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FCC KEEPS NORTHPOINT DECISION CLOSE TO VEST

Northpoint has no clue on what FCC will rule Thurs. at agenda meeting on future of terrestrial broadband service that uses satellite spectrum, CEO Sophia Collier told us Fri. “The FCC has clammed up,” she said: “It’s very difficult to get information.” However, industry buzz continues to suggest FCC will make compromise decision that will include some kind of conditioned license with auction that Northpoint steadfastly has opposed. Collier said: “Regulators think they do well when both sides are unhappy, but they should look at win-win solutions rather than lose-lose.” She said Northpoint wasn’t sure what it would do “if the decision goes against us.” She said company would explore option of asking FCC for reconsideration, or appealing to U.S. Appeals Court, D.C.

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Auction would be “unfair” to Northpoint, which presumably would have to “outbid an industry giant” to get spectrum it needed to launch service, Collier said: “Our business is based on low cost. We can’t outbid a huge company.” Auction also would prevent Northpoint from having “national footprint,” Collier said. She said EchoStar and Hughes never had participated in auction, yet they owned 79,000 MHz of spectrum and were contemplating $21 billion deal.

Spectrum and licenses aren’t usually awarded to minorities and women following auction and many of our affiliates are minorities, Northpoint Vp Toni Bush said. Collier said that if Northpoint received license, it would more than triple number of women and minority broadcast owners. Currently, only one TV station in U.S. is owned by Hispanic, 20 have African-American owners and 50 have female owners, she said, citing FCC and NTIA reports. She said there hadn’t been Native American owner since 1991, but Northpoint had 3 among its affiliates.

Satellite Bcstg. & Communications Assn. supports auction. “There is no legal or policy justification for granting Northpoint a competitive advantage over its wireless cable and DBS competition,” Pres. Andrew Wright said.