Ten groups of MMDS and Instructional TV Fixed Service (ITFS) licensees asked FCC Chmn. Powell to add report and order to upcoming further notice that would take away their bands from consideration for 3rd generation wireless services. “The regulatory delays created by this proceeding have caused and will continue to cause great and needless harm to education and fixed broadband deployment,” groups wrote to Powell Fri. American Assn. of Community Colleges, American Assn. of School Administrators, American Council on Education, Assn. of Educational Service Agencies, Catholic TV Network, National ITFS Assn., National Rural Education Assn., Network for Instructional TV, Nucentrix Broadband Networks and Wireless Education Broadband Now signed letter. Groups stressed that uncertainty over which band govt. would select for additional 3G spectrum was slowing deployment of those broadband systems into “unserved areas” where they would compete with cable and DSL. “Many commercial fixed wireless operators are finding that this regulatory uncertainty has cast a chill over the capital markets, preventing access to necessary new investment,” groups said. Letter warned that some vendors were diverting R&D money from fixed wireless broadband to other projects because of uncertainty of reallocation decisions on MMDS and ITFS. Groups also contended that “ample spectrum” for 3G could come from existing cellular and PCS allocations, Enhanced Specialized Mobile Radio (ESMR) spectrum, 1710-1755 MHz, 2110-2145 MHz and 700 MHz bands. Referring to 3G wireless docket at FCC, groups wrote to Powell: “To our knowledge, you have thus far not met with anyone from our communities about this proceeding.”
R/L DBS asked FCC to substitute new list of milestones for DBS construction permit. If granted permit, R/L DBS would receive 3-year extension until Dec. 29, 2003, to launch satellites and start service. New milestones are needed because R/L has contracted with Space Systems Loral rather than Lockheed Martin to build spacecraft and construction process is different from that originally planned, company said. Substitutions wouldn’t alter dates by which launch must be completed and service started, R/L DBS said.
U.S. Appeals Court, D.C., sided with FCC twice Fri. in 2 separate rulings, backing regulations on pricing for traffic that travels between ILECs and paging companies and upholding unrelated order on formula for Universal Service Fund (USF). In first case, D.C. Circuit unanimously rejected petitions by LECs, including Qwest,, that sought to overturn agency’s interpretation of regulations that bar LEC from assessing charges on another carrier for local traffic that originates on LEC’s network. That case turned on Qwest challenge involving one-way paging company TSR Wireless, which Qwest had charged for dedicated transmission facilities needed to pass paging calls on to its customers. Court also struck down challenge by National Exchange Carrier Assn. (NECA) to FCC order on USF formula. It said NECA had failed to demonstrate Common Carrier Bureau decision to retain 1998 formula for calculating those payments was arbitrary and capricious.
Wireless spectrum allocation legislation being developed in House would migrate Dept. of Defense (DoD) spectrum to private sector for 3G network deployment while ensuring that govt. gave adequate financial compensation to Pentagon for spectrum migration, aide to Rep. Pickering (R-Miss.) said. Pickering and House Telecom Subcommittee Chmn. Upton (R-Mich.) are reviewing draft 3G bill, but haven’t finalized language, Pickering’s Deputy Chief of Staff Mike Chappell said Fri. at Progress & Freedom Foundation panel in Washington.
AT&T Wireless, Cingular Wireless, Sprint PCS and Verizon Wireless urged FCC last week to defer grant of 2 GHz mobile satellite service (MSS) applications until after it seeks comments on March 8 New ICO filing. New ICO CEO Craig McCaw had sought FCC approval of plan that would allow him to develop terrestrial spectrum using radio spectrum allocated to MSS operators such as New ICO (CD April 4 p1). New ICO’s March filing raised concerns that “the MSS services as applied for may not be viable,” carriers told FCC Chmn. Powell in June 13 letter, citing commercial wireless industry’s keen interest in such spectrum for 3G. Wireless carriers want FCC to defer acting not just on New ICO’s request, but on all pending 2 GHz MSS applications. Carriers said New ICO had reached collaboration agreements with 2 other MSS applicants and that there was “uncertainty” in business plans of other applicants. If Commission decided MSS spectrum was suitable for terrestrial services, it must be auctioned, carriers said. “Action on these applications should be -- and must be -- deferred until the broad spectrum policy and license processing issues raised by New ICO’s fillings are addressed,” they said. Arguments raised in letter expand on those made by CTIA last month in petition for rulemaking that asked Commission to reallocate “underutilized” MSS spectrum for other uses, including 3G. Four wireless carriers disagreed with New ICO contentions that latter was asking for modification of its original license applications. FCC should respond to CTIA petition before it grants any 2 GHz MSS authorizations, they said. They argued that because New ICO’s request would be “fundamental” change in original application, FCC must seek comment on modifications. “By submitting proposed modifications to its system architecture as an ex parte filing in a rulemaking proceeding, New ICO has essentially disregarded the Commission’s application processing requirements,” wireless carriers wrote. Carriers also contended New ICO’s request would: (1) Undermine FCC’s policies on satellite construction and build- out. “In essence, New ICO now has told the Commission that it will not meet the milestones for construction of the MSS system for which it applied.” (2) Contravene existing allocation for MSS, which doesn’t allow domestic terrestrial use. (3) Go against “long-held practices and policies for satellite services.”
Introduction of voice-over-IP (VoIP) telephony equipment to circuit switched telephone networks inevitably will raise regulatory questions that could have been asked sooner, Alcatel Chief Technology Officer Niel Ransom said at VoIP tutorial Fri. hosted by FCC Office of Engineering & Technology: “Speaking as an equipment manufacturer, I would have appreciated some advanced forethought” on issues such as competitive access to VoIP gateway equipment. VoIP equipment manufacturers such as Alcatel “are trying to optimize costs and don’t randomly add places to the equipment for competitive access,” he said: “People buying the equipment don’t want it. They don’t want to buy extra equipment for that use.” Not knowing regulatory requirements that might appear in future “keeps equipment people like myself up at night in the fear that we may have to go back and modify all the product out there,” he said.
Named to staff of new FCC Comr. Abernathy: Bryan Tramont, senior legal adviser; Tijuana Price, staff asst.; Ann Monahan, confidential asst… Bradley Siegel, pres.-general entertainment networks, TBS, will oversee Cartoon Network Worldwide, whose pres., Betty Cohen, steps down.
FCC Mass Media Bureau gave 2-year extension of deadline for some MDS operators to build out 2-way service in Basic Trading Areas (BTAs), it said in order Fri. New deadline will be Aug. 16, 2003, or current deadline if it’s later. New licenses are for high-speed data delivery, including Internet access. Bureau said extension would allow “innovative data, voice and broadband services,” but rejected bids for even longer extension.
FCC imposed $137,000 fine on PTT Telekom Fri. for failure to make contributions to universal service fund as required for all interstate telecommunications providers.
Thirteen-state test of Qwest’s operation support systems (OSS), originally scheduled for July completion, won’t be finished until Oct. at earliest, it said Thurs. KPMG Consulting simultaneously is testing adequacy of Qwest’s OSS in every in- region state except Ariz., which is running separate test program. Test results will determine whether states proceed with Qwest’s petitions for endorsement of Sec. 271 interLATA long distance applications to FCC. Officials didn’t cite any single factor for longer-than-expected test program, but said this was first time anyone had tried OSS testing on such large scale and problems were to be expected. To try to speed process, Qwest made controversial offer to fly KPMG test evaluators between test sites in smaller markets in carrier’s corporate jets. KPMG rejected offer, citing appearance of potential conflict. Qwest said KPMG would have been billed for direct costs of flights, which would have saved Qwest money compared with cost of commercial airline flights. Qwest is footing entire bill for OSS testing. Qwest had hoped to start filing for some states at FCC in fall, but now isn’t venturing guess as to when it might do so.