Opposition to EchoStar takeover of DirecTV continued to mount, as group of 30 state attorneys gen. moved closer to filing lawsuit to stop merger, industry sources said. Group could file suit within month, after weeks of trading information and concerns about deal in series of conference calls. It’s concerned that EchoStar will have monopoly in rural areas where some consumers have no access to cable and limit choices of consumers in urban areas, group told U.S. Atty. Gen. John Ashcroft in Nov. letter. EchoStar denies charges. “We welcome the discussion of our merger,” spokesman said: “They're in a learning mode. Once we have an opportunity to discuss it with them, we think they'll see the enormous benefits that the merger will provide, such as more cities served with local channels, more HDTV and a faster rollout of high-speed Internet access that they would not get without the merger.” Company also said deal would give it more capacity to offer more local channels.
Ultra-wideband (UWB) developer XtremeSpectrum has submitted proposal to FCC that would “seriously limit” UWB emissions below 3.1 GHz, said attorney Mitchell Lazarus. He responded to letter written to NTIA from Asst. Defense Secy. for Command, Control Communications & Intelligence John Stenbit spelling out DoD’s position on UWB (CD Jan 25 p1). Stenbit told Commerce Dept.’s Deputy Asst. Secy. for Communications & Information Michael Gallagher that DoD required that there be no intentional emissions below 4.2 GHz except for imaging systems. DoD proposal to NTIA also includes out-of-band emissions that would meet “stringent standards” previously provided by DoD to NTIA staffers. XtremeSpectrum had told FCC in Sept. that it didn’t object to emissions limits in GPS band supported by GPS Industry Council. These include limits that are 35 dB below certain levels of Part 15 and additional 10 dB suppression of spectral lines as measured with 10 kHz resolution bandwidth. While there are several systems on record at FCC that indicate need for protection below 3.1 GHz, there is “almost nothing in the record showing a need between 3.1 and 4.2 GHz,” Lazarus said. “XtremeSpectrum has offered a 10 dB cut in that band anyway to expedite getting the rules out, although we don’t think it’s necessary. We don’t see any reason to limit emissions below 4.2 GHz any more steeply than by 10 dB.” On concerns over aggregation of UWB signals, Lazarus said company submitted figures to FCC last week that calculated potential aggregation impact of UWB signals. “If you have an ultra-wideband emitter 3 meters away and 100 meters away there are 100,000 ultra-wideband emitters, all at the same power,” Lazarus said the 100,000 UWB emitters will only contribute “1 percent as much interference as the single unit 3 meters away.”
FCC said comments on its proposed Equal Employment Opportunity (EEO) rules are due March 15, replies April 15 (CD Dec 13 p4).
FCC ordered DirecTV to carry signals of 36 Paxson stations in 31 markets, in response to complaint filed by broadcaster citing must-carry rule. DirecTV argued that Paxson had elected retransmission consent rather than mandatory carriage for first election cycle, and sought dismissal of complaint on jurisdictional ground, arguing that exclusive remedy for failure of satellite carrier to meet carriage obligation was civil action that should be decided in federal court. Sec. 338 of Commission rules allows denial of carriage when there is retransmission agreement, DirecTV said. FCC denied jurisdictional claim by DirecTV and ruled its good-faith argument wasn’t adequate defense and Paxson had indeed elected mandatory carriage rather than retransmission consent for first election cycle. FCC ordered DirecTV to carry WPXN-TV (N.Y.), KPXN (San Bernardino), WCPX (Chicago), WPPX (Wilmington, Del.), KKPX (San Jose), WPXB (Merrimack, N.H.), WBPX (Boston), WPXG (Concord, N.H.), WDPX (Vineyard Haven, Mass.), KPXD (Arlington, Tex.), WPXW (Manassas, Va.), WWPX (Martinsburg, W.Va.), WPXD (Ann Arbor, Mich.), WPXA (Rome, Ga.), KBXB (Conroe, Tex.), KWPX (Bellevue, Wash.), KPXM (St. Cloud, Minn), WXPX (Bradenton, Fla.), WVPX (Akron, O.), WPXM (Miami, Fla.), KPPX (Tolleson, Ariz.), KPXC (Denver), KSPX (Sacramento), WOPX (Melbourne, Fla.), KPXG (Salem, Ore.), WIPX (Bloomington, Ind.), WFPX (Fayetteville, N.C.), WRPX (Rocky Mount, N.C.), KPXE (Kansas City, Mo.), WNPX (Cookeville, Tenn.), WPXE (Kenosha, Wis.), KUPX (Provo), KPXL (Uvalde, Tex.), WPXH (Gadsden, Ala.), WPXP (Lake Worth, Fla.), WGPX (Burlington, N.C.). DirecTV must comply with order within 60 days unless it provides Paxson with specific reasons for refusing to carry stations on reasonable basis within 15 business days, FCC said.
Verizon asked FCC to reconsider its decision denying carrier confidential treatment of portions of its N.Y. Sec. 272 audit report (CD Jan 14 p4). “The order sets a bad precedent that will impair the conduct of future audits,” Verizon said in petition filed Tues. “Release of the proprietary information in the audit report will cause Verizon irreparable harm,” it told Commission. It also asked agency to stay release of data until it decided on reconsideration request. Sec. 272 of Telecom Act requires Bells, once they get permission to enter long distance market in a state, to get independent audit that attests they're complying with required competitive safeguards in that state. At issue is Verizon’s first such audit -- for N.Y.
U.S. Supreme Court Mon. granted extension until Feb. 1 for responses to be filed on FCC’s request for review of U.S. Appeals Court, D.C., ruling that returned PCS licenses to NextWave. NextWave, Alaska Native Wireless (ANW) and VoiceStream had backed additional time in interest of possibly reaching settlement agreement over licenses. Verizon Wireless had balked at request for 30-day extension, telling court Fri. that there was “no current prospect of the parties’ reaching a new settlement” and that proposed 30-day extension would cause it “irreparable harm.” Verizon had told court, however, it didn’t oppose 14-day extension, which is what Supreme Court granted Mon. Verizon acknowledged last week that it wasn’t interested in another round of settlement negotiations until deposit on NextWave licenses it made after Jan. 2001 reauction was returned. But several industry observers said backing of VoiceStream and ANW, designated entity that has financial backing from AT&T Wireless, could point to new shape that settlement prospects are taking. “It kind of shows where the rift is,” industry observer said. FCC filed petition for review at Supreme Court Oct. 19 over U.S. Appeals Court, D.C., ruling that overturned agency’s cancellation of NextWave’s licenses for missed payment. Congress ultimately failed to pass settlement agreement reached by NextWave, re-auction winners and govt. over licenses by Dec. 31 deadline. As result, that earlier agreement terminated at year-end, NextWave told high court. “An additional 30-day extension is needed to permit exploration of possible alternative settlement arrangements for resolving the dispute between NextWave and the government over NextWave’s rights to the spectrum licenses,” NextWave told court. Acting Solicitor Gen. Paul Clement indicated he didn’t object to request for more time, NextWave said. ANW and VoiceStream told Supreme Court that request for more time wouldn’t affect effort by Jan. 2001 re-auction winners to get deposits on their licenses returned by FCC. Filing was made by Arctic Slope Regional Corp., Council Tree Communications and VoiceStream. Arctic Slope was original intervenor in NextWave court proceedings. Arctic Slope and Council Tree are among managing members of what came to be ANW when re- auction was held. Carriers that won NextWave licenses in re- auction year ago -- including ANW, Verizon Wireless and VoiceStream -- asked Commission to refund $3.1 billion in down payments that agency has been holding for nearly year. ANW and VoiceStream argued to high court that: (1) Extension of time wouldn’t have “any bearing” on separate matter of refund from FCC on NextWave licenses. “Indeed, because this case would not be heard until next term in any event, we do not believe the requested extension would prejudice any party,” they said. (2) More time would help in exploring settlement options over license disputes. Carriers said they disagreed with Verizon Wireless that “there are no prospects for settlement at this time.” While not balking at shorter extension, Verizon Wireless had said it would suffer “irreparable harm” if court granted full 30-day request. Carrier told court that from its perspective, there wasn’t any current prospect of reaching new settlement over licenses.
FCC Assoc. Gen. Counsel Mark Schneider returns to Sidley, Austin Brown & Wood… News Corp. Exec. Vp-Human Resources William O'Neill retires… President Bush plans to appoint to National Security Telecom Advisory Committee: Global Crossing CEO Thomas Casey, Motorola Chmn. Christopher Galvin, SBC Chmn. Earl Whitacre… UPN Pres. Dean Valentine officially leaves company, effective immediately, following reorganization by CBS… Andrew Evans rejoins FLAG Telecom as chief technology officer… Lawrence Codacovi, ex-Pangea and MCI, elected to ePhone Telecom board.
NAB board voted Sun. to support adoption of new EEO rules -- but not those proposed by FCC -- with comments due in March. Commission’s proposal would set outside recruitment requirements on licensees, which NAB Gen. Counsel Jack Goodman told us was “unneeded and redundant.” NAB Exec. Vp Henry Baumann said NAB “will come up with a much more effective [EEO recruitment] plan than the one proposed by the FCC.” Other NAB officials said efforts would be made to secure support of other groups before broadcasters’ proposal was submitted to Commission. Currently pending before Supreme Court (which hasn’t said whether it would accept case) is appeal by public interest groups of U.S. Appeals Court, D.C., ruling year ago this week declaring FCC’s 2nd set of EEO requirements unconstitutional.
Asst. Defense Secy. for Command, Control, Communications & Intelligence John Stenbit spelled out Pentagon’s ultra- wideband (UWB) position for NTIA Fri., saying DoD required that there be no intentional emissions below 4.2 GHz except for imaging systems. That position, outlined in Stenbit letter to Commerce Dept.’s Deputy Asst. Secy. for Communications & Information Michael Gallagher, doesn’t reflect harder line approach of agencies such as Dept. of Transportation and NASA. Those parts of federal govt., which share DoD concerns about potential of UWB to interfere with GPS-dependent systems, still advocate no intentional emissions “below 6 GHz, period,” industry source said. DoD proposal to bar UWB emissions below 4.2 GHz, with some limited exceptions, is “a long-term position taken to protect vital DoD systems that ensure our national security,” Stenbit said in letter released Mon.: “That position is further justified by recent public reports that such initial rollouts may constitute just the ‘camel’s nose under the tent’ of commercial investment in UWB.” FCC plans to take up UWB item at Feb. 14 meeting.
Latest Statistics of Communications Common Carriers report is available now at Govt. Printing Office (GPO), FCC announced Mon. It 2000-2001 edition includes great deal of data on such things as carriers’ costs, revenues, prices, usage. Report, 264 pages, sells for $35.50 (stock number 004-000-00510-4) -- 202-512-1800.