Some wireless technology developers are recommending FCC set aside 5 GHz of spectrum or more when Commission finalizes proposal for service rules for spectrum at 92 GHz. Expectation is that as early as this fall FCC will launch rulemaking, although industry already has been bouncing ideas off Commission for what developers would like to see in that spectrum. On issue whether band should be made available on unlicensed basis or via licenses, panel organized by Wireless Communications Assn. (WCA) has floated idea of hybrid approach that would license some segments and allow others to be unlicensed at more restricted power levels, said Donny Burt, vp-advanced technology, e-xpedient/CAVU. Among “last mile” technologies that can be offered in that band, developers said, are gigabit ethernet-based systems that can connect buildings and extend metropolitan area networks.
Despite some progress by movie studios and videogame makers, Sen Lieberman (D-Conn.) intends to introduce today his controversial bill that would impose fines on entertainment companies that marketed adult content to children. Dan Gerstein, Lieberman’s communications dir., said proposed legislation clearly would empower FTC to pursue civil penalties against movie studios, videogame makers, record companies and others that used “false and deceptive marketing practices” to target adult-rated material to kids in TV and print ads. Speaking at American Advertising Federation (AAF) conference in Washington Wed., he said bill also would authorize FTC to conduct periodic evaluations of how well industries were complying with advertising restrictions. “We said we would issue legislation if [industry] commitments were not made,” Gerstein said, noting that only videogame industry had responded fully so far. “We were very consistent all along.”
FCC unanimously approved Deutsche Telekom’s (DT) merger with VoiceStream and Powertel, imposing no special conditions on $34 billion deal and provoking renewed commitment from Sen. Hollings (D-S.C.) to seek restrictions on foreign govt. ownership in U.S. telecom companies. FCC adopted order 4-0, with Comr. Furchtgott- Roth dissenting in part on separate deal on national security issues between federal agencies and companies. Order, approved Tues., is expected to be released as early as today (Thurs.) Commission said in news release it found DT would “have neither the incentive nor the ability to engage in unfair competition, specifically predatory pricing, in the U.S. domestic mobile telephony market.”
Canada’s TV regulator was skeptical in hearing this week about how country’s media conglomerates could maintain editorial diversity in face of cross-media consolidation and convergence. At license renewal hearings for Canada’s 2 private national TV networks, CTV and CanWest Global, Canadian Radio-TV & Telecom Commission (CRTC) asked conglomerates, which own TV networks, newspapers and Internet portals, to explain why bigger was better. Increased competition from U.S. border stations, new specialty channels and loss of viewers to Internet make it imperative that conventional TV networks be part of larger companies, Global TV’s Pres. Gerry Noble said.
FCC Wireless Bureau Chief Thomas Sugrue outlined several prospects for potentially freeing additional private wireless spectrum Fri., including possibility of user fees, audit of spectrum uses, current secondary spectrum proceeding. Point of user fees for private land mobile radio licenses, idea that has been floated in past and would require change by Congress, wouldn’t be to generate revenue but to increase efficiency of spectrum use, Sugrue said in lunch speech to Land Mobile Communications Council (LMCC) annual meeting in Washington. “The theory is unless there’s a cost placed on bandwidth and coverage, licensees wouldn’t improve their efficiency of both,” he said, noting that FCC couldn’t make change on its own.
Back-and-forth is continuing at FCC over ultra-wideband (UWB) proceeding, with Sirius Satellite Radio telling Commission Tues. it should ignore advice of Fantasma Networks to split rulemaking between GPS and non-GPS bands. UWB developer Fantasma told agency last week it should bifurcate rulemaking between devices in those 2 bands. Fantasma was responding to letter to FCC from broad group of wireless, GPS, satellite radio and air transport interests that asked agency to not take final action on operation of UWB devices under Part 15 rules without further notice of proposed rulemaking. Fantasma recommended FCC authorize UWB technologies that operated in non-GPS spectrum, splitting off regulatory consideration of technology using GPS spectrum. Sirius argued in latest letter that “Fantasma misunderstands the data in the record concerning interference caused by non-GPS band UWB devices, continues to ignore its own burden of proof in this matter and reached the mistaken conclusion that immediate Commission action is warranted.” Sirius contended testing of impact of UWB devices on non-GPS systems was “hardly complete” and tests to date showed interference with incumbents. Sirius told FCC that NTIA testing found deployment of UWB devices below 3.1 GHz would present interference problems for govt. and commercial systems. It said premature agency action could cause disruption to services such as Enhanced 911 and GPS. Among issues NTIA tests didn’t cover is impact of UWB on commercial receivers such as those of Sirius, said Robert Briskman, co-founder of Sirius. NTIA tests in non-GPS bands focused only on federal receivers, not some of more sensitive systems, he said. One of Sirius’s concerns is that UWB devices “that would be the most bothersome to us are ones that are not yet apparently well-defined,” Briskman said. “Specifically, I am talking about the communications devices and the devices in cars that would sense the distance to other cars,” he told us. Meanwhile, backers of UWB also were lining up at Commission. Intel in ex parte filing last week said further notice sought by group of companies wasn’t needed because: (1) Current proceeding had given commenters ample opportunity to address issues. (2) Ultra-wideband had the potential to become “a very useful technology. Adding administrative process in this case will add needless delay and cost to UWB to the detriment of consumers.” Intel said that “expeditious consideration” by FCC would advance goals of Chmn. Powell “of reforming FCC’s processes to foster innovation and investment.”
Bush Administration’s fiscal year 2002 budget proposal would increase funds for FCC, but White House’s long term strategy is to level off agency’s spending over the next 4 years. According to govt. budget details released Mon., Bush would increase FCC’s FY 2002 budget to $248.5 million from current $230 million. Total proposed outlays, or “amount the [FCC] actually spends in a given fiscal year,” would increase to $320 million from $301 million. Spending in FY 2003 and 2004 would drop to $302 million, then increase by $1 million in FY 2005 and FY 2006, respectively, under plan.
White House announced Fri. it intended to nominate 3 Washington insiders as FCC Commissioners: (1) Kevin Martin, FCC transition leader for President Bush and former aide to FCC Comr. Furchtgott-Roth. (2) Kathleen Abernathy, vp of startup network provider Broadband Office Communications, who is former U S West regulatory vp and one-time adviser to ex-FCC Comr. James Quello. (3) Mike Copps, who worked for Sen. Hollings (D-S.C.) for 15 years before leaving Hill in 1980s to work in private industry and finally Commerce Dept. in international trade area. Formal nomination won’t happen for several weeks while paperwork is prepared and security clearances completed. After that comes Senate confirmation process.
Creation of “a multibillion-dollar” Digital Opportunity Investment Trust -- with much of proceeds earmarked for public broadcasting -- is recommended in 2-year study to be released today (Thurs.). Fund would be financed by proceeds from future spectrum auctions, which Congressional Budget Office estimated would produce $18 billion over next several years. Authors of report are Newton Minow, FCC chmn. in Kennedy Administration, and Lawrence Grossman, former pres. of PBS and NBC News. Recommendations in report would require approval by Congress for use of federal money before fund could be established.
Beating down latest VoiceStream-Deutsche Telekom rumor, FCC Comr. Tristani took unusual step Wed. of issuing statement disavowing forged correspondence between herself and Sen. Hollings (D-S.C.) on slowing down pending merger. Pair of faked letters began circulating widely in Washington Tues., including one purportedly from Hollings asking Commission to defer acting on transaction until he had chance to introduce bill clarifying Sec. 310 of Communications Act. Agency spokesman said issue has been handed over to FCC Inspector Gen. for review. Hollings aide dismissed letter as hoax. Although Tristani said she didn’t typically comment on pending mergers, she said neither she nor staff members had corresponded with Hollings on deal. FCC faces self-imposed deadline of April 8 to act on proposal within 180 days after it was filed. “I am deeply troubled that the Commission’s process is being used for deceitful purposes, and I have asked the Chairman to initiate a full investigation of this matter and to refer it to other federal agencies as appropriate,” Tristani said.