WCS, SDARS LICENSEES HOLD TALKS ON POSSIBLE REPEATER SOLUTION
At suggestion of FCC, wireless communications service (WCS) licensees and satellite digital audio radio service (DARS) operators have been talking to each other about possible solutions to difficult terrestrial repeater issue, officials said. Several important issues remain unresolved, although sources said fact that both sides had been talking frequently in recent weeks represented movement. Talks reportedly have only dealt with technical issues, not broadcasters’ concerns about local origination of programming, we're told.
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One unresolved issue appeared to be exactly how to arrive at compromise between power levels for repeater networks of not more than 2 kw sought by WCS interests, vs. up to 40 kw that SDARS licensees have said is needed to allow for proper synchronization. Commission made clear to industry that “if it was left to them [FCC], it wasn’t going to be 2 or 40, it would be somewhere in the middle. So you would be better off coming up with something,” industry source said. Source called progress of industry talks “slow migration of people taking a hard look at what they can live with and figuring out what their pain threshold is.” At press breakfast Thurs., FCC Comr. Abernathy said Commission was hopeful that private parties could reach resolution. “If that does not happen, we are prepared to move forward,” she said, and if there’s not company-brokered solution by fall she would want FCC to take action.
Among issues in talks is whether or how to treat repeaters that already are deployed differently from potential future deployments, industry source said. “We aren’t that close to closure yet, but we are certainly narrowing the issues,” source said. Sirius Satellite Radio CEO Joseph Clayton told SkyForum conference in N.Y.C. last month that he anticipated FCC could institute some kind of grandfathering scheme for existing sites (CD May 2 p9). Another industry source speculated that parties that were talking, which included all major SDARS and WCS licensees, could send something to FCC as early as late June. “They [FCC] have given us strong encouragement to do something and have made it clear they won’t wait around forever,” source said. Several industry sources said there had been weekly conference calls among companies on terrestrial repeater issues that one source described as “cordial.”
Issues under discussion generally aren’t breaking down along lines of big vs. small markets, several sources said. In some cases, small markets were built out by SDARS operators with relatively high-power repeaters and in other instances large markets have been built out with lower power repeaters, source said. But one issue that has come up is whether any general rule that is agreed upon could be changed in certain markets that are particularly important to licensees. One possibility reportedly would be that SDARS licensees in some select markets could make efforts beyond whatever limits would be agreed to in order to gain support of major licensees. Among other factors in talks is how to handle issue of replacement equipment. If licensee loses rooftop siting rights, for example, “what do you do with the new stuff,” source said.
Abernathy said current situation wasn’t ideal because those issues were being discussed after repeater equipment already had been deployed. “I worry that continued delay creates more opportunity for uncertainty in the market” on issues such as what types of repeaters licensees bought, she said.
Several sources said talks were going well, although at least one said they still were in flux and, although movement had been positive, final deal still wasn’t guaranteed. “We are ultimately trying to decide if a resolution that everyone comes up with together is better than something that the FCC would impose on us,” industry source said. “It’s difficult because you don’t want to be your own executioner.”
“Things are going very well,” XM Senior Vp-Regulatory Affairs Lon Levin told us, responding to question about industry talks. Sirius said it had no further comment on negotiations with wireless companies. XM is making positive progress in working out issues with Sirius and WCS providers, spokesman said: “At the end of the day, we want a technical solution to allow all of these companies to move forward without interference.”
In recent ex parte filing, Sirius Satellite Radio broached possibility of using 3-tiered system for regulating terrestrial repeaters. For repeaters with power levels above 2 kw, Sirius recommended that Commission create prior notification requirement. For repeaters with power levels below 2 kw and “at or above a level to be determined,” it proposed that the Commission require, at most, “postinstallation notification.” It recommended that FCC not impose licensing or notification requirements for repeaters with power levels below same level. In another recent filing, WCS licensee BellSouth said it had talked with FCC Office of Engineering & Technology (OET) about impact of SDARS interference on wireless DSL systems. Other WCS licensees that have been raising concerns at FCC over repeater interference are AT&T Wireless, Verizon Wireless, WorldCom.
While FCC hasn’t been involved in talks, OET Chief Ed Thomas has made sure “both sides understand they may not like any decision that comes out of the Commission and [he] has encouraged parties to be talking,” industry source said.