Nextel Notice Attracts Mostly Technical Comments
Some key wireless industry players weighed in at the FCC on a public notice seeking comment on Nextel’s ex parte presentations on the 800 MHz rebanding. One of the most noteworthy developments was what they didn’t say: Nearly all avoided the issue of whether the FCC should change the costs of 1.9 GHz spectrum Nextel would receive through the order. They focused instead on assorted technical issues.
Sign up for a free preview to unlock the rest of this article
If your job depends on informed compliance, you need International Trade Today. Delivered every business day and available any time online, only International Trade Today helps you stay current on the increasingly complex international trade regulatory environment.
The spectrum valuation issue loomed large after the order was released Aug. 6, and in filings at the FCC Nextel questioned repeatedly whether the FCC had miscalculated how much it should have to pay for the spectrum. Nextel, for example, argued that the FCC had miscalculated the number of POPs it would contribute, and for which it should be compensated - in what the company called a $740 million error.
“A lot of the things highlighted were logistical issues,” said a carrier source. “People aren’t going to hold up the order.” A 2nd source said that FCC is set on its course. “It seems like the decision has been made. The fight has been fought,” the source said: “One of the big drivers of the opposing view was Verizon, and they reached a truce with Nextel on this. I would think that would calm things down.”
Cingular raised questions that touched on the valuation issue. Among its comments, the carrier said Nextel must not receive credit against its payment for the 1.9 MHz for additional towers it may need since that spectrum has inferior propagation characteristics relative to its former 800 MHz spectrum.
“Allowing Nextel to get financial credit for constructing new sites would amount to a subsidy for improving its service,” Cingular said. “Nextel has failed to justify why taxpayers should bear the costs of its improvements. Nextel should not be allowed to use taxpayer dollars pay for any improvement in its service. The ‘retuning’ credit should be limited to the cost of retuning transmitters and receivers within the 800 MHz band.”
But CTIA, a major player in the fight over whether Nextel would get 1.9 GHz spectrum, filed only technical comments. CTIA argued that public safety systems that believe they are the subject of interference should have to file additional information such as make and model number of affected receivers, minimum measured input signal power and verification that the receiver meets minimum performance requirements.
Motorola supported a Nextel request to be allowed to operate on vacant 800 MHz channels below 817/862 MHz during the transition process. “Motorola supports such a clarification and believes that it is important for incumbent licensees to have some flexibility in implementing the rebanding procedure,” the company said.
The D.C. govt. said the order should be changed to explain in more detail compensation for the “indirect and extensive labor and program administrative services” costs of replacing radios under the rebanding. “Neglecting or capping these program administrative, management and execution costs will unduly burden local radio operational budgets and tax payer contributions and will impact the success and timeliness of the program,” the city said: “A fair and equitable repayment method, and in most situations, an ‘advance payment’ system, should be devised to properly support and fairly compensate affected operators for costs of implementing the program.”
Nextel filed a 13-page comment that largely addressed diverse criticisms of its ex parte filings on the rebanding plan. Nextel must decide by Feb. 7 whether to accept the terms of the rebanding plan. The FCC is likely before Christmas to issue an order sua sponte -- on its own initiative -- making what could be critical changes to the 800 MHz order. - Howard Buskirk