LAS VEGAS -- If EchoStar acquisition of Hughes Electronics and its DirecTV affiliate is approved, it will be over opposition of several key members of Congress and would involve conditions, NAB attendees were told here at convention Mon. Strongest opposition to deal came from members of House and Senate Judiciary committees, which deal with antitrust issues, but there were concerns among Commerce Committee members as well. Hill leaders and their staffs in 2 separate functions also debated broadcast ownership caps, mandating political free time and DTV tuner standards, controversy over liquor ads.
Assn. of Public Safety Communications Officials International (APCO) plans to solicit donations for Enhanced 911 Phase 2 readiness beyond $25 million contribution from Nextel. APCO created nonprofit foundation in Feb. to help public safety answering points (PSAPs) complete E911 upgrades. Foundation will accept “private, corporate and public donations on behalf of the public safety community” and distribute those funds to provide grants and technical support to PSAPs, APCO said in White Paper released Mon. “While $25 million is not nearly enough money to fund all PSAPs in the United States, it is a significant beginning and APCO is hopeful that other donations will come forward,” group said. In its original waiver request to FCC on Phase 2 E911 implementation, Nextel proposed contributing up to $25 million over 2 years to help public safety community finance upgrades. Outline of APCO plans to seek broader funding sources for new foundation came after National Emergency Number Assn. (NENA) in Feb. questioned whether Nextel donation would hamper independence of public safety groups. Grant of money directly to NENA or APCO would “call into question” independence of each group’s representation before FCC, NENA said at time. APCO said its directors would serve as board for new foundation and Foundation Advisory Committee would be created to oversee its operation. Committee will establish eligibility rules and procedures for grant program and will oversee technical support and education outreach, it said. APCO extended invitations to representatives of NENA, National Assn. of Counties, International Assn. of Chiefs of Police, International Assn. of Fire Chiefs, National League of Cities, National Governors’ Assn. and National Sheriffs’ Assn. to participate on committee. APCO said it planned to announce advisory committee membership by end of month.
Panelists at NTIA Spectrum Management & Policy Summit Thurs. and Fri. differed on degree of overhaul needed in current govt. spectrum planning, but agreed fix was needed in system that bifurcated regulators along lines of govt. vs. commercial spectrum. “We are going to have to come up with some sort of integration of all these plans to satisfy a requirement,” said Frederick Wentland, NTIA acting asst. administrator: “How can we go about implementing a ‘national plan?'” Panels addressed how spectrum priorities for public safety and military users had been elevated since Sept. 11. Wireless industry officials, govt. spectrum users and regulators cited challenges on how to make regulatory process that’s not just reactive to user requests but can change allocations more quickly when business ventures fail. Sessions also tackled new questions raised if spectrum flexibility blurs lines between govt. and commercial users in terms of how regulators make decisions based on competing priorities.
U.S. Appeals Court, D.C., should reconsider decision making it “more difficult to justify retaining a rule than to justify adopting it in the first instance,” NAB said in petition for rehearing of court’s decision overturning 35% broadcast ownership cap. NAB petition filed Fri. also said appeals court panel decision didn’t give adequate deference to will of Congress and was at odds with court precedent. Petition said statute clearly directed FCC to determine whether existing rules no longer were in public interest, but “the public interest standard remains the same.” U.S. Supreme Court has recognized for decades that “the touchstone for assessing the substantive validity of the Commission’s rules is whether they serve the public interest, not whether they are strictly necessary in the public interest,” NAB said. Broadcasters said decision could be reconsidered either by panel itself or by court en banc.
FCC Media Bureau Chief Kenneth Ferree told reporters Fri. that cable operators should feel pressure to comply with Chmn. Powell’s “voluntary” plan to speed nation’s digital transition. Asked if fact that cable had several pivotal rulemakings and AT&T Comcast merger pending before Commission should weigh on industry as it considered its response to plan, Ferree said: “That probably should be their assumption… I don’t think they do themselves any favor at the Commission by not being proactive players in the digital transition.” He also held out possibility that if any of industries affected -- cable, broadcasters, satellite providers, equipment manufacturers and retailers -- balked, Commission could adopt formal rulemaking procedures to make any and all parts of Powell’s plan mandatory. He hinted that lawmakers could become involved, leaving door open for Congress to take lead if industries didn’t step in line. Ferree said House Commerce Committee Chmn. Rep. Tauzin (R- La.) had been consulted on plan before it was released publicly. “I don’t know whether there’s another step after this where the Hill gets involved or we get involved and things stop being voluntary and start being mandatory, but we're hoping to get the industry to commit to this,” Ferree said.
Three-judge panel of U.S. Appeals Court, D.C., seemed skeptical in oral argument Fri. on Global NAPS’ complaint that FCC should have preempted Mass. Dept. of Telecom & Energy (MDTE) in dispute over Verizon’s not paying reciprocal compensation for Internet-bound traffic (01-1192). MDTE in 1999 dismissed Global NAPS complaint on Verizon’s non- payment, and Global NAPS wanted FCC to preempt that decision and consider complaint itself. Commission turned down that request year later, saying it didn’t have authority to preempt MDTE in this case.
Comments on FCC’s unbundled network element (UNE) regime poured into FCC late Fri., offering views from nearly every perspective. Bells asked agency to scale back on UNE sharing, CLECs warned of “irreparable” harm if that happened, Progress & Freedom Foundation said reform would encourage broadband investment, National Telecom Co-op Assn. (NTCA) urged FCC to consider impact on rural areas. Telecom industry considers UNE review one of most important regulatory actions under way at FCC because debate touches on CLEC competition, Bell company participation in broadband, other issues. Commission is considering whether current UNE list can be reduced and whether such reduction could be made on geographic or service-specific basis. UNE regime requires Bell companies to lease portions of their network to their competitors for prices that Bells say are far too low.
Home Recording Rights Coalition called for immediate airing of public policy issues raised by cable industry’s POD-Host Interface License Agreement (PHILA), since version recently appeared on cable industry Web site. Several industry groups, consumer electronics manufacturers in particular, have complained that previous drafts of CableLabs license were kept secret and subject to strict nondisclosure agreement(CD March 25 p3). Gary Shapiro, who leads both HRRC and CEA, asked FCC to resolve all PHILA issues surrounding DTV transition. He also said FCC should request public comment on public policy issues of PHILA or other agreements that affected whether viewers could record content for home use.
Hughes urged FCC in filing to adopt Homogenous Constellations (HC) for proposed Ka-band nongeostationary orbit fixed satellite service (NGSO-FSS) systems. Commission is considering 4 spectrum-sharing plans, but Hughes said HC option would be best for operators. Hughes filing is direct response to plan proposed by Teledesic, only NGSO-FSS system authorized to provide Ka-band service as result of first round. Second round licenses are pending, but Commission is considering several spectrum-sharing options to facilitate service. Hughes said HC was spectrum-sharing technique in which all systems used similar power levels and had access to all 500 MHz of Ka-band spectrum, reducing inline interference events.
Tex. PUC said SBC/Southwestern Bell and other incumbent telcos must continue to offer unbundled local switching as stand-alone unbundled network element (UNE) and as element in UNE platforms regardless of whether FCC retains local switching as national UNE. PUC also indicated it might open review of SBC’s UNE rates. Ruling came on petition by group of CLECs and CLEC trade groups seeking order to keep unbundled local switching as state UNE. FCC in its current triennial review of national unbundling requirements is considering dropping unbundled switching from list of mandatory UNEs incumbent telcos must offer (see separate story). If that happened, and PUC hadn’t acted, SBC under Tex. rules could have withdrawn unbundled local switching 60 days after FCC decision. CLECs said such withdrawal would impair their ability to enter local markets. After PUC’s vote, CLEC interests said they hoped FCC and other states considering future of unbundled local switching would heed PUC’s action and its impact on preservation of competitive telecom choice.