YOU ARE AT:Archived ArticlesFCC REJECTS SKYTEL APPEAL

FCC REJECTS SKYTEL APPEAL

WASHINGTON-The Federal Communications Commission rejected an appeal by SkyTel Communications Corp.-formerly Mobile Telecommunication Technologies Corp.-that argued the paging carrier deserved its narrowband personal communications license for free as a pioneer’s preference award.

The FCC wants the company to pay $33 million for the license.

“We do not find merit to Mtel’s claim that its being required to pay an auction-based fee is inconsistent with the commission’s former exclusivity rules for private paging systems at 929-930 MHz, which did not require such payments. We therefore affirm our decision requiring Mtel to pay a discounted auction-based fee for its narrowband PCS license,” read a statement issued by the commission.

Commissioner Harold Furchtgott-Roth dissented from the rest of the commission, writing that he said SkyTel was being punished for following the rules of the pioneer’s preference.

“Sadly, this action will punish the quintessential pioneer these rules were designed to favor,” he wrote. “I hope, out of fairness to pioneering Mtel, that this is not the final chapter for its claim.”

According to Pam Kloha, public relations manager for SkyTel, the company is assessing its options. She said because the carrier is not using the disputed license at this time, one choice would be simply to return it to the FCC. The carrier also may pursue further appeal avenues or just pay for it, Kloha said.

ABOUT AUTHOR