FCC Space Bureau Warns of Regulatory Arbitrage
Facing a "space Industrial Revolution," the FCC Space Bureau is trying to improve its throughput, Chief Jay Schwarz said Thursday at a New America event in Washington, D.C. Schwarz warned that some nations and satellite operators are trying to use the regulatory system to forestall competition from U.S. operators.
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The event included speakers discussing the low earth orbit (LEO) boom, as well as the LEO Policy Working Group's report and recommendations, issued in October (see 2510300045). Among its recommendations were shot clocks for space application reviews and approvals and revamped deployment milestones. Michael Calabrese, director of New America’s Wireless Future Program and one of the report's authors, said the Space Bureau has moved so quickly on reforms that "they beat us to the punch on several of our key recommendations."
Schwarz said regulations "clothed in sensible-sounding platitudes" actually represent "losers" employing regulatory arbitrage. Operators and nations "are trying to work the system" to slow the U.S. "We will reject that and respond to it."
FCC Chairman Brendan Carr complained last week of a growing threat of protectionism in space regulation by Europe (see 2511070043).
Schwarz said Thursday that the surge in satellite launches, which began around 2018, is akin to the rocketing growth in per-capita GDP in Western Europe that began around the time of the Industrial Revolution. However, the space boom comes as China is at the same time aggressively pursuing space dominance, Schwarz said. He added that geopolitics, as well as economic growth, are driving the FCC's space agenda.
A significant part of that agenda is about removing inefficiencies from the regulatory system, so space operations get approvals more quickly and easily, Schwarz said. He singled out the equivalent power flux density (EPFD) limits on non-geostationary orbit satellites as an example of a technical inefficiency. There's "good reason to believe" that the existing limits are overly restrictive, and higher limits would let operators of those satellites offer "fiber-like" service without causing harmful interference to geostationary orbit (GSO) satellites. The report also endorsed changing the EPFD limits.
Schwarz also said there needs to be more thought given to the possibility that shared resources like spectrum are underused by space operators because too many entities have rights that exclude others. The Space Bureau has been particularly focused on tackling bureaucratic inefficiencies, such as by modernizing its processes, he said. It's "urgent we change course" on licensing, given how unpredictable and slow the process is. He cited the space regulation modernization NPRM adopted by the FCC in October (see 2510280024), which makes few changes to the substance of application requirements and standards but aims to make the review process more efficient.
In addition, there needs to be care taken not to create problems of scarce spectrum or orbital space, such as by underestimating the physical carrying capacity of an orbit, Schwarz said. Work should start now on building the collision-avoidance means for satellites to communicate with one another, he added, comparing satellites sharing data about their location and trajectory to using turn signals while driving.
Summit Ridge Group President Armand Musey said that given satellite and terrestrial wireless operators' inevitable moves to use higher and higher frequencies over time, it makes sense for the FCC to explore opening such bands as 12.7 GHz and 42 GHz to satellite use. The agency adopted a further NPRM in May asking about opening the 12.7, 42 and 51.4-52.4 GHz bands, as well as parts of the W band, to satellite communications (see 2505280055).
While EPFD limits likely could increase without causing interference for GSOs, there's a concern that the higher power levels will create interference problems for later LEO systems trying to enter the marketplace, Musey said.
Lerman Senter satellite lawyer Jeff Carlisle said that while there's been a huge focus during the past 15 years on getting spectrum into mobile wireless' hands, there's now more attention on how those bands are used and how space can integrate with terrestrial services. "That's a much better environment than where we have been."