The FBI told the FCC it doesn't object to the selection of Telcordia as local number portability administrator and has no reason to believe the company couldn't satisfy the requirements of law-enforcement agencies. "Consistent with the prior filing of the Federal Bureau of Investigation, the Drug Enforcement Administration, and the U.S. Secret Service, the FBI continues to believe that accurate, confidential, affordable and secure provisioning and administration of the LNP database is in the best interests of the FBI and all of United States law enforcement," said a letter from Todd McCall, FBI assistant director-Operational Technology Division. "The FBI does not possess any information, as of this date, to reasonably question Telcordia's ability to meet these needs or to otherwise object to the FCC's selection of Telcordia as LNPA." The letter was posted Tuesday in docket 09-109.

American Cable Association and Mediacom are disputing broadcaster and programmer arguments as the FCC contemplates changes to good-faith negotiation rules. ACA in a filing Monday in docket 15-216 contended point by point assertions Disney previously made (see 1606170039). Contrary to Disney's claim bundling is generally pro-competitive and pro-consumer, ACA said antitrust law and competition policy look at it under a per se analysis, and certain elements in a tying agreement could add up to an antitrust violation. ACA also defended a Disney-criticized analysis by Columbia University professor Michael Riordan, saying Disney didn't put up any alternative assertions that would lead to different conclusions from Riordan's that bundling raises prices. ACA also said Disney is right that Riordan's analysis involves the idea programmers are monopolists or have market power, "but it does not in the least undermine ACA's case" since there is no good content substitute for the top four-rated broadcast stations and regional sports programming. Disney didn't comment Tuesday. Meanwhile, Mediacom -- in a filing Monday in the docket in response to an NAB ex parte filing (see 1606210044) -- called the NAB's arguments about FCC authority to order interim carriage "a misreading of relevant law" and a mischaracterization of the rule changes Mediacom and others suggested. Mediacom said NAB's assertion the FCC ordering interim carriage would conflict with the right of broadcasters to control their signals under Communications Act Section 325 would force the FCC to adopt "a non-existent limitation" on its own regulatory authority for retransmission consent negotiations. A broadcaster's control of its signals "is not 'unqualified'" under Section 325 and the FCC isn't barred from ordering a station to grant retrans consent for an interim period, Mediacom said. It also disputed NAB arguments against making online blocking during a retransmission consent blackout contrary to good-faith negotiating, with Mediacom saying online blocking rules are unrelated to public performance rules under the Copyright Act cited by NAB, and restricting any online blocking is to protect consumers, not multichannel video programming distributors. In a statement, NAB -- pointing to Consumer Reports’ recent rankings -- said Mediacom should "address its well-known customer service issues rather than seek special regulatory favors from the FCC. The fact is that broadcasters have intellectual property rights in the valuable programming that pay TV companies re-sell for a profit. Mediacom would do well to acknowledge those rights, stop the retransmission consent game playing, and improve its woeful treatment of consumers.”

Former FCC Chairman William Kennard agrees “no one really knows where [Brexit] ends up (see 1606270075), he said Tuesday. Kennard was U.S. ambassador to the EU. “My best guess at this early stage is that Britain will seek to negotiate a Norwegian-style arrangement with the EU which gives it access to the EU Common Market,” Kennard emailed. He was affiliated with Grain Management, a wireless company. Meanwhile, CTA President Gary Shapiro said Tuesday the Brexit vote was understandable and a potential win for the U.S. “The Brexit vote should be seen for what it is: a correction to an unbalanced, unfair, and unsuccessful system,” Shapiro said in an American Spectator opinion piece. “While the EU succeeded in easing travel and trade within the common market, its imperious Brussels regulators needed a reminder that overregulation stifles growth and harms innovation.” Britain’s economy won’t collapse, he said. “Switzerland and Norway have voted against joining the EU, while strengthening their own trade ties with the common market and maintaining strong currency valuation.” For the U.S., the Brexit vote offers new opportunities, Shapiro said: “The vote creates a chance to strengthen our ‘Special Relationship’ and even formalize a trade agreement with Britain.”

The Small Business Administration Office of Advocacy expressed qualms on FCC-proposed broadband privacy rules. "After conducting outreach with small business stakeholders and reviewing the comments filed with the FCC on their behalf, our office has concerns that the FCC’s proposed rules will be disproportionately and significantly burdensome for small Broadband Internet Access Service (BIAS) providers," the SBA office said in a filing posted Tuesday in FCC docket 16-106. "Given the impact of the proposed rules on small BIAS providers, Advocacy recommends that the FCC adopt measures to mitigate the disproportionate impact of compliance on small BIAS providers." The SBA office said the commission "must describe or quantify the economic impact of its rules on small entities" and "provide a meaningful analysis of burden-reducing alternatives." It also recommended the FCC take steps to "mitigate small business costs."

The Supreme Court declined to review AT&T's appeal of a circuit court ruling that allowed a whistleblower's False Claims Act lawsuit to proceed (AT&T v. United States ex rel. Heath, No. 15-363). The lawsuit alleges the carrier fraudulently overcharged schools and libraries under the FCC E-rate program. In its Monday order list, the high court denied without comment AT&T's petition for a writ of certiorari to review the ruling of the U.S. Court of Appeals for the D.C. Circuit (USA ex rel. Todd Heath v. AT&T, No. 14-7094) (see 1506230031) overturning a lower court ruling that dismissed the case. Heath, who runs a business that audits telecom charges, filed a qui tam suit (on behalf of the government) alleging AT&T and its subsidiaries fraudulently overbilled the E-rate program from 1997 to 2009. In its cert petition, AT&T argued Heath didn't meet a key duty under the False Claims Act: "While the core requirement of the FCA is the submission of a false claim for payment by the United States, the respondent does not identify even one example of such a claim. For that reason, this complaint would have been dismissed if it had been filed in the Fourth, Sixth, Eighth, or Eleventh Circuits. But the court below, like six other circuits, permits an FCA suit to proceed without identifying even a single false claim. This Court's intervention is warranted." Responding to Monday's announcement, an AT&T spokesman emailed: "Unfortunately the Court decided not to review the issue, but it’s important to note they did not address the merits of the case. We continue to believe we acted properly and look forward to proving that in Court."

Interference concerns raised by Globalstar's competitors need to be balanced against FCC goals of encouraging investment, competition and efficient use of spectrum, CEO Jay Monroe told Edward Smith, aide to Chairman Tom Wheeler, said an ex parte filing posted Monday in docket 13-213. Globalstar said Monroe also noted incumbents have incentives "to saddle new entrants with burdensome micro-regulations and onerous barriers." The company's broadband terrestrial low-power service (TLPS) plans are in limbo, with two commissioners having voted against them and two undecided, and the company has been actively lobbying the agency for approval (see 1606240056). Meanwhile, Microsoft President/Chief Legal Officer Brad Smith, in a phone call with Commissioner Mike O'Rielly, voiced worries about Globalstar's TLPS interfering with Bluetooth and Wi-Fi networks in the 2.4 GHz band, said a separate ex parte filing posted Monday. According to Microsoft, Smith said opening channel 14 to other public uses aside from TLPS -- as has been pushed by some (see 1606140020) -- would raise the likelihood of Bluetooth and Wi-Fi interference. He urged the FCC not to move on the Globalstar draft order without testing to assess interference effects.

The FCC set-top box proposal is “a play for the FCC to get its hooks into video apps,” said Commissioner Mike O'Rielly in a speech to the New Jersey Broadcasters Association released Monday. “It would be harmful for almost every type of business involved in producing or distributing video content today.” The FCC plan (see 1606270069) would devalue content and expose it to theft, O'Rielly told the association Thursday: “The good news is that many parties, including NAB, are doing a very effective job raising these concerns in Washington. ... There is still time for the Commission to reverse its course, and I sincerely hope that it will do so.” O'Rielly also said the FCC should work to eliminate pirate radio: “The Commission must do all that it can to increase enforcement efforts and protect licensed radio stations from these insidious harmful operators.” O'Rielly said he's meeting with legislators “to change current law as it pertains to pirate radio, including addressing those people or companies that facilitate pirate stations via housing and funds, increasing the fines and penalties for violators, and easing the process for seizing pirate equipment.” O'Rielly said arguments that pirate radio addresses underserved segments of the population or provides opportunities for minorities should be disregarded. “Our society is not one in which citizens are permitted to pick and choose which laws they want to follow and ignore the others,” O'Rielly said. “We are not a candy shop.”

The world should look at making as many bands available as possible for wireless broadband, FCC Commissioner Mike O’Rielly said Monday in a keynote speech posted by the agency. “I humbly suggest that we put as many bands as possible on the table to determine whether individually or collectively they can be used for dynamic, new wireless offerings,” O’Rielly told the Broadband for All seminar in Stockholm. “For each band, we must look at the incumbent uses and study whether sharing is possible without causing harmful interference to current offerings. There is the risk that such an approach leads to unnecessary work. In the short term, that may be accurate but this won’t be the last pass at this project.” Some bands may not pan out when given a closer look, O’Rielly said. “This isn’t a failure,” he said. “It is simply part of the process of ensuring effective spectrum policy and identifying the bands that may be used for wireless.” O’Rielly said he favors licensing spectrum where possible, but a mix of licensed and unlicensed is necessary. “Both licensed and unlicensed are represented in our current spectrum initiatives,” he said. O’Rielly said he regrets that other nations didn't agree on the need to study more high-frequency bands for wireless broadband during last year’s World Radiocommunication Conference. The FCC will soon approve rules making the 28, 37 and 39 GHz bands available on a licensed basis and the 64 to 71 GHz band for unlicensed (see 1606240026). Work remains, O'Rielly said. “While each and every detail may not be flushed out and further comment may be necessary on some issues, it appears that we are headed in the right direction and that these bands will soon be available for wireless use.” Experts agree the four bands won’t provide enough spectrum and the FCC needs to start looking at other high-frequency bands “now,” O’Rielly said. How successful the TV incentive auction will be remains unclear, he said. The main question now is whether the forward auction “can raise enough money to cover the cost of buying ... broadcasters,” he said. “At this point, we do not know how expensive it will be to acquire the broadcast spectrum. Today, rounds 46, 47 and 48 will take place, and this first stage of the broadcast -- or reverse -- auction is likely to conclude sometime this week.” O’Rielly also questioned how successful the U.S. will be in selling spectrum licenses in the 3.5 GHz shared band. The rules don’t help, he said. The FCC decided to license the spectrum by census tracts, “of which there are more than 74,000 across the U.S.,” he said. “Unlike in past auctions, it is unlikely that entities will be looking for nationwide footprints or even be willing or have the capability to bid on 74,000 licenses.” The FCC examination of the special access market could slow 5G deployment, he said. “While promoting wireline expansion is tough, the Commission has taken steps that are counterintuitive and likely to slow wireline backhaul expansion,” O’Rielly said. “The Commission’s recent proceeding to regulate special access will force providers to rethink deployment plans. Why would any provider continue to buildout wireline networks and provide backhaul knowing that the Commission intends to regulate their rates?”

The FCC circulated a draft inquiry on whether advanced telecom capability (ATC) is being deployed to all Americans in a reasonable and timely way -- along with possible steps to speed deployment -- pursuant to Section 706 of the Telecom Act. That is according to the agency's items-on-circulation list, which was updated Friday. An informed source said Monday that it would be surprising if there are major changes proposed to last year's Section 706 notice, including to the commission's 25/3 Mbps benchmark for fixed service. The commission in its February report found the pace of ATC deployment was inadequate to meet the statutory standard (see 1601280064). It also said "broadband" wasn't the same as ATC but was key to meeting the Section 706 test (see 1602010038). FCC spokespersons didn't comment Monday.

Bidding in the reverse phase of the incentive auction is expected to end Wednesday, according to the FCC Public Reporting System. Though the final round of the auction was expected to be round 52, the bidding schedule includes two additional rounds, 53 and 54. The additional rounds may not be needed, but are on the schedule to address the possibility of stations moving from UHF to the VHF band or staying in the VHF band that may not have been able to be placed by the auction system prior to those rounds, an FCC spokesman told us. BTIG analyst Walter Piecyk also forecast Monday the imminent conclusion of the reserve auction. The end of the first stage will only trigger a disclosure by the FCC on the initial “bogey” that will have to be topped in order to end the auction, Piecyk wrote. “The size of the bogey will provide some indication of how long the auction could last and how much cash broadcasters could take home,” he said. “However, the bogey is not an indicator on the value of spectrum or what wireless operators are willing to spend. After the bogey is set, our next data points will not start to hit until the end of July, when we expect the forward auction to begin, allowing the wireless operators and Comcast to start bidding on spectrum.” To close, bids in the forward auction must be high enough to pay for the provisional winning bids from the reverse auction plus $1.75 billion of clearing costs and a small amount to cover FCC administrative costs, he wrote. Guesses on the size of the bogey are “all over the map” and BTIG isn’t predicting, Piecyk said. “Consensus for the forward auction appears to remain around $30 billion.”