WASHINGTON-The Federal Communications Commission today reaffirmed a 2003 decision allowing mobile satellite service licensees to integrate an ancillary terrestrial component into their systems, rejecting a cell-phone industry demand that spectrum used for land-based cellular operations be assigned by auction.
The FCC ruling clears the way for a pending federal appeal of ATC ruling by Verizon Wireless and Cingular Wireless L.L.C. to go forward. However, the U.S. Court of Appeals for District of Columbia Circuit will not actually resume action on the MSS-ATC case until the full text of today’s FCC ruling is released
“We are cautiously optimistic that the FCC will strengthen their gating criteria to ensure that any terrestrial service in this band is truly ancillary,” said Joe Farren, a spokesman at CTIA, the national trade association for mobile-phone carriers.
The FCC decision was more good news for the struggling MSS sector, which is pinning its hopes on ATC to become a commercially viable deliverer of wireless communications to rural and underserved regions of the country.
“We are thrilled by the FCC’s decisive action in approving greater flexibility for ATC mobile communications. This architecture holds great promise for all Americans, but offers particular benefits to residents of rural areas and those federal, state and local agencies that are charged with protecting public health, safety and security,” said Alexander H. Good, vice chairman and chief executive officer of MSV. “The commission has shown strong leadership in conducting a detailed review and seeing this important effort through to this final result.”
FCC Commissioner Michael Copps criticized the agency for sidestepping the question of whether the American taxpayer should be compensated-via spectrum fees-for frequencies dedicated to ATC.
