Dish Network Corp (NASDAQ:DISH)   has received unanimous approval from federal regulators to use their satellite infrastructure as the base for a new cellular network. It is a development that could add much needed capacity to the crowded UScellular system.

The agency said that all five Federal Communications Commission members have voted on the rules as of Tuesday.

“These actions will help meet skyrocketing consumer demand and promote private investment, innovation, and competition, while unlocking billions of dollars of value,” FCC spokeswoman Tammy Sun said.

The order requires Dish Network to restrict a portion of its spectrum to avoid interference with neighboring airwaves, according to FCC officials. The company would also be required to expand the network at least 70% within six years.

The agency is “committed to final action” to free up this particular satellite spectrum for mobile use, Chairman Julius Genachowski said in testimony prepared for a Wednesday congressional hearing.

As a satellite-TV provider Dish could still have built a mobile network without the FCC rule changes. But the satellite chip required for those handsets would have to include a satellite chip would have made the implementation more expensive. This rule change would allow Dish to use the airwaves for a ground-based cellular network. It may partner with another cellular company to build a network from the spectrum.

The FCC commissioners also voted to seek public input on proposed rules about vacant airwaves, which are adjacent to Dish’s segment and could be auctioned off. Sprint Nextel Corp has expressed interest in acquiring that spectrum, as it is next to airwaves Sprint already uses.

A spokesman for Sprint declined to comment.

Stock Price Performance: (30-Day) Between November 12, 2012 and December 11, 2012, Dish Network Corp (NASDAQ:DISH) stock price increased USD $1.41 (+3.94%) from USD $35.74 to $37.15. Sprint Nextel Corp (NYSE:S) stock price decreased USD $0.05 (-0.89%) from USD $5.61 to $5.56.