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REFARMING MEANS MORE FREQUENCY BUT AT WHAT COST TO USERS

WASHINGTON-The specter of private radio spectrum auctions, frequency coordination consolidation and the kickoff of refarming in frequency bands below 512 MHz are giving users and dealers alike much to consider this year, said Mark Crosby, president and chief executive officer of the Arlington, Va.-based Industrial Telecommunications Association.

A recent ITA-sponsored seminar in St. Louis helped prepare some 40 private-radio concerns-including Federal Express, Ford, Anheuser Busch and Kerr McGee-for the narrowbanding process. “People know that this is not going to be a walk in the park, but that we have to start somewhere,” Crosby said. “Everyone is waiting for the Federal Communications Commission to make its final decision so that they can preserve their future in the lower bands.”

Refarming means more frequencies, less power and lower antennas, said Rich Feser of E.F. Johnson Co. The impact on users, Feser pointed out, is three-fold. First, there is the question of flexibility. There are equipment and transition schedules to be made along with budgetary decisions that include amortization of current equipment, technical needs and new mileage separations.

Making up for all this, however, are the other two refarming promises: multimode equipment that will provide backward compatibility and relief of congestion in the 150-174 MHz, 421-430 MHz, 450-470 MHz and 470-512 MHz bands.

During the transition period, Feser said, there will be no government-mandated requirement for users to change out their equipment. Rather, the transition will be handled via a type-acceptance process, in which future equipment must meet increasing efficiency standards during a 12-year period.

Regarding marketing strategies for the coming narrowband transition, Crosby outlined four ITA recommendations as possible guidelines:

Know the rules of the refarming game. Players should demonstrate a keen knowledge of the transition period (especially timelines, because windows of opportunity could close), of new spectrum availability and of administrative processes. Spectrum lease fees are a possibility; managers should design systems to accommodate user requirements, there could be a premium for using over-engineered systems and/or old technology, and there could be discounts for new technology.

Communicate benefits and critical information. Be sure users know that new technologies bring new communication system opportunities (i.e., protected service areas, trunking and digital capabilities, voice and data, and greater spectrum access).

Operators must educate their customers as to the operational differences, including what digital can and cannot do, how to assess what coverage is needed and the differences between shared and exclusive channels.

Recognize complexity and risks. Operators should be aware of upcoming network changes that will affect the business. Engineering-based frequency selection and/or system design must take into account propagation contours and technology performance differences.

There also is the potential for increased interference, and the roles of the FCC and frequency advisory committees are changing. Frequency pools are not yet confirmed; secondary status, low-power pools and future frequency changes still are up in the air.

Plan and attack. Be sure to prioritize critical customers and critical systems. Assess current and future spectrum needs. React quickly to protect spectrum turf. And select a frequency advisory committee that can handle all business needs, including database information, engineering, administrative challenges and automated data-transfer capabilities.

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