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USAirWaves supports FCC actions in NextWave case

WASHINGTON-The Federal Communications Commission got support for its actions regarding the 90 personal communications services licenses of NextWave Telecom Inc. from one of NextWave’s competitors in the 1996 C-block auction.

“While we have not always supported [FCC] PCS licensing decisions, on the license cancellation issue the [FCC] hits the mark `dead center,’ ” said John DeFeo, president and chief executive officer of USAirWaves Inc. “For Congress to return the licenses would reward NextWave for cynically gaming the competitive bidding process established by Congress.”

USAirWaves participated in the 1996 auction but dropped out after nearly 30 rounds because the prices became too high.

DeFeo’s May 22nd letter to FCC Chairman William Kennard refers to continuing lobbying efforts by NextWave to have Congress clarify that it did not owe installment payments while in bankruptcy.

“The notion that NextWave was somehow `wronged’ by the FCC, by being required to abide by the very rules that led to USAirWaves decisions to withdraw from the auction, is patently absurd,” said DeFeo.

The FCC said Jan. 12 that NextWave’s licenses were canceled because it had not made its installment payments. NextWave has appealed this decision to two federal appeals courts and the FCC.

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