Mont. PSC, doing about-face, advised FCC to reject Qwest’s current Sec. 271 interLATA long distance entry bid on ground carrier hadn’t complied with 2 public interest conditions PSC attached to its Aug. 1 endorsement. of Qwest entry. Mont. filed its negative recommendation late Tues., due date for comments from states and 3rd parties on Qwest’s pending 9-state Sec. 271 interLATA long distance application. With exception of Mont., Qwest states’ latest comments to FCC reiterated support they gave this summer. Petition seeks entry in Colo., Ia., Ida., Mont., Neb., N.D., Utah, Wash., Wyo.
Last-min. addition to 10th NAB European Radio Conference Oct. 20-21 in Prague is FCC Comr. Copps. Mark Rebholz, NAB dir.-international operations, said this would be “biggest [European show] ever,” with about 600 preregistered.
Wide-ranging inquiry FCC released Wed. on wireless Enhanced 911, led by former Office of Engineering & Technology Chief Dale Hatfield, points to “seriously antiquated” wireline infrastructure for emergency calls. “It is an analog technology in an overwhelmingly digital world,” Hatfield concluded. “Yet it is a critical building block in the implementation of wireless E911.” Those limits will be felt as wireless E911 calls increase and will constrain E911’s reach to nontraditional systems such as PDAs, telematics and voice-over-IP networks, report warned.
NTIA Dir. Nancy Victory told state, local and federal officials Wed. her agency was preparing study for release later this year or early next year on “best practices” in how some states and municipal govts. have been able to overcome stickiest of rights-of-way issues with telecom and cable companies. To ensure that federal govt. is adequately managing rights-of-way over millions of acres of federal land, Bush Administration has formed Federal Rights of Way Working Group, headed by NTIA, to remove impediments to broadband deployment, she said. Group is composed of representatives of all federal agencies with major right-of- way management responsibilities, including U.S. Forest Service, Bureau of Land Management, Bureau of Indian Affairs, Federal Highway Administration, Army, Navy, Air Force, General Services Administration.
Promotions at FCC: Barbara Douglas to dir.-Office of Workplace Diversity, June Taylor to replace Douglas as asst. bureau chief and chief of staff, Consumer & Governmental Affairs Bureau… Larry Audas, ex-WLTX Columbia, S.C., named pres.-gen. mgr., KTHV Little Rock, replacing Susan Freeman, resigned… Carl Furgusson promoted to Tandberg TV dir.- business development… Appointed to dir. positions at Cox: Susan McGinn, contract administration; Bobby Amirshahi, media relations; Susan Leepson, PR; Andrea Proser, corp. communications; Faye Eden-Hill, rate regulation; named assistant gen. counsels, Jennifer Hightower, Joe Freeman, Teresa Kennedy… Lifetime TV promoted Toby Graff to vp- public affairs.
Sen. Stevens (R-Alaska) said he still was reviewing NextWave re-auction legislation, but expressed concerns bill could hurt Alaska Native Wireless. Bill (S-2869), introduced by Sen. Kerry (D-Mass.), recently received support from Senate Commerce Committee Chmn. Hollings (D-S.C.). Hollings told us revised bill should do nothing that could harm NextWave or its case against FCC, which was argued last week before U.S. Supreme Court. (CD Oct 9 p1) Revised bill, copy of which was obtained by Communications Daily, would expand time period that bidders could ask FCC to be removed from auction to 30 days from 15. Alaska Native Wireless said in comments to Commission that it needed 180 days to review licenses it won in auction. Bill, which was introduced in early Aug., now has 41 co-sponsors, with Sens. Harkin (D-Ia.) and Allard (R-Colo.) joining Tues. Similar House bill, introduced in May by House Commerce Consumer Protection Chmn. Stearns (R-Fla.), has 46 co-sponsors but hasn’t added new co- sponsor since Sept. 24.
FCC Chmn. Powell and other commissioners stressed importance of striking balance between interests of local govts. to manage rights-of-way and receive fair compensation and need to promote broadband deployment and other advanced telecom services, as agency opened forum in Washington Wed. to tackle ROW issues and debate scope of Commission’s authority under Sec. 253. ROW challenges have been “with us forever,” and have accompanied every new generation of technological progress, Powell said. State and local govts. historically have had primary role in establishment of policy over ROW that must be “understood and respected” by all, he said, and they're vital part of any solution. Congress had developed blueprint for new infrastructure and new technologies, Powell said, and demanded that agency advance that objective: “These are challenges that we must balance.”
FCC order mandating that DTV tuners be installed in all TV receivers by July 2007 (CD Aug 9 p1) exceeds Commission’s “jurisdiction and statutory authority,” is in violation of Communications Act of 1934 and is “arbitrary, capricious” and “an abuse of discretion.” So argued CEA in petition filed Oct. 11 with U.S. Appeals Court, D.C., asking that FCC order be set aside.
WildBlue is becoming attractive to investors interested in satellite broadband market, according to firm’s Business Development & Mktg. Dir. Brad Greenwald. He told us that potential investors saw business opportunity because of reduced likelihood that EchoStar acquisition of Hughes Electronics and DirecTV would be approved (CD Oct 15 p2). After agreeing to DirecTV deal, EchoStar wrote off $50 million investment in WildBlue, and if Hughes deal finally collapses, satellite officials believe there won’t be dominant satellite broadband provider.
Leucadia National Corp. paid $330 million to acquire 44% of equity of WilTel Communications, newly formed Nev. corporation that completed its financial restructuring and emerged Wed. from Ch. 11 bankruptcy proceeding of Williams Communications Group. Leucadia said it deposited total purchase price in form of irrevocable letters of credit into escrow pending receipt of requisite regulatory approval from FCC. WilTel said it expected to receive FCC approval of transaction by end of year. It said it appointed 4 members of newly formed WilTel board, including Leucadia Chmn. Ian Cumming and Pres. Joseph Steinberg. It also agreed to some restrictions on its ability to acquire or sell WilTel stock. Leucadia said it acquired WilTel stock under old Williams Ch. 11 restructuring plan pursuant to claims purchase agreement with Williams Companies and investment agreement with Old WCG. Williams Communications said Leucadia invested $150 million in company and purchased claims of Williams Companies for $180 million. WilTel said its plan of reorganization, which became effective Oct. 15, was completed under special temporary authority granted by FCC. “The company emerges with a new $375 million credit facility and no other substantial debt obligations other than those related to its headquarters building,” Williams Communications said. It said under its reorganization plan, existing shares of WCG stock had been cancelled. Company had also issued 50 million WilTel shares for distribution: 54% to unsecured creditors, 44% to Leucadia and 2% for potential recovery by holders of securities-related claims through channeling injunction approved by bankruptcy court. Williams Communications also said Howard Janzen resigned as pres., CEO and dir., that left vacant seat on board.