Wednesday, February 23, 2011
Clearwire is looking to sell some of its unused spectrum to shore up its balance sheet, ?
Clearwire is looking to sell some of its unused spectrum to shore up its balance sheet - IS this all there is TO It ? Or are there Secret Alliances and Conflicts of Interest that the FCC is purposely Ignoring ?
"NEW YORK (Dow Jones)--Clearwire Corp. (CLWR) said it is weighing multiple offers for its wireless spectrum, but doesn't expect to make a decision until the second quarter, as the company attempts to firm up its financial footing.
Clearwire is looking to sell some of its unused spectrum to shore up its balance sheet, a major concern as the company continues to burn through cash. It posted a wider fourth-quarter loss on Thursday despite a surge in customers.
Despite a debt offering in December, the company said it had enough funds to last through the middle of this year.
Clearwire said it has received bids from multiple interested parties seeking a varying amount of spectrum, adding that some of the parties expressed interest in exploring other strategic transactions. The company is evaluating the offers, and said it is delaying the conclusion until the second quarter.
Chief Executive Bill Morrow said he has a strong preference to secure an additional strategic investment.
Clearwire's other option is to obtain additional financing from Sprint Nextel Corp. (S), which already owns 54% of the company.
Sprint CEO Dan Hesse told Dow Jones Newswires last week that his company hasn't begun to evaluate the possibility of providing financing to Clearwire.
He also ruled out buying Clearwire outright.
Clearwire is building and managing the 4G network powering the service that Sprint sells to its customers, but the companies have had their differences.
The companies disagree on how much Sprint should pay Clearwire as a wholesale customer. Clearwire said the companies have held "productive discussions" about the dispute.
"Dan Hesse and I have regular discussions, and we're both encouraged by the progress of our teams," Morrow told analysts. "The relationship is healthy and strong."
Morrow said Clearwire is focused on coming up with a resolution, which he believes is imminent, before deciding upon its spectrum options.
Sprint has also been irked by Clearwire's retail presence, which in some areas competes against Sprint.
Clearwire said on Thursday that it plans to aggressively grow its wholesale business and reduce expenses, but added that it plans to "prudently pace our retail growth."
It still expects double-digit percentage customer growth from its retail business this year.
To conserve cash, Clearwire in November suspended its future retail plans, including delaying the launch of a smartphone using its Clear brand, cut 15% of its work force, and cut its plans to expand its network beyond what it had originally planned.
The company said it plans to roll out its network to other markets once it obtains more financing.
Clearwire's move to limit its retail presence has helped to ease tensions between the two companies, according to people familiar with the situation.
"We'll be tied at the hip for quite some time," Morrow said about Clearwire and Sprint.
While Clearwire's retail presence isn't expected to contribute much growth, its wholesale business has performed strongly. Sprint, the largest wholesale customer, has hinged much of its turnaround on the successful adoption of 4G smartphones and services. The companies, however, face more competition with every other carrier touting a 4G service of their own.
For the latest period, Clearwire added 1.5 million subscribers, bring its total base to 4.4 million from 688,000 a year earlier. It said it expects to end the year with 8.8 million subscribers.
Clearwire reported a loss of $128 million, compared with a loss of $98.7 million a year earlier. On a per-share basis, the loss was 53 cents compared with 55 cents a year earlier, as the number of shares outstanding increased. Revenue more than doubled, to $180.7 million. "
"NEW YORK (Dow Jones)--Clearwire Corp. (CLWR) said it is weighing multiple offers for its wireless spectrum, but doesn't expect to make a decision until the second quarter, as the company attempts to firm up its financial footing.
Clearwire is looking to sell some of its unused spectrum to shore up its balance sheet, a major concern as the company continues to burn through cash. It posted a wider fourth-quarter loss on Thursday despite a surge in customers.
Despite a debt offering in December, the company said it had enough funds to last through the middle of this year.
Clearwire said it has received bids from multiple interested parties seeking a varying amount of spectrum, adding that some of the parties expressed interest in exploring other strategic transactions. The company is evaluating the offers, and said it is delaying the conclusion until the second quarter.
Chief Executive Bill Morrow said he has a strong preference to secure an additional strategic investment.
Clearwire's other option is to obtain additional financing from Sprint Nextel Corp. (S), which already owns 54% of the company.
Sprint CEO Dan Hesse told Dow Jones Newswires last week that his company hasn't begun to evaluate the possibility of providing financing to Clearwire.
He also ruled out buying Clearwire outright.
Clearwire is building and managing the 4G network powering the service that Sprint sells to its customers, but the companies have had their differences.
The companies disagree on how much Sprint should pay Clearwire as a wholesale customer. Clearwire said the companies have held "productive discussions" about the dispute.
"Dan Hesse and I have regular discussions, and we're both encouraged by the progress of our teams," Morrow told analysts. "The relationship is healthy and strong."
Morrow said Clearwire is focused on coming up with a resolution, which he believes is imminent, before deciding upon its spectrum options.
Sprint has also been irked by Clearwire's retail presence, which in some areas competes against Sprint.
Clearwire said on Thursday that it plans to aggressively grow its wholesale business and reduce expenses, but added that it plans to "prudently pace our retail growth."
It still expects double-digit percentage customer growth from its retail business this year.
To conserve cash, Clearwire in November suspended its future retail plans, including delaying the launch of a smartphone using its Clear brand, cut 15% of its work force, and cut its plans to expand its network beyond what it had originally planned.
The company said it plans to roll out its network to other markets once it obtains more financing.
Clearwire's move to limit its retail presence has helped to ease tensions between the two companies, according to people familiar with the situation.
"We'll be tied at the hip for quite some time," Morrow said about Clearwire and Sprint.
While Clearwire's retail presence isn't expected to contribute much growth, its wholesale business has performed strongly. Sprint, the largest wholesale customer, has hinged much of its turnaround on the successful adoption of 4G smartphones and services. The companies, however, face more competition with every other carrier touting a 4G service of their own.
For the latest period, Clearwire added 1.5 million subscribers, bring its total base to 4.4 million from 688,000 a year earlier. It said it expects to end the year with 8.8 million subscribers.
Clearwire reported a loss of $128 million, compared with a loss of $98.7 million a year earlier. On a per-share basis, the loss was 53 cents compared with 55 cents a year earlier, as the number of shares outstanding increased. Revenue more than doubled, to $180.7 million. "
T-Mobile USA - Sprint Nextel - Clearwire Corporation
"Clearwire doesn't need Sprint's OK for a T-Mobile deal
Despite a recent report that indicated Sprint Nextel's (NYSE:S) board is debating whether to allow T-Mobile USA to invest in Clearwire (NASDAQ:CLWR), ultimately Sprint does not have final say in the matter.
A report in the Wall Street Journal said Sprint's board is divided on the issue. However, while Sprint owns 54 percent of Clearwire's outstanding shares, and can appoint seven of the company's 13 board members, major decisions like allowing another strategic investor require the approval of 10 board members. So, in theory, while Sprint holds sway on Clearwire's board, it is not the ultimate authority.
Despite a recent report that indicated Sprint Nextel's (NYSE:S) board is debating whether to allow T-Mobile USA to invest in Clearwire (NASDAQ:CLWR), ultimately Sprint does not have final say in the matter.
A report in the Wall Street Journal said Sprint's board is divided on the issue. However, while Sprint owns 54 percent of Clearwire's outstanding shares, and can appoint seven of the company's 13 board members, major decisions like allowing another strategic investor require the approval of 10 board members. So, in theory, while Sprint holds sway on Clearwire's board, it is not the ultimate authority.
Source and Full Article
October 2010
"Clearwire Selling off Spectrum for more funding
In what appears to be a last resort in garnering more funding, Clearwire (NASDAQ:CLWR) is aiming to sell some of its vast amount of spectrum to raise between $2.5 billion and $5 billion, according to a Bloomberg report.
Despite having big-named backers such as Sprint, which owns 54 percent of the company, Comcast, Intel and Time Warner, it appears that none of them want to plug additional money into the WiMAX operator.
Tensions have recently increased over the strategic direction of the company, according to published reports.
The Bloomberg report, citing unnamed sources familiar with the deal, said that AT&T Mobility (NYSE:T), Verizon Wireless (NYSE:VZ), Sprint Nextel (NYSE:S), T-Mobile USA parent Deutsche Telekom and Clearwire investor Time Warner have expressed interest in acquiring the spectrum.
So far the companies have engaged in two rounds of bidding, which is private and is being managed by Deutsche Bank, Bloomberg said.
Clearwire holds approximately 120 megahertz of spectrum in the 2.5 GHz to 2.6 GHz band.
Bloomberg said the operator is aiming to sell about 40 megahertz of that.
Clearwire has long touted its vast spectrum holdings as an operating advantage when it comes to network speed and capacity.
T-Mobile and Clearwire have been holding discussions about whether the operator will become a wholesale partner of Clearwire.
Recently, Sprint said it had no interest in taking ownership of the operator, while Comcast said it is unlikely to up its 9-percent interest. "
Source of Clearwire Corp Spectrum Sale Post
http://www.fiercebroadbandwireless.com/story/report-clearwire-selling-spectrum-more-funding/2010-10-13
Isn't T-Mobile in With Lightsquared? Look Deep, Smoke and Mirrors Everywhere on this MSS Spectrum Drama and HUGE money in the Soon to Be Biggest Industry in the U.S and Everywhere Really..
Time Warner Inc. Stole a 13 Trillion Dollar Technology and Make Billions Monthly, as they have for over a Decade in the Stolen iViewit Technology So Why not just Steal Spectrum Jeffrey Bewkes, Time Warner CEO. And Why is the Ex-Time Warner General Counsel Curtis Lu REALLY the Lightsquared (Philip Falcone, Harbinger Capital) General Counsel Now?
"Clearwire Selling off Spectrum for more funding
In what appears to be a last resort in garnering more funding, Clearwire (NASDAQ:CLWR) is aiming to sell some of its vast amount of spectrum to raise between $2.5 billion and $5 billion, according to a Bloomberg report.
Despite having big-named backers such as Sprint, which owns 54 percent of the company, Comcast, Intel and Time Warner, it appears that none of them want to plug additional money into the WiMAX operator.
Tensions have recently increased over the strategic direction of the company, according to published reports.
The Bloomberg report, citing unnamed sources familiar with the deal, said that AT&T Mobility (NYSE:T), Verizon Wireless (NYSE:VZ), Sprint Nextel (NYSE:S), T-Mobile USA parent Deutsche Telekom and Clearwire investor Time Warner have expressed interest in acquiring the spectrum.
So far the companies have engaged in two rounds of bidding, which is private and is being managed by Deutsche Bank, Bloomberg said.
Clearwire holds approximately 120 megahertz of spectrum in the 2.5 GHz to 2.6 GHz band.
Bloomberg said the operator is aiming to sell about 40 megahertz of that.
Clearwire has long touted its vast spectrum holdings as an operating advantage when it comes to network speed and capacity.
T-Mobile and Clearwire have been holding discussions about whether the operator will become a wholesale partner of Clearwire.
Recently, Sprint said it had no interest in taking ownership of the operator, while Comcast said it is unlikely to up its 9-percent interest. "
Source of Clearwire Corp Spectrum Sale Post
http://www.fiercebroadbandwireless.com/story/report-clearwire-selling-spectrum-more-funding/2010-10-13
Isn't T-Mobile in With Lightsquared? Look Deep, Smoke and Mirrors Everywhere on this MSS Spectrum Drama and HUGE money in the Soon to Be Biggest Industry in the U.S and Everywhere Really..
Time Warner Wants Spectrum?
Time Warner Inc. Stole a 13 Trillion Dollar Technology and Make Billions Monthly, as they have for over a Decade in the Stolen iViewit Technology So Why not just Steal Spectrum Jeffrey Bewkes, Time Warner CEO. And Why is the Ex-Time Warner General Counsel Curtis Lu REALLY the Lightsquared (Philip Falcone, Harbinger Capital) General Counsel Now?
Crystal L. Cox
Crystal@CrystalCox.com
Resources On Time Warner Inc. STEALING iViewit Technology
Resources On Time Warner Inc. STEALING iViewit Technology
Changing its Wireless Communications Service (WCS) Rules
.. More Coming Soon..
Crystal L. Cox
Investigative Blogger
Crystal@CrystalCox.com
Globalstar Lease Terrestrial Spectrum capacity to Open Range
"Jeffrey Krauss explains Satellites and Stimulus Loans
In May 2009, I wrote optimistically about the expected resurgence of the mobile satellite service (MSS) business.
Well, it didn’t happen. Not only that, but Globalstar recently had part of its satellite authorization yanked by the FCC.
The fallout from that FCC decision may cause a huge default in the federal broadband stimulus funding, resulting in a big political mess.
Globalstar is the only MSS operator that did deploy ATC service – at least sort of.
What Globalstar did was to Lease Terrestrial Spectrum capacity to Open Range Communications, which then went to the Agriculture Department’s Rural Utilities Service (RUS) for a Broadband Stimulus Loan.
And based on their deal with Globalstar and their plan to deploy WiMAX technology in 546 rural areas, they got the loan – to the tune of $266 million.
While that was going on, Globalstar was at the FCC asking for waivers of some of the FCC ATC rules.
The FCC insists that the terrestrial ATC service be “ancillary” to the satellite service, and the Commission has a number of rules in place to make sure that the spectrum is not used for a solely terrestrial mobile service.
Globalstar’s existing satellites could not meet those requirements, but it promised that it would have a new system of 24 satellites deployed by July 1, 2010, that could.
So in 2008, the FCC granted Globalstar a 16-month waiver of the ATC rules.
But the new system has not been launched.
The FCC found that the real cause for delay was that Globalstar ran into financing problems and failed to make payments to Thales for several months, so Thales accordingly slowed work.
A further complicating factor is that the existing Globalstar Satellites are broken.
The Globalstar System uses spectrum around 1610 MHz (“L-band”) for uplinks and 2490 MHz (“S-band”) for downlinks. But the S-band transmitters on the satellites have become “increasingly impacted by degradation.” That is to say that there are periods of time each day, at any given location, where they don’t work.
Then in December 2009, Globalstar revealed the satellite launch delays to the FCC and asked for an additional 16-month waiver of the ATC requirements.
In mid-September 2010, the FCC came back with a loud “NO” and revoked Globalstar’s ATC authorization, which had the effect of canceling the Spectrum Lease.
The FCC gave Open Range until January 2011 to continue in operation while it finds other spectrum to use.
Globalstar service has been on a downward spiral service degradation caused from radiation. GlobalStar planned to re-use some of their satphone frequencies on terrestrial towers — but the spectrum is supposed to be “ancillary” not “in lieu of” satellite service. Six, 2nd generation Globalstar satellites were launched on Oct 20th.
A total of four launches of six satellites each will be conducted.
Globalstar chose Thales Alenia Space to design and deliver 48 second-generation satellites to provide voice and data services.
The other satellites in the Globalstar-2 Constellation are now under construction at Thales Alenia Space facilities in France and Italy.
Globalstar was assigned the 1610-1615.5 MHz and 2487.5-2493 MHz band for Globalstar ATC.
The FCC modified Globalstar’s license to permit use of WiMAX, allowing Open Range Communications to deploy their rural broadband service.
Globalstar holds a space station license for the Globalstar 1.6/2.4 GHz MSS system via Low Earth Orbit Satellites.
FCC rulemaking permits Mobile Satellite Service (MSS) licensees in the 2 GHz (1990-2025 MHz and 2165-2200 MHz) bands (where ICO and Terrastar operate), the L-band (1525-1544 MHz/1545-1559 MHz) and 1626.5-1645.5 MHz/1646.5-1660.5 MHz) bands (where Inmarsat and Skyterra operate), and the “Big LEO” (1610-1626.5 MHz and 2483.5-2500 MHz) bands (where Globalstar and Iridium operate).
ATC authority would potentially allow Globalstar to use 11 MHz of its 1.6/2.4 GHz satellite radio frequencies for a complementary terrestrial wireless service.
ATC authority will allow ICO to use about half of its 20 megahertz (2010-2020 MHz and 2180-2190 MHz), for two-way terrestrial communications (pdf).
ATC authority will allow SkyTerra to use about half of its 20 megahertz (2000-2010 MHz and 2190-2200 MHz). Their TerreStar-1 planned to use Nokia Siemens to provide I-HSPA gear for the terrestrial portion of the network which will be deployed as UMTS wideband CDMA.
LightSquared launched SkyTerra 1 in mid November, 2010 and uses the 1.6 GHz band (with 10 MHz available for ATC-based LTE service).
Globalstar and Iridium are the two LEO constellations. TerreStar, Lightsquared and ICO are geosynchronous satellite platforms.
LightSquared of Reston, Virginia, launched SkyTerra 1 in mid November, 2010. The craft is one of two that will provide Satphone Service in the second half of next year from startup LightSquared.
The first order of business for Lightsquared is to get their Massive Antenna unfurled. Their 22-meter (72 feet) L-band reflector-based antenna — the largest commercial antenna reflector to be put into service – is currently stuck.
LightSquared’s plans for a ground-based cellular network that will include approximately 40,000 base stations. About 10 MHz of their 20 MHz bandwidth would be devoted to 1.6GHz LTE service — if they find an interested party to build the nationwide network.
The FCC initially proposed opening up the 90MHz of spectrum as part of its National Broadband Plan.
The 90MHz chunk of spectrum is the second largest that the FCC is seeking to open as part of its national plan, after the 120MHz from broadcast TV airwaves.
In May, the Commission made another 25MHz of satellite spectrum available for mobile broadband by Changing its Wireless Communications Service (WCS) Rules.
Source of MSS Spectrum Post
FCC Probe, Satphone Spectrum for 4G, Alvarion, Open Range, WiChorus Ropes Open Range, Broadband Satellites, SkyTerra, AT&T/TerreStar, WildBlue, roadband Stimulus Loan,Globalstar, Terrestrial Spectrum, Open Range, Globalstar ATC, Globalstar and Lightsquared, Open Range - Lightsquared, Thales Alenia Space,ICO, TerreStar, Philip Falcone, Harbinger Capital Partners,
MSS Spectrum News Archives - Moves by Clearwire and FCC oversight could make Harbinger's spectrum gamble look like a very bad bet.
November 9th 2010
"When Barack Obama’s National Broadband Plan was published in March, wireless broadband spectrum was identified as crucial in helping the US to realise its broadband goals. A chunk of this spectrum had been reserved for mobile satellite services (MSS).
Yet due to the expense of creating a hybrid satellite and terrestrial network, it had remained largely unused.
Even so, because the Federal Communications Commission (FCC) had provided this Spectrum Free of Charge, many observers believed it would be extremely valuable if conditions regarding its use for terrestrial services were eventually relaxed. Chief among them was Philip Falcone and Harbinger, his New York hedge fund.
Harbinger's bullishness was apparent when it bought SkyTerra, a struggling MSS operator, in the same month Mr Obama revealed his broadband plan. SkyTerra had reported a net loss of US$64m on revenues of just US$8m in the final quarter of 2009.
Yet Harbinger had realised the Spectrum SkyTerra owned would have considerable value if the FCC allowed it to be used for a so-called ancillary terrestrial component (ATC).
Eager to put the MSS Spectrum to effective use on the ground, and help move the National Broadband Plan forwards, the FCC altered regulations regarding its usage to suit Harbinger's needs at the same time it approved the hedge fund's takeover of SkyTerra for just US$263m.
Following the acquisition, Harbinger launched a new business called LightSquared – aimed at becoming a national wireless broadband network operating an exclusively wholesale business and expected to cost US$7bn to build.
Soon afterwards, Mr Falcone was suggesting that SkyTerra's spectrum could be worth as much as US$3–5bn. His lofty valuation was based on the expectation that a similar but smaller chunk of spectrum held by Terrestar – another satellite company 30% owned by Harbinger – could be valued at between US$1.5bn and US$2bn, even if Terrestar went bankrupt (always a possibility given the FCC's stringent conditions that spectrum must be used or rescinded).
Last month, it did just that, only weeks after launching its first commercial dual-mode handset (working on both satellite and terrestrial networks) through mobile-phone operator AT&T. With the value of Terrestar's Spectrum set to become the subject of intense scrutiny in the coming months, Mr Falcone's bold assertions could be put to the test.
LightSquared's many challenges
Perhaps the biggest challenge to Mr Falcone's business case comes from Clearwire.
Majority owned by US operator Sprint Nextel, Clearwire already operates its own wireless broadband network and is shopping its wholesale capacity to potential retail partners (it recently scored a deal with Best Buy, the world's largest electronics retailer).
LightSquared is not only playing catch-up from a network perspective but is also targeting many of the same potential customers. T-Mobile is a case in point.
The fourth-largest mobile-phone operator in the US, it is the sort of customer LightSquared craves.
What's more, because Sprint Nextel holds equity in Clearwire, and the FCC has ruled that neither AT&T nor Verizon can lease more than 25% of LightSquared's network, T-Mobile is the only one of the four major mobile-phone operators that could become a key anchor tenant for LightSquared.
Yet T-Mobile has reportedly been in talks with Clearwire about a partnership.
Perhaps more worrying for Mr Falcone is Clearwire's current spectrum sale, expected to be completed by the end of this month.
If it is true that Mr Falcone really wants to profit from the perceived value of LightSquared's spectrum (before ever having to run a real network), then Clearwire could deliver a huge blow to his spectrum arbitrage exit strategy by delivering the wrong kind of valuation benchmark.
While the FCC appears to have been on LightSquared’s side so far, its recent moves may also cause jitters at Harbinger.
In September, a company called Open Range, which relies on ATC spectrum owned by MSS operator Globalstar to operate its rural terrestrial wireless network, was denied a request to delay meeting ATC satellite criteria for a further 16 months.
Open Range has effectively been left in limbo by the decision and must now find other spectrum to offer its services.
Given the FCC's strict rollout targets for LightSquared's terrestrial and satellite services, the ruling against Open Range issues a stern warning to the Harbinger-backed company.
Although LightSquared has been busy in recent months, announcing a US$7bn network agreement with Nokia Siemens Networks, a chipset deal with Qualcomm and around US$2bn in debt and equity commitments, numerous developments could upset the business. Partnership with Clearwire could knock T-Mobile out of LightSquared's equation, while the outcome of Clearwire's Spectrum Sale could also make LightSquared look like a very bad hedge by Mr Falcone.
And deprived of a quick exit strategy, LightSquared could find the cost of actually building a hybrid satellite and terrestrial network to the FCC’s tight rollout targets proves too much. Particularly if all the big retail partners are gone."
Source of Nokia Siemens Networks, LightSquared, Clearwire Corp., Philip Falcone, Craig McCaw, Qualcomm, Open Range Post
"When Barack Obama’s National Broadband Plan was published in March, wireless broadband spectrum was identified as crucial in helping the US to realise its broadband goals. A chunk of this spectrum had been reserved for mobile satellite services (MSS).
Yet due to the expense of creating a hybrid satellite and terrestrial network, it had remained largely unused.
Even so, because the Federal Communications Commission (FCC) had provided this Spectrum Free of Charge, many observers believed it would be extremely valuable if conditions regarding its use for terrestrial services were eventually relaxed. Chief among them was Philip Falcone and Harbinger, his New York hedge fund.
Harbinger's bullishness was apparent when it bought SkyTerra, a struggling MSS operator, in the same month Mr Obama revealed his broadband plan. SkyTerra had reported a net loss of US$64m on revenues of just US$8m in the final quarter of 2009.
Yet Harbinger had realised the Spectrum SkyTerra owned would have considerable value if the FCC allowed it to be used for a so-called ancillary terrestrial component (ATC).
Eager to put the MSS Spectrum to effective use on the ground, and help move the National Broadband Plan forwards, the FCC altered regulations regarding its usage to suit Harbinger's needs at the same time it approved the hedge fund's takeover of SkyTerra for just US$263m.
Following the acquisition, Harbinger launched a new business called LightSquared – aimed at becoming a national wireless broadband network operating an exclusively wholesale business and expected to cost US$7bn to build.
Soon afterwards, Mr Falcone was suggesting that SkyTerra's spectrum could be worth as much as US$3–5bn. His lofty valuation was based on the expectation that a similar but smaller chunk of spectrum held by Terrestar – another satellite company 30% owned by Harbinger – could be valued at between US$1.5bn and US$2bn, even if Terrestar went bankrupt (always a possibility given the FCC's stringent conditions that spectrum must be used or rescinded).
Last month, it did just that, only weeks after launching its first commercial dual-mode handset (working on both satellite and terrestrial networks) through mobile-phone operator AT&T. With the value of Terrestar's Spectrum set to become the subject of intense scrutiny in the coming months, Mr Falcone's bold assertions could be put to the test.
LightSquared's many challenges
Perhaps the biggest challenge to Mr Falcone's business case comes from Clearwire.
Majority owned by US operator Sprint Nextel, Clearwire already operates its own wireless broadband network and is shopping its wholesale capacity to potential retail partners (it recently scored a deal with Best Buy, the world's largest electronics retailer).
LightSquared is not only playing catch-up from a network perspective but is also targeting many of the same potential customers. T-Mobile is a case in point.
The fourth-largest mobile-phone operator in the US, it is the sort of customer LightSquared craves.
What's more, because Sprint Nextel holds equity in Clearwire, and the FCC has ruled that neither AT&T nor Verizon can lease more than 25% of LightSquared's network, T-Mobile is the only one of the four major mobile-phone operators that could become a key anchor tenant for LightSquared.
Yet T-Mobile has reportedly been in talks with Clearwire about a partnership.
Perhaps more worrying for Mr Falcone is Clearwire's current spectrum sale, expected to be completed by the end of this month.
If it is true that Mr Falcone really wants to profit from the perceived value of LightSquared's spectrum (before ever having to run a real network), then Clearwire could deliver a huge blow to his spectrum arbitrage exit strategy by delivering the wrong kind of valuation benchmark.
While the FCC appears to have been on LightSquared’s side so far, its recent moves may also cause jitters at Harbinger.
In September, a company called Open Range, which relies on ATC spectrum owned by MSS operator Globalstar to operate its rural terrestrial wireless network, was denied a request to delay meeting ATC satellite criteria for a further 16 months.
Open Range has effectively been left in limbo by the decision and must now find other spectrum to offer its services.
Given the FCC's strict rollout targets for LightSquared's terrestrial and satellite services, the ruling against Open Range issues a stern warning to the Harbinger-backed company.
Although LightSquared has been busy in recent months, announcing a US$7bn network agreement with Nokia Siemens Networks, a chipset deal with Qualcomm and around US$2bn in debt and equity commitments, numerous developments could upset the business. Partnership with Clearwire could knock T-Mobile out of LightSquared's equation, while the outcome of Clearwire's Spectrum Sale could also make LightSquared look like a very bad hedge by Mr Falcone.
And deprived of a quick exit strategy, LightSquared could find the cost of actually building a hybrid satellite and terrestrial network to the FCC’s tight rollout targets proves too much. Particularly if all the big retail partners are gone."
Source of Nokia Siemens Networks, LightSquared, Clearwire Corp., Philip Falcone, Craig McCaw, Qualcomm, Open Range Post
http://www.eiu.com/index.asp?layout=ib3Article&pubtypeid=1162462501&article_id=1517583136&rf=0
So Was the Spectrum Free from the FCC or Not?
Clearwire Corp., Craig McCaw did not REALLY Exit? It was more of a Strategic Move to Make him and Eagle River Investors More Money, for it Looks Like Craig McCaw had inside information, in my Opinion... as Isn't T-Mobile hooked up with Philip Falcone and Harbinger Capital and won't T-Mobile be one of the MSS Spectrum Retailers for LightSquared ? Look Deep, Very Deep...
Philip Falcone, Senior Managing Director, Harbinger Capital Partners
"What makes him powerful: Philip Falcone, a former trader with Barclays Capital, founded Harbinger Capital Partners in 2001 with the intent of specializing in distressed events or strategies.
The firm has owned stakes in the New York Times Company and British sugar producer Tate & Lyle.
More interestingly, it currently owns a stake in mobile satellite firm SkyTerra. Harbinger gained notoriety earlier this year when it launched LightSquared, a new venture that will use SkyTerra's MSS spectrum, Ancillary Terrestrial Component spectrum and terrestrial-only spectrum--along with spectrum hosting and pooling agreements--to roll out a nationwide wholesale LTE network.
LightSquared plans initial LTE trials in Baltimore, Denver, Las Vegas and Phoenix.
The firm, which has access to a total of 59 MHz of spectrum, has said its network will consist of around 40,000 cellular base stations covering 92 percent of the U.S. population by 2015. LightSquared's plans stunned many in the industry and sparked a lot of skepticism over whether Falcone and LightSquared could generate enough funding to follow through on the ambitious LTE plans.
Nevertheless, Falcone and his team are moving full steam ahead.
In July LightSquared announced it received an additional $1.75 billion in debt and equity .. "
Source of Philip Falcone, Senior Managing Director, Harbinger Capital Partners, Lightsquared Post
http://www.4gspeed.net/articles/390807/20-philip-falcone-senior-managing-director-harbing/
The firm has owned stakes in the New York Times Company and British sugar producer Tate & Lyle.
More interestingly, it currently owns a stake in mobile satellite firm SkyTerra. Harbinger gained notoriety earlier this year when it launched LightSquared, a new venture that will use SkyTerra's MSS spectrum, Ancillary Terrestrial Component spectrum and terrestrial-only spectrum--along with spectrum hosting and pooling agreements--to roll out a nationwide wholesale LTE network.
LightSquared plans initial LTE trials in Baltimore, Denver, Las Vegas and Phoenix.
The firm, which has access to a total of 59 MHz of spectrum, has said its network will consist of around 40,000 cellular base stations covering 92 percent of the U.S. population by 2015. LightSquared's plans stunned many in the industry and sparked a lot of skepticism over whether Falcone and LightSquared could generate enough funding to follow through on the ambitious LTE plans.
Nevertheless, Falcone and his team are moving full steam ahead.
In July LightSquared announced it received an additional $1.75 billion in debt and equity .. "
Source of Philip Falcone, Senior Managing Director, Harbinger Capital Partners, Lightsquared Post
http://www.4gspeed.net/articles/390807/20-philip-falcone-senior-managing-director-harbing/
Globalstar Comments on FCC Waiver for LightSquared's Use of MSS Spectrum for Terrestrial Broadband
"
FCC Waiver Permits LightSquared to Offer Single Mode Terrestrial Only Broadband Products and Services Using Mobile Satellite Spectrum | |
COVINGTON, La., Jan. 31, 2011 (GLOBE NEWSWIRE) -- Globalstar, Inc. (Nasdaq:GSAT), a leading provider of mobile satellite voice and data services to businesses, government, and individuals today announced the Company's response to the recent U.S. Federal Communications Commission (FCC) decision to grant LightSquared Subsidiary LLC (LightSquared), a conditional waiver of the Integrated Service Rule. L. Barbee Ponder, General Counsel and VP of Regulatory Affairs, Globalstar, Inc. stated, "With this order LightSquared has been granted the authority to provide terrestrial only wireless broadband services using mobile satellite spectrum. This relaxation of the gating criteria for LightSquared is necessitated by the explosive growth of spectrum-hungry mobile broadband devices. We look forward to the FCC extending similar flexibility to other mobile satellite services providers including Globalstar. "We are also pleased with the FCC's continued recognition that the L-band portion of the mobile satellite spectrum is suitable for delivering mobile broadband to consumers and helping meet the Commission's significant spectrum objectives outlined in the National Broadband Plan." About Globalstar, Inc. For more information regarding Globalstar, please visit Globalstar's web site atwww.globalstar.com The Globalstar, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=8183 CONTACT: For further media information: Globalstar, Inc. Dean Hirasawa (985) 335-1505 Dean.hirasawa@globalstar.com Skyya Communications Susan Donahue (646) 454-9378 Susan.donahue@skyya.com " Source https://globenewswire.com/newsroom/news.html?d=212259 | |
Spectrum Play is 'Stimulus Funding' for MSS-ATC Operators
"Spectrum. It is the new gold of the information age and has become a highly sought-after resource. So much so, the main goal of the U.S. National Broadband Plan is to find new spectrum allocations for broadband wireless access networks.
This move by the U.S. Government may have simultaneously opened up a sizable new revenue stream for MSS-ATC operators and saved many from exiting the business, but at the expense of a true MSS-ATC play.
With its recent proposal to free spectrum allocated to MSS operators for terrestrial users, the FCC is carefully extending the precedent-setting Globalstar, Inc.-OpenRange Ltd. agreement it approved in 2008 to other players in the industry.
This agreement allows leasing of MSS-ATC Spectrum for terrestrial-only secondary leasing, in this case for WiMAX in rural areas.
Unlike terrestrial-only networks, the FCC required Globalstar-OpenRange to meet the ATC ‘gating criteria’ – offering a dual-mode device and continuous broadband satellite coverage. However, the FCC has granted several interim waivers for both of these criteria, extending compliance deadlines.
Thus, it looks like the Globalstar-OpenRange agreement seems to be the first instance that the FCC is willing to allow decoupled MSS and terrestrial spectrum lease agreements.
A decoupled MSS-ATC offering is what NSR considers as the saving grace of the MSS-ATC operators, especially those operating as a ‘going concern’ or simply unable to pay debt and thus filing for bankruptcies, as was often the case in the first wave of MSS growth in the late 1990s and early this century.
But how much revenue can spectrum sales generate, and what is the impact on the MSS operators with ATC allocations?
Using previous spectrum auctions as a benchmark, NSR notes in its recent Mobile Satellite Services 6th Edition report that MSS-ATC operators will find enough funding through secondary lease agreements to pay debts, and/or begin satellite service offerings.
As shown in the chart below, of the expected total revenues from secondary leases, SkyTerra (now LightSquared) has the most to gain, as new leasing revenue can significantly pay off its current estimated debt obligations.
As another example, NSR’s spectrum holding valuation for Globalstar exceeds the entire reported capitalized expenditures for its new satellite constellation. With such high potential revenues, MSS-ATC operators will likely lease the maximum amount of their ATC allocations to terrestrial operators.
However, leasing MSS-ATC spectrum comes at a cost, as NSR feels MSS-ATC leasing agreements will sacrifice any potential for a large, robust MSS-ATC sector. As ATC leases push services further into rural areas, consumers will increasingly choose the lower cost ATC system, eventually eliminating the general demand for dual-mode devices. Instead, the few MSS-ATC enabled devices entering the market will need to cater to those requiring robust, redundant communications infrastructure – first responders or government agencies, both slow to adopt new technologies.
The Bottom Line
NSR certainly expects MSS-ATC operators to take advantage of secondary leasing agreements and monetize their MSS Spectrum Holdings. In doing so, secondary leasing agreements will provide the necessary funding for MSS-ATC operators to survive, to pay debts, and/or to offer satellite services. However, MSS-ATC operators may have to sacrifice any hopes of the general public utilizing full MSS-ATC enabled devices. One thing is clear; those betting MSS-ATC would be a spectrum play can now collect their winnings. "
This move by the U.S. Government may have simultaneously opened up a sizable new revenue stream for MSS-ATC operators and saved many from exiting the business, but at the expense of a true MSS-ATC play.
With its recent proposal to free spectrum allocated to MSS operators for terrestrial users, the FCC is carefully extending the precedent-setting Globalstar, Inc.-OpenRange Ltd. agreement it approved in 2008 to other players in the industry.
This agreement allows leasing of MSS-ATC Spectrum for terrestrial-only secondary leasing, in this case for WiMAX in rural areas.
Unlike terrestrial-only networks, the FCC required Globalstar-OpenRange to meet the ATC ‘gating criteria’ – offering a dual-mode device and continuous broadband satellite coverage. However, the FCC has granted several interim waivers for both of these criteria, extending compliance deadlines.
Thus, it looks like the Globalstar-OpenRange agreement seems to be the first instance that the FCC is willing to allow decoupled MSS and terrestrial spectrum lease agreements.
A decoupled MSS-ATC offering is what NSR considers as the saving grace of the MSS-ATC operators, especially those operating as a ‘going concern’ or simply unable to pay debt and thus filing for bankruptcies, as was often the case in the first wave of MSS growth in the late 1990s and early this century.
But how much revenue can spectrum sales generate, and what is the impact on the MSS operators with ATC allocations?
Using previous spectrum auctions as a benchmark, NSR notes in its recent Mobile Satellite Services 6th Edition report that MSS-ATC operators will find enough funding through secondary lease agreements to pay debts, and/or begin satellite service offerings.
As shown in the chart below, of the expected total revenues from secondary leases, SkyTerra (now LightSquared) has the most to gain, as new leasing revenue can significantly pay off its current estimated debt obligations.
As another example, NSR’s spectrum holding valuation for Globalstar exceeds the entire reported capitalized expenditures for its new satellite constellation. With such high potential revenues, MSS-ATC operators will likely lease the maximum amount of their ATC allocations to terrestrial operators.
However, leasing MSS-ATC spectrum comes at a cost, as NSR feels MSS-ATC leasing agreements will sacrifice any potential for a large, robust MSS-ATC sector. As ATC leases push services further into rural areas, consumers will increasingly choose the lower cost ATC system, eventually eliminating the general demand for dual-mode devices. Instead, the few MSS-ATC enabled devices entering the market will need to cater to those requiring robust, redundant communications infrastructure – first responders or government agencies, both slow to adopt new technologies.
The Bottom Line
NSR certainly expects MSS-ATC operators to take advantage of secondary leasing agreements and monetize their MSS Spectrum Holdings. In doing so, secondary leasing agreements will provide the necessary funding for MSS-ATC operators to survive, to pay debts, and/or to offer satellite services. However, MSS-ATC operators may have to sacrifice any hopes of the general public utilizing full MSS-ATC enabled devices. One thing is clear; those betting MSS-ATC would be a spectrum play can now collect their winnings. "
Source
FCC's Spectrum Task Force makes first snatch-and-grab, kidnaps up to 90MHz from satellite band
June 2010
"Even if you're the Federal Communications Commission, freeing up half a gigahertz of wireless spectrum isn't an easy task, but things become easier when you have top men on the job.
The FCC's freshly deputized Spectrum Task Force may have just proven its worth, by shifting up to 90MHz from mobile satellite services to Cellular Broadband.
To placate those who might be opposed to the measure, the FCC says it "remains firmly committed" to rural, emergency and government satellites, plus points out precedents like the SkyTerra LTE deal in March... but interestingly the Task Force neither mentions support for commercial satellite uses, nor which companies stand to gain the freed spectrum this time. Full press release after the break. "
"Even if you're the Federal Communications Commission, freeing up half a gigahertz of wireless spectrum isn't an easy task, but things become easier when you have top men on the job.
The FCC's freshly deputized Spectrum Task Force may have just proven its worth, by shifting up to 90MHz from mobile satellite services to Cellular Broadband.
To placate those who might be opposed to the measure, the FCC says it "remains firmly committed" to rural, emergency and government satellites, plus points out precedents like the SkyTerra LTE deal in March... but interestingly the Task Force neither mentions support for commercial satellite uses, nor which companies stand to gain the freed spectrum this time. Full press release after the break. "
Source
Harbinger Capital Partners - MSS/ATC Spectrum
March 2010 - MSS Spectrum News Archives
The company will replace these with SkyTerra-1 and SkyTerra-2 for MSS Services.
The company is trialling LTE networks in Denver and Phoenix in 2010 with commercial launch in Q3 2011. Since the network is a open network and wholesale as well, the business model is a bit different than the current mobile incumbents.
The company has 8MHz of spectrum at 1.4GHz and 5MHz at 1.6GHz for its terrestrial network and 10MHz of MSS/ATC Spectrum.
We think it could run a sort of entry level LTE data network with reasonable downlink speeds given a 5MHz channel and for lower data rate metering and other services, could even run smaller channels.
I wouldn’t expect a head to head battle between SkyTerrra and AT&T/Verizon/MetroPCS but it is another opportunity for component guys to sell more widgets."
LightSquared Inc., LightSquared Subsidiary L.L.C., Harbinger Capital, Philip Falcone, Sanjiv Ahuja on Boeing Satellite Launch
Sanjiv Ahuja on LightSquared Working with Boeing to Launch Satellite
Sanjiv Ahuja On the Launching of the Lightsquared, Boeing Satellite.
Largest Commercial Satellite, LightSquared Inc., LightSquared Subsidiary L.L.C., Sanjiv Ahuja, Eaton Telecom,
Boeing Satellite Launch, Philip Falcone, Spectrum Brands, Harbinger Capital, Intel Corp., Curtis Lu,
Harbinger Capital Partner, Harbinger Group, Inc., Zap.com, Zapata Corporation, Peter Jenson, Anthony Genito, Keith Hladek, Spectrum Brands, Terry Polistina, David Maura, Kenneth Ambrecht, Larry Strickling, Jeffrey Carlisle,
Harbinger Global Wireless, FRANK BOULBEN, Harbinger Capital,
RANCIS MCCARRON, Steve Olive, DION OGLESBY, RICHARD HAGERUP, Norman Matthews, Nathan Fagre,
Boeing Satellite Launch, Philip Falcone, Spectrum Brands, Harbinger Capital, Intel Corp., Curtis Lu,
Harbinger Capital Partner, Harbinger Group, Inc., Zap.com, Zapata Corporation, Peter Jenson, Anthony Genito, Keith Hladek, Spectrum Brands, Terry Polistina, David Maura, Kenneth Ambrecht, Larry Strickling, Jeffrey Carlisle,
Harbinger Global Wireless, FRANK BOULBEN, Harbinger Capital,
RANCIS MCCARRON, Steve Olive, DION OGLESBY, RICHARD HAGERUP, Norman Matthews, Nathan Fagre,
Mobile-Satellite Services - Inmarsat
MSS Spectrum Archives from 2000
Spectrum requirements of mobile-satellite services
Ram Manohar
Manager, Spectrum
Inmarsat
Growth in mobile-satellite services
Demand for mobile-satellite services (MSS) has grown tremendously over the last decade or so. Until the early 1990s, only Inmarsat and the Russian Volna satellite networks provided mobile satellite communication services, mainly to ships. Inmarsat soon added aeronautical and land mobile satellite services to its portfolio of services.
In the mid-1990s, the world witnessed the emergence of four more land mobile satellite service systems in Australia, the United States, Canada, and Mexico in addition to Inmarsat’s 3rd generation system.
All these systems use geostationary (GSO) Satellites that operate in the limited MSS allocations (33 MHz) in the L-band (1.5-1.6 GHz) and provide voice and low bit-rate data services to mobile earth stations.
In recognition of the growing needs of mobile-satellite services, the 1992 World Administrative Radio Conference (WARC-92) made additional spectrum allocations for MSS. A number of administrations drew up plans to implement geostationary, as well as non-geostationary mobile-satellite service (non-GSO MSS) systems in these bands. Two non-GSO systems, Iridium and Globalstar, even started offering services in the 1.6-2.4 GHz MSS bands.
Another non-GSO system, ICO, is to start commercial operations in the 2 GHz MSS bands in a couple of years. These satellites were designed to provide voice and low bit-rate data services to handheld mobile user terminals.
Several other administrations continued to be attracted to the good old L-band and planned to implement their MSS systems in the 1.5-1.6 GHz.
In February 2000, Indonesia launched its state-of-the-art L-band geostationary satellite, Garuda, and the United Arab Emirates is to launch its equally powerful satellite Thuraya.
These satellites were also originally designed to provide voice and low bit-rate data services to handheld mobile user terminals.
Recently, Inmarsat decided to implement two of its 4th Generation Satellites in the L-band to provide broadband multimedia and Internet data services to palmtop mobile user terminals (see Figure 1).
These services are defined as a part of the IMT-2000 range of services and the Satellite Systems will constitute the satellite component of IMT-2000."
MSS Spectrum Allocations
In spite of the explosive growth in both the range and volume of mobile-satellite services worldwide, spectrum allocations in this arena have not been commensurate with that growth.
The original allocations of 2 x 23.5 MHz in the 1.5-1.6 GHz for the maritime mobile satellite service (MMSS) and the aeronautical mobile satellite (R) service AMS(R)S were made in 1971.
Some minor adjustments were made to these allocations by WARC-79, resulting in a total of 29 MHz of space-to-Earth (i.e. downlink) and 34 MHz of Earth-to-space (i.e. uplink) allocations to the MMSS and AMS(R)S.
WARC-87 made further changes to permit land mobile satellite services in some parts of these allocations, albeit maintaining a status quo with regard to the allocations themselves.
WARC-92 harmonized the uplink and downlink allocations in the L-band to 2 x 34 MHz and made additional MSS allocations of 2 x 16.5 MHz in the 1.6-2.4 GHz and of 2 x 30 MHz in the 1.9-2.1 GHz bands, the latter only being available from 2005.
In addition, WARC-92 adopted a Resolution (what has become Resolution 213 today) requesting ITU-R to study the feasibility of making additional MSS allocations in some segments of the L-band.
WRC-95 lifted the access date constraints on the 1.9-2.1 GHz MSS allocations and made some minor changes to the so-called ‘Region 2 only’ allocations in these bands.
WRC-97 made the MSS allocations in the L-band generic, but following an extensive debate, this conference called for further study, deferring the matter to WRC-2000 for consideration.
So, clearly, the subject of additional MSS requirements has been studied extensively within ITU-R for many years.
In addition, every Conference Preparatory Meeting (CPM) has made recommendations on the matter. Yet, as can be seen from this analysis, the problem remains unresolved.
Meanwhile, MSS spectrum allocations in the L-band, in particular, are nearing congestion fast and urgently need some relief.
MSS spectrum issues at WRC-2000
Three items on the agenda of WRC-2000 (namely, items 1.6, 1.9, and 1.10) inherently deal with the question of MSS spectrum requirements.
The 1999 report of the CPM includes clear conclusions of ITU-R’s work on the various aspects surrounding MSS spectrum allocations and their usage. This article highlights some of them.
IMT-2000
One of the conclusions of the CPM report concerns spectrum requirements for the satellite component of IMT-2000, which is to be accommodated in the MSS allocations (Chapter 1, Part B.2).
To meet the requirements of this component, the total MSS Spectrum allocations would need to be 2 x 123 MHz by 2005 and 2 x 145 MHz by 2010, says the report.
On this basis, and taking into account all the regional variations in the MSS spectrum allocations available, it can be concluded that the MSS will suffer spectrum shortfalls of at least 2 x 8 MHz by 2005 and 2 x 30 MHz by 2010.
Feasibility of making MSS downlink allocations in 1559-1567 MHz band
The report also addresses the question of sharing between MSS downlink allocations and the radionavigation-satellite service, or RNSS (Chapter 2, Section 2.2.1).
Even though the studies conducted by ITU-R were not unanimous on the protection of, or non-protection of, the existing Global Positioning Satellite (GPS) system, the overall conclusion is that such an allocation can not be made on account of the anticipated requirements of the Global Navigation Satellite System (GNSS). Thus, it is not possible to extend MSS downlink allocations in the L-band upwards of 1559 MHz.
Another summary in the report points to the positive conclusion of ITU-R work on the feasibility of making MSS uplink allocations in parts of the 1675-1710 MHz band in response to Resolution 213 (Chapter 2, Section 2.2.2). The report identifies 1683-1690 MHz as the preferred sub-band for making additional worldwide MSS uplink allocations in the L-band.
Generic MSS allocations in the L-band
The salient message from ITU-R’s work on this subject, in response to Resolution 218, is that the airline industry wants assured access to at least 10 MHz of the L-band spectrum in the erstwhile AMS(R)S bands for their distress and safety services (Chapter 2, Section 2.1). This industry projects its year 2010 requirements for AMS(R)S to be about 2 x 11 MHz.
Similarly, the maritime industry wants assured access to spectrum for its distress and safety services under the Global Maritime Distress and Safety System (GMDSS), as presently indicated in the Radio Regulations (provision S5.353A).
These spectrum demands of aeronautical and maritime distress and safety services tantamount to additional pressure on overall MSS spectrum resources.
Other related extracts from the CPM-99 Report
In a general discussion of the MSS spectrum requirements in the 1-3 GHz range (Chapter 2, Part A), the report urges administrations to make every effort to find a suitable MSS downlink allocation. They would do so taking into account the results of ITU-R’s sharing studies, in case a downlink in the 1559-1567 MHz band does not prove feasible.
The net thrust of CPM-99 recommendations
The arguments, put forward in the CPM report, on the spectrum situation for MSS can be collated and summarized as follows:
There is an established requirement of 2 x 8 MHz of additional MSS spectrum by 2005.
The projected requirements of AMS(R)S and GMDSS further worsen the MSS spectrum congestion situation.
It has been established that it is feasible to make MSS uplink allocations of 7 MHz worldwide by extending the 1683-1690 MHz Region 2 only allocation to Regions 1 and 3.
It has been established that a matching MSS downlink allocation in the 1559-1567 MHz would not be feasible.
As stated earlier, the MSS spectrum allocations in the L-band have seen the largest usage ever, with the bands now almost reaching a congestion point. Resolution 213 was primarily aimed at making additional MSS allocations in or near the L-band.
A lot of work has been done in ITU-R on this, and the task under Resolution 213 can indeed be accomplished with a little more effort. As it has not been possible to recommend downlink allocations in the GNSS bands, it is imperative for us to find an alternative 7 MHz for an MSS downlink allocation.
Why can’t we follow the example of the MSS uplink case and extend the existing Region 2 only allocations, on a limited basis, to Regions 1 and 3 for MSS downlinks as well?
The 1518-1525 MHz segment, which is part of a larger band already allocated to MSS downlinks in Region 2, could form a matching downlink in response to Resolution 213.
The feasibility of sharing MSS downlinks with other co-primary radio services in this band has already been studied and concluded upon by ITU-R.
So, only a small amount of spectrum is being sought for MSS downlinks in this range where other co- primary services have much larger allocations. Such an allocation would go a long way in improving the long-drawn-out shortage of MSS spectrum worldwide.
Conclusion
Over the last decade, the increasing interest in MSS has been clearly evident through the growing number of filings in the Radiocommunication Bureau for GSO MSS and non-GSO MSS systems from various ITU administrations.
The need for additional MSS spectrum allocations is hardly surprising, particularly in view of the fact that the total existing MSS allocations are small compared with those of other radiocommunication services.
ITU has, for a long time, advocated globally harmonized frequency allocations.
Thus, the regional imbalances in the Table of Frequency Allocations (Article 5 of the Radio Regulations) should point a way to making these additional MSS allocations.
Extending the Region 2 only allocations of the 1683 -1690 MHz band for MSS uplinks and the 1518 -1525 MHz band for MSS downlinks to Regions 1 and 3, at WRC-2000, would enable administrations to almost completely satisfy the projected needs of their mobile-satellite users up to 2005
In spite of the explosive growth in both the range and volume of mobile-satellite services worldwide, spectrum allocations in this arena have not been commensurate with that growth.
The original allocations of 2 x 23.5 MHz in the 1.5-1.6 GHz for the maritime mobile satellite service (MMSS) and the aeronautical mobile satellite (R) service AMS(R)S were made in 1971.
Some minor adjustments were made to these allocations by WARC-79, resulting in a total of 29 MHz of space-to-Earth (i.e. downlink) and 34 MHz of Earth-to-space (i.e. uplink) allocations to the MMSS and AMS(R)S.
WARC-87 made further changes to permit land mobile satellite services in some parts of these allocations, albeit maintaining a status quo with regard to the allocations themselves.
WARC-92 harmonized the uplink and downlink allocations in the L-band to 2 x 34 MHz and made additional MSS allocations of 2 x 16.5 MHz in the 1.6-2.4 GHz and of 2 x 30 MHz in the 1.9-2.1 GHz bands, the latter only being available from 2005.
In addition, WARC-92 adopted a Resolution (what has become Resolution 213 today) requesting ITU-R to study the feasibility of making additional MSS allocations in some segments of the L-band.
WRC-95 lifted the access date constraints on the 1.9-2.1 GHz MSS allocations and made some minor changes to the so-called ‘Region 2 only’ allocations in these bands.
WRC-97 made the MSS allocations in the L-band generic, but following an extensive debate, this conference called for further study, deferring the matter to WRC-2000 for consideration.
So, clearly, the subject of additional MSS requirements has been studied extensively within ITU-R for many years.
In addition, every Conference Preparatory Meeting (CPM) has made recommendations on the matter. Yet, as can be seen from this analysis, the problem remains unresolved.
Meanwhile, MSS spectrum allocations in the L-band, in particular, are nearing congestion fast and urgently need some relief.
MSS spectrum issues at WRC-2000
Three items on the agenda of WRC-2000 (namely, items 1.6, 1.9, and 1.10) inherently deal with the question of MSS spectrum requirements.
The 1999 report of the CPM includes clear conclusions of ITU-R’s work on the various aspects surrounding MSS spectrum allocations and their usage. This article highlights some of them.
IMT-2000
One of the conclusions of the CPM report concerns spectrum requirements for the satellite component of IMT-2000, which is to be accommodated in the MSS allocations (Chapter 1, Part B.2).
To meet the requirements of this component, the total MSS Spectrum allocations would need to be 2 x 123 MHz by 2005 and 2 x 145 MHz by 2010, says the report.
On this basis, and taking into account all the regional variations in the MSS spectrum allocations available, it can be concluded that the MSS will suffer spectrum shortfalls of at least 2 x 8 MHz by 2005 and 2 x 30 MHz by 2010.
Feasibility of making MSS downlink allocations in 1559-1567 MHz band
The report also addresses the question of sharing between MSS downlink allocations and the radionavigation-satellite service, or RNSS (Chapter 2, Section 2.2.1).
Even though the studies conducted by ITU-R were not unanimous on the protection of, or non-protection of, the existing Global Positioning Satellite (GPS) system, the overall conclusion is that such an allocation can not be made on account of the anticipated requirements of the Global Navigation Satellite System (GNSS). Thus, it is not possible to extend MSS downlink allocations in the L-band upwards of 1559 MHz.
Another summary in the report points to the positive conclusion of ITU-R work on the feasibility of making MSS uplink allocations in parts of the 1675-1710 MHz band in response to Resolution 213 (Chapter 2, Section 2.2.2). The report identifies 1683-1690 MHz as the preferred sub-band for making additional worldwide MSS uplink allocations in the L-band.
Generic MSS allocations in the L-band
The salient message from ITU-R’s work on this subject, in response to Resolution 218, is that the airline industry wants assured access to at least 10 MHz of the L-band spectrum in the erstwhile AMS(R)S bands for their distress and safety services (Chapter 2, Section 2.1). This industry projects its year 2010 requirements for AMS(R)S to be about 2 x 11 MHz.
Similarly, the maritime industry wants assured access to spectrum for its distress and safety services under the Global Maritime Distress and Safety System (GMDSS), as presently indicated in the Radio Regulations (provision S5.353A).
These spectrum demands of aeronautical and maritime distress and safety services tantamount to additional pressure on overall MSS spectrum resources.
Other related extracts from the CPM-99 Report
In a general discussion of the MSS spectrum requirements in the 1-3 GHz range (Chapter 2, Part A), the report urges administrations to make every effort to find a suitable MSS downlink allocation. They would do so taking into account the results of ITU-R’s sharing studies, in case a downlink in the 1559-1567 MHz band does not prove feasible.
The net thrust of CPM-99 recommendations
The arguments, put forward in the CPM report, on the spectrum situation for MSS can be collated and summarized as follows:
There is an established requirement of 2 x 8 MHz of additional MSS spectrum by 2005.
The projected requirements of AMS(R)S and GMDSS further worsen the MSS spectrum congestion situation.
It has been established that it is feasible to make MSS uplink allocations of 7 MHz worldwide by extending the 1683-1690 MHz Region 2 only allocation to Regions 1 and 3.
It has been established that a matching MSS downlink allocation in the 1559-1567 MHz would not be feasible.
As stated earlier, the MSS spectrum allocations in the L-band have seen the largest usage ever, with the bands now almost reaching a congestion point. Resolution 213 was primarily aimed at making additional MSS allocations in or near the L-band.
A lot of work has been done in ITU-R on this, and the task under Resolution 213 can indeed be accomplished with a little more effort. As it has not been possible to recommend downlink allocations in the GNSS bands, it is imperative for us to find an alternative 7 MHz for an MSS downlink allocation.
Why can’t we follow the example of the MSS uplink case and extend the existing Region 2 only allocations, on a limited basis, to Regions 1 and 3 for MSS downlinks as well?
The 1518-1525 MHz segment, which is part of a larger band already allocated to MSS downlinks in Region 2, could form a matching downlink in response to Resolution 213.
The feasibility of sharing MSS downlinks with other co-primary radio services in this band has already been studied and concluded upon by ITU-R.
So, only a small amount of spectrum is being sought for MSS downlinks in this range where other co- primary services have much larger allocations. Such an allocation would go a long way in improving the long-drawn-out shortage of MSS spectrum worldwide.
Conclusion
Over the last decade, the increasing interest in MSS has been clearly evident through the growing number of filings in the Radiocommunication Bureau for GSO MSS and non-GSO MSS systems from various ITU administrations.
The need for additional MSS spectrum allocations is hardly surprising, particularly in view of the fact that the total existing MSS allocations are small compared with those of other radiocommunication services.
ITU has, for a long time, advocated globally harmonized frequency allocations.
Thus, the regional imbalances in the Table of Frequency Allocations (Article 5 of the Radio Regulations) should point a way to making these additional MSS allocations.
Extending the Region 2 only allocations of the 1683 -1690 MHz band for MSS uplinks and the 1518 -1525 MHz band for MSS downlinks to Regions 1 and 3, at WRC-2000, would enable administrations to almost completely satisfy the projected needs of their mobile-satellite users up to 2005
Source of MSS Spectrum Post
http://www.itu.int/newsarchive/wrc2000/presskit/PositionPaper_MSS_Inmarsat.html
http://www.itu.int/newsarchive/wrc2000/presskit/PositionPaper_MSS_Inmarsat.html
Note Inmarsat Key Player.. ICO, TerreStar, Lightsquared,
Wireless carriers want MSS Spectrum - May 2001 MSS Spectrum News Archives
"Wireless carriers want MSS spectrum
The Cellular Telecommunications & Internet Association filed a petition for rulemaking with the Federal Communications Commission asking the agency to stop granting spectrum to the mobile satellite services industry and reallocate existing MSS Spectrum “to more efficient users of spectrum.”
CTIA said the MSS Industry already is failing financially, and new MSS entrants are unlikely to make effective use of the spectrum in the 2 GHz band.
MSS Spectrum could be used to help alleviate the shortage of spectrum for other services, namely the Mobile Wireless.
CTIA and the mobile wireless industry have been prodding the government to release spectrum for spectrum-intensive third-generation services.
Spectrum the industry wants most is tied up in the Defense Department.
Other spectrum identified by the International Telecommunication Union is used by broadcasters and MMDS operators. The 2 GHz band may be the industry’s only chance for 3G Spectrum.
“The question is, will we have the concrete on which the new information superhighway rides?” said CTIA President and CEO Tom Wheeler during last week’s Wireless Agenda show. “I’m sad to say that it is an issue very much in doubt.
There is no single issue more important than whether or not there is sufficient spectrum for wireless data. It’s halftime, and we’re down a bunch.”
CTIA said the MSS Industry already is failing financially, and new MSS entrants are unlikely to make effective use of the spectrum in the 2 GHz band.
MSS Spectrum could be used to help alleviate the shortage of spectrum for other services, namely the Mobile Wireless.
CTIA and the mobile wireless industry have been prodding the government to release spectrum for spectrum-intensive third-generation services.
Spectrum the industry wants most is tied up in the Defense Department.
Other spectrum identified by the International Telecommunication Union is used by broadcasters and MMDS operators. The 2 GHz band may be the industry’s only chance for 3G Spectrum.
“The question is, will we have the concrete on which the new information superhighway rides?” said CTIA President and CEO Tom Wheeler during last week’s Wireless Agenda show. “I’m sad to say that it is an issue very much in doubt.
There is no single issue more important than whether or not there is sufficient spectrum for wireless data. It’s halftime, and we’re down a bunch.”
Source of MSS Spectrum Post
http://connectedplanetonline.com/news/telecom_wireless_carriers_mss/
http://connectedplanetonline.com/news/telecom_wireless_carriers_mss/
Ten Years Later - We Got Spectrum..
FCC Spectrum Task Force, TerreStar, DBSD, MSS Spectrum, Credit Suisse, Echostar,
June 21st 2010 MSS Spectrum Article by timfarrar
Although the announcement itself referred to the whole 90MHz of MSS spectrum identified in the National Broadband Plan (NBP) as suitable for terrestrial broadband, the focus of the discussion at Friday’s press conference appeared to be around the 2GHz (S-band) spectrum. Indeed the FCC highlighted that this spectrum, which is held by DBSD and TerreStar, is “right in the neighborhood of both the AWS spectrum and the PCS spectrum”.
In particular, the FCC indicated that it would propose changing the table of allocation for the 2GHz spectrum, to allow primary terrestrial use (without ATC), and then enable secondary leasing for all three MSS Spectrum Bands.
These rules would enable secondary leasing to begin “relatively soon”, if the FCC agreed to the proposal of the Spectrum Task Force.
According to Communications Daily, this proposal might include “charges”, presumably as “consideration for the step-up in the value of the affected spectrum” (as proposed in the NBP), but would avoid some of the delays associated with an incentive auction (which was one of the other options suggested in the NBP).
Of course Spectrum Leasing for purely terrestrial use (as would then be possible in the 2GHz band) would be rather more straightforward than leasing under the current set of ATC restrictions, but the level of any FCC “charges” (and perhaps other conditions on terrestrial buildout or provision of satellite services) would dictate how much value could be realized by the existing spectrum holders.
What is particularly interesting is that this NPRM is being issued so quickly, when the Credit Suisse research conference call three weeks ago indicated that it was not expected until September.
In addition, the NBP suggested that an S-band (2GHz) Order would not be expected until 2011 (as opposed to 2010 for the L-band and Big LEO bands), at least partly because decisions might be impacted by the outcome of the adjacent AWS-3 band proceeding.
Perhaps the reason for this change in timing is hinted at by the first line in the FCC’s announcement: the need to “increase…investment in MSS bands”.
Certainly both Echostar and TerreStar were well prepared with immediate comments on the announcement (with Echostar also noting that the proposed change would “help spur investment”), and TerreStar desperately needs new investment in the very near future.
It looks like the outcome of the FCC meeting in July (which according to Friday’s press conference is “still in flux”) might therefore prove critical to TerreStar’s future."
Source of MSS Spectrum Post
http://tmfassociates.com/blog/2010/06/21/fcc-acts-on-mss-spectrum-why-now/
TerreStar Soon to beOwned by Harbinger Capital Partners ?? Right ?... LightSquared..
ICO/DBSD, Inmarsat, LightSquared, Operators, Regulatory, Spectrum, TerreStar, Philip Falcone, Lightsquared, Harbinger Capital Partners, Credit Suisse, Credit Suisse - Harbinger Connections,
FCC Proposes to Remove Barriers to Terrestrial Use of MSS Spectrum
July 15, 2010
"FCC Proposes to Remove Barriers to Terrestrial Use of MSS Spectrum
R. Michael Senkowski, Peter D. Shields and Jennifer D. Hindin
Today the Federal Communications Commission (FCC or the Commission) released a Notice of Proposed Rulemaking (NPRM) and Notice of Inquiry (NOI) seeking to remove regulatory barriers to terrestrial use in 90 megahertz of spectrum allocated to the Mobile Satellite Service (MSS).
The Commission aims to make this spectrum available for new investment in mobile broadband networks while retaining sufficient market-wide MSS capability.
The NPRM makes two proposals. First, the Commission proposes to add primary Fixed and Mobile allocations to the 2000-2020 MHz and 2180-2200 MHz bands.
Second, the Commission proposes to apply its terrestrial secondary market spectrum leasing rules and procedures to transactions involving terrestrial use of MSS spectrum in the 2 GHz, Big LEO and L-bands.
In the NOI, the FCC launches a broader inquiry on further steps it can take to increase the value, utilization, innovation and investment in the spectrum for terrestrial services throughout the 2 GHz, Big LEO and L-bands, while ensuring that the U.S. market, as a whole, retains robust MSS capabilities.
2 GHz MSS Band Allocation Proposal. The Commission proposes adding to the table of allocations Fixed and Mobile allocations for the 2000-2020 MHz and 2180-2200 MHz bands that would be co-primary with the existing Mobile-Satellite allocation for these bands. Although this addition would not itself make any new licenses or services available in these bands, it would make possible future terrestrial licensing in this band that is not bound by the Commission's MSS/Ancillary Terrestrial Component (ATC) rules.
The Commission does not propose to change any of its rules regarding the relocations of incumbent BAS and FS licensees in this band, whose operations will still become secondary on December 9, 2013.
The addition of primary Fixed and Mobile allocations does not change the application of existing service rules for the MSS and ATC operations authorized in the 2 GHz band. Thus, existing licensees must continue to comply with these rules and any other terms of their licenses.
But the Commission indicates in the NPRM that if one or both of the 2 GHz MSS licenses were to be returned or cancelled for any reason, the returned spectrum could be used for Terrestrial Wireless Broadband deployment.
Indeed, if a 2 GHz MSS License is returned or cancelled, the spectrum covered by that license would not be assigned to the remaining licensee or made available for new MSS or other satellite services.
Proposal to Apply Secondary Market Rules and Procedures for Terrestrial Services in MSS Bands. The Commission's second proposal is to subject spectrum leasing arrangements between an MSS operator and a third party entity involving the use of MSS Spectrum for the provision of terrestrial services to the FCC's general Secondary Market Spectrum Leasing Policies and rules that currently apply to wireless terrestrial services.
The Commission specifically notes that this proposal would apply to all terrestrial use of MSS spectrum, which is currently limited to ATC operations, but in the future may include other terrestrial operations in the 2 GHz band pursuant to the new Fixed and Mobile allocations proposed above.
The secondary market rules would not apply to MSS Leasing arrangements that do not involve spectrum associated with terrestrial operations.
The Commission's secondary market rules allow exclusive licensees to lease some or all of their spectrum usage rights to third parties and provide for immediate approval procedures for leasing arrangements that do not raise potential public interest concerns, and streamlined review procedures for all other leasing arrangements.
Importantly, under the secondary market rules, all technical, interference, operational and other service rules applicable to the licensee apply to the spectrum lessee as well.
By subjecting MSS/ATC Spectrum Leasing arrangements to the secondary market rules, including the streamlined approval processes, the Commission expects that MSS licensees and their lessees will use their ATC Authority to provide mobile broadband services that are competitive with those offered by Terrestrial Mobile Broadband providers.
It is worth noting that the spectrum leases contemplated would still be constrained by the Commission's ATC rules, including the requirement that ATC operators offer an integrated service, which has generally required the use of dual-mode satellite/terrestrial mobile devices. Additionally, MSS/ATC lessees would be subject to other ATC service rules, such as those in place to protect adjacent services like Aeronautical Mobile-Satellite (Route) Service (AMS(R)S) and Global Positioning System (GPS).
The Commission proposes to require that leasing parties submit specified information and certifications in advance of consummating the proposed transaction and indicates that to the extent a proposed arrangement does not raise potential public interest concerns it would be subject to immediate processing or approval. However, the Commission seeks comment on what considerations should be taken into account when determining the potential competitive harms of a proposed transaction.
Recently, the Commission conditioned the acquisition by Harbinger Capital Partners Funds of L-band MSS provider SkyTerra on adherence to certain voluntary commitments that, among other provisions, limited the combined company's ability to enter into spectrum leasing arrangements with the two largest mobile operators.
Inquiry Regarding Use of the 2 GHz Band for Terrestrial Services. In the NOI, the FCC seeks comment on how best to encourage the growth of new mobile broadband services in the 2 GHz Band under the proposed co-primary Fixed and Mobile allocations in a way that will attract investment.
The Commission specifically requests comment on whether voluntary incentive auctions-if Congress were to grant such authority to the FCC-would be an appropriate mechanism to allow incumbent 2 GHz MSS licensees to vacate the band in favor of mobile broadband providers operating on new licenses.
Alternatively, the FCC also asks whether there are other approaches that could create licenses that would attract the substantial investment necessary to launch new mobile broadband services in the 2 GHz band and that are within the FCC's existing authority.
For example, the FCC asks whether existing 2 GHz MSS licensees should be given the option to return some of their spectrum (which could then be auctioned to new terrestrial licensees) while concurrently modifying the MSS licensees' authorizations to allow them to operate terrestrial networks under the proposed Fixed and Mobile allocations instead of under the current ATC service rules.
The Commission also asks whether, under any of these approaches, the opportunity to integrate the J Block and 2 GHz MSS Spectrum would help attract new investment and utilization of new mobile broadband networks in the 2 GHz band.
Inquiry Regarding All MSS Bands.
The Commission asks whether there are any other FCC actions that would increase terrestrial use of the MSS bands, particularly actions that would specifically apply to the Big LEO or L-bands.
The FCC asks whether there are incentives that it could apply to help ensure that the public receives the maximum benefits from the use of the spectrum.
In a footnote, the Commission references the various incentive proposals raised in the National Broadband Plan, including incentive auctions, spectrum fees and secondary market incentives.
In addition, the Commission requests comment on the deployment of satellite and terrestrial services in the MSS bands, both within the U.S. and internationally.
The Commission also asks how it should assess the current and future spectrum needs for MSS so that it can assure those needs continue to be met.
The Commission seeks comment on the extent to which such services can coexist with terrestrial uses in areas that do not rely as heavily upon MSS.
And the FCC also inquires as to how it can ensure that the U.S. continues to have market-wide MSS capabilities. "
"FCC Proposes to Remove Barriers to Terrestrial Use of MSS Spectrum
R. Michael Senkowski, Peter D. Shields and Jennifer D. Hindin
Today the Federal Communications Commission (FCC or the Commission) released a Notice of Proposed Rulemaking (NPRM) and Notice of Inquiry (NOI) seeking to remove regulatory barriers to terrestrial use in 90 megahertz of spectrum allocated to the Mobile Satellite Service (MSS).
The Commission aims to make this spectrum available for new investment in mobile broadband networks while retaining sufficient market-wide MSS capability.
The NPRM makes two proposals. First, the Commission proposes to add primary Fixed and Mobile allocations to the 2000-2020 MHz and 2180-2200 MHz bands.
Second, the Commission proposes to apply its terrestrial secondary market spectrum leasing rules and procedures to transactions involving terrestrial use of MSS spectrum in the 2 GHz, Big LEO and L-bands.
In the NOI, the FCC launches a broader inquiry on further steps it can take to increase the value, utilization, innovation and investment in the spectrum for terrestrial services throughout the 2 GHz, Big LEO and L-bands, while ensuring that the U.S. market, as a whole, retains robust MSS capabilities.
2 GHz MSS Band Allocation Proposal. The Commission proposes adding to the table of allocations Fixed and Mobile allocations for the 2000-2020 MHz and 2180-2200 MHz bands that would be co-primary with the existing Mobile-Satellite allocation for these bands. Although this addition would not itself make any new licenses or services available in these bands, it would make possible future terrestrial licensing in this band that is not bound by the Commission's MSS/Ancillary Terrestrial Component (ATC) rules.
The Commission does not propose to change any of its rules regarding the relocations of incumbent BAS and FS licensees in this band, whose operations will still become secondary on December 9, 2013.
The addition of primary Fixed and Mobile allocations does not change the application of existing service rules for the MSS and ATC operations authorized in the 2 GHz band. Thus, existing licensees must continue to comply with these rules and any other terms of their licenses.
But the Commission indicates in the NPRM that if one or both of the 2 GHz MSS licenses were to be returned or cancelled for any reason, the returned spectrum could be used for Terrestrial Wireless Broadband deployment.
Indeed, if a 2 GHz MSS License is returned or cancelled, the spectrum covered by that license would not be assigned to the remaining licensee or made available for new MSS or other satellite services.
Proposal to Apply Secondary Market Rules and Procedures for Terrestrial Services in MSS Bands. The Commission's second proposal is to subject spectrum leasing arrangements between an MSS operator and a third party entity involving the use of MSS Spectrum for the provision of terrestrial services to the FCC's general Secondary Market Spectrum Leasing Policies and rules that currently apply to wireless terrestrial services.
The Commission specifically notes that this proposal would apply to all terrestrial use of MSS spectrum, which is currently limited to ATC operations, but in the future may include other terrestrial operations in the 2 GHz band pursuant to the new Fixed and Mobile allocations proposed above.
The secondary market rules would not apply to MSS Leasing arrangements that do not involve spectrum associated with terrestrial operations.
The Commission's secondary market rules allow exclusive licensees to lease some or all of their spectrum usage rights to third parties and provide for immediate approval procedures for leasing arrangements that do not raise potential public interest concerns, and streamlined review procedures for all other leasing arrangements.
Importantly, under the secondary market rules, all technical, interference, operational and other service rules applicable to the licensee apply to the spectrum lessee as well.
By subjecting MSS/ATC Spectrum Leasing arrangements to the secondary market rules, including the streamlined approval processes, the Commission expects that MSS licensees and their lessees will use their ATC Authority to provide mobile broadband services that are competitive with those offered by Terrestrial Mobile Broadband providers.
It is worth noting that the spectrum leases contemplated would still be constrained by the Commission's ATC rules, including the requirement that ATC operators offer an integrated service, which has generally required the use of dual-mode satellite/terrestrial mobile devices. Additionally, MSS/ATC lessees would be subject to other ATC service rules, such as those in place to protect adjacent services like Aeronautical Mobile-Satellite (Route) Service (AMS(R)S) and Global Positioning System (GPS).
The Commission proposes to require that leasing parties submit specified information and certifications in advance of consummating the proposed transaction and indicates that to the extent a proposed arrangement does not raise potential public interest concerns it would be subject to immediate processing or approval. However, the Commission seeks comment on what considerations should be taken into account when determining the potential competitive harms of a proposed transaction.
Recently, the Commission conditioned the acquisition by Harbinger Capital Partners Funds of L-band MSS provider SkyTerra on adherence to certain voluntary commitments that, among other provisions, limited the combined company's ability to enter into spectrum leasing arrangements with the two largest mobile operators.
Inquiry Regarding Use of the 2 GHz Band for Terrestrial Services. In the NOI, the FCC seeks comment on how best to encourage the growth of new mobile broadband services in the 2 GHz Band under the proposed co-primary Fixed and Mobile allocations in a way that will attract investment.
The Commission specifically requests comment on whether voluntary incentive auctions-if Congress were to grant such authority to the FCC-would be an appropriate mechanism to allow incumbent 2 GHz MSS licensees to vacate the band in favor of mobile broadband providers operating on new licenses.
Alternatively, the FCC also asks whether there are other approaches that could create licenses that would attract the substantial investment necessary to launch new mobile broadband services in the 2 GHz band and that are within the FCC's existing authority.
For example, the FCC asks whether existing 2 GHz MSS licensees should be given the option to return some of their spectrum (which could then be auctioned to new terrestrial licensees) while concurrently modifying the MSS licensees' authorizations to allow them to operate terrestrial networks under the proposed Fixed and Mobile allocations instead of under the current ATC service rules.
The Commission also asks whether, under any of these approaches, the opportunity to integrate the J Block and 2 GHz MSS Spectrum would help attract new investment and utilization of new mobile broadband networks in the 2 GHz band.
Inquiry Regarding All MSS Bands.
The Commission asks whether there are any other FCC actions that would increase terrestrial use of the MSS bands, particularly actions that would specifically apply to the Big LEO or L-bands.
The FCC asks whether there are incentives that it could apply to help ensure that the public receives the maximum benefits from the use of the spectrum.
In a footnote, the Commission references the various incentive proposals raised in the National Broadband Plan, including incentive auctions, spectrum fees and secondary market incentives.
In addition, the Commission requests comment on the deployment of satellite and terrestrial services in the MSS bands, both within the U.S. and internationally.
The Commission also asks how it should assess the current and future spectrum needs for MSS so that it can assure those needs continue to be met.
The Commission seeks comment on the extent to which such services can coexist with terrestrial uses in areas that do not rely as heavily upon MSS.
And the FCC also inquires as to how it can ensure that the U.S. continues to have market-wide MSS capabilities. "
Source of MSS Spectrum Post
MSS Spectrum - Wiping Out Markets, Selling Air ?
FCC to Issue MSS Spectrum Proposed Rulemaking in July - MSS Spectrum News Archives
June 24th 2010
Spectrum Flexibility NPRM and NOI: A Notice of Proposed Rulemaking and Notice of Inquiry seeking comment on ways to encourage investment in terrestrial broadband services within spectrum allocated to mobile satellite services, while maintaining robust mobile satellite capability.
Rural Health Care Reform NPRM: A Notice of Proposed Rulemaking initiating reforms to the Universal Service Rural Health Care Fund to expand the reach and use of broadband connectivity by health care providers throughout the nation.
Electronic Tariff Filing NPRM: A Notice of Proposed Rulemaking seeking comment on streamlining the tariff filing and formatting process by transitioning from paper to electronic filing to reduce industry burden and promote an open, transparent, and efficient flow of information. "
"WASHINGTON: Federal Communications Commission Chairman Julius Genachowski announced three items for possible consideration at the next open meeting. The meeting is scheduled for Thursday, July 15. The items include a notice of proposed rulemaking for reallocating 90 MHz of mobile satellite service spectrum for a wireless broadband network. The three are listed as follows:
Spectrum Flexibility NPRM and NOI: A Notice of Proposed Rulemaking and Notice of Inquiry seeking comment on ways to encourage investment in terrestrial broadband services within spectrum allocated to mobile satellite services, while maintaining robust mobile satellite capability.
Rural Health Care Reform NPRM: A Notice of Proposed Rulemaking initiating reforms to the Universal Service Rural Health Care Fund to expand the reach and use of broadband connectivity by health care providers throughout the nation.
Electronic Tariff Filing NPRM: A Notice of Proposed Rulemaking seeking comment on streamlining the tariff filing and formatting process by transitioning from paper to electronic filing to reduce industry burden and promote an open, transparent, and efficient flow of information. "
Source of MSS Spectrum Post
http://www.televisionbroadcast.com/article/102562
http://www.televisionbroadcast.com/article/102562
SATELLITES And Spectrum- MSS Spectrum
Mar 1, 2003
"The mobile satellite services industry — once the sweetheart of the financial world in the late 1990s — believes it can claw its way back to respectability in the telecom arena now that the Federal Communications Commission has allowed MSS operators to reuse their frequencies and offer cellular-like service alongside their satellite services.
The MSS industry has argued for two years that incorporating an ancillary terrestrial component (ATC) would solve a fundamental problem plaguing the MSS industry — operators' inability to penetrate buildings with satellite signals, a technical shortfall that had a tremendous constraint on demand and resulted in higher operating and equipment costs.
“We were trying to learn from some of the mistakes made by others,” said Carson Agnew, president and chief operating officer with MSV, the first company to file a petition with the FCC to allow ATCs.
“We concluded the problem was that satellite signals were blocked too easily, and we had to find some way to provide coverage. If we could do that, then more customers would buy from us, and we would have economies of scale.”
These MSS petitions sparked heavy debate on Capitol Hill. Terrestrial wireless operators such as Verizon Wireless and Cingular Wireless vehemently opposed ATCs, arguing that the FCC gave the MSS industry free spectrum to provide satellite services-not terrestrial services that could potentially compete with them.
In late January, the commission attempted to please both sides by giving ATC capability to MSS players in the 2 GHz, Big LEO and L-bands but reallocating 30 megahertz of MSS spectrum in the 2GH band to the terrestrial wireless industry. The FCC reasoned that ATCs would increase the efficiency of MSS spectrum and improve coverage, aid in homeland defense and open the MSS market up to innovative services. The Cellular Telecommunications & Internet Association vowed to legally challenge the ruling.
MSS operators believe their ability to incorporate ATCs into their satellite systems will attract the necessary investment to launch the next generation of services, which will include high-speed data capabilities. ICO, bailed out of bankruptcy in 2000 by cellular mogul Craig McCaw and a group of international investors, had said it survival depended on the FCC's ruling.
“It makes no sense to try something that we know is a failure,” Gerry Salemme, vice president with ICO said in a recent interview when asked what the company's plans would be if the FCC failed to approve ATCs.
Bankrupt Globalstar has attracted a group of five lenders who will provide $10 million in debtor-in-posession funding to help Globalstar emerge from Chapter 11. The lenders include Blue River Capital, Columbia Ventures, ICO Investment, Iridium Investors and Loeb Partners. A previous deal with real estate investment firm New Valley fell apart because Globalstar's creditor committee believed the company was worth more in light of the FCC's favorable ruling.
“We believe that [the FCC's ruling], together with our record of continuing growth despite challenging circumstances, has helped to attract the interest of potential new investors, and that this new financing agreement will be an important step toward our successful emergence from bankruptcy,” Olof Lundberg, chairman of Globalstar, said in a recent statement.
An Iridium spokesman said the company is still determining the impact of the FCC's ruling on its business.
“We made it clear. The problem was financing,” said Lon Levin, vice president of regulatory affairs with MSV, one of the industry's few players operating in the black. “The business is a modest one, and to have to put the next generation of satellites up would have cost far more than the business could have supported.”
Still, it's difficult to find many in the telecommunications industry who believe ATCs will ensure the survival of the MSS industry. Adding terrestrial capability requires MSS companies to invest in and build out infrastructure on the ground unless they team up with the very carriers who opposed the FCC's ruling.
Others argue that the market for anywhere communications has a limited audience, regardless of whether customers can use the services inside buildings.
“I look at it as a stay of execution,” said John Byrne, wireless analyst with Kagan World Media. “The ability to have a terrestrial connection helps, but it doesn't ensure survival. They still have to attract people. To try and tap into new or old market segments is a tough sell.”
Rough road
To even say the MSS industry is a beleaguered one is an understatement. Iridium, the sector's poster child in the late 1990s, spent $5 billion to create a service allowing mass-market customers to use portable phones around the world. It was the master of marketing, hyping the demand for its wares so much that many investors became rich from the company's stock before it even launched service in 1998.
A year later, the hype turned into a miserable reality. Iridium filed for bankruptcy in the summer of 1999, followed by ICO Communications two weeks later. Globalstar filed the next year. While players emerged from bankruptcy with more focused business plans and more efficient cost structures, the vertical segments MSS operators began targeting are too small to offset the enormous costs associated with operating a constellation of satellites, many operators complained.
MSV and ICO began floating this idea of offering terrestrial services. McCaw drummed up some influential supporters in Washington who were beginning to see ATC proposals as a solution to a key public policy issue-bridging the “digital divide.” In 2001, the FCC issued a notice of proposed rulemaking on the topic.
Hope shines through tragedy
In the wake of the FCC's ruling, all MSS players see a large opportunity in the Homeland Defense Market in light of the terrorist attacks on Sept. 11, 2001.
MSV, which plans to have it next-generation satellites up in the sky and incorporate ATCs by 2005, sees its existing customer base that includes safety agencies and groups such as the American Red Cross expanding because it will have the ability to offer sleeker and cheaper devices.
MSV also has a capability no one else has: multipoint dispatch service that allows groups such as global emergency agencies to create a talk group of up to 10,000 users globally.
“When we talked to people on the Hill about this, we told them to imagine being in South Dakota on the campaign trail and being able to get everyone on the same talk group at the end of the day,” said Levin. “People going to a forest fire from different jurisdictions can talk to different groups on the fly.”
Globalstar has already provided in-building coverage through dual-mode handsets that operate on Cellular and Satellite Networks, and at one time was using carrier partners such as Vodafone to sell the service.
Its carrier partners had a difficult time selling the service because the bulky handsets operated in cellular mode using one phone number and airtime plan and in satellite mode using a second phone number and yet another different airtime plan.
Globalstar hopes Terrestrial Operators will see a new business opportunity from the FCC's new ruling.
ICO's Salemme also believes his company can assist terrestrial operators by bolstering their government-mandated enhanced 911 deployments in areas where terrestrial networks won't reach.
ICO, which has been spending money in anticipation of the FCC's ruling, plans to launch 11 next-generation satellites.
While the MSS industry's new survival plan is skeptical to many, it's difficult to discount the Midas touch of Craig McCaw.
His sheer will might just make the MSS Industry fly again."
"The mobile satellite services industry — once the sweetheart of the financial world in the late 1990s — believes it can claw its way back to respectability in the telecom arena now that the Federal Communications Commission has allowed MSS operators to reuse their frequencies and offer cellular-like service alongside their satellite services.
The MSS industry has argued for two years that incorporating an ancillary terrestrial component (ATC) would solve a fundamental problem plaguing the MSS industry — operators' inability to penetrate buildings with satellite signals, a technical shortfall that had a tremendous constraint on demand and resulted in higher operating and equipment costs.
“We were trying to learn from some of the mistakes made by others,” said Carson Agnew, president and chief operating officer with MSV, the first company to file a petition with the FCC to allow ATCs.
“We concluded the problem was that satellite signals were blocked too easily, and we had to find some way to provide coverage. If we could do that, then more customers would buy from us, and we would have economies of scale.”
These MSS petitions sparked heavy debate on Capitol Hill. Terrestrial wireless operators such as Verizon Wireless and Cingular Wireless vehemently opposed ATCs, arguing that the FCC gave the MSS industry free spectrum to provide satellite services-not terrestrial services that could potentially compete with them.
In late January, the commission attempted to please both sides by giving ATC capability to MSS players in the 2 GHz, Big LEO and L-bands but reallocating 30 megahertz of MSS spectrum in the 2GH band to the terrestrial wireless industry. The FCC reasoned that ATCs would increase the efficiency of MSS spectrum and improve coverage, aid in homeland defense and open the MSS market up to innovative services. The Cellular Telecommunications & Internet Association vowed to legally challenge the ruling.
MSS operators believe their ability to incorporate ATCs into their satellite systems will attract the necessary investment to launch the next generation of services, which will include high-speed data capabilities. ICO, bailed out of bankruptcy in 2000 by cellular mogul Craig McCaw and a group of international investors, had said it survival depended on the FCC's ruling.
“It makes no sense to try something that we know is a failure,” Gerry Salemme, vice president with ICO said in a recent interview when asked what the company's plans would be if the FCC failed to approve ATCs.
Bankrupt Globalstar has attracted a group of five lenders who will provide $10 million in debtor-in-posession funding to help Globalstar emerge from Chapter 11. The lenders include Blue River Capital, Columbia Ventures, ICO Investment, Iridium Investors and Loeb Partners. A previous deal with real estate investment firm New Valley fell apart because Globalstar's creditor committee believed the company was worth more in light of the FCC's favorable ruling.
“We believe that [the FCC's ruling], together with our record of continuing growth despite challenging circumstances, has helped to attract the interest of potential new investors, and that this new financing agreement will be an important step toward our successful emergence from bankruptcy,” Olof Lundberg, chairman of Globalstar, said in a recent statement.
An Iridium spokesman said the company is still determining the impact of the FCC's ruling on its business.
“We made it clear. The problem was financing,” said Lon Levin, vice president of regulatory affairs with MSV, one of the industry's few players operating in the black. “The business is a modest one, and to have to put the next generation of satellites up would have cost far more than the business could have supported.”
Still, it's difficult to find many in the telecommunications industry who believe ATCs will ensure the survival of the MSS industry. Adding terrestrial capability requires MSS companies to invest in and build out infrastructure on the ground unless they team up with the very carriers who opposed the FCC's ruling.
Others argue that the market for anywhere communications has a limited audience, regardless of whether customers can use the services inside buildings.
“I look at it as a stay of execution,” said John Byrne, wireless analyst with Kagan World Media. “The ability to have a terrestrial connection helps, but it doesn't ensure survival. They still have to attract people. To try and tap into new or old market segments is a tough sell.”
Rough road
To even say the MSS industry is a beleaguered one is an understatement. Iridium, the sector's poster child in the late 1990s, spent $5 billion to create a service allowing mass-market customers to use portable phones around the world. It was the master of marketing, hyping the demand for its wares so much that many investors became rich from the company's stock before it even launched service in 1998.
A year later, the hype turned into a miserable reality. Iridium filed for bankruptcy in the summer of 1999, followed by ICO Communications two weeks later. Globalstar filed the next year. While players emerged from bankruptcy with more focused business plans and more efficient cost structures, the vertical segments MSS operators began targeting are too small to offset the enormous costs associated with operating a constellation of satellites, many operators complained.
MSV and ICO began floating this idea of offering terrestrial services. McCaw drummed up some influential supporters in Washington who were beginning to see ATC proposals as a solution to a key public policy issue-bridging the “digital divide.” In 2001, the FCC issued a notice of proposed rulemaking on the topic.
Hope shines through tragedy
In the wake of the FCC's ruling, all MSS players see a large opportunity in the Homeland Defense Market in light of the terrorist attacks on Sept. 11, 2001.
MSV, which plans to have it next-generation satellites up in the sky and incorporate ATCs by 2005, sees its existing customer base that includes safety agencies and groups such as the American Red Cross expanding because it will have the ability to offer sleeker and cheaper devices.
MSV also has a capability no one else has: multipoint dispatch service that allows groups such as global emergency agencies to create a talk group of up to 10,000 users globally.
“When we talked to people on the Hill about this, we told them to imagine being in South Dakota on the campaign trail and being able to get everyone on the same talk group at the end of the day,” said Levin. “People going to a forest fire from different jurisdictions can talk to different groups on the fly.”
Globalstar has already provided in-building coverage through dual-mode handsets that operate on Cellular and Satellite Networks, and at one time was using carrier partners such as Vodafone to sell the service.
Its carrier partners had a difficult time selling the service because the bulky handsets operated in cellular mode using one phone number and airtime plan and in satellite mode using a second phone number and yet another different airtime plan.
Globalstar hopes Terrestrial Operators will see a new business opportunity from the FCC's new ruling.
ICO's Salemme also believes his company can assist terrestrial operators by bolstering their government-mandated enhanced 911 deployments in areas where terrestrial networks won't reach.
ICO, which has been spending money in anticipation of the FCC's ruling, plans to launch 11 next-generation satellites.
While the MSS industry's new survival plan is skeptical to many, it's difficult to discount the Midas touch of Craig McCaw.
His sheer will might just make the MSS Industry fly again."
Source of Craig McCaw, MSS Spectrum,
Craig McCaw is Way More Involved in the Current MSS Spectrum Industry then It Seems, More on that Later...
Crystal L. Cox
Crystal L. Cox
Investigative Blogger
Crystal@CrystalCox.com
FCC looks to MSS Spectrum for Broadband
"The Federal Communications Commission now has its sights set on freeing up spectrum allocated for satellite services as it continues its search for more spectrum to accommodate wireless broadband services under the National Broadband Plan announced in March.
As part of the broadband plan, the FCC wants to make 300 MHz of spectrum available for wireless broadband within the next five years and a total of 500 MHz in 10 years.
The commission has already talked up giving TV broadcasters incentives to give up about 120 MHz of Spectrum, and now it is targeting 90 MHz of spectrum in the Mobile Satellite Services band (MSS).
As part of the broadband plan, the FCC wants to make 300 MHz of spectrum available for wireless broadband within the next five years and a total of 500 MHz in 10 years.
The commission has already talked up giving TV broadcasters incentives to give up about 120 MHz of Spectrum, and now it is targeting 90 MHz of spectrum in the Mobile Satellite Services band (MSS).
Full MSS Spectrum Article and Post Source
http://www.fiercebroadbandwireless.com/story/fcc-looks-mss-spectrum-broadband/2010-06-20
http://news.cnet.com/8301-30686_3-20008211-266.html?tag=mncol;title
http://news.cnet.com/8301-30686_3-20008211-266.html?tag=mncol;title
Interesting Comments on this One on the FCC using airwaves, and charging Us for it, and your constitutional rights.
It's ALL about the FCC Plan of Internet for ALL, Everywhere...
Tuesday, February 22, 2011
MSS Commercial Availability
"
1. MSS/ATC System Description
6. ICO plans to implement a MSS/ATC system that will provide multicast and
interactive services to customers. The ICO MSS/ATC system will provide full national coverage and services to users in buildings, as well as outdoors. ICO has designed the MSS/ATC system with the capability to provide multiple Internet-protocol-enabled services, including textmessaging, email, multicast broadband data and/or video, public safety, and telematics.
ICO constructed its G1 satellite to support radio protocols that are widely used or in the process of being widely implemented. The system is designed to operate with a range of vehicular and portable user terminals, including handheld terminals similar in size to current cellular phones and small accessory units to be connected to the user’s telephone, personal computer, or personal digital assistant.
7. Using a frequency-division duplex technology, the system will be deployed
using the forward mode of operation as defined in the Commission’s ATC rules,
using the 2010-2020 MHz band for terminal-to-satellite and terminal-to-base-station transmissions (“uplink transmissions”) and the 2180-2190 MHz band for satellite-to-terminal and base-stationto-terminal transmissions (“downlink transmissions”). Transmissions from satellite and terrestrial transmitters will be OFDM-based and time-synchronized to enable receivers to combine and process both signals. The system will dynamically allocate full duplex channels for satellite interactive communications based on spectrum reuse and traffic requirements.
While reserving capacity for MSS communications, terrestrial interactive services may utilize more capacity in the uplink and downlink bands where satellite services are unreliable or satellite"
1. MSS/ATC System Description
6. ICO plans to implement a MSS/ATC system that will provide multicast and
interactive services to customers. The ICO MSS/ATC system will provide full national coverage and services to users in buildings, as well as outdoors. ICO has designed the MSS/ATC system with the capability to provide multiple Internet-protocol-enabled services, including textmessaging, email, multicast broadband data and/or video, public safety, and telematics.
ICO constructed its G1 satellite to support radio protocols that are widely used or in the process of being widely implemented. The system is designed to operate with a range of vehicular and portable user terminals, including handheld terminals similar in size to current cellular phones and small accessory units to be connected to the user’s telephone, personal computer, or personal digital assistant.
7. Using a frequency-division duplex technology, the system will be deployed
using the forward mode of operation as defined in the Commission’s ATC rules,
using the 2010-2020 MHz band for terminal-to-satellite and terminal-to-base-station transmissions (“uplink transmissions”) and the 2180-2190 MHz band for satellite-to-terminal and base-stationto-terminal transmissions (“downlink transmissions”). Transmissions from satellite and terrestrial transmitters will be OFDM-based and time-synchronized to enable receivers to combine and process both signals. The system will dynamically allocate full duplex channels for satellite interactive communications based on spectrum reuse and traffic requirements.
While reserving capacity for MSS communications, terrestrial interactive services may utilize more capacity in the uplink and downlink bands where satellite services are unreliable or satellite"
"
9. MSS Coverage ICO certifies that its G1 satellite can provide MSS everywhere in
the United States, Puerto Rico, and the U.S. Virgin Islands one hundred percent of the time
insofar as technically possible, as required by Section 25.149(b)(1)(i) of the Commission’s
rules.
10. MSS Commercial Availability ICO certifies that its MSS services will be
commercially available in accordance with the coverage requirements for 2 GHz MSS systems,
as required by Section 25.149(b)(3) of the Commission’s rules. ICO stipulates, however, that
this certification is based upon an assumption that broadcast auxiliary service relocation issues
will be resolved in a manner that will permit ICO to offer nationwide commercial MSS at the
time when it plans to commence provision of MSS/ATC services. ICO states that if this
assumption proves to be incorrect, it may request a waiver of the commercial-availability gating
requirement at a later date. "
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