TerreStar commands spectrum for hybrid satellite-terrestrial network

The Federal Communications Commission agreed to reserve a large chunk of frequencies for TerreStar Networks Inc., a firm that plans to provide wireless service throughout North America using a hybrid satellite-terrestrial cellular network. The news essentially gives TerreStar direct ownership of spectrum covering all of North America.
The 20 megahertz in the 2 GHz band was originally licensed in the name of TMI Communications and Co. Ltd., a partner of TerreStar in 2001. TMI, a Canadian firm, is a wholly owned subsidiary of BCE Inc., a publicly traded Canadian corporation. Industry Canada, the Canadian equivalent of the FCC, issued TMI an approval-in-principle for a 2 GHz MSS system in May 2002. Last month, Industry Canada approved the assignment of the approval-in-principal to TerreStar Canada, providing TerreStar Canada access to 20 megahertz in Canada. The FCC’s order authorizes TerreStar to provide service in both the United States and Canada.
The FCC said TerreStar has made significant progress in satellite construction and system.
“FCC spectrum approval is a key milestone for TerreStar as we move forward with our ‘build, own and operate’ strategy for creating North America’s first 4G integrated mobile satellite and terrestrial communications network and validates the tremendous progress we have made to date.” said Robert Brumley, president and CEO of TerreStar. “We are grateful to the FCC for the committed effort in reviewing and approving this revision, and for its recognition of the progress TerreStar has made in the development of our network and the benefit to public interest our communications network will provide.”
TerreStar is a subsidiary of Motient Corp. Motient is the controlling shareholder of TerreStar Networks Inc. and TerreStar Global Ltd., and a shareholder of SkyTerra Communications and Mobile Satellite Ventures LP.