry greater distances however a problem with skip-distance propagation carried interfering conversations for long distances. These early mobile telephone systems used push-to-talk operation.

1949 -
FCC authorized separate radio channels to common carrier entities known as "Radio Common Carriers" (ROC). These companies do not provide public telephone service, but interconnect to the public telephone network to provide mobile telephone services equivalent to the wire line common carriers.

1955 -
Number of wire line channels available at 150 MHz was expanded from 5 to 11 by the creation of new channels between the old ones (channel spacing of 30 kHz).

1956 -
12 wire line channels were added near 450 MHz. All systems operated in a manual mode, with each call to or from a mobile unit being handled by a special mobile telephone operator.

1964 -
A new system (150 MHz) was developed providing automatic channel selection for each call, eliminated the need to push-to-talk operation, and allowed customers to do their own dialing.

1969 -
Automatic capability was extended to the 450 MHz band and the so called "Improved Mobile Telephone System" (IMTS) became the standard for mobile telephone service in the U.S.

Advanced Systems (Cellular Concept)
As early as 1947, it was realized that small cells with frequency reuse could increase traffic capacity substantially and the basic cellular concept was developed. However, the technology did not exist.

1953 -
AT&T proposed to the FCC a broadband mobile telephone system to operate in the 800 MHz region.

1970 -
FCC announced a tentative allocation of 75 MHz in the 800 MHz region and invited industry to submit proposals for achieving communication objectives and demonstrating feasibility.

1971 -
AT&T responds with a technical report asserting feasibility by detailing how a "cellular system" might be composed. No other proposed systems were submitted to the FCC.

1974 -
FCC makes a firm allocation of 40 MHz for mobile telephone service and solicited applications for developmental Systems to prove the feasibility of so-called "Cellular Systems" but because of the beginnings of Bell Systems divestiture proceedings, ruled that Western Electric could not manufacture cellular terminal equipment. This was because Western Electric makes the network equipment and the restriction from selling both terminal and network products was to prevent further monopolization.

1975 -
AT&T applied for authorization to operate a developmental cellular system in Chicago.

1977 -
License granted in March of 1977. Illinois Bell Telephone constructs and operates a developmental cellular system.

1978 -
Mid 1978 the Equipment Test phase commenced. The Service Test-phase started in late 1978. Twenty-one hundred mobile sets were procured from three suppliers for the test and the system served over 2000 trial customers.

1981 -
FCC issues standard rules and due to the direction already taken, In the Bell System divestiture proceedings, now rules that Western Electric is permitted to manufacture cellular terminals as well as the network equipment.

In the years between 1974 and 1981, AT&T Bell Labs worked with all other cellular terminal vendors to develop their cellular phones so that consumers would have quality products available to use on the cellular network.

Most of this information is from the ATT Cellular Telephone Equipment Installation Course - CL3403, ca. 1985

source: http://www.wave-guide.org/archives/waveguide_3/cellular-history.html

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