At our deadline, FCC was trying to act on SBC’s Sec. 271 application for long distance entry in Okla. and Kan., but not all commissioners had voted. Deadline for FCC decision is Wed. but FCC Chmn. Kennard has said he wanted to complete action before he leaves today (Jan. 19). One industry source said there was possibility FCC would approve one state but not other.
SAN JOSE, Cal. - Telecom leaders need to develop regulatory strategy and regulators should become more flexible and less prescriptive, panelists said at Wireless Communications Assn. annual technology symposium here Wed. Regulators can help improve Internet broadband access and promote innovation by imposing regulations that are “technology-neutral,” said Industry Canada Spectrum Engineering Deputy Dir. Gen. Veena Rawat. Canadian regulatory agencies, she said, were moving away from “prescriptive, detailed technical standards” in favor of minimum constraints and only “essential technical rules.”
Bidding in FCC’s C- and F-block PCS auction reached $16.7 billion after 67 rounds Thurs., with Verizon Wireless maintaining wide lead of $8.6 billion in total bids. Alaska Native Wireless, which is designated entity with AT&T Wireless investment, followed with $2.9 billion, Cingular Wireless-backed Salmon PCS with $2.5 billion. After top 3, bidding has remained at much more modest levels, with Cook Inlet/VoiceStream GSM having $505.1 million in net high bids, VoiceStream PCS with $475.1 million, DCC PCS with $418.3 million and Leap Wireless International with $341.2 million. Auction of 422 PCS licenses began Dec. 12 and is expected to end shortly.
FCC Enforcement Bureau fined SBC $94,500 for violating requirement that it post notices on its Internet site identifying central offices that have run out of physical colocation space. Notice requirement is one of conditions placed by FCC when it approved SBC-Ameritech merger. SBC spokesman said company didn’t dispute that it made “a few clerical errors.” However, “we think it was unfortunate that the Enforcement Bureau feels it necessary to propose a penalty for a few errors of this nature,” he said. Posting is necessary so CLECs don’t waste their time waiting for space in central office that can’t be provided instead of finding other ways to serve their customers. Violation occurred in audit period of Oct 8, 1999-June 8, 2000.
FCC didn’t meet regulatory flexibility requirements with rulemaking on DTV children’s TV obligations (MM 00-167), Small Business Administration (SBA) said in letter to FCC Chmn. Kennard. SBA said it didn’t question regulatory goal of improving children’s TV, but said Commission “did not describe a vast majority of the compliance requirements… and their impact on small firms. Nor did it discuss significant alternatives.” FCC should submit supplemental Regulatory Flexibility Analysis required by Regulatory Flexibility Act, SBA said. Although FCC listed rulemaking proposals, SBA said it didn’t provide adequate information about costs and alternatives of such proposals as requiring broadcasters to devote 3% of their air time to children’s programming. It said that proposal would require broadcasters to add programming whenever they added channels, and FCC didn’t provide information about cost of additional programming. SBA raised same questions about other proposals, including technical format rules, menu approach, daily core programming obligation, datacasting, providing content information to publishers and others, preemption rescheduling, commercial tie- in limits. FCC should consider alternatives such as delaying enforcement of rules because of cost to small broadcasters of DTV transition itself, SBA said, as well as setting reduced requirements for small broadcasters that have access to fewer resources. Meanwhile, in comments on rulemaking, state broadcast associations said it was too early to impose “burdensome” children’s TV rules on DTV because they “would hamper innovative uses of the digital spectrum.” State groups also said FCC didn’t have legal right to impose quantitative requirements for programming, and rules would raise First Amendment concerns. Center for Media Education immediately rejected constitutionality argument. “The public owns the airwaves, not the broadcasters,” CME Pres. Kathryn Montgomery said.
Northern Communications agreed to buy broadcast group owner Shockley Communications for undisclosed price, companies said. Northern also said it would spin off KXLT-TV (Ch. 47, Fox) Rochester, Minn., to Shockley family. Northern will sell 5 former Shockley-owned ABC affiliates in Wis., plus 2 postproduction facilities, to Quincy Newspapers. Northern is private investment group that buys privately owned properties and “maximizes assets” by spinning off components, it said. In separate transaction, Lee Enterprises said it would sell KMAZ (Ch. 48, TBN) Las Cruces, N.M., to Council Tree Hispanic Bcstrs. for undisclosed price. Sale will complete Lee’s exit from commercial broadcasting.
AOL and Nokia reached multiyear agreement to market enhanced microbrowser technology and to promote wireless standards such as Wireless Application Protocol (WAP), terms not disclosed. “WAP is the most widely adopted wireless standard in the world among carriers and handset manufacturers and it makes sense for us to work to support that standard,” AOL Wireless Pres. Dennis Patrick said. Companies said agreement marked first extension of Netscape brand to microbrowser market.
U.S. Trade Representative (USTR) Charlene Barshefsky said U.S. and European Union (EU) had put in place agreements designed to reduce barriers to nearly $30 billion in annual transatlantic trade of telecom and electronic products. Mutual recognition agreement sectoral annexes eliminate duplicative product testing requirements. USTR said that under agreement, EU regulators would recognize certificates issued by designated labs in U.S. that equipment they had evaluated met EU requirements, and vice versa. USTR said that will allow U.S. manufacturers to export products to EU without additional certifications and tests. “This landmark step facilitates electronic trade in many telecommunications and information technology products by improving market access, reducing costs and shortening the time required to market certain U.S. products in the EU,” Barshefsky said. Mutual recognition agreement annexes on telecom equipment cover terminal equipment, such as radio transmitters and information technology equipment. Annex on electromagnetic compatibility covers equipment subject to EU and U.S. radio interference and compatibility requirements.
FCC Wireless Bureau is seeking comments on request for expedited waiver from Nextel subsidiary FCI 900 for 5-year construction period for 900 MHz major trading area (MTA) licenses. Nextel asked for extension of deadline from Aug. 12, 2001, to Aug. 12, 2004, for all 900 MHz MTA licensees. Commission rules require MTA licensees to provide coverage to at least 2/3 of population within 5 years of license’s being granted. One option for licensees is that they can demonstrate that they are providing substantial service. Nextel has told Commission that it needs waiver because equipment isn’t yet available to integrate 900 MHz MTA licensed spectrum into existing national 800 MHz iDEN (Integrated Digital Enhanced Network). Equipment won’t be available by Aug. 12 construction deadline. Nextel also said it planned to deploy 900 MHz pico cell technology to address coverage gaps and alleviate certain kinds of interference between its 800 MHz commercial operations and adjacent 800 MHz public safety communications systems in July. Nextel told agency that deployment of that technology would be delayed if it had to build analog 900 MHz systems to meet Aug. 12 construction deadline. Bureau is taking comments on waiver requests through Feb. 1, with replies due Feb. 8. Nextel is seeking expedited consideration of request because if it doesn’t get extension, it will have to order analog equipment in time to provide required coverage by existing deadline. Neoworld Licensing Holdings, which plans to deploy national 900 MHz digital dispatch system, is seeking similar waiver of 5-year construction period. Neoworld is seeking extension until Dec. 31, 2002, citing timelines needed for equipment delivery, testing, deployment.
Changes at Manatt, Phelps & Phillips: Robb Watters, Internet Alliance, named to govt. and international trade and policy unit; Luke Rose, ex-staff of Rep. Wilson (R-N.M.), legislative adviser; Walter Gonzales, ex-staff of Rep. Green (D-Tex.), legislative asst… Terry Haines, ex-Boland & Madigan and former FCC chief of staff, named staff dir. and chief counsel for newly created House Finance Services Committee… Jed Petrick promoted to pres.-COO, WB TV Network… Jacqueline Bosque adds Tucson office leadership to vp-gen. mgr., Radio Unica, Phoenix… Aaryn Slafky advanced to dir.-communications, National Telephone Coop Assn… Changes at Net2Phone: Scott Anderson, ex-Exist, named exec. vp-sales; Glenn Williams moves up to exec. vp-business and legal affairs; Bruce Shoulson appointed gen. counsel; Brian Haimm promoted to exec. vp-strategic alliances… Changes at Sinclair Bcst. Group: Scott Sanders adds gen. mgr. of WRLH-TV Richmond to gen. mgr., WTVZ-TV, Norfolk; William Lane adds station mgr. to gen. sales mgr. title… Changes at OpNext: Harry Bosco, ex-Lucent, named pres.- CEO; Minoru Maeda, ex-Hitachi, appointed COO; Chris Lin, ex- Lucent, becomes senior vp-global sales and mktg… Richard Murphy, ex-Rogers Wireless Communications, named COO, congruency… Janice Cooley promoted to dir.-work force planning and talent acquisition, Cox Communications.