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ITFS ORDER SCHEDULED FOR JUNE 10 VOTE AT FCC MEETING

The FCC scheduled a vote June 10 on a modified version of revised ITFS-MMDS spectrum rules. Details emerged Thurs. as the Commission prepared to release its sunshine agenda, shutting off further lobbying. The report and order includes a compromise eliminating any changes to the “open eligibility” rule -- which was pushed hard by the education groups that control ITFS spectrum, sources told us. FCC will also release a notice of further rulemaking asking many questions about future use of the spectrum.

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In recent days, FCC scrubbed a 12 MHz auction of spectrum that would come in part from the ITFS allotment. However, the Commission will still take some spectrum from ITFS to create a home for MDS channels 1 and 2 in an expanded 2.5 GHz band. The order is expected to be a major victory for educational groups, which have lobbied the FCC hard the past week, culminating in a meeting with Chmn. Powell Tues.

One ITFS source said his side can live with the loss of spectrum for the MDS channels if the rest of the order shapes up as expected: “Placing MDS 1 and 2 in the band would make us swallow hard. But if they get everything else right we're going to be able to live with that.”

The FCC’s proposal on MDS Channels 1 and 2 was still taking shape -- with the major question how much spectrum can be taken from Globalstar, the mobile satellite services company. The FCC has before it a proposal to take 11 MHz from Globalstar. However, the sources said the International Bureau is digging in its heels to limit taking from Globalstar no more than 4 MHz. The allotment to the MDS channels is also expected to take in 2 MHz each from guard bands K & J.

“That’s probably the most difficult issue,” one industry source said: “A lot of this probably won’t be decided until a month after they vote on the item without having all the answers.” The source said Commissioners are skeptical about the claims of education groups, but are willing to give them some deference. He said of the proposal to establish a 12 MHz auction: “It looks like it is losing whatever momentum it had.”

Wireless Bureau Chief John Muleta told us Thurs. at the Wireless Communications Assn. meeting the FCC was looking closely at the objections of education officials. “The ITFS community has come in expressing their interest in open eligibility and have presented some alternative ways for us to think about this issues and effectively give the current plan a chance to work,” Muleta said. “We're considering that as we go forward.”

Chmn. Powell told WCA Thurs. he viewed the 2.5 GHz order as an important development for wireless broadband. Powell said order was ready for release. “We are working hard to develop new rules allowing more efficient and productive use of the spectrum in the 2.5 GHz band, much of which is currently underutilized,” Powell said: “Initially designed as a broadcast-style wireless cable service in the 1980s, this band has evolved along with the telecom industry itself, and the Commission has added flexibility to the band’s rules incrementally over the past several years… Now it is time for new rules that will allow MDS and ITFS licensees to enjoy the complete flexibility available to licensees of other wireless services.”

Some education groups have opposed allowing commercial operators, such as broadband service providers, to become licensees, because of concerns that if the practice spreads the spectrum would eventually migrate to commercial uses and away from schools. -- Howard Buskirk

BellSouth Petition Also on FCC Agenda

The FCC at its agenda meeting also will consider petitions by BellSouth and Sure West asking for reconsideration of parts of the Triennial Review Order to: (1) Clarify that fiber deployed to multiple dwelling units be treated the same as fiber to single family homes. (2) Reconsider or clarify network modification rules.

In other items, the FCC will consider: (1) Several issues dealing with regulations and compensation of telecom relay service. (2) The annual report to Congress on the status of competition in video programming delivery. (3) A possible notice of proposed rulemaking on electronic filing by international telecom services. (3) An order on spectrum sharing in the 1.6 and 2.4 GHz bands. Globalstar and Iridium commented recently on how their systems share the Big LEO spectrum and changes they would make. Iridium has proposed it should access additional spectrum because of increased subscribership and system use, in addition to the difficulty it has had competing with other mobile satellite service (MSS) operators due to its current assignment. Simultaneously, Globalstar has asked for more spectrum because it’s using all its Big LEO CDMA spectrum and will need more for new services planned.