Rivada Faces Competition in Pursuing Contracts With FirstNet Opt-Out States

C Spire and Southern Linc FCC comments argue the commission, not NTIA in a separate review, should decide whether a state network meets interoperability requirements. Verizon filed on FirstNet and has a history of serving public safety clients, but its goals are less clear, industry officials said. A likely selling point for both Southern Linc and C Spire is that each is offering a network with voice, push-to-talk and data rather than what they say is a data only-network offered by FirstNet, one industry official said. FirstNet disputed that characterization, saying the network will provide both priority voice and data capabilities over a public safety LTE network.

“We’re hopeful [Alabama and Georgia] will consider us,” said Michael Rosenthal, director-legal and external affairs at Southern Linc.

Arizona and 13 other states held requests for proposal or information on alternative plans and none has opted in yet. Oklahoma and Missouri launched RFPs after FirstNet delivered state plans. The other 11 states are Alabama, Colorado, California, Florida, Georgia, Illinois, Massachusetts, Michigan, New Hampshire, Rhode Island and Wisconsin. Eight others, most recently New Mexico and the U.S. Virgin Islands (see 1708010052), have opted in.

A lawyer active on public safety issues said the two states to watch most closely are likely Colorado and New Hampshire. Rivada has been “the lead advocate for states to opt out for a long time now,” the lawyer said. Some of the states are “doing due diligence. … They want to make sure they get the best deal,” the lawyer said.

“Now that the states have seen AT&T’s draft plan and the FCC has specified the opt-out timeline, we’ll see more states issuing RFPs -- preserving their right to choose a system that’s designed primarily for the demands of public safety, rather than commercial, traffic,” predicted a wireless carrier official. How actively Verizon will play on FirstNet remains unclear, said a former FCC spectrum official: “I don't know if they’re going to be serious about going after jurisdictions or if it’s just the usual competitive banter” with AT&T. Verizon didn't comment.

AT&T executives were asked repeatedly about FirstNet last week during an earnings call. Chief Financial Officer John Stephens said the carrier could potentially add millions of customers and could build on the platform for a smart cities offering. AT&T already is making sales calls to in states that opted in, he said. AT&T hasn’t projected how many customers will sign on, he said.

“The FirstNet solution was designed based on years of working with public safety and getting their input and feedback at the state, local, federal and tribal levels,” a spokesman said. “The first wave of opt-ins shows that we are addressing the demands of public safety personnel operating in a diverse set of states and territories, offering a compelling value for their state’s public safety community.”

Little State Momentum?

The trickle of state opt-in announcements doesn’t necessarily show momentum, as each state will decide what’s best, said National Governors Association's Jeffrey McLeod. The Center for Best Practices' Homeland Security and Public Safety Division director predicted at most three or four states will opt out, likely from the pool of about 10 states that solicited alternative plans. If any states opt out, they probably won’t announce it until later in the 90-day period to review final plans, McLeod said. Rivada and other providers with alternative plans are courting states, and likely to increase pressure the longer a state waits to decide, he said.

Coverage provided by AT&T plans was a chief concern raised by states in conference calls held biweekly by the NGA after FirstNet delivered plans, McLeod said. States complained that AT&T’s proposed coverage maps didn’t provide enough detail, McLeod said. The NGA official briefed governors’ senior staff on that and other concerns at last month’s NGA meeting in Providence; the association plans more calls after final plans are delivered, he said.

Timing of FirstNet decisions is “personal preference with each individual state,” said Arizona Department of Public Safety Assistant Director-Technical Services Division Tim Chung, in an interview. Arizona planned to use the full 45 days to review the initial state plan and most likely wouldn’t opt in early, he said. Gov. Doug Ducey (R) “likes to measure twice and cut once, so we want to make sure that we are able to provide the governor with the most accurate information possible so he can make an informed decision whether to opt in or opt out,” said the Arizona single point of contact (SPOC).

Arizona has had no contact with the three vendors pitching alternative plans​ since proposals were submitted in the RFP, said Chung. Rivada, Macquarie Capital and ClearNet, a subsidiary of ClearTalk Wireless, submitted alternative plans. About 35 people are “combing through” the AT&T state plan and the three alternative proposals, and will provide feedback to AT&T and FirstNet on the draft plan, he said. “One of our priorities is looking at coverage because of our geography and the inclusion of 21 [American] Indian tribes.”

California hasn't spoken to any vendors about alternative plans​, nor discussed the governor making an early decision, said Office of Emergency Services Assistant Director Patrick Mallon. The office collected responses to an RFI and is preparing an RFP "template as an option should the final State Plan be deemed unsatisfactory," he said. OES conducted 12 outreach meetings with about 800 California public safety representatives, receiving nearly 700 comments that will be shared with FirstNet by Friday's deadline, Mallon said.

Alabama continues to review its options, an Alabama Law Enforcement Agency spokesman said. “As far as other states opting in early, that is the decision they arrived at through their review and evaluation process,” he said. “We will continue with our process to evaluate the plan and make a recommendation to the governor to what is best for Alabama's first responders.” Massachusetts, reviewing four bids for its RFP, hasn't decided whether to opt in or out, said SPOC Curtis Wood.