House Govt. Reform National Security Subcommittee Chmn. Shays (R-Conn.) told govt. and military representatives at hearing Tues. that his panel “will do whatever it has to do to straighten out” public and private sector differences over spectrum allocation policy. Most testimony from first panel of military officers reiterated necessity of prioritizing Dept. of Defense (DoD) spectrum needs, while pledging to keep in mind needs of industry in deploying 3rd generation (3G) wireless services. Second panel, which included FCC and NTIA officials, said progress was being made in developing national spectrum policy, evidenced by increased interagency dialogue to address growing need for spectrum in public safety and commercial 3G arenas.
FCC Tues. rejected applications by Northpoint and Satellite Receivers to use satellite spectrum for new terrestrial-based broadband service, adopting rules that included auction for multichannel video distribution & data service (MVDDS) in 12.2-12.7 GHz band. Commission said MVDDS operators such as Northpoint could share 12 GHz band with DBS and nongeostationary satellite operators (NGSO) and fixed service satellite (FSS) operators on co-primary basis, provided they didn’t cause interference (CD April 18 p3). FCC also dismissed corresponding waiver requests in favor of new service rules to resolve complex technical and sharing issues.
NTIA is raising interference concerns over some parts of notice of proposed rulemaking (NPRM) issued by FCC in Oct. that would update sections of its Parts 2, 15 and 18 rules, including provisions that would modify emissions to limits on certain Part 15 devices above 2 GHz. In letter to Office of Engineering & Technology Chief Edmond Thomas, NTIA cited part of proposal that would increase allowable field strengths for radio frequency identification (RFID) rules. On RFID systems, proposal would harmonize U.S. rules with standards for such devices in Europe and Australia. NPRM sought comment on changes in power levels for RFID tags operating at 425-435 MHz, which NTIA said was within 420-450 MHz allocated on primary basis to federal govt. Military systems operating in that spectrum include radiolocation operations for aircraft and missile surveillance, early warning and fire control, said letter from Fredrick Wentland, acting associate administrator of NTIA’s Office of Spectrum Management. “The radiolocation radars in this band include ground, shipborne and airborne radars that are essential to the nation’s homeland defense,” Wentland wrote. NASA also uses band for telemetry and telecommand, he said. Citing preliminary NTIA analysis, he said power level changes in parameters for RFID tags “could result in interference to federal systems” and NTIA and federal agencies “cannot support the proposed rule changes.” In next 90 days, NTIA and agencies will complete studies and provide them to Commission. In NPRM, FCC said it agreed with Savi Technologies that proposed Part 15 changes would allow more advanced systems to operate at 433 MHz. In other areas: (1) NTIA objected to 11 dB increase in field strength limits for RFID tags in 13.11-13.41 MHz. It said 13.26-13.36 MHz was allocated to aeronautical mobile services, which are designated for safety-of-life communications. FAA uses that spectrum for communications in oceanic and remote areas. “The increase in field strength by 11 dB could severely reduce the distance that an aircraft can successfully communicate with a ground flight tracking system,” NTIA said. NTIA recommended use of another part of high frequency band that wouldn’t require increase in Part 15 emission limits in frequency band allocated for Aeronautical Mobile Services. NTIA said it needed 90 more days to complete studies in that area. (2) NTIA said it and other federal agencies also needed another 90 days to complete studies on protection of sensitive services and to identify continuing R&D projects above 38.6 GHz. FCC sought comment on need for changes in restricted bands above 38.6 GHz and whether there were Part 15 rules designed to protect sensitive service such as govt. operations that should be modified. Among govt. services operating in that spectrum are 13 bands used by NASA for space research and Earth exploration satellite service sensors for missions such as weather forecasting and global warming measurements, NTIA said.
Verizon Wireless asked U.S. Appeals Court, D.C., this week to establish expedited schedule for hearing its challenge to March 27 FCC order that returned 85% of NextWave re-auction deposits. Verizon told court that FCC didn’t oppose expedited schedule for briefing and arguments. Earlier this month, Verizon Wireless filed suit in U.S. Court of Federal Claims to obtain remaining deposit from re-auction and seek ruling that auction “contract” for disputed licenses was void (CD April 9 p1). Separate challenge also was filed at D.C. Circuit over Commission order. Last month, FCC returned 85% of deposits to re-auction winners but concluded winning bidders should continue for now to be held to nearly $16 billion auction obligations until Supreme Court review is finalized (CD March 28 p1). Verizon Wireless told D.C. Circuit that agency refused to return all of carrier’s down payment and kept it obligated to pay “on 10 days’ notice” $8.4 billion for licenses if Commission eventually reacquires them. Filing said: “The order is wrong under fundamental principles of contract law, and it irreparably injures Verizon Wireless.” Carrier told court that “the Commission’s assertion that Verizon Wireless remains on the hook to pay this enormous sum on short notice has led 2 major credit- rating agencies to revise from ’stable’ to ‘negative’ their credit outlook for Verizon Communications.” Credit rating agencies attribute Verizon Wireless’s debt to Verizon, which co-owns Verizon Wireless in joint venture with Vodafone. Verizon Wireless told court that its agreement to participate in re-auction of NextWave licenses meant it took on risk that it might have to surrender licenses if D.C. Circuit issued ruling that returned them to NextWave, which occurred in June and is now being appealed to Supreme Court by FCC. But Verizon Wireless said it “did not accept the risks that the FCC now seeks to impose on it -- that if this court’s decision in the pending litigation made the licenses unavailable, the FCC would nonetheless compel Verizon Wireless for years to bear a contingent liability to pay more than $8 billion on 10 days’ notice if and when the FCC succeeds in reclaiming the licenses.” Verizon said it didn’t accept risk that it would bear such burdens “for an indefinite period without any assurance that it would ever receive the licenses that it won at auction.” Briefing schedule proposed by Verizon Wireless would set June 10 deadline for it to file brief and July 24 date for FCC. Final briefs would be due Aug. 30.
National Communications System (NCS) approved contract award to VoiceStream Wireless to provide priority access service for Washington and N.Y. metro areas. Approval had been expected since FCC granted VoiceStream temporary waiver earlier this month of its wireless priority access service (PAS) rules for GSM-based system that will provide national security and emergency personnel (NS/EP) access to wireless networks during emergencies. VoiceStream said it expected PAS system to be operational within 60 days. DynCorp, systems integration contractor for NCS’s wireline Govt. Emergency Telecom Service (GETS), awarded contract to VoiceStream. Carrier said agreement allowed its handsets to be provided by govt. to NS/EP users at federal, state and local level. Percentage of NS/EP users on wireless network compared with network’s customer base is expected to be less than 0.1%, VoiceStream said. It hasn’t attached dollar figure to contract, to which 5,000 users will have access in both cities on subscription basis, spokeswoman said. NCS Deputy Mgr. Brent Greene said agency would continue to work with VoiceStream and other wireless carriers toward national solution to wireless NS/EP communications by end of year. He said system would “enable us to balance national security and emergency preparedness needs while minimizing the impact on consumer access to the same wireless infrastructures.” FCC in 2000 issued rules on how NS/EP users could gain access in emergencies to next available wireless channel to originate call without preempting calls already in progress. Commission didn’t require carriers to provide PAS but created uniform operating protocols.
Deputy Defense Secy. Paul Wolfowitz told Commerce Dept. (DoC) in letter on ultra-wideband that he was confident FCC now understood Commerce had authority over whether new technology radiating into govt. bands met statutory public interest obligations. In letter to Secy. Donald Evans, Wolfowitz stressed role of Executive Branch agencies in managing spectrum in way that protected federal systems. FCC approved UWB order Feb. 14 after long coordination process with NTIA amid concerns by agencies such as DoD and Transportation Dept. on how GPS and other safety-of-life systems would be protected from interference.
After “sleepless night,” CEA Pres. Gary Shapiro said he would begin meeting with CEA members on possibility of compromise on FCC Chmn. Powell’s DTV plan. CEA had indicated DTV tuner portion of plan would be unacceptable because of cost of adding tuners to low-priced TVs. However, Shapiro, in Mon. keynote at MSTV meeting during NAB convention in Las Vegas, indicated CEA was caught partly by surprise by Powell announcement and might have to “modify our initial reaction a bit.” Shapiro wouldn’t discuss possible shape of compromise, saying only that he would discuss issue with members and “see what we can do.” He told us later some members might find including tuner easier than others: “There is some room for discussion.” There were other indications at convention that CEA might seek stronger commitment on cable compatibility issues in return for agreeing to some version of tuner plan, although timing of tuner adoption also remained issue. -- MF
LAS VEGAS -- If EchoStar acquisition of Hughes Electronics and its DirecTV affiliate is approved, it will be over opposition of several key members of Congress and would involve conditions, NAB attendees were told here at convention Mon. Strongest opposition to deal came from members of House and Senate Judiciary committees, which deal with antitrust issues, but there were concerns among Commerce Committee members as well. Hill leaders and their staffs in 2 separate functions also debated broadcast ownership caps, mandating political free time and DTV tuner standards, controversy over liquor ads.
Comments on FCC’s unbundled network element (UNE) regime poured into FCC late Fri., offering views from nearly every perspective. Bells asked agency to scale back on UNE sharing, CLECs warned of “irreparable” harm if that happened, Progress & Freedom Foundation said reform would encourage broadband investment, National Telecom Co-op Assn. (NTCA) urged FCC to consider impact on rural areas. Telecom industry considers UNE review one of most important regulatory actions under way at FCC because debate touches on CLEC competition, Bell company participation in broadband, other issues. Commission is considering whether current UNE list can be reduced and whether such reduction could be made on geographic or service-specific basis. UNE regime requires Bell companies to lease portions of their network to their competitors for prices that Bells say are far too low.
Federal Election Commission (FEC) rescheduled closed meeting in which agency will attempt to implement campaign finance reform bill recently signed by President Bush. Date was changed to 10 a.m. April 11 from April 10. FEC must revise regulations affected by new law that: (1) Restricts corporate and labor union expenditures for broadcast, cable and satellite “electioneering communications.” (2) Prevents broadcasters from offering lowest unit charge to buyers of ads mentioning political opponents. National Rifle Assn., Sen. McConnell (R-Ky.) and Rep. Barr (R-Ga.) separately filed suits in U.S. Dist. Court, D.C., challenging law’s constitutionality. NRA said an inadvertent consequence of law would be Internet regulation, since many online communications traveled via cable and satellite (CD March 28 p 7). Injunctions are sought against FEC, FCC and Dept. of Justice to block implementation and enforcement of law. Another item on agenda is review on audit report on 2000 Presidential campaign of Sen. McCain (R-Ariz.).