While the United States claimed victory in securing global frequency bands for 3G mobile-phone service during the World Radiocomm-unication Conference earlier this year, the process of allocating that spectrum could become a nightmare for the U.S. wireless industry.
The U.S. delegation during May’s WRC-2000 accomplished virtually every objective it sought for 3G. Three additional global bands-698 MHz-960 MHz, 1710 MHz-1885 MHz and 2500 MHz-2690 MHz-were set aside with equal status for 3G services.
But the two bands the wireless industry wants most for 3G services-the 1710 MHz-1885 MHz and 2500 MHz-2690 MHz-are heavily encumbered, and none of the incumbents are eager to move, share or give up their spectrum.
“It’s going to be difficult. There’s no question,” said one Federal Communications Commission official. “We’re really making an effort to go into this and conduct the process in a fair way and not make assumptions at the outset.”
“There’s a lot of work that has to be done both on the government side and industry side,” said Brian Fontes, senior vice president for policy and administration with the Cellular Telecommun-ications Industry Association. “We have to figure out how everyone walks away from this without being harmed. That’s going to take a lot.”
CTIA earlier this summer petitioned the Federal Communications Commission to start a rule making to implement 3G spectrum allocations adopted at WRC-2000. The wireless industry fears the government won’t move fast enough to allocate this precious spectrum when widespread demand for spectrum-intensive 3G data-rich services arrives. Major carriers and vendors concurred with CTIA’s petition.
It’s unclear to the wireless industry what processes the various U.S. government agencies in charge of conducting feasibility studies for these bands have started. The FCC is supposed to determine whether fixed-mobile sharing of the 2.5 GHz band is possible. The National Telecommunications and Information Administration along with the Pentagon will study the possibility of sharing the 1.7 GHz band. The Pentagon makes heavy use of this band.
The FCC already has indicated in a policy statement that it recognizes the need for spectrum allocation and said it will consider allocating the 1710 MHz-1755 MHz, 2110 MHz-2150 MHz and 2160 MHz-2165 MHz bands for advanced mobile services, including 3G.
Major carriers and vendors want the FCC to consider all bands identified at WRC-2000. The 90 megahertz of spectrum the commission has identified is not enough to meet the needs of the exploding growth of the mobile industry during the next 10 years, they say.
The FCC says work assessing the viability of the 2.5 GHz band is under way. It expects to begin studies in the fall, and FCC officials say they will begin a rule-making proceeding shortly.
Government issues
NTIA, the principal adviser to the president on telecommunications policy, has queried the various government agencies in the 1.7 GHz band as to how they may be able to share or give up part of their spectrum for 3G services. The agencies are due to report back by November. NTIA said a sharing assessment study is just part of what the agency is doing. A cost/benefit analysis is also required, along with the possible relocation costs associated with moving incumbents off the spectrum.
“We’re talking with the DOD on a daily basis,” Gregory Rohde, head of the NTIA, said at 3G briefing for several lawmakers and congressional staffers Friday afternoon. “This has taken up a huge amount of our time.”
“We are a ways away from getting any agreement,” another NTIA official said.
There will be some tough bargaining. The wireless industry’s ideal choice is spectrum within the 1710 MHz-1885 MHz band-where the Defense Department is heavily entrenched. Most countries in the western hemisphere have chosen 3G spectrum in the 1.7 GHz band.
“In order to be a player in our region, that would be the first desired choice,” said Fontes.
Forty-five megahertz of spectrum in the 1.7 GHz band-1710 MHz-1755 MHz-already is clear. The Balanced Budged Act of 1997 requires the FCC to auction off this spectrum after January 2001. But 45 megahertz, says CTIA, isn’t enough spectrum. It needs some of the DOD’s bands in the 1755 MHz-1850 MHz band.
Top military brass already are disenchanted with having to surrender blocks of frequencies for FCC auctions.
“We’ve been public about this,” said a Pentagon spokeswoman. “Using the 1700 MHz band would be a disruption for our activities because of the billions we have invested in satellite control … The band identified in the 2520 MHz- 2670 MHz is one that may have the least U.S. impact, and we feel it might be a better choice.”
The DOD uses the 1755 MHz-1850 MHz band to operate space telecommand tracking and control services, including global positioning systems for both military and civilian use. It also uses the band for fixed microwave, radio relay training, the Air Force space ground link subsystem and aeronautical applications like telemetry, video and target systems.
“We need to find out if there are opportunities to relocate that may benefit government users to have updated equipment paid for by those occupied in the bands,” said Fontes. “We don’t want this work to be under the banner that they have what we want, if they win then we lose or we win, they lose. We have to work hard and cooperatively to find out if both interests can be served.”
Incumbent issues
Incumbent issues in the 2.5 GHz band are just as perplexing. The band is attractive to the wireless industry because European carriers will deploy 3G services in the 2.5 GHz range. The European Union during WRC-2000 tried, but failed, to get a priority allocation for this band. The Satellite Industry Association also has petitioned the FCC for spectrum in the 2500 MHz-2520 MHz band and the 2670 MHz-2690 MHz band.
Sprint Corp. and WorldCom Inc. are poised to roll out nationwide multichannel multipoint distribution service in the 2.5 GHz band, and relocation is possible only if there is comparable spectrum being vacated by fixed users. Both companies continue to voice their concerns in Washington.
WorldCom last month filed its first round of applications with the FCC to offer fixed wireless broadband services in more than 60 markets nationwide, beginning with Memphis during the fourth quarter. Sprint commercially launched its fixed wireless services in May in Phoenix, followed by Tucson in July, under developmental authorization from the FCC. Both Sprint and WorldCom oppose CTIA’s petition.
“We filed a statement with the FCC, and we said we believe there is room in existing PCS spectrum to do everything we need to do with 3G,” said Russ Robinson, director of corporate communications with Sprint. “On the MMDS side, we have already made significant investments, and we don’t think it’s necessary or fair to reassign spectrum.”
WorldCom says it has spent more than $1 billion for the rights to use spectrum in the 2.5 GHz-2.7 GHz band throughout the United States.
“Once we deploy fixed wireless service, that service is incompatible with mobile service,” Bob Koppell, vice president of wireless regulatory affairs with WorldCom, recently told RCR. “We wouldn’t even be able to provide mobile service without interfering with our own fixed service.”
Instructional Television Fixed Services (ITFS) systems run by educational and religious organizations also operate in the 2.5 GHz band. A plethora of universities and religious organizations have responded to the CTIA and SIA petitions.
“The commission should use the rule-making proceeding requested by CTIA to announce with certainty that it will not reallocate or disturb the existing licensing of the ITFS and MMDS stations in the 2500 (MHz)-2690 MHz band but will look elsewhere for 3G spectrum,” said comments subm
itted to the FCC from a large group of educational and religious broadcasters.
The power of persuasion appears
to be a daunting task for the FCC.
Washington Bureau Chief Jeffrey Silva contributed to this report.