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FCC SEEKS COMMENTS ON 2 GHZ MSS RULES

WASHINGTON-The Federal Communications Commission has proposed rules to implement mobile
satellite service in the 2 GHz band.

The notice of proposed rule making reviews service rules and seeks comments
on 2 GHz MSS issues, including whether MSS operators should be required to deploy enhanced 911 services and how
orbital debris mitigation practices should be applied.

Nine systems are proposed, and all can be accommodated
using the available spectrum, the FCC said. Rules should be completed by the end of the year and licenses granted in
2000. ICO Global Communications, which hopes to offer MSS in the band, requested the rule making.

Six of the
applicants are U.S.-based: Celsat America, Inc., Boeing Co., Constellation Communications Inc., Globalstar, L.P.,
Iridium L.L.C. and Mobile Communications Holding Inc. ICO, Inmarsat Horizons and TMI Communications and Co.
L.L.P. are foreign firms.

FCC Commissioner Michael Powell said he was concerned about a suggestion MSS
operators that commit to serve rural and underserved areas would receive preferential treatment. Such treatment could
be akin to the now-forbidden process of using comparative hearings to grant licenses, Powell said. “I support
what we are trying to do, but I am concerned we have the wrong horse here.”

FCC Commissioner Gloria
Tristani, who has long championed getting access to rural America, said the item does not make any mandates. Still,
Tristani said any incentives to offer service in underserved areas would be good, noting only 30 percent of homes on
the Navajo Reservation have telephone service.

The NPRM suggests four main spectrum-assignment options:

Flexible band arrangement: Grant each system 2.5 megahertz in uplink and downlink spectrum, group
systems in segments based on technology and provide expansion spectrum between the assigned segments for
additional system requirements;

Negotiated entry approach: License all the applicants across the entire band
and leave it to them to coordinate their operations. The FCC could resolve disputes;

Traditional band arrangement:
Spectrum is divided equally among the applicants; and

Auctions, in the event the other three options do
not work.

Thomas Tycz, chief of the satellite and radio communication division of the FCC’s International Bureau,
said the FCC does not expect to auction the spectrum.

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