BOSTON -- IEEE 802 wireless and 3rd-generation (3G) cellular data services will grow on parallel paths but it’s unclear which might supersede other, panelists told Next Generation Networks conference here Wed. “Both will coexist and competition will cause both to grow,” Airvana CEO Randy Battat said. While acknowledging cost advantages of 802.11 (Wi-Fi) equipment, technology that uses inexpensive base stations and operates in unlicensed spectrum, he said WiFi was “a runaway success” in home and office but “802.11 as a carrier service breaks down.” Problems include large number of access points required to cover given area compared with cellular cellsite, and backhaul cost of connecting those points to Internet. While unlicensed spectrum essentially is free, Battat said, service provider has no control over traffic on that spectrum. “Congestion control will be a problem in the long term,” with quality of service impossible to guarantee, he said.

WildBlue is becoming attractive to investors interested in satellite broadband market, according to firm’s Business Development & Mktg. Dir. Brad Greenwald. He told us that potential investors saw business opportunity because of reduced likelihood that EchoStar acquisition of Hughes Electronics and DirecTV would be approved (CD Oct 15 p2). After agreeing to DirecTV deal, EchoStar wrote off $50 million investment in WildBlue, and if Hughes deal finally collapses, satellite officials believe there won’t be dominant satellite broadband provider.

Leucadia National Corp. paid $330 million to acquire 44% of equity of WilTel Communications, newly formed Nev. corporation that completed its financial restructuring and emerged Wed. from Ch. 11 bankruptcy proceeding of Williams Communications Group. Leucadia said it deposited total purchase price in form of irrevocable letters of credit into escrow pending receipt of requisite regulatory approval from FCC. WilTel said it expected to receive FCC approval of transaction by end of year. It said it appointed 4 members of newly formed WilTel board, including Leucadia Chmn. Ian Cumming and Pres. Joseph Steinberg. It also agreed to some restrictions on its ability to acquire or sell WilTel stock. Leucadia said it acquired WilTel stock under old Williams Ch. 11 restructuring plan pursuant to claims purchase agreement with Williams Companies and investment agreement with Old WCG. Williams Communications said Leucadia invested $150 million in company and purchased claims of Williams Companies for $180 million. WilTel said its plan of reorganization, which became effective Oct. 15, was completed under special temporary authority granted by FCC. “The company emerges with a new $375 million credit facility and no other substantial debt obligations other than those related to its headquarters building,” Williams Communications said. It said under its reorganization plan, existing shares of WCG stock had been cancelled. Company had also issued 50 million WilTel shares for distribution: 54% to unsecured creditors, 44% to Leucadia and 2% for potential recovery by holders of securities-related claims through channeling injunction approved by bankruptcy court. Williams Communications also said Howard Janzen resigned as pres., CEO and dir., that left vacant seat on board.

Senate this week is expected to consider House-Senate conference report (107-737) for FY 2003 Dept. of Defense (DoD) appropriations bill (HR-5010) that would provide more than $150 million for radiofrequency (RF) R&D, testing and evaluation programs. House last week passed report, 409-14, and sent it to Senate. Report resolves moderate differences in spending that initially were proposed by respective conferees, who agreed to exceed most program funding sought by Bush Administration.

House and Senate conferees approved $355.1-billion Defense Dept. spending bill last week that zeroed out funds sought by White House after Sept. 11 attacks for wireless priority access service (PAS) system. Several sources said Fri. that money appeared to have become entangled in jurisdictional skirmishes on Capitol Hill centered on whether funds should be part of military spending budget or homeland security package. Several sources said PAS language now was expected to show up elsewhere in federal budget, with strong expectation it would be in homeland security spending bill. PAS system offers wireless service to key govt., national security and first responder personnel in emergencies and was pushed strongly by Bush Administration following attacks.

Conus is shutting down All News Channel and satellite newsgathering service as part of restructuring of business operation, CEO Terry O'Reilly said: “There have been fundamental changes in the local TV market which have made it financially impractical for us to operate. We're closing most of our businesses, but we're continuing to have some active assets.” O'Reilly cited “consolidation and competition” as major factors in decision. Conus leases transponders from PanAmSat. “Local TV stations have fewer discretionary dollars to spend on services such as ours,” O'Reilly said: “We feel like we made a real contribution over the 18 years we were in business.” Closing news operation will affect about 100 broadcast stations and 165 employees. O'Reilly said Conus had “self-imposed limit” of 125 stations, which is small in comparison with CNN, which has nearly 700. RTNDA Pres. Barbara Cochran said: “I always hate to see another source for news close its doors. It’s useful to have a choice.” She agreed emergence of CNN, APTV, National News Service and major network consortia had hurt Conus, along with fact that each network had its own news field service.

FCC approved $2 million consent decree with AT&T Wireless to resolve possible violation of Enhanced 911 Phase 2 rules in largest E911-related fine to date. Consent decree set timeline for carrier to deploy network-based location technology within its GSM network. Agreement doesn’t require Enhanced Observed Time Difference of Arrival (E-OTD) technology and carrier said Wed. it was setting its sights on another caller-location system. E-OTD has come under fire from public safety groups and others recently as beset with problems that were slowing E911 rollouts. AT&T Wireless spokeswoman said carrier planned to use same kind of time difference on arrival (TDOA) location technology in its GSM network as it used for its TDMA infrastructure. AT&T said it would continue to test E-OTD in some markets, but consent decree doesn’t stipulate particular network-based location technology, freeing carrier to use other systems to meet deployment deadlines.

Environmental Protection Agency (EPA) will fund and support National Electronics Product Stewardship Initiative (NEPSI) beyond original one-year time frame for dialog as long as it’s fruitful to do so, Clare Lindsay of agency’s Solid Waste Div. told us in interview. NEPSI is trying to find uniform national solution to disposing of discarded consumer electronics products, many of which include materials considered harmful to environment. Among plans being considered is adding upfront fee to price of product to pay for later recycling and disposal.

House Judiciary Committee approved Wed. comprehensive child abduction prevention legislation that included enhancement to Amber Alert network. (Amber Alerts are emergency broadcasts over TV and radio that are used to help locate recently abducted children.) Bill (HR-5422) by Rep. Sensenbrenner (R-Wis.) was passed by voice vote on same day White House held conference on missing and exploited children. President Bush directed Attorney Gen. John Ashcroft to establish national Amber Alert coordinator at Justice Dept. (DoJ), which was one provision of similar Amber Alert bill that passed Senate on Sept. 10 (S-2896). Bills would provide grants to help encourage adoption of Amber Alert plans. NAB Pres. Edward Fritts testified before Senate supporting Amber Alert, which has been implemented voluntarily in 18 states. NAB said there were 66 such plans nationwide, many of them regional plans. Both Fritts and Okla. Assn. of Bcstrs. Pres. Carl Smith attended White House conference.

Cingular Wireless told FCC this week it had suspended shipments of Enhanced 911 infrastructure equipment (E-OTD), technology whose readiness had been target of public safety concerns. Cingular said it was conducting field trial of alternative, network-based technology for GSM part of its network. E-OTD -- Enhanced Observed Time Difference of Arrival -- is hybrid handset network solution for locating wireless 911 callers. While public safety groups have questioned deployment track record of GSM carriers planning to use E-OTD for upcoming E911 deadlines, T-Mobile USA told FCC this week it was selling E-OTD capable handsets in its stores in R.I., St. Louis, Houston and Dallas, with plans to make it available soon on its Web site. T-Mobile, formerly VoiceStream Wireless, told FCC that results showed accuracy of E-OTD deployments was “very encouraging,” although it said some performance issues still needed to be addressed. “What you may have is 2 companies looking at uncertainty differently,” industry source said.