WASHINGTON-Mobile-phone carriers and others are urging the government to launch a rulemaking to decide what to do with discarded mobile satellite services frequencies rather than unilaterally giving more radio channels to the two remaining non-operational 2 GHz MSS operators.
The 2 GHz MSS controversy has been overshadowed by the high-profile battle in Congress to set a hard date for the return of 700 MHz spectrum from TV broadcasters in connection with their transition to digital technology. But the stakes are nonetheless high for how the Federal Communications Commission treats 24 megahertz of idle 2 GHz MSS spectrum. Mobile-phone carriers, utilities, railroads, energy companies, Inmarsat Inc., Sirius Satellite Radio Inc. and others are interested in the spectrum.
Lobbying on the 2 GHz MSS issue has been intense and steady. Indeed, spectrum controversy has mushroomed into a free-for-all, with the dispute occupying several proceedings controlled by the FCC International Bureau and having bled into various licensing matters.
“To date, the commission has not established any policy or rule regarding the use of additional abandoned 2 GHz MSS spectrum. …Initiation of a full rulemaking proceeding would address the questions raised by parties in the referenced dockets, including ICO [Satellite Services] and TMI [Communications and Co.], who have yet to justify the need for more satellite spectrum, should they be granted additional spectrum,” CTIA, the mobile phone carrier association, and others told the FCC last Thursday.
Joining CTIA on the letter were the American Petroleum Institute, Inmarsat, the United Telecom Council, Total RF L.L.C., the Society of Broadcast Engineers and three major wireless operators.
Despite the push for a new rulemaking on 2 GHz MSS spectrum from the diverse group of influential telecom players, it could be a tough battle for the mobile-phone industry to win. The 2 GHz spectrum at issue is adjacent to 1.9 GHz mobile-phone frequencies.
The International Bureau in late June issued public notices saying it intends to give TMI and ICO each one-third of the 40 megahertz of 2 GHz MSS frequencies, while seeking feedback on what to do with remaining MSS spectrum in the band. Those actions were prompted by TMI’s letter request in April to redistribute spectrum freed up after the return of 2 GHz MSS licenses earlier this year by Iridium L.L.C., Boeing Co. and Celsat America Inc.
These days, the International Bureau appears to have even more leverage than it had four months ago when it began making initial policy cuts on the spectrum at issue and two years ago when the FCC reclaimed 30 megahertz of the 70 megahertz total originally allocated to MSS in the band. The forfeiture of the 30 megahertz was a result of wireless industry pressure and a rash of mobile satellite bankruptcies.
The FCC five years ago granted licenses to eight 2 GHz MSS operators. Today, only two remain. ICO and TMI are not expected to become operation until 2007 and 2008, respectively.
Despite serious mobile satellite financial problems in recent years, the International Bureau-which gave MSS operators the flexibility to use some satellite channels for land-based cellular networks in hopes of reviving the satellite sector-is politically well positioned to continue satellite advocacy.
Hurricane Katrina and damaging storms that followed highlighted the value of satellite communications during emergencies. Indeed, there is support from key Senate lawmakers to give TMI and ICO more 2 GHz frequencies in the name of homeland security. Earlier this month, the powerful farm lobby sent a letter to FCC Chairman Kevin Martin urging the agency to give 2 GHz MSS licensees “robust spectrum” to improve spotty communications in rural America.
Another possible factor helping the International Bureau’s sway over the 2 GHz MSS issue is the unsettled status of the FCC’s Wireless Telecommunications Bureau in connection with agency reorganization plans.
Nevertheless, the mobile-phone industry is making a strong play to turn the tide in the spectrum dispute.
“In the United States, the CMRS [commercial mobile radio service] industry currently serves approximately 1 million subscribers per megahertz, [while] MSS serves fewer than 10,000 per megahertz … TMI claims it needs more spectrum to `compete vigorously’ with CMRS. The CMRS embraces competition, but if this spectrum is to be used for terrestrial service, it should be auctioned,” said Christopher Guttman-McCabe, vice president for regulatory affairs at CTIA.
