The mobile satellite industry finally had something to smile about last week when the International Bureau at the Federal Communications Commission granted eight MSS operators licenses in the 2 GHz frequency band, opening the door for the deployment of broadband and other enhanced services.
The Boeing Co., Celsat America Inc., Constellation Communications Holdings Inc., Globalstar L.P., ICO Services Ltd., Iridium L.L.C., Mobile Communications Holding Inc. and TMI Communications and Co. L.P. each were granted authorization to operate in an equal, 3.5 megahertz segment of spectrum in each of the 1990-2025 MHz and 2165-2200 MHz bands.
“We think this is further affirmation that MSS is the best use for this spectrum,” said Gerry Salemme, senior vice president of external affairs for New ICO.
New ICO plans to use the spectrum to offer voice and data services to remote users around the world when it becomes operational in 2003. New ICO is awaiting a decision on its request to be able to use the spectrum for ancillary terrestrial services as well, which would help satellite signals penetrate more densely populated, urban areas. Salemme said a decision is expected in the next few weeks.
The Cellular Telecommunications & Internet Association strongly opposed such use of the spectrum, saying if New ICO’s proposal is approved, the spectrum should be made available via auction to all interested users. CTIA also argued to the FCC that most, if not all, the MSS applicants ultimately will not launch service in the 2 GHz band.
Prior to the FCC’s decision, CTIA said in a letter sent July 12 to FCC Chairman Michael Powell that the track record of underutilized MSS spectrum and the financial conditions of numerous MSS companies are obvious reasons not to give MSS operators 2 GHz spectrum. CTIA even manipulated New ICO’s proposal to work in its favor, saying New ICO’s claims that MSS is not viable without terrestrial flexibility is another reason why the agency should open the frequencies up for purchase by cellular carriers, to be used to support third-generation services.
Following the ruling, CTIA’s only consolation was the FCC’s decree that it will not allow MSS operators to circumvent other spectrum policy decisions as they deploy equipment and services in the 2 GHz band.
“We hope the commission will revisit soon whether 70 megahertz of spectrum needs to be locked up for this use at all,” said Tom Wheeler, president and chief executive officer of CTIA.
In its written requests to the FCC, New ICO has beefed up its argument by saying ancillary terrestrial services would benefit all MSS operators, but not all are intending to use their spectrum this way.
Mac Jeffrey, senior director of communications for Globalstar L.P., said Globalstar had toyed with the idea, but determined it was not something the company wanted to pursue.
“The intention was and remains to use this spectrum for enhanced services, particularly broadband data,” Jeffrey said.
CelSat said it has been in talks with several cellular carriers about buying CelSat’s service wholesale as a supplement to their traditional mobile service.
The licenses granted last week are part of a six-year global effort on behalf of the U.S. Department of State and the National Telecommunications and Information Administration to ensure that there is an international allocation of spectrum assigned to mobile satellite service.
There has been criticism about the amount of time the FCC took to grant the licenses. Commissioner Michael J. Copps said six years was “simply too long to wait for a decision.” He said he hoped the commission would move ahead more expeditiously on other items awaiting decision.
The International Bureau, however, is delaying full implementation of the order in regard to an incremental .38 megahertz of spectrum per licensee in each band until it can fully consider other pending proposals related to the 2 GHz frequencies.