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FCC DA 11-13: Order and Authorization, Jan. 26, 2011

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Federal C(mmunicati(ns C(mmissi(n DA 11-133 Bef(re the Federal C(mmunicati(ns C(mmissi(n Washingt(n, D.C. 20554 In the Matter )f LightSquared Subsidiary LLC Request f)r M)dificati)n )f its Auth)rity f)r an Ancillary Terrestrial C)mp)nent ) ) ) ) ) ) SAT-MOD-20101118-00239 Call Sign: S2358 ORDER AND AUTHORIZATION Ad(pted: January 26, 2011 Released: January 26, 2011 By the Chief, Internati)nal Bureau: I. INTRODUCTION 1. In this Order and Auth)rizati)n (Order), we grant LightSquared Subsidiary LLC (LightSquared), a M)bile Satellite Service (MSS) 1 licensee in the L-Band, 2 a c)nditi)nal waiver )f the Ancillary Terrestrial C)mp)nent (ATC) “integrated service” rule. On N)vember 18, 2010, LightSquared submitted an applicati)n f)r m)dificati)n )f its existing ATC auth)rizati)n, asserting that the services it plans t) )ffer w)uld meet the C)mmissi)n’s integrated service requirements f)r MSS/ATC f)r L-Band MSS systems. 3 In c)nsidering LightSquared’s request, and in granting this waiver, we c)nsidered several fact)rs, including LightSquared’s pr)visi)n )f substantial satellite service in the L-Band, its )ng)ing eff)rts t) c))rdinate with )ther L-Band )perat)rs and make substantial investments t) rati)nalize )perati)ns in the L-Band t) enable use )f this spectrum f)r b)th MSS and ATC br)adband services, the steps it has taken t) pr)m)te an MSS/ATC marketplace that includes dual-m)de satellite/terrestrial devices, and its depl)yment )f a 4G satellite/terrestrial netw)rk in the L-Band pursuant t) unique and substantial terrestrial build)ut requirements. We attach c)nditi)ns t) the waiver, drawn fr)m c)mmitments made by LightSquared in its request, t) ensure that LightSquared’s pr)p)sed service )ffering – b)th its impr)ved satellite service and its ancillary terrestrial c)mp)nent – will achieve the purp)ses )f the integrated service rule. We als) attach c)nditi)ns t) address c)ncerns that c)mmenters 1 The C)mmissi)n’s rules define MSS t) be: “A radi)c)mmunicati)n service: (1) Between m)bile earth stati)ns and )ne )r m)re space stati)ns, )r between space stati)ns used by this service; )r (2) Between m)bile earth stati)ns by means )f )ne )r m)re space stati)ns.” 47 C.F.R. § 2.1(c). 2 “L-Band” br)adly refers t) the frequency range fr)m )ne t) tw) gigahertz, a p)rti)n )f which is all)cated f)r MSS )perati)ns. Specifically, 1525-1559 MHz is d)mestically and internati)nally all)cated f)r transmissi)n fr)m satellites t) m)bile earth stati)ns and 1610-1660.5 MHz f)r transmissi)n fr)m m)bile earth stati)ns t) satellites. See 47 C.F.R. § 2.106. LightSquared is licensed f)r MSS )perati)n in p)rti)ns )f the 1525-1544 MHz and 1545-1559 MHz d)wnlink bands and the 1626.5-1645.5 MHz and 1646.5-1660.5 MHz uplink bands. These frequency bands, which are den)ted in the C)mmissi)n’s rules as the “1.5/1.6 GHz L-Band,” als) may be auth)rized f)r d)mestic ATC )perati)n. See F))tn)te US380 t) the United States Table )f Frequency All)cati)ns, 47 C.F.R. § 2.106. 3 LightSquared Subsidiary LLC Request f)r M)dificati)n )f its Auth)rity f)r an Ancillary Terrestrial C)mp)nent, SAT-MOD-20101118-00239 (filed N)v. 18, 2010) (“LightSquared ATC M)dificati)n Request”).
Transcript
Page 1: FCC DA 11-13: Order and Authorization, Jan. 26, 2011

Federal C(mmunicati(ns C(mmissi(n DA 11-133

Bef(re theFederal C(mmunicati(ns C(mmissi(n

Washingt(n, D.C. 20554

In the Matter )f

LightSquared Subsidiary LLC

Request f)r M)dificati)n )f its Auth)rity f)r an Ancillary Terrestrial C)mp)nent

))))))

SAT-MOD-20101118-00239Call Sign: S2358

ORDER AND AUTHORIZATION

Ad(pted: January 26, 2011 Released: January 26, 2011

By the Chief, Internati)nal Bureau:

I. INTRODUCTION

1. In this Order and Auth)rizati)n (Order), we grant LightSquared Subsidiary LLC (LightSquared), a M)bile Satellite Service (MSS)1 licensee in the L-Band,2 a c)nditi)nal waiver )f the Ancillary Terrestrial C)mp)nent (ATC) “integrated service” rule. On N)vember 18, 2010, LightSquared submitted an applicati)n f)r m)dificati)n )f its existing ATC auth)rizati)n, asserting that the services it plans t) )ffer w)uld meet the C)mmissi)n’s integrated service requirements f)r MSS/ATC f)r L-Band MSS systems.3 In c)nsidering LightSquared’s request, and in granting this waiver, we c)nsidered several fact)rs, including LightSquared’s pr)visi)n )f substantial satellite service in the L-Band, its )ng)ing eff)rts t) c))rdinate with )ther L-Band )perat)rs and make substantial investments t) rati)nalize )perati)ns in the L-Band t) enable use )f this spectrum f)r b)th MSS and ATC br)adband services, the steps it has taken t) pr)m)te an MSS/ATC marketplace that includes dual-m)de satellite/terrestrial devices, and its depl)yment )f a 4G satellite/terrestrial netw)rk in the L-Band pursuant t) unique and substantial terrestrial build)ut requirements. We attach c)nditi)ns t) the waiver, drawn fr)m c)mmitments made by LightSquared in its request, t) ensure that LightSquared’s pr)p)sed service )ffering – b)th its impr)ved satellite service and its ancillary terrestrial c)mp)nent – will achieve the purp)ses )f the integrated service rule. We als) attach c)nditi)ns t) address c)ncerns that c)mmenters

1 The C)mmissi)n’s rules define MSS t) be: “A radi)c)mmunicati)n service: (1) Between m)bile earth stati)ns and )ne )r m)re space stati)ns, )r between space stati)ns used by this service; )r (2) Between m)bile earth stati)ns by means )f )ne )r m)re space stati)ns.” 47 C.F.R. § 2.1(c).2 “L-Band” br)adly refers t) the frequency range fr)m )ne t) tw) gigahertz, a p)rti)n )f which is all)cated f)r MSS )perati)ns. Specifically, 1525-1559 MHz is d)mestically and internati)nally all)cated f)r transmissi)n fr)m satellites t) m)bile earth stati)ns and 1610-1660.5 MHz f)r transmissi)n fr)m m)bile earth stati)ns t) satellites. See47 C.F.R. § 2.106. LightSquared is licensed f)r MSS )perati)n in p)rti)ns )f the 1525-1544 MHz and 1545-1559 MHz d)wnlink bands and the 1626.5-1645.5 MHz and 1646.5-1660.5 MHz uplink bands. These frequency bands, which are den)ted in the C)mmissi)n’s rules as the “1.5/1.6 GHz L-Band,” als) may be auth)rized f)r d)mestic ATC )perati)n. See F))tn)te US380 t) the United States Table )f Frequency All)cati)ns, 47 C.F.R. § 2.106.3 LightSquared Subsidiary LLC Request f)r M)dificati)n )f its Auth)rity f)r an Ancillary Terrestrial C)mp)nent, SAT-MOD-20101118-00239 (filed N)v. 18, 2010) (“LightSquared ATC M)dificati)n Request”).

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and the Nati)nal Telec)mmunicati)ns and Inf)rmati)n Administrati)n (NTIA) have raised ab)ut p)tential interference with Gl)bal P)siti)ning System (GPS) receivers.

II. BACKGROUND

A. LightSquared and the L-Band

2. LightSquared is an MSS licensee auth)rized t) pr)vide service in p)rti)ns )f the L-Band.4 In particular, LightSquared )perates using tw) ge)stati)nary satellites that c)ver N)rth America: MSAT-2, a U.S.-licensed satellite launched in 1995, and MSAT-1, a Canadian-licensed satellite launched in 1996.5 It als) is auth)rized t) )perate a “next-generati)n” replacement satellite f)r MSAT-2—SkyTerra-16—which was launched )n N)vember 14, 2010.7

3. LightSquared has pr)vided MSS since 1996.8 Using MSAT-1 and MSAT-2, LightSquared pr)vides v)ice and l)w-speed data services t) cust)mers f)r vari)us applicati)ns, including: (1) land-based applicati)ns (e.g., v)ice, asset tracking); (2) maritime applicati)ns; and (3) g)vernment applicati)ns (e.g., disaster relief). These services are available in N)rth and Central America, the Caribbean, Hawaii and c)astal waters.9 LightSquared’s system currently serves federal, state and l)cal agencies inv)lved in public safety and emergency resp)nse )perati)ns, including )rganizati)ns such as the Federal Emergency Management Agency, the C)ast Guard, and l)cal fire and p)lice departments.10 LightSquared als)

4 See generally SkyTerra C)mmunicati)ns, Inc., Transfer)r and Harbinger Capital Partners Funds, Transferee Applicati)ns f)r C)nsent t) Transfer C)ntr)l )f SkyTerra Subsidiary, LLC, IB D)cket N). 08-184, Mem,randum Opini,n and Order and Declarat,ry Ruling, 25 FCC Rcd 3059 (IB, OET, WTB, rel. March 25, 2010) (“SkyTerra/Harbinger Order”). The SkyTerra/Harbinger Order pr)vides backgr)und and hist)ry )n the c)rp)rate structure and transacti)ns that led t) Harbinger Capital Partners Funds )btaining c)ntr)l )f MSS licensee SkyTerra Subsidiary, LLC (n)w kn)wn as LightSquared). Id. at 3060-3064, ¶¶ 2-8; see als, LightSquared ATC M)dificati)n Request, Narrative at 1 n.1; http://www.lightsquared.c)m/press-r))m/press-releases/intr)ducing-lightsquared-rev)luti)nizing-the-u-s-wireless-industry-2/ (last visited Jan. 7, 2011). 5 See SkyTerra/Harbinger Order, 25 FCC Rcd at 3061, ¶ 3. MSAT-1 )perates at 106.5º W.L., while MSAT-2 )perated until recently at 101.3º W.L. SkyTerra Subsidiary LLC, Order and Auth,rizati,n, 25 FCC Rcd 2022, at 2023, ¶ 3 (Sat. Div., Int’l. Bur., March 1, 2010) (“Sec,nd Generati,n Additi,nal Frequencies Order”); IBFS File N). SAT-MOD-20100412-00575 (granting request t) )perate MSAT-2 at 103.3 WL). LightSquared als) h)lds fixed and m)bile earth stati)n licenses, secti)n 214 auth)rizati)ns, experimental licenses and a m)bile itinerant license ass)ciated with these satellites and a planned MSS-ATC netw)rk. SkyTerra/Harbinger Order, 25 FCC Rcd at 3061, ¶ 3.6 M)bile Satellite Ventures Subsidiary LLC, Order and Auth,rizati,n, 20 FCC Rcd 9572 (Int’l. Bur. 2005). 7 Press Release, “LightSquared Ann)unces the Successful Launch )f Next-Generati)n Satellite” (N)v. 15, 2010), at http://www.lightsquared.c)m/press-r))m/press-releases/lightsquared-ann)unces-the-successful-launch-)f-next-generati)n-satellite/ (last visited Jan. 7, 2011). On December 14, 2010, LightSquared n)tified the C)mmissi)n that the L-Band reflect)r )n SkyTerra-1 had successfully depl)yed. Letter fr)m Jeff Carlisle, Executive Vice President, Regulat)ry Affairs & Public P)licy, LightSquared, t) Marlene H. D)rtch, Secretary, Federal C)mmunicati)ns C)mmissi)n, SAT-MOD-20101118-00239 (filed Dec. 15, 2010) (Carlisle Dec. 15, 2010 Letter).8 Thr)ugh)ut this Order, we generally refer t) LightSquared and its predecess)rs in interest all as “LightSquared,” unless )therwise indicated. LightSquared predecess)rs in interest include SkyTerra C)mmunicati)ns, Inc. (SkyTerra), M)bile Satellite Ventures (MSV), M)tient Services Inc. and American M)bile Satellite C)mpany (AMSC). The initial L-Band license currently held by LightSquared was issued in 1989. Order and Auth,rizati,n, 4 FCC Rcd 6041 (1989), remanded by Aer,nautical Radi,, Inc. v. FCC, 928 F.2d 428 (D.C. Cir. 1991); Final Decisi,n ,n Remand, 7 FCC Rcd 266 (1992); aff’d, Aer,nautical Radi,, Inc. v. FCC, 983 F.2d 275 (D.C. Cir. 1993); see als, AMSC Subsidiary C)rp)rati)n, Mem,randum Opini,n and Order, 8 FCC Rcd 4040 (1993). 9 See http://www.skyterra.c)m/netw)rk/c)verage-area.cfm (last visited Jan. 7, 2011).10 SkyTerra Subsidiary LLC, Applicati)n f)r M)dificati)n and Waiver, File N). SAT-MOD-20090813-00089, at 2.

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pr)vides fleet management and )ther services t) the transp)rtati)n and natural res)urces industries.11 Its MSS cust)mer base c)ntinues t) expand.12

4. In N)vember 2004, the Internati)nal Bureau first granted LightSquared the auth)rity t) )perate ATC facilities pr)viding v)ice and data c)mmunicati)n f)r users equipped with dual-m)de MSS/ATC devices.13 In March 2010, the Bureau m)dified LightSquared’s ATC auth)rity t) aff)rd additi)nal flexibility f)r the technical design )f LightSquared’s ATC netw)rk, thereby enabling LightSquared t) )perate with greater capacity and impr)ved spectrum efficiency.14 Currently, h)wever, LightSquared is n)t )ffering any terrestrial service using its ATC auth)rity, as it is in the pr)cess )f c)nstructing its satellite/terrestrial netw)rk (discussed bel)w) and has just launched its first next-generati)n satellite that will be part )f that netw)rk.

5. LightSquared has taken several steps t) c))rdinate with )ther MSS L-band )perat)rs, in an eff)rt t) )ptimize the use )f L-Band spectrum in N)rth America f)r MSS and ATC use.15 LightSquared has access t) appr)ximately 20 megahertz )f spectrum acr)ss the entire L-Band, with exact p)rti)ns(s) determined thr)ugh c))rdinati)n.16 Until recently the c))rdinati)n pr)cess in the L-band was driven by narr)wband applicati)ns and m)st )f the spectrum was divided int) slivers )f as little as a few kil)hertz between the five )perat)rs.17 LightSquared has been c))rdinating with the )ther satellite )perat)rs thr)ugh private, c)mmercial agreements t) rati)nalize the )perat)rs’ respective spectrum assignments and )perati)ns t) enable m)re efficient use )f the band. In December 2007, LightSquared c)ncluded a c))rdinati)n arrangement with Inmarsat that pr)vides a framew)rk by which L-Band spectrum use )ver N)rth America can be rati)nalized, all)wing LightSquared and Inmarsat, f)r the first time, t) have c)ntigu)us bl)cks )f spectrum that in turn will facilitate the pr)visi)n )f b)th MSS and ATC br)adband services in this band.18 These changes require substantial expenditures, including the transiti)n fr)m

11 SkyTerra Subsidiary LLC, Applicati)n f)r M)dificati)n and Waiver, File N). SAT-MOD-20090813-00089, at 2.12 F)r example, LightSquared recently ann)unced that it entered int) an agreement with the Indian Health Service )f the U.S. Department )f Health and Human Services t) pr)vide satellite service t) American Indian and Alaska Native c)mmunities until 2020. See LightSquared ATC M)dificati)n Request, Narrative at 8; http://www.lightsquared.c)m/press-r))m/press-releases/lightsquared-and-the-indian-health-service-partner-f)r-rem)te-c)mmunicati)ns-f)r-the-indian-health-system/ (last visited Jan. 7, 2011).13 M)bile Satellite Ventures Subsidiary LLC Applicati)n f)r Min)r M)dificati)n )f Space Stati)n License f)r AMSC-1, File N)s. SAT-MOD-20031118-00333, SAT-MOD-20031118-00332, SES-MOD-20031118-01879, Order and Auth,rizati,n, 19 FCC Rcd 22144 (Int’l Bur. 2004) (“MSV ATC Order”). 14 See SkyTerra Subsidiary LLC Applicati)n f)r M)dificati)n Auth)rity f)r an Ancillary Terrestrial C)mp)nent, File N). SAT-MOD-20090429-00047, Call Sign: AMSC-1, File N). SAT-MOD-20090429-00046, Call Sign: S2358, File N). SES-MOD-20090429-00536, Call Sign: E980179, Order and Auth,rizati,n, 25 FCC Rcd 3043 (Int’l Bur., rel. March 26, 2010) (“2010 SkyTerra ATC M,dificati,n Order”).15 L-Band )perati)ns are subject t) internati)nal c))rdinati)n. See Internati)nal Telec)mmunicati)n Uni)n Table )f Frequency All)cati)ns, N)te 5.354. In N)rth America, there are five satellite )perat)rs in the L-Band, )ne each fr)m the United States, Mexic), Canada, the United Kingd)m, and Russia, subject t) a Mem)randum )f Understanding f)r inter-system c))rdinati)n. See Rep)rt N). IN 96-16, June 25, 1996; 2010 SkyTerra ATC M,dificati,n Order, 25 FCC Rcd at 3045, ¶ 5. 16 See Establishing Rules and P)licies f)r the Use )f Spectrum f)r M)bile Satellite Services in the Upper and L)wer L-band, IB D)cket N). 96-132, Rep,rt and Order, 17 FCC Rcd 2704, 2705, 2712, at ¶¶ 1, 19 (2002). 17 See C)mments )f SkyTerra Subsidiary LLC in GN D)ckets 09-47, 09-51, 09-137, at 6 (filed Oct. 23, 2009).18 In additi)n, an agreement with Russia and Canada exists. Finally, LightSquared c)ntinues t) try t) devel)p an arrangement with Mexic) t) c)mplete the c))rdinati)n pr)cess. See Sec,nd Generati,n Additi,nal Frequencies Order, 25 FCC Rcd at 2022, ¶ 12.

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legacy equipment. In August 2010, LightSquared and Inmarsat began the pr)cess )f implementing Phase 1 )f the arrangement, wherein LightSquared will pay Inmarsat $337.5 milli)n )ver 15 m)nths.19 Next-generati)n br)adband systems require large, c)ntigu)us bl)cks )f spectrum. Unlike )ther MSS bands, much )f the L-band spectrum will n)t be suitable f)r br)adband with)ut such c))rdinati)n.

6. SkyTerra/Harbinger Order. LightSquared )btained its MSS L-band auth)rizati)ns when the Internati)nal Bureau, the Office )f Engineering and Techn)l)gy, and the Wireless Telec)mmunicati)ns Bureau (the “Bureaus”) appr)ved the transfer )f c)ntr)l )f SkyTerra C)mmunicati)ns Inc. t) the Harbinger Capital Partners Funds in March 2010.20 In evaluating this transacti)n, the Bureaus c)nsidered LightSquared’s plans t) c)nstruct an integrated satellite/terrestrial “f)urth generati)n” (“4G”) m)bile br)adband netw)rk, which w)uld primarily use LightSquared’s ATC auth)rity and its next generati)n satellites t) pr)vide m)re advanced services than are p)ssible using LightSquared’s current MSS system.21 The netw)rk w)uld pr)vide b)th v)ice and br)adband data m)bile services nati)nwide, including t) rural areas that lack service fr)m existing terrestrial pr)viders. LightSquared pr)p)sed t) use its satellite/terrestrial netw)rk t) pr)vide services )n a wh)lesale basis t) a variety )f retail distributi)n cust)mers, increasing c)mpetiti)n and benefitting c)nsumers.22 LightSquared c)mmitted that its netw)rk w)uld c)ver 100 percent )f the U.S. p)pulati)n via the satellite c)mp)nent.23 In additi)n t) satellite c)verage, LightSquared has c)mmitted t) a build)ut schedule )f its 4G terrestrial service that will pr)vide United States p)pulati)n c)verage )f at least 100 milli)n by December 31, 2012, at least 145 milli)n by December 31, 2013, and at least 260 milli)n by December 31, 2015.24

7. In appr)ving this transfer )f c)ntr)l, we )bserved that if LightSquared successfully depl)ys its integrated satellite/terrestrial 4G netw)rk, it will be able t) pr)vide m)bile br)adband c)mmunicati)ns in areas where it is difficult )r imp)ssible t) pr)vide c)verage by terrestrial base stati)ns (such as in rem)te )r rural areas and n)n-c)astal maritime regi)ns), as well as at times when c)verage may be unavailable fr)m terrestrial-based netw)rks (such as during natural disasters).25 We als) n)ted that LightSquared’s m)re p)werful new satellites c)uld enable the use )f small handsets that are very similar t) terrestrial handsets in terms )f c)st and f)rm fact)r.26 M)re)ver, c)mmercial and techn)l)gical devel)pments suggest the p)tential f)r depl)yment )f market-changing br)adband netw)rks and mass-market c)nsumer devices that include satellite-enabled br)adband c)verage.27 We c)ncluded that LightSquared’s pr)p)sed integrated satellite/terrestrial 4G m)bile br)adband netw)rk, if realized, c)uld

19 See http://www.lightsquared.c)m/press-r))m/press-releases/lightsquared-delivers-n)tice-t)-inmarsat-triggering-re-banding-)f-l-band-radi)-spectrum-in-n)rth-americ/ (last visited Jan. 7, 2011) (“During implementati)n )f Phase 1, LightSquared will make a series )f payments t) Inmarsat t)talling [sic] $337.5 milli)n”). LightSquared als) has the )pti)n )f implementing Phase 2, which w)uld make an additi)nal 20 megahertz accessible t) LightSquared. Phase 2 may be exercised at any time up until January 2013, but w)uld inv)lve substantial additi)nal c)sts t) LightSquared. Id. 20 See generally SkyTerra/Harbinger Order, 25 FCC Rcd 3059. The appr)val f)ll)wed a )ne year review pr)cess.21 SkyTerra/Harbinger Order, 25 FCC Rcd at 3085, ¶ 55.22 SkyTerra/Harbinger Order, 25 FCC Rcd at 3085, ¶ 55. 23 SkyTerra/Harbinger Order, 25 FCC Rcd at 3085, ¶ 56.24 SkyTerra/Harbinger Order, 25 FCC Rcd at 3085, ¶ 5625 SkyTerra/Harbinger Order, 25 FCC Rcd at 3085-87, ¶¶ 55, 60.26 SkyTerra/Harbinger Order, 25 FCC Rcd at 3086-87, ¶ 60.27 SkyTerra/Harbinger Order, 25 FCC Rcd at 3087, ¶ 61.

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pr)vide several public interest benefits.28 These include: pr)viding additi)nal br)adband capacity when the use )f such services is increasing exp)nentially;29 enhancing c)mpetiti)n am)ng m)bile wireless pr)viders; as a wh)lesale pr)vider, increasing inn)vati)n and investment in new c)nsumer devices; and enhancing traditi)nal MSS )fferings by making m)bile wireless br)adband available in unserved areas and f)r public safety and h)meland security purp)ses.30 We c)nditi)ned )ur appr)val )n LightSquared m)ving f)rward with its plan t) c)nstruct its pr)p)sed integrated satellite/terrestrial 4G br)adband netw)rk that w)uld use the ATC auth)rity t) facilitate br)adband service t) m)st )f the U.S. p)pulati)n.31

B. LightSquared ATC M(dificati(n Request

8. In its N)vember 18, 2010, applicati)n, LightSquared states that it is pr)viding an “update” )f its plans f)r )ffering an integrated service.32 LightSquared explains that its plans f)r pr)viding service have ev)lved since the initial grant )f its ATC auth)rity t) its predecess)r (MSV) in 2004 and that its current business plan differs fr)m that )f its predecess)r, which had dem)nstrated c)mpliance with the C)mmissi)n’s integrated service requirements by planning t) use dual-m)de handsets exclusively.33 LightSquared asserts that the services it plans t) )ffer w)uld meet the C)mmissi)n’s integrated service requirements.34 LightSquared als) states that, if the C)mmissi)n sh)uld determine that any element )f LightSquared’s integrated service sh)wing w)uld require a waiver, “there is ample basis f)r granting )ne” under the C)mmissi)n’s waiver standards.35

9. LightSquared asserts that its service w)uld be “integrated” in several different respects. First, LightSquared states that its netw)rk will be technically integrated as a single netw)rk because all traffic, satellite and terrestrial, will use the “same integrated c)re netw)rk and business/)perati)ns supp)rt systems.”36 Sec)nd, when )ffering L-Band based service t) its wh)lesale cust)mers, LightSquared pr)p)ses t) )ffer )nly “integrated pricing,”37 and will n)t )ffer terrestrial-)nly subscripti)ns t) these cust)mers.38 Third, LightSquared states that it is making substantial investments “t) ensure that dual-

28 SkyTerra/Harbinger Order, 25 FCC Rcd at 3087, ¶ 62.29 SkyTerra/Harbinger Order, 25 FCC Rcd at 3087, ¶ 62; see als, C)nnecting America: The Nati)nal Br)adband Plan, Rec)mmendati)n 5.8.4, pp. 84-85, 87-88 (“Nati,nal Br,adband Plan”); M,bile Br,adband: The Benefits ,f Additi,nal Spectrum, OBI Technical Paper N). 6, Federal C)mmunicati)ns C)mmissi)n Omnibus Br)adband Initiative at 2, 4-5, 17-19, 26 (Oct. 21, 2010).30 SkyTerra/Harbinger Order, 25 FCC Rcd at 3087-88, ¶¶ 62, 68-71.31 SkyTerra/Harbinger Order, 25 FCC Rcd at 3087-88, ¶¶ 71-73.32 LightSquared ATC M)dificati)n Request, Narrative at 1.33 LightSquared ATC M)dificati)n Request, Narrative at 1; see MSV ATC Order, 19 FCC Rcd at 22150-51, ¶¶ 20-21 (determining that MSV’s pr)p)sed dual-m)de handset was c)nsistent with the integrated service requirement under § 25.149(b)(4)(i)). 34 See Light Squared ATC M)dificati)n Request; Letter fr)m Jeffrey J. Carlisle, Executive Vice President, Regulat)ry Affairs and Public P)licy, LightSquared, t) Marlene H. D)rtch, Secretary, Federal C)mmunicati)ns C)mmissi)n (N)v. 18, 2010) at 3-7 (“Narrative”), attached t) LightSquared ATC M)dificati)n Request (cited thr)ugh)ut as “LightSquared ATC M)dificati)n Request, Narrative”). 35 See LightSquared ATC M)dificati)n Request, Narrative at 10. 36 LightSquared ATC M)dificati)n Request, Narrative at 4.37 LightSquared ATC M)dificati)n Request, Narrative at 6 (“The )nly price available t) cust)mers n)t selecting LightSquared’s satellite-)nly price will be an integrated MSS/ATC price.”). 38 LightSquared ATC M)dificati)n Request, Narrative at 7. LightSquared may )ffer its wh)lesale cust)mers v)lume disc)unts, but “will n)t )ffer excepti)ns )r carve-)uts fr)m integrated pricing.” Id.

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m)de devices will be available t) users )f its netw)rk.”39 LightSquared states that it is investing )ver $50 milli)n t) underwrite the c)sts )f devel)ping a Qualc)mm dual-m)de chipset, related c)mp)nents, and an ass)ciated satellite gr)und stati)n infrastructure.40 The chipset will enable a single end-user device t) c)mmunicate with b)th LightSquared’s ATC and satellite netw)rks.41 LightSquared asserts that its “subsidizati)n )f dual-m)de techn)l)gy has given, and will c)ntinue t) give, its retail cust)mers ample incentive t) make dual-m)de devices available t) end-users.”42

10. LightSquared als) states that it will c)ntinue t) pr)vide substantial satellite service and with its next generati)n satellite, will )ffer significantly impr)ved satellite service. LightSquared states that it is in the pr)cess )f upgrading its satellite capabilities with its SkyTerra-1 satellite, )n which it has spent $600 milli)n t) c)nstruct, launch, and insure.43 Significantly, LightSquared claims that the capabilities )f this satellite will lead t) dramatic impr)vements in the f)rm fact)r and c)st )f satellite-enabled devices.44 Due, in part, t) these advancements, LightSquared states that it intends t) add new satellite-)nly cust)mers, including in rural and public safety markets, and t) d)uble the number )f satellite-enabled devices available t) the market between 2011 and 2015.45

11. Finally, LightSquared makes a number )f c)mmitments and assurances (c)llectively “c)mmitments”) in its request. These c)mmitments are designed t) sh)w that it is b)th )ffering substantial satellite service and taking meaningful steps t) enc)urage the creati)n )f a marketplace f)r satellite/terrestrial services and devices.46 Specifically, LightSquared makes the f)ll)wing c)mmitments:

• “LightSquared will actively market its satellite service and will )ffer c)mmercially c)mpetitive rates f)r the service,”47

• “LightSquared will all)cate L-band spectrum nati)nwide t) satellite service t) ensure that the full capacity )f LightSquared’s satellite system will be available t) its cust)mers. This all)cati)n will include a minimum )f 6 MHz dedicated exclusively t) the pr)visi)n )f satellite service, and the actual am)unt used will be well in excess )f this level.”48

• “LightSquared’s satellites will be capable )f pr)viding service acr)ss all )f the L-band MSS frequencies the C)mmissi)n has auth)rized LightSquared t) )perate )n in the United States.

39 LightSquared ATC M)dificati)n Request, Narrative at 4.40 LightSquared ATC M)dificati)n Request, Narrative at 4. LightSquared claims that its investment in the devel)pment )f a Qualc)mm dual-m)de chipset, it “has ensured that an initial range )f dual-m)de chipsets will be available t) device manufacturers )n pricing terms equal t) th)se which apply t) the same chipsets with)ut satellite pr)t)c)l.” Id. at 5.41 LightSquared ATC M)dificati)n Request, Narrative at 4.42 LightSquared ATC M)dificati)n Request, Narrative at 6.43 LightSquared ATC M)dificati)n Request, Narrative at 7-8.44 LightSquared ATC M)dificati)n Request, Narrative at 8 (“What )nce was a 40-p)und device the size )f a suitcase that b)re a $4,000 price tag will have been reduced t) a smartph)ne that can be purchased f)r a few hundred d)llars )r a data card that will c)st under $100.”).45 LightSquared ATC M)dificati)n Request, Narrative at 8.46 See LightSquared ATC M)dificati)n Request, Narrative 4-7, 9.47 LightSquared ATC M)dificati)n Request, Narrative at 9.48 LightSquared ATC M)dificati)n Request, Narrative at 9.

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The same will be true f)r satellite-)nly and dual-m)de devices accessing LightSquared’s satellites.”49

• “LightSquared is taking and will c)ntinue t) take c)mmercially reas)nable measures t) ensure that dual-m)de MSS/ATC c)mp)nent parts (e.g., chipsets and radi) frequency (RF) elements) are available fr)m )ne )r m)re mainstream c)mp)nent suppliers. LightSquared will ensure that its investment in dual-m)de chipsets and devices result in readily available dual-m)de data cards by the third quarter )f 2011 and dual-m)de smartph)nes by the sec)nd quarter )f 2012.”50

• “LightSquared’s integrated MSS/ATC service )fferings will be c)mmercially c)mpetitive and will include a substantial satellite c)mp)nent.”51

• “Except f)r satellite-)nly service, LightSquared will )nly )ffer rate cards with integrated MSS/ATC pricing. LightSquared will n)t )ffer terrestrial-)nly pricing )r subscripti)ns.”52 LightSquared “will have b)th a satellite-)nly and an integrated rate. When a LightSquared cust)mer pays the integrated rate, the cust)mer will have access t) b)th the terrestrial and satellite netw)rks f)r that single rate.”53

• “LightSquared will ensure that the public and all )f its actual and p)tential cust)mers are n)tified )f the availability )f integrated service )fferings t) its retailer cust)mers by p)sting descripti)ns )f its integrated devices, pricing and techn)l)gy t) its website and updating these descripti)ns as necessary t) capture any changes )ver time.”54

• LightSquared will “ensure that dual-m)de devices will be available t) users )f its netw)rk. It is underwriting . . . the c)st )f devel)ping a Qualc)mm dual-m)de chipset, related c)mp)nents, and an ass)ciated satellite gr)und stati)n infrastructure. The dual-m)de chipset will make it p)ssible f)r a single device t) c)mmunicate with LightSquared’s L-band satellites and with its L-band ATC base stati)ns. . . . LightSquared has ensured that an initial range )f dual-m)de chipsets will be available t) device manufacturers )n pricing terms equal t) th)se which apply t) the same chipsets with)ut the satellite pr)t)c)l s)ftware. The agreement, wh)se term is 15 years, als) pr)vides f)r the availability )f the satellite pr)t)c)l in future chipsets )n c)mmercially reas)nable terms. . . . [M]anufacturers will be able t) )ffer satellite-capable devices t) the c)mpany’s retailers at prices equal t) th)se )f functi)nally identical devices with)ut satellite capability.”55

49 LightSquared ATC M)dificati)n Request, Narrative at 9.50 LightSquared ATC M)dificati)n Request, Narrative at 5.51 LightSquared ATC M)dificati)n Request, Narrative at 6.52 LightSquared ATC M)dificati)n Request, Narrative at 4.53 LightSquared ATC M)dificati)n Request, Narrative at 6. LightSquared further states that “[f])r each GB )f terrestrial usage, the cust)mer will receive 500 kB )f satellite usage, with a c)mpetitively-priced, usage-sensitive charge f)r satellite usage ab)ve this am)unt.” Id, as c)rrected by Letter fr)m Jeffrey J. Carlisle, Executive Vice President, Regulat)ry Affairs and Public P)licy, LightSquared, t) Marlene H. D)rtch, Secretary, Federal C)mmunicati)ns C)mmissi)n, File N)s. SAT-MOD-20101118-00239, SES-AMD-20101118-01452 (filed N)v. 19, 2010) (“LightSquared Erratum”).54 LightSquared ATC M)dificati)n Request, Narrative at 6.55 LightSquared ATC M)dificati)n Request, Narrative at 4-5.

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• LightSquared is subsidizing the devel)pment “)f dual-m)de techn)l)gy, and will c)ntinue t) give its retail cust)mers ample incentive t) make dual-m)de devices available t) end-users.”56

• “The satellite and terrestrial c)mp)nents )f LightSquared’s netw)rk will be integrated technically. All traffic, whether it passes thr)ugh the satellite )r terrestrial c)nduits, will be pr)cessed and handled by the same integrated c)re netw)rk and business/)perati)ns supp)rt systems (‘B/OSS’). Similarly, a single set )f Regi)nal Aggregati)n Centers and Nati)nal Data Centers will be used f)r satellite and terrestrial traffic. Fr)m an )perati)nal perspective, theref)re, there is n) separate ‘satellite netw)rk’ )r ‘terrestrial netw)rk.’ There is )nly a single ‘integrated netw)rk,’ making f)r a seamless cust)mer experience and thus a technically integrated netw)rk.”57

• “LightSquared will n)t pr)vide any preferential terms f)r [its] cust)mers that )ffer [terrestrial-)nly] service. . . . M)re)ver, LightSquared c)mmits that it will n)t institute p)licies )r practices that w)uld disc)urage its cust)mers fr)m )ffering integrated MSS/ATC service.”58

• “[O]nce c)mmercial MSS/ATC )perati)ns have begun, LightSquared will file rep)rts with the C)mmissi)n every six m)nths pr)viding the number )f terminals in service falling int) each )f three categ)ries: MSS )nly, dual-m)de MSS/ATC, and terrestrial-)nly.”59

• “LightSquared will file status rep)rts with the C)mmissi)n every calendar quarter )nce dual-m)de devices are c)mmercially available, rep)rting the availability )f dual-m)de MSS/ATC c)mp)nent parts.”60

C. Public N(tice

12. On N)vember 19, 2010, the Internati)nal Bureau issued a public n)tice seeking c)mment )n LightSquared’s request f)r m)dificati)n )f its ATC auth)rity.61 In the public n)tice, we als) s)ught c)mment )n whether the C)mmissi)n sh)uld waive the requirements )f the integrated service rule in the event the inf)rmati)n that LightSquared presented d)es n)t establish c)mpliance with the applicable requirements.62 On N)vember 26, 2010, in resp)nse t) a request filed by CTIA,63 the Internati)nal Bureau extended the c)mment peri)d, with c)mments due )n December 2, 2010, and replies due )n December 9, 2010.64 We have received numer)us c)mments.65

56 LightSquared ATC M)dificati)n Request, Narrative at 6.57 LightSquared ATC M)dificati)n Request, Narrative at 4.58 LightSquared ATC M)dificati)n Request, Narrative at 7.59 LightSquared ATC M)dificati)n Request, Narrative at 9.60 LightSquared ATC M)dificati)n Request, Narrative at 5-6.61 P)licy Branch Inf)rmati)n, Satellite Space Applicati)ns Accepted f)r Filing, Rep)rt N). SAT-00738, Public N,tice (rel. N)v. 19, 2010) (“C,mment Public N,tice”) (establishing that c)mments were due n)t later than N)vember 29, 2010, and replies n)t later than December 6, 2010).62 Id.63 CTIA – The Wireless Ass)ciati)n® Request f)r Extensi)n )f C)mment and Reply C)mment Deadlines (filed N)v. 24, 2010).64 LightSquared Subsidiary LLC Request f)r M)dificati)n )f its Auth)rity f)r an Ancillary Terrestrial C)mp)nent, SAT-MOD-20101118-00239, Order, DA 10-2243 (IB, Sat. Div., rel. N)v. 26, 2010).

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III. INTEGRATED SERVICE RULE

13. In its request, LightSquared asserts that the services that it plans t) )ffer w)uld meet the C)mmissi)n’s integrated service requirements.66 As discussed bel)w, we find that LightSquared’s pr)p)sed service d)es n)t satisfy the integrated service rule, as set f)rth in Secti)n 25.149(b)(4) )f the C)mmissi)n’s rules. In the secti)n that f)ll)ws, we discuss whether the requirements )f this rule sh)uld be waived with respect t) LightSquared and its )perati)ns in the L-Band.

A. M(bile Satellite SerXice Ancillary Terrestrial C(mp(nent Rules

14. The C)mmissi)n ad)pted the ATC regime in 2003 t) permit flexibility in the delivery )f c)mmunicati)ns by MSS pr)viders by enabling them t) integrate ATC int) their MSS netw)rks.67 ATC c)nsists )f terrestrial base stati)ns and m)bile terminals that re-use frequencies assigned f)r MSS t) enhance MSS c)verage.68 Bel)w, we discuss several key aspects )f the MSS/ATC gating criteria rules that are applicable t) LightSquared’s request.

15. T) ensure that MSS )perat)rs seeking t) pr)vide terrestrial service using ATC auth)rity achieve the purp)ses f)r which the regime was enacted, Secti)n 25.149(b) )f the C)mmissi)n’s rules establishes several prerequisites—c)llectively kn)wn as the “gating criteria”—that an MSS )perat)r must dem)nstrate it will satisfy t) )btain ATC auth)rity.69 The purp)se )f the gating criteria is t) ensure that the added terrestrial c)mp)nent remains ancillary t) the principal MSS )ffering.70 The gating criteria require that an MSS )perat)r must pr)vide “substantial” satellite service and must )ffer “integrated” MSS and ATC service.71

16. The C)mmissi)n requires MSS/ATC )perat)rs t) maintain the capability )f pr)viding c)ntinu)us satellite service )ver the entire ge)graphic area )f satellite c)verage required in the

(C)ntinued fr)m previ)us page) 65 See infra paras. 19-21.66 See generally LightSquared ATC M)dificati)n Request, Narrative.67 Flexibility f)r Delivery )f C)mmunicati)ns by M)bile Satellite Service Pr)viders in the 2 GHz Band, the L-Band, and the 1.6/2.4 GHz Bands, IB D)cket N)s. 01-185, 02-364, 18 FCC Rcd 1962, 1964-65, at ¶ 1 (2003) (“ATCRep,rt and Order”), m)dified by Order ,n Rec,nsiderati,n, 18 FCC Rcd 13590 (2003), rec)nsidered in part in Mem,randum Opini,n and Order and Sec,nd Order ,n Rec,nsiderati,n, 20 FCC Rcd 4616 (2005) (“ATC Sec,nd Rec,nsiderati,n Order”), further rec)nsiderati)n pending; see ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4619, ¶ 9 (in all)wing MSS )perat)rs t) integrate ATC int) their MSS )perati)ns, the C)mmissi)n determined that permitting ATC will achieve numer)us g)als and pr)vide numer)us public interest benefits – including enhancing MSS spectrum efficiency; expanding the c)nsumer market f)r MSS, leading t) greater ec)n)mies )f scale and l)wer prices f)r c)nsumers; enabling )perat)rs t) )ffer a single c)nsumer device t) c)mmunicate with b)th the satelliteand terrestrial netw)rk; and strengthening c)mpetiti)n f)r telec)mmunicati)ns services) (citing ATC Rep,rt and Order, 18 FCC Rcd at 1974-79, ¶¶ 22, 24-26, 28, 30). 68 See generally ATC Rep,rt and Order; see als, Fixed and M)bile Services in the M)bile Satellite Service Bands at 1525-1559 MHz and 1626.5-1660.5 MHz, 1610-1625.5 MHz and 2483.5-2500 MHz, and 2000-2020 MHz and 2180-2200 MHz, ET D)cket N). 10-142, N,tice ,f Pr,p,sed Rulemaking and N,tice ,f Inquiry, 25 FCC Rcd 9481, 9482-83, at ¶ 5 (rel. July 15, 2010) (“2010 MSS NPRM/NOI”).69 ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4623-24, ¶ 19 (summarizing the “gating criteria”); see 47 C.F.R. § 25.149(b).70 ATC Rep,rt and Order, 18 FCC Rcd at 1964-65, ¶¶ 1-2.71 ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4623-24, ¶ 19 (internal citati)ns )mitted); see 47 C.F.R. §§ 25.149(b)(1-3) (substantial satellite service), (b)(4) (integrated service). MSS )perat)rs als) are restricted t) )ffering ATC )nly in their auth)rized MSS frequencies. ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4623-24, ¶ 19 (internal citati)n )mitted); 47 C.F.R. § 25.149(b)(5).

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C)mmissi)n’s rules, maintain spare satellites t) replace destr)yed )r degraded satellites expediti)usly, and ensure c)mmercial availability )f service thr)ugh)ut the mandat)ry ge)graphic c)verage area.72 Imp)rtantly, the C)mmissi)n expressly rejected requiring that the satellite service c)nstitute the pred)minant )r primary use )f an MSS/ATC system, )r that a specific percentage )f an MSS/ATC )perat)r’s netw)rk capacity be reserved exclusively f)r MSS.73 The C)mmissi)n c)ncluded that such a restricti)n w)uld limit spectrum efficiency.74 Substantial satellite service is, in effect, b)th an independent requirement and a prec)nditi)n f)r integrated service, in that it establishes a requirement that satellite capability must be present at a certain level in an MSS/ATC system.

17. The C)mmissi)n has pr)vided tw) different ways f)r an MSS/ATC )perat)r t) establish that it meets the integrated service requirements. 75 First, the )perat)r may satisfy a safe-harb)r pr)visi)n by )ffering )nly dual-m)de handsets. F)r purp)ses )f the integrated service rule, a dual-m)de handset “shall c)nsist )f a handset which, when s)ld t) the c)nsumer, c)ntains all the hardware and s)ftware necessary t) acquire and c)mmunicate via b)th the )perat)r’s MSS system’s signal and its ATC system’s signal.”76 Alternatively, a party n)t )ffering dual-m)de handsets may dem)nstrate )ther evidence )f pr)viding integrated service t) the public, “thr)ugh technical, ec)n)mic )r any )ther substantive sh)wing that the primary purp)se )f the MSS licensee’s system remains the pr)visi)n )f MSS.”77 T) ensure that ATC remains ancillary t) the primary MSS, the C)mmissi)n stated that, f)r purp)ses )f the integrated service rule, MSS/ATC )perat)rs may n)t )ffer subscribers terrestrial-)nly service.78 As n)ted ab)ve, LightSquared’s predecess)r’s ATC auth)rizati)n was based up)n meeting the dual-m)de safe harb)r pr)visi)n in the rule.

B. Summary (f Rec(rd / P(siti(ns (f the Parties

18. LightSquared asserts that its pr)p)sed wh)lesale service )ffering meets the gating criteria, including b)th the substantial satellite service rules and the integrated service rule.79 LightSquared states that it is and will c)ntinue t) )ffer substantial MSS as a stand-al)ne )ffering.80 LightSquared claims that it satisfies the integrated service rule because: (1) its netw)rk will be technically and )perati)nally

72 ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4623-24, ¶ 19 (internal citati)ns )mitted); see 47 C.F.R. § 25.149(b)(1-3).73 ATC Rep,rt and Order, 18 FCC Rcd at 2014-15, ¶ 99; ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4623-24, ¶ 19.74 ATC Rep,rt and Order, 18 FCC Rcd at 2014-15, ¶ 99. 75 ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4623-24, ¶ 19; ATC Rep,rt and Order, 18 FCC Rcd at 2008-09, ¶¶ 87-88. The integrated service rule, set f)rth in Secti)n 25.149(b)(4), states:

“Integrated Services. MSS ATC licensees shall )ffer an integrated service )f MSS and MSS ATC. Applicants f)r MSS ATC may establish an integrated service )ffering by affirmatively dem)nstrating that: (i) The MSS ATC )perat)r will use a dual-m)de handset that can c)mmunicate with b)th the MSS netw)rk and the MSS ATC c)mp)nent t) pr)vide the pr)p)sed ATC service; )r (ii) Other evidence establishing that the MSS ATC )perat)r will pr)vide an integrated service )ffering t) the public.”

47 C.F.R. § 25.149(b)(4).76 ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4627, ¶ 29.77 ATC Rep,rt and Order, 18 FCC Rcd at 2009, ¶ 88.78 ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4628, ¶ 33 (internal citati)ns )mitted).79 LightSquared ATC M)dificati)n Request, Narrative at 10.80 LightSquared ATC M)dificati)n Request, Narrative at 8-9.

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integrated as a single netw)rk; (2) it will )ffer )nly integrated MSS/ATC pricing (except f)r satellite-)nly pricing); and (3) it is making substantial investments in the creati)n )f a satellite/terrestrial service )ffering that is designed s) that integrated service are made available t) c)nsumers at c)mpetitive prices.81 Further, LightSquared makes a number )f c)mmitments t) b)lster its claims )f pr)viding substantial satellite service and integrated satellite/terrestrial service.82

19. C)mmenters raised a number )f issues, b)th in supp)rt )f, and in )pp)siti)n t), the LightSquared ATC M)dificati)n Request. C)mmenters supp)rting the applicati)n state that different MSS/ATC )perat)rs have different business plans and that the C)mmissi)n sh)uld empl)y a flexible, case-by-case evaluati)n )f c)mpliance with the gating criteria.83 S)me parties als) argue that the LightSquared pr)p)sal is c)nsistent with the C)mmissi)n’s g)als )f advancing m)bile, including m)bile br)adband, c)mpetiti)n and with advancing rural br)adband depl)yments.84

20. C)nversely, several parties advance arguments in )pp)siti)n t) LightSquared’s request. First, they raise pr)cedural issues, arguing that the c)mment cycle was t)) sh)rt85 and that the issues raised in this pr)ceeding sh)uld be res)lved in a rulemaking pr)ceeding )f general applicability, including the 2010 MSS NPRM/NOI.86 Sec)nd, s)me c)mmenters argue that LightSquared fails t) satisfy the gating criteria, claiming that the LightSquared pr)p)sal d)es n)t c)mply with the integrated service rule87 )r that it is inc)nsistent with the ancillary nature )f ATC )perati)ns.88 Third, c)mmenters c)ntend that, if LightSquared is granted any relief, it sh)uld n)t receive preferential treatment with regard t) )ther MSS )perat)rs.89 F)urth, several c)mmenters express c)ncern that enhanced terrestrial use in the MSS L-band under LightSquared’s pr)p)sal c)uld have harmful c)nsequences with respect t) GPS and related uses in adjacent bands, and request that the C)mmissi)n address the pr)p)sal as part )f a larger

81 LightSquared ATC M)dificati)n Request, Narrative at 3-7.82 See supra para. 11 (discussing LightSquared c)mmitments).83 See DBSD Reply at 5; Free Press, et al., Reply at 6; Gl)balstar Reply at 6-7; TerreStar C)mments at 5-9.84 See Free Press, et al., Reply at 1-5 (grant )f LightSquared’s pr)p)sal will advance c)mpetiti)n); Open Range C)mments at 4 (grant )f LightSquared’s pr)p)sal will supp)rt rural depl)yments); RCA Reply at 1-2, 4-7 (same). A number )f individual and l)cal g)vernment entities als) filed brief c)mments generally supp)rting the LightSquared ATC M)dificati)n Request. See, e.g., J)hn Scarpati C)mments.85 See AT&T C)mments at 8-9 (c)mment cycle t)) sh)rt under Secti)n 25.154 )f the C)mmissi)n’s rules); Wireless C)mmunicati)ns Ass)ciati)n Internati)nal, Inc. (WCAI) Petiti)n t) Deny at 6-10 (c)mment cycle t)) sh)rt under statute and C)mmissi)n rules); U.S. GPS Industry C)uncil C)mments at 7-9 (same); but seeLightSquared Reply at 5-12, 16-18 (c)mment cycle c)mp)rts with C)mmissi)n requirements); Free Press, Media Access Pr)ject, the New America F)undati)n, and Public Kn)wledge (Free Press, et al.) Reply at 8 (same). (Alth)ugh Free Press, et al., styled its filing in this pr)ceeding as “C)mments,” because they were filed )n the day )f the reply c)mment deadline, we refer t) them as “Free Press, et al., Reply” thr)ugh)ut this item.) 86 See AT&T C)mments at 4, 7-10; Blue Sky Reply at 1-2 ; CTIA C)mments at 1, 6-8; Iridium C)mments at 4-5; U.S. GPS Industry C)uncil C)mments at 2-6; Veriz)n Wireless C)mments at 1, 8-9; WCAI Petiti)n t) Deny at 10-13; but see LightSquared Reply at 22-25; Free Press, et al., Reply at 7 (arguing that LightSquared’s service is c)nsistent with C)mmissi)n rules). 87 See AT&T C)mments at 5-7 (LightSquared presents a “n)vel” interpretati)n )f integrated service that is inc)nsistent with the requirement); Veriz)n Wireless C)mments at 5-7; but see LightSquared Reply at 21-29 (LightSquared will be )ffering integrated service); Free Press, et al., Reply at 5-6; T-M)bile Reply at 6-7.88 See AT&T C)mments at 7; CTIA C)mments at 7; U.S. GPS Industry C)uncil C)mments at 3-5; Veriz)n Wireless C)mments at 2-5; 7-8; but see LightSquared Reply at 22-25; Free Press, et al., Reply at 7.89 See AT&T C)mments at 4, 7, 10; Gl)balstar Reply at 6-7.

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rulemaking that w)uld address these c)ncerns.90 The Nati)nal Telec)mmunicati)ns and Inf)rmati)n Administrati)n (NTIA) als) has filed a letter expressing c)ncern ab)ut the p)tential f)r adverse impact )n GPS and )ther Gl)bal Navigati)n Satellite System (GNSS) receivers, as well as maritime and aer)nautical emergency c)mmunicati)n systems, and Inmarsat receivers used by Federal agencies.91

21. In additi)n, s)me parties c)mment )n the appr)priate sc)pe )f relief, if any is granted. S)me c)mmenters argue that )ther similarly situated MSS/ATC licensees sh)uld be able t) )btain similar relief t) any granted t) LightSquared.92 In particular, Gl)balstar states that it sh)uld be able t) )btain flexibility in the applicati)n )f the integrated service rule f)r its Big LEO band )perati)ns that is similar t) any flexibility aff)rded t) LightSquared thr)ugh an anal)g)us license m)dificati)n )r waiver pr)ceeding.93 C)nversely, )thers argue that any relief granted sh)uld be limited t) LightSquared and its )perati)ns in the MSS L-band spectrum.94 Finally, AT&T p)sits a number )f c)nditi)ns that sh)uld be applied t) any relief granted LightSquared.95

C. Sufficiency (f the C(mment Cycle

22. AT&T, the U.S. GPS Industry C)uncil, and WCAI argue that the LightSquared ATC M)dificati)n Request c)nstitutes a “maj)r” m)dificati)n )f its ATC license, and that, theref)re, Secti)n 309(d) )f the C)mmunicati)ns Act96 and Secti)n 25.154 )f the C)mmissi)n’s rules97 require that we

90 See, e.g., CTIA C)mments at 8-9 (C)mmissi)n sh)uld engage interested parties t) address c)ncerns regarding interference fr)m terrestrial L-band )perati)ns bef)re c)mmencement )f service by LightSquared); U.S. GPS Industry C)uncil C)mments at 1-6 (C)mmissi)n sh)uld terminate the LightSquared pr)ceeding and address in rulemaking); WCAI Reply at 1-9 (same); U.S. GPS Industry C)uncil Letter t) Marlene D)rtch, N)tice )f Ex Parte Presentati)n, filed January 7, 2011 (U.S. GPS C)uncil January 7, 2011 Ex Parte) (pr)p)sing that industry and g)vernment w)rk t)gether t) c)nduct technical analysis )f the p)tential f)r interference); Letter fr)m Nich)l)as E. Cali), President and CEO, Air Transp)rt Ass)ciati)n, t) Julius Genach)wski, Chairman, Federal C)mmunicati)ns C)mmissi)n (filed Jan. 7, 2011); Letter fr)m Edward M. B)len, President and CEO, Nati)nal Business Aviati)n Ass)ciati)n, t) Julius Genach)wski, Chairman, Federal C)mmunicati)ns C)mmissi)n (filed Jan. 7, 2011); U.S. GPS Industry C)uncil Letter t) C)mmissi)ners (filed Jan. 25, 2011); see als, AT&T C)mments at 13-14 (rules t) pr)tect GPS )perati)ns may need t) be revised t) acc)unt f)r increased interference p)tential); but see LightSquared Reply at 18-21 (LightSquared will c)mply with existing interference requirements).

We n)te that )ne c)mmenter intr)duced certain press rep)rts indicating that LightSquared had s)me )perati)nal difficulties with the antenna reflect)r )n the SkyTerra-1 satellite, wh)se “)perati)nal and )verall functi)nality plays a vital r)le in this [LightSquared ATC] M)dificati)n Request, as it pertains t) the requisite ATC [g]ating [r]equirements.” Blue Sky Inf)rmati)n Services Reply at 2. LightSquared has indicated that the L-Band reflect)r has been successfully depl)yed. Carlisle Dec. 15, 2010 Letter at 1.91 Letter fr)m Lawrence E. Strickling, Assistant Secretary f)r C)mmunicati)ns and Inf)rmati)n, U.S. Department )f C)mmerce, t) Julius Genach)wski, Chairman, Federal C)mmunicati)ns C)mmissi)n (filed Jan. 12. 2011) (“NTIA Letter”) at 1. GNSS is a system that inc)rp)rates GPS, GLONASS, and )ther space-based and gr)und-based segments t) supp)rt all f)rms )f navigati)n.92 See DBSD Reply at 1; Free Press, et al., Reply at 6; Gl)balstar Reply at 1-7.93 Gl)balstar C)mments at 5.94 See AT&T C)mments at 12-13; Iridium C)mments at 1, 4 (any relief granted LightSquared sh)uld be inapplicable t) the MSS Big LEO spectrum band).95 AT&T C)mments at 11-12 (arguing that (1) the SkyTerra/Harbinger spectrum leasing and wh)lesale c)nditi)ns sh)uld be rec)nsidered; (2) any relief granted LightSquared sh)uld be restricted t) LightSquared’s dealings with unaffiliated cust)mers; and (3) that t) m)nit)r (2), LightSquared sh)uld be required t) pr)vide the C)mmissi)n with n)tice )f its wh)lesale arrangements).96 47 U.S.C. § 309(d).

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pr)vide at least 30 days public n)tice f)r c)mment.98 In resp)nse, LightSquared and Free Press, et al., maintain that LightSquared’s request is a min)r m)dificati)n and theref)re n)t subject t) the 30-day public n)tice requirement.99 The issue is whether the pleading cycle in the instant case pr)vides sufficient n)tice and )pp)rtunity t) c)mment )n the issues raised with respect t) LightSquared’s request, b)th its request f)r m)dificati)n )f its ATC auth)rity and c)nsiderati)n )f whether the integrated service rule sh)uld be waived.

23. We c)nclude that the pleading cycle f)r LightSquared’s request—in which the C,mment Public N,tice was issued )n N)vember 19, 2010, with c)mments due )n December 2, 2010, and reply c)mments due )n December 9, 2010—is sufficient f)r the decisi)ns we make herein. With regard t) LightSquared’s request f)r license m)dificati)n, we need n)t reach the issue )f whether it sh)uld be classified as maj)r )r min)r m)dificati)n f)r purp)ses )f establishing a pleading cycle, because even assuming f)r the sake )f argument that the m)dificati)n request in this pr)ceeding sh)uld be classified as maj)r, the pleading cycle established in the C,mment Public N,tice c)mplies with the requirements )f the C)mmunicati)ns Act.100 M)re)ver, we n)te that we d) n)t grant LightSquared’s m)dificati)n applicati)n )n the gr)unds that it requested, but instead we m)dify LightSquared’s MSS/ATC auth)rizati)n pursuant t) the c)nditi)nal waiver that we grant in this Order bel)w. As explained further in Secti)n III.D bel)w, we take this acti)n in part because we agree with parties that argue that LightSquared’s pr)p)sal d)es n)t c)mply with the C)mmissi)n’s integrated service rule. Thus, even if th)se parties were n)t given all the time specified in Secti)n 25.154 )f the C)mmissi)n’s rules, they have n) basis t) assert that they suffered any prejudice regarding this issue as a result. Regarding )ur waiver analysis, discussed in Secti)n IV bel)w, there is n) set pleading cycle f)r waiver requests specified in the C)mmunicati)ns Act )r the C)mmissi)n’s rules. Theref)re, we must determine )nly whether the pleading cycle meets the requirements )f due pr)cess. In )ther w)rds, we must determine whether the time given t) interested parties t) file c)mments was adequate t) all)w th)se parties t) c)mment in a meaningful manner.101 In this pr)ceeding, we have devel)ped a sizable rec)rd.102 As discussed herein, a number )f c)mmenters have filed full and c)mplete pleadings. There is n) indicati)n that the time permitted f)r c)mments and replies precluded interested parties fr)m participating fully in this pr)ceeding. Acc)rdingly, we disagree

(C)ntinued fr)m previ)us page) 97 47 C.F.R. § 25.154.98 AT&T C)mments at 8-9; U.S. GPS Industry C)uncil C)mments at 7-9; WCAI Petiti)n t) Deny at 6-10.99 LightSquared Reply at 5-12, 16-18; Free Press, et al., Reply at 8.100 Secti)n 309(b) )f the C)mmunicati)ns Act, 47 U.S.C. § 309(b), pr)hibits the C)mmissi)n fr)m acting )n any license m)dificati)n applicati)n, with certain excepti)ns n)t applicable here, earlier than 30 days after public n)tice. The 30-day peri)d ran )n December 20, 2010, and we are taking acti)n )n LightSquared’s applicati)n after that date. Secti)n 309(d)(1) )f the C)mmunicati)ns Act, 47 U.S.C. § 309(d)(1), permits any party in interest t) file a petiti)n t) deny any such applicati)n at any time bef)re the C)mmissi)n acts )n that applicati)n, unless the C)mmissi)n specifies by rule a sh)rter filing peri)d, but n)t less than 30 days after public n)tice, f)r petiti)ns t) deny filed in resp)nse t) certain classificati)ns )f applicati)ns. As the c)mmenters n)te, the C)mmissi)n has specified such a pleading cycle, i.e., 30 days after public n)tice, with respect t) petiti)ns t) deny applicati)ns filed pursuant t) Part 25. See Secti)n 25.154 )f the C)mmissi)n’s rules, 47 C.F.R. § 25.154. The C,mment Public N,tice specified that the filing schedules in Secti)n 25.154 w)uld apply t) the applicati)ns listed therein, with the excepti)n )f “c)mments” and “replies” filed in resp)nse t) LightSquared’s m)dificati)n applicati)n. In )ther w)rds, the filing date f)r “petiti)ns t) deny” LightSquared’s applicati)n was 30 days after the C,mment Public N,tice, c)nsistent with Secti)n 25.154 )f the C)mmissi)n’s rules and Secti)ns 309(b) and 309(d)(1) )f the C)mmunicati)ns Act. 101 See Grannis v. Ordean, 234 U.S. 385, 394, 34 S.Ct. 779, 783, 58 L.Ed. 1363 (1914); see als, Kr,pat v. FAA, 162 F.3d 129, 132 (D.C. Cir., 1998); J,hns,n v. United States, 628 F.2d 187, 194 (D.C.Cir.1980) (the Fifth Amendment “)nly requires that a pers)n receive his ‘due’ pr)cess, n)t every pr)cedural device that he may claim )r desire”). 102 See supra Secti)n III.B.

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with c)mmenters that assert that they were n)t given an adequate )pp)rtunity t) c)mment )n the issues raised.

D. Failure t( Satisfy the Rule

24. We find that LightSquared fails t) satisfy the integrated service rule set f)rth in Secti)n 25.149(b)(4) )f the C)mmissi)n’s rules.103 The C)mmissi)n has interpreted the integrated service rule as pr)hibiting ATC-)nly subscripti)ns.104 Alth)ugh LightSquared d)es n)t, itself, intend t) )ffer ATC-)nly subscripti)ns t) its wh)lesale cust)mers, it c)ntemplates that its cust)mers may well )ffer ATC-)nly subscripti)ns t) c)nsumers. As AT&T and Veriz)n Wireless assert, we find that the C)mmissi)n was clear that applicati)n )f the rule was intended t) prevent such ATC-)nly subscripti)ns.105 The fact that LightSquared devel)ped a wh)lesale business m)del that may n)t have been specifically c)ntemplated when the C)mmissi)n enacted and subsequently interpreted the MSS/ATC rules d)es n)t change this analysis. We likewise find that LightSquared’s decisi)n t) )ffer service )n a wh)lesale basis d)es n)t relieve LightSquared )f the requirement t) c)mply with Secti)n 25.149(b)(4) )f the C)mmissi)n’s rules. LightSquared may n)t c)nvey t) its cust)mers )perati)nal rights that LightSquared itself d)es n)t p)ssess.106 As such, we agree with AT&T, CTIA, the U.S. GPS Industry C)uncil, and Veriz)n Wireless and disagree with LightSquared, Free Press, et al., and T-M)bile, and find that LightSquared’s wh)lesale cust)mers cann)t )ffer terrestrial-)nly service t) their subscribers with)ut vi)lating LightSquared’s )bligati)ns under the rules.107 We turn n)w t) whether t) grant LightSquared a waiver )f the integrated service rule.108

IV. WAIVER OF INTEGRATED SERVICE RULE

25. We find the t)tality )f the facts and circumstances surr)unding LightSquared’s pr)p)sal, including the specific c)mmitments it makes in its filing and several unique circumstances )f

103 47 C.F.R. § 25.149(b)(4). LightSquared d)es n)t assert that it meets the first pr)ng )f the integrated service rule, which creates a safe harb)r f)r MSS/ATC )perat)rs that pr)vide dual-m)de handsets. Rather, LightSquared asserts that it satisfies the sec)nd pr)ng )f the rule by dem)nstrating via “)ther evidence” that it )ffers integrated service. See LightSquared ATC M)dificati)n Request, Narrative at 3-7; LightSquared Reply at 21-29. 104 ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4628, ¶ 33 (“We clarify that ‘integrated service’ as used in this pr)ceeding and required by 47 C.F.R. § 25.149(b)(4) f)rbids MSS/ATC )perat)rs fr)m )ffering ATC-)nly subscripti)ns.”).105 See ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4628, ¶ 33; see als, AT&T C)mments at 6 (LightSquared’s “plan appears t) be in c)nflict with previ)us C)mmissi)n statements )n the intended purp)se )f ATC auth)rity and the )perati)n )f its ATC gating criteria”); Veriz)n Wireless C)mments at 2-5.106 See Veriz)n Wireless C)mments at 3-5 (drawing anal)gies t) the C)mmissi)n’s sec)ndary market rules and p)licies, under which the licensee may n)t c)nvey rights t) third party spectrum lessees that the licensee d)es n)t itself p)ssess). 107 Because we find the wh)lesale nature )f LightSquared’s business plan an insufficient basis t) determine that it c)mplies with the integrated service rule, we decline t) ad)pt AT&T’s pr)p)sals that we limit any relief we grant t) LightSquared’s arrangements with n)n-LightSquared affiliates and t) require LightSquared t) pr)vide the C)mmissi)n with n)tice )f its individual wh)lesale arrangements. See AT&T C)mments at 12. We need n)t address these issues again, bel)w, when addressing the waiver )f the integrated service rule because the waiver grant is n)t premised )n the wh)lesale nature )f LightSquared’s business plan. See infra paras. 29-36. We als) decline t) address AT&T’s request t) rec)nsider tw) )f the c)nditi)ns in the SkyTerra/Harbinger Order because that request is bey)nd the sc)pe )f this pr)ceeding. See AT&T C)mments at 12-13.108 See LightSquared ATC M)dificati)n Request, Narrative at 10. Having f)und that LightSquared fails t) satisfy the integrated service rule, we need n)t address here )pp)sing c)mmenters’ )ther arguments. Rather, we address them, as appr)priate, in the f)ll)wing waiver secti)n. See infra Secti)n IV.

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LightSquared’s activities in the MSS L-band, t) be c)nsistent with the public interest and the purp)se )f the MSS/ATC gating criteria. F)r the reas)ns pr)vided bel)w, we find g))d cause t) grant LightSquared a c)nditi)nal waiver )f Secti)n 25.149(b)(4) )f the C)mmissi)n’s rules f)r services pr)vided by LightSquared using its MSS L-band spectrum.

A. WaiXer Standard

26. The C)mmissi)n may waive its rules f)r g))d cause sh)wn.109 A rule may be waived where the particular facts make strict c)mpliance inc)nsistent with the public interest.110 In making this determinati)n, the C)mmissi)n may take int) acc)unt c)nsiderati)ns )f hardship, equity, )r m)re effective implementati)n )f )verall p)licy )n an individual basis.111 Waiver )f the C)mmissi)n’s rules is theref)re appr)priate if special circumstances warrant a deviati)n fr)m the general rule and such deviati)n will serve the public interest.112 F)r the reas)ns pr)vided bel)w, we find g))d cause t) grant LightSquared a c)nditi)nal waiver )f C)mmissi)n rule 25.149(b)(4), the integrated service rule.113

B. Pr(cedural Treatment (f Request as WaiXer Filing

27. In its request LightSquared states that “[i]f . . . the C)mmissi)n believes that any element )f LightSquared’s sh)wing requires a waiver, there is ample basis f)r granting )ne under applicable standards.”114 LightSquared als) cites the applicable waiver standard in its request.115 WCAI and AT&Targue that LightSquared’s filing with respect t) whether the C)mmissi)n c)uld issue a waiver is pr)cedurally defective. WCAI p)ints t) LightSquared’s F)rm 312 filing, where LightSquared did n)t indicate that it was requesting a waiver.116 AT&T states that LightSquared sh)uld have submitted a f)rmal request f)r waiver, and that its filing d)es n)t meet the pr)cedural )r substantive requirements f)r a waiver request.117

28. We find that LightSquared’s filing pr)vides sufficient basis f)r )ur addressing its request as )ne f)r waiver, given that the C,mment Public N,tice specifically s)ught c)mment n)t )nly )n LightSquared’s request f)r ATC m)dificati)n, but als) )n whether t) waive the requirements )f the integrated service rule. As we discuss ab)ve, we c)nclude that the c)mmenters had adequate n)tice and )pp)rtunity t) c)mment )n the issues raised by LightSquared in its request.118

109 47 C.F.R. § 1.3; see als, WAIT Radi, v. FCC, 418 F.2d 1153, 1159 (D.C. Cir. 1969), cert. denied, 409 U.S. 1027 (1972).110 N,rtheast Cellular Tel. C,. v. FCC, 897 F.2d 1164, 1166 (D.C. Cir. 1990).111 WAIT Radi,, 418 F.2d at 1159; N,rtheast Cellular Tel., 897 F.2d at 1166.112 Netw,rkIP, LLC v. FCC, 548 F.3d 116, 125-28 (D.C. Cir. 2008); N,rtheast Cellular, 897 F.2d at 1166.113 See 47 C.F.R. § 25.149(b)(4).114 LightSquared ATC M)dificati)n Request, Narrative at 10.115 LightSquared ATC M)dificati)n Request, Narrative at 10 n.10, citing WAIT Radi, v. FCC, 418 F.2d 1153 (D.C. Cir., 1969). 116 WCAI Petiti)n t) Deny at 13-14 (n)ting that LightSquared indicated that it was n)t requesting a waiver when answering Questi)n 35 )n F)rm 312). 117 AT&T C)mments at 11.118 See supra paras. 22-23.

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C. WaiXer Analysis

29. In light )f the t)tality )f the facts and circumstances bef)re us, we find g))d cause t) waive the integrated service rule, subject t) c)nditi)ns, with respect t) LightSquared’s L-band auth)rizati)n. We believe that, in this specific instance, a c)nditi)nal waiver will better serve the public interest and the g)als )f the C)mmissi)n’s MSS/ATC gating criteria, including the integrated service rule, than w)uld strict applicati)n )f the integrated service rule t) LightSquared. Specifically, we find that the t)tality )f the facts and circumstances c)nsidered as a wh)le—including LightSquared’s (1) pr)visi)n )f substantial MSS; (2) )ng)ing investments t) rati)nalize the MSS L-band spectrum f)r impr)ved MSS and MSS/ATC use; (3) investment in the creati)n )f a dual-m)de MSS/ATC service )ffering; (4) unique terrestrial build)ut requirements; and (5) specific c)mmitments made t) achieve the C)mmissi)n’s MSS and MSS/ATC g)als—c)llectively serve t) pr)m)te the public interest and the purp)se )f the integrated service rule and, theref)re, warrant )ur grant )f a c)nditi)nal waiver )f the integrated service rule.

30. Pr,visi,n ,f Ubiquit,us, Nati,nwide MSS. LightSquared is already a significant and substantial pr)vider )f MSS. LightSquared has pr)vided MSS since 1996, and presently pr)vides service t) a variety )f different entities, including federal, state, and l)cal agencies inv)lved in public safety and emergency resp)nse )perati)ns. In additi)n, LightSquared c)ntinues t) advance and devel)p its MSS )fferings, having invested $600 milli)n t) c)nstruct and launch its next-generati)n, br)adband capable satellite,119 and plans t) significantly gr)w its satellite user base.120 LightSquared’s current service )fferings and dem)nstrated c)mmitment t) pr)viding MSS pr)vide a measure )f assurance that a waiver )f the integrated service rule will n)t )bviate the )verall purp)se )f the gating criteria t) “ensure that the added terrestrial c)mp)nent remains ancillary t) the principal MSS )ffering.”121 We find unpersuasive c)mments that argue )therwise.

31. Rati,nalizati,n ,f MSS L-band f,r Impr,ved MSS and MSS/ATC Use. LightSquared is making significant eff)rts t) rati)nalize narr)w, interleaved bands )f L-band spectrum, held by several internati)nal )perat)rs, int) c)ntigu)us bl)cks that will supp)rt next-generati)n br)adband techn)l)gies f)r b)th m)bile satellite and terrestrial use. As explained ab)ve, in December 2007, LightSquared entered int) a c))rdinati)n arrangement with Inmarsat t) enable the tw) entities t) rec)nfigure their c)mbined MSS L-band spectrum s) that they can utilize larger, c)ntigu)us bl)cks )f spectrum. LightSquared, pursuant t) its triggering Phase I )f the arrangement in August 2010, will pay Inmarsat an additi)nal $337.5 milli)n t) all)w f)r the transiti)n )f legacy equipment. Pr)ceeding with future phases )f the arrangement w)uld result in even larger bl)cks )f c)ntigu)us spectrum being made available f)r the pr)visi)n )f superi)r MSS and satellite/terrestrial br)adband services. The C)mmissi)n has rec)gnized that these types )f )perat)r t) )perat)r arrangements, especially in the L-band, sh)uld be enc)uraged and are preferable t) “regulati)ns based largely )n hyp)thetical cases.”122 A grant )f a waiver here will enable LightSquared t) implement its pr)p)sed satellite/terrestrial service )ffering and increase its capacity t) advance the )ng)ing rati)nalizati)n )f L-band spectrum use. Indeed, in the absence )f a

119 See LightSquared ATC M)dificati)n Request, Narrative at 2, 7-8.120 See LightSquared ATC M)dificati)n Request, Narrative at 8.121 See ATC Rep,rt and Order, 18 FCC Rcd at 1964-65, ¶¶ 1-2. In additi)n, as n)ted ab)ve, LightSquared has ann)unced that it entered int) an agreement with the Indian Health Service t) pr)vide satellite service t) American Indian and Alaska native c)mmunities until 2020. 122 See 2010 SkyTerra ATC M,dificati,n Order, 25 FCC Rcd at 3045, 3046, ¶ 7; ATC Sec,nd Rec,nsiderati,n Order, 20 FCC Rcd at 4633, ¶ 47; Cf. ATC Rep,rt and Order, 18 FCC Rcd at 2036, ¶ 143 (“While we ad)pt rules t) prevent harmful interference, we d) n)t intend t) pr)hibit L-band MSS )perat)rs fr)m agreeing t) less restrictive limitati)ns )n MSS ATC. We supp)rt and enc)urage private neg)tiati)ns am)ng interested parties in the [L-Band] and will c)nsider waiver requests )f these rules based )n neg)tiated agreements.”); see als, 47 C.F.R. § 25.253(a)(2) and (3), 47 C.F.R. § 25.253(c)(3).

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waiver, the substantial public benefit )f rati)nalizing MSS L-band spectrum might n)t be realized any time s))n.

32. Grant )f the waiver enhances LightSquared’s ability t) rati)nalize the MSS L-band spectrumthr)ugh private arrangements, thus supp)rting depl)yment )f br)adband satellite and satellite/terrestrial services in the band. As such, a waiver is c)nsistent with the purp)se )f the gating criteria because it will ensure that the L-band is capable )f supp)rting next-generati)n MSS and br)adband satellite/terrestrial services that cann)t )therwise be depl)yed in the L-band t)day. Unlike )ther MSS bands, much )f the L-band spectrum will n)t be suitable f)r br)adband with)ut such c))rdinati)n.

33. Investment in Dual-M,de Service and Device Offerings. LightSquared’s filing dem)nstrates a c)mmitment t) devel)ping an integrated MSS/ATC marketplace, including dual-m)de devices. As n)ted ab)ve, LightSquared states that it has invested )ver $50 milli)n t)wards this end.123 LightSquared maintains that because )f the )utc)me )f these investments, manufacturers will be able t) make integrated MSS/ATC devices available at prices equal t) functi)nally identical terrestrial-)nly devices.124 LightSquared claims that integrated satellite/terrestrial data cards will be available by the third quarter )f 2011 and integrated satellite/terrestrial smartph)nes by the sec)nd quarter )f 2012.125 M)re)ver, as the rec)rd sh)ws, LightSquared’s acti)ns will impr)ve the ability )f small, rural wireless pr)viders t) utilize ubiquit)us MSS spectrum and the MSS/ATC device marketplace being advanced by LightSquared.126 LightSquared )ffers t) submit quarterly status rep)rts t) dem)nstrate that integrated satellite/terrestrial c)mp)nent parts remain available fr)m mainstream c)mp)nent suppliers.127 The expected result )f these investments further assures us that, c)nsistent with the purp)se )f the integrated service rule, services and devices will be readily available )n c)mmercially attractive terms t) serve marketplace demand f)r integrated MSS/ATC capabilities.

34. Unique Terrestrial Build,ut Obligati,ns in the MSS L-band. Under the SkyTerra/Harbinger Order, LightSquared must satisfy significant terrestrial build)ut milest)nes f)r its integrated satellite/terrestrial 4G netw)rk using the MSS L-band. Specifically, separately fr)m its satellite c)verage, LightSquared must pr)vide c)verage t) at least 100 milli)n pe)ple by the end )f 2012, at least 145 milli)n pe)ple by the end )f 2013, and at least 260 milli)n pe)ple by the end )f 2015.128 As the Bureaus stated in the SkyTerra/Harbinger Order, if LightSquared succeeds in reaching these milest)nes t) build )ut its integrated satellite/terrestrial 4G m)bile br)adband netw)rk, certain public interest benefits will have been achieved. Depl)yment )f LightSquared’s netw)rk will expand the capabilities )f traditi)nal MSS )fferings and make terrestrial m)bile wireless br)adband service available t) a wider variety )f users. F)r example, we expect that LightSquared will actively market t) rural areas that d) n)t currently have access t) br)adband services.129 The public safety and h)meland security c)mmunities will als) benefit fr)m a br)adband service that is readily available when they are )perating in )r transiti)ning between urban, suburban, )r rural envir)nments. The Bureaus n)ted that LightSquared’s netw)rk will

123 LightSquared ATC M)dificati)n Request, Narrative at 4.124 LightSquared ATC M)dificati)n Request, Narrative at 5.125 See id.126 See Open Range C)mments at 4; Rural Cellular Ass)ciati)n C)mments at 4-5.127 LightSquared ATC M)dificati)n Request, Narrative at 5-6.128 SkyTerra/Harbinger Order, 25 FCC Rcd at 3085, 3088-89, 3098, ¶¶ 56, 72, App. B (Harbinger Business Plan Letter )f March 26, 2010) at Attach. 2.129 See Rural Cellular Ass)ciati)n Reply at 4 (“LightSquared’s c)mmitments, t)gether with the attractiveness )f an integrated MSS/ATC service t) rural service pr)viders, give ample assurance that the m)bile br)adband subscriber utilizing the service will c)ntinue t) receive the benefits )f an integrated MSS/ATC )ffering”).

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enhance c)mpetiti)n f)r terrestrial m)bile wireless br)adband services, giving c)nsumers additi)nal )pti)ns when ch))sing a br)adband service pr)vider.130 As LightSquared dem)nstrated in the c)ntext )f the Harbinger/SkyTerra transacti)n, the expansive terrestrial netw)rk capable )f c)mmunicating with MSS/ATC integrated devices will c)mplement and help advance its next-generati)n )f MSS.131 Additi)nally, LightSquared’s c)mmitments in the SkyTerra/Harbinger Order indicate t) us that integrated satellite/terrestrial services will be a significant part )f their business, even if its sh)wing ab)ve d)es n)t c)mp)rt with the strict letter )f the integrated service rule.

35. LightSquared C,mmitments. Finally, LightSquared )ffers numer)us c)mmitments, many )f which we imp)se as waiver c)nditi)ns, bel)w, t) ensure c)nsistency with the purp)ses )f the gating criteria and the integrated service rule. First, the c)nditi)ns will ensure that LightSquared actively markets MSS that is available nati)nwide and accessible acr)ss LightSquared’s MSS L-band spectrum. Sec)nd, the c)nditi)ns, c)mbined with LightSquared’s pri)r and )ng)ing investments, will ensure market availability )f dual-m)de devices and, equally imp)rtantly, ensure that LightSquared has ec)n)mic incentives t) pr)m)te the use )f MSS/ATC by making the c)st )f these devices c)mpetitive with similar terrestrial-)nly devices. Finally, the c)nditi)ns place filing )bligati)ns )n LightSquared that will permit the C)mmissi)n t) m)nit)r key indicat)rs )f whether )utc)mes c)nsistent with the purp)se )f the gating criteria and the public interest actually materialize. If they d) n)t, the Bureau can take further acti)n t) m)dify LightSquared’s ATC auth)rity, as needed. We emphasize that we analyze these c)mmitments in the c)ntext )f the t)tality )f the facts and circumstances surr)unding LightSquared’s pr)p)sal.

D. Acti(n and C(nditi(ns

36. We theref)re grant LightSquared a waiver )f the integrated service rule set f)rth in Secti)n 25.149(b)(4) )f the C)mmissi)n’s rules, and permit LightSquared t) pr)ceed with its pr)p)sed service )fferings, subject t) the f)ll)wing c)nditi)ns:

I. Ensuring market availability ,f substantial MSS

A. LightSquared shall make available and actively market a c)mmercially c)mpetitive satellite service.

B. LightSquared shall dedicate at least 6 MHz )f MSS L-band spectrum, nati)nwide, exclusively t) satellite service.

C. LightSquared shall ensure that its satellite(s) are capable )f )perating acr)ss the entirety )f LightSquared’s MSS L-band spectrum.

D. LightSquared shall ensure that satellite-capable devices (b)th integrated MSS/ATC devices and satellite-)nly devices) using its MSS L-band spectrum are capable )f )perating acr)ss the entirety )f LightSquared’s MSS L-band spectrum.

II. Ensuring market availability ,f c,mmercially c,mpetitive satellite/terrestrial services and devices

A. LightSquared shall )ffer c)mmercially c)mpetitive satellite/terrestrial service )fferings with an integrated unit rate that includes a substantial132 quantity )f satellite capacity.

130 Free Press, et al., Reply at 1-5 (LightSquared plan will enhance m)bile and m)bile br)adband c)mpetiti)n).131 See SkyTerra/Harbinger Order, 25 FCC Rcd at 3096-97, App. B (Harbinger Business Plan Letter )f March 26, 2010) at Attach. 1 at 1-2.132 We n)te that, in its c)mmitments, LightSquared stated that its cust)mers “will receive 500 kB )f satellite usage, with a c)mpetitively-priced, usage-sensitive charge f)r satellite usage ab)ve this am)unt.” LightSquared ATC M)dificati)n Request, Narrative at 6 (as c)rrected by LightSquared Erratum).

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LightSquared shall adequately n)tify the public and all )f its p)tential and actual cust)mers )f the availability )f these integrated service )fferings.

B. LightSquared shall ensure that integrated, dual-m)de MSS/ATC-capable L-Band devices are readily available in the marketplace n) later than September 30, 2011, f)r datacards and n) later than the June 30, 2012, f)r smartph)nes.

C. T) pr)m)te retail availability )f MSS/ATC-capable devices at prices equal t) th)se )f functi)nally identical devices with)ut satellite capability, LightSquared shall ensure, via subsidy as necessary, that c)mp)nent parts essential f)r MSS/ATC devices (including chipsets and RF elements) are widely available fr)m mainstream supplier(s) )n pricing terms equal t) th)se that apply t) equivalent c)mp)nents with)ut MSS/ATC capability. LightSquared shall adequately n)tify the public and all )f its p)tential and actual cust)mers )f the availability )f this subsidy.

D. LightSquared shall ensure that it uses a single, technically integrated netw)rk (including its c)re netw)rk and business and )perati)ns supp)rt systems) f)r all MSS/ATC traffic, regardless )f whether the traffic passes thr)ugh satellite )r terrestrial c)nduits.

E. LightSquared shall n)t )ffer preferential terms t) cust)mers that )ffer terrestrial-)nly service, )r )therwise disc)urage its cust)mers fr)m )ffering integrated MSS/ATC.

III. Rep,rting Requirements

A. LightSquared shall submit t) the C)mmissi)n, beginning )n April 30, 2011, semi-annual filings that identify the number )f terminals )n, and active users )f, its netw)rk that fall under each )f the f)ll)wing categ)ries MSS-)nly; MSS/ATC; and terrestrial-)nly. The inf)rmati)n c)ntained in these filings shall be current as )f the end )f the calendar quarter (i.e., March 31 )r September 30) immediately preceding the date the filing is due t) be filed with the C)mmissi)n.

B. LightSquared shall submit t) the C)mmissi)n, beginning )n April 30, 2011, quarterly filings that identify the availability )f dual-m)de c)mp)nents (including, chipsets and RF elements) fr)m mainstream c)mp)nent supplier(s). The inf)rmati)n c)ntained in these filings shall be current as )f the end )f the calendar quarter (i.e., March 31, June 30, September 30, )r December 31) immediately preceding the date the filing is due t) be filed with the C)mmissi)n.

37. Sc,pe ,f waiver. In light )f the t)tality )f the facts and circumstances unique t) LightSquared’s pr)p)sal, discussed ab)ve—including LightSquared’s (1) pr)visi)n )f substantial MSS; (2) )ng)ing investments t) rati)nalize the MSS L-band spectrum f)r impr)ved MSS and MSS/ATC use; (3) investment in the creati)n )f a dual-m)de MSS/ATC service and device marketplace; (4) unique terrestrial build)ut requirements; and (5) specific c)mmitments t) supp)rt the purp)ses )f the MSS/ATC gating criteria by )ffering ubiquit)us, nati)nwide satellite service and taking acti)n t) create an MSS/ATC service and device marketplace where n)ne appears t) exist t)day—we find g))d cause t) grant LightSquared a waiver )f Secti)n 25.149(b)(4) )f the C)mmissi)n’s rules, the integrated service rule, subject t) c)nditi)ns. We emphasize that the waiver is predicated )n the specific c)mbinati)n )f facts and circumstances bef)re us. As such, and c)nsistent with the c)mments )f Iridium and AT&T, we limit the sc)pe )f this c)nditi)nal waiver t) LightSquared in its use )f MSS L-band spectrum.133

133 See Iridium C)mments at 1, 4; AT&T C)mments at 12-13. We reiterate that the relief we are granting LightSquared is based )n the specific t)tality )f the facts bef)re us. Sh)uld the t)tality )f the facts with regard t) an)ther, future applicant be different, )ur analysis w)uld need t) take int) acc)unt the differences and the disparate facts. Thus, arguments regarding h)w we sh)uld address hyp)thetical, future, filings are irrelevant t) )ur waiver (c)ntinued….)

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38. Licensee-specific waiver. The relief that we grant falls squarely within that pr)vided in a licensee-specific waiver. We perf)rmed an individual assessment )f the applicati)n bef)re us—in light )f the rules and the C)mmissi)n’s waiver standard. We theref)re reject c)mmenter arguments that we sh)uld instead address the remaining issues c)ncerning the gating criteria raised in this pr)ceeding in an industry-wide rulemaking pr)ceeding. We neither m)dify the C)mmissi)n’s MSS/ATC rules )r p)licies generally, n)r seek t) examine them generally f)r all MSS )perat)rs )r all MSS spectrum.134

V. GPS AND OTHER INTERFERENCE CONCERNS

A. GPS-Related Interference C(ncerns

39. Several c)mmenters raise c)ncerns ab)ut p)tential interference t) GPS receivers and )ther devices that may result fr)m )perati)n )f LightSquared’s base stati)ns,135 while LightSquared asserts that it c)ntinues t) meet its )bligati)ns with regard t) addressing interference c)ncerns.136 NTIA als) expresses c)ncern that LightSquared’s services c)uld adversely impact GPS and )ther GNSS receivers, and asks that the C)mmissi)n address these inference issues bef)re interference )ccurs.137 We emphasize that any p)tential interference t) GPS is a significant c)ncern, and n)te that the Spectrum Task F)rce at the C)mmissi)n recently established an internal technical w)rking gr)up dedicated t) examining this issue.

40. The U.S. GPS Industry C)uncil pr)p)ses that NTIA, w)rking with industry and g)vernment technical experts, examine the p)tential f)r interference within a reas)nable time frame, n)t t) exceed 90 days.138 In its letter, NTIA states that, if the C)mmissi)n grants LightSquared’s request, the C)mmissi)n sh)uld establish a pr)cess that will ensure the interference issues are res)lved pri)r t) LightSquared’s )ffering service that c)uld cause interference, and that will m)tivate all parties t) m)ve expediti)usly and in g))d faith t) res)lve the issues.139 NTIA further states that it stands ready t) w)rk with the C)mmissi)n, LightSquared, and affected parties and c)ncerned Federal agencies t) address these interference c)ncerns.140 M)re recently, LightSquared states that it takes the c)ncerns raised by the GPS c)mmunity ab)ut p)ssible )verl)ad )f GPS devices by LightSquared’s base stati)ns very seri)usly, and that it is appr)priate f)r interested parties t) dev)te res)urces t) a s)luti)n as s))n as p)ssible.141 (C)ntinued fr)m previ)us page) analysis here. Cf. Gl)balstar Reply at 6-7 (arguing Gl)balstar “sh)uld be able t) )btain similar terrestrial flexibility thr)ugh an anal)g)us . . . waiver request”). 134 We decline t) ad)pt AT&T’s pr)p)sal that any relief granted in this pr)ceeding be c)ntingent )n the C)mmissi)n ad)pting rules in the pending MSS rulemaking and affirmatively applying any new rules t) LightSquared. Such a pr)p)sal is bey)nd the sc)pe )f this pr)ceeding.135 GPS receivers are used f)r many types )f applicati)ns ranging fr)m synchr)nizing base stati)ns in wireless netw)rks t) l)cati)n-based services inv)lving c)nsumer devices such as wireless handsets and pers)nal navigati)n devices. 136 LightSquared Reply C)mments at 19-21. LightSquared als) n)tes that it and its predecess)r MSV have entered int) multiple agreements with the U.S. GPS Industry C)uncil t) address c)ncerns ab)ut p)tential interference. Id. at 19-20. 137 NTIA Letter at 1.138 U.S. GPS Industry C)uncil January 7, 2011 Ex Parte at 2 (arguing that LightSquared’s applicati)n n)t be granted until this analysis is transmitted t) the C)mmissi)n).139 NTIA Letter at 1.140 NTIA Letter at 1.141 Letter fr)m Sanjiv Ahuja, Chairman and CEO )f LightSquared, t) Marlene H. D)rtch, Secretary, Federal C)mmunicati)ns C)mmissi)n (filed Jan. 21, 2011) (LightSquared January 21 Ex Parte Letter) at 1. We n)te that LightSquared previ)usly has met with NTIA )fficials regarding establishment )f an industry w)rking gr)up.

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LightSquared pr)fesses c)nfidence that the issues can be res)lved with)ut delaying depl)yment )f its netw)rk. At the same time, in )rder t) address the c)ncerns raised, LightSquared states that it w)uld accept, as a c)nditi)n )f the grant )f its request, the creati)n )f a pr)cess t) address interference c)ncerns regarding GPS and, further, that this pr)cess must be c)mpleted t) the C)mmissi)n’s satisfacti)n bef)re LightSquared c)mmences )ffering c)mmercial service, pursuant t) the appr)val )f its request, )n its L-Band MSS frequencies.142 Further, LightSquared c)mmits t) w)rking diligently and c))peratively with the C)mmissi)n, NTIA and the Federal agencies, and the GPS c)mmunity t) help res)lve the interference issues thr)ugh a rig)r)us pr)cess that can address these issues in a c)mprehensive manner.143

41. We agree )n the need t) address the p)tential interference c)ncerns regarding GPS as LightSquared m)ves f)rward with plans t) depl)y and c)mmence c)mmercial )perati)ns )n its netw)rk.144 Further, we believe that establishing a w)rking gr)up that brings LightSquared and the GPS c)mmunity t)gether t) address these interference issues expediti)usly w)uld serve the public interest. We envisi)n a w)rking gr)up in which c))perative and candid discussi)ns can ensue, and where inf)rmati)n, including pr)prietary inf)rmati)n, can be shared am)ng the participants with appr)priate measures in place t) pr)tect the c)nfidentiality )f that inf)rmati)n. C)mmissi)n staff will w)rk with NTIA, LightSquared, and the GPS c)mmunity, including appr)priate Federal agencies, t) establish a w)rking gr)up t) fully study the p)tential f)r )verl)ad interference t) GPS devices and t) identify any measures necessary t) prevent harmful interference t) GPS. As a c)nditi)n )f granting this waiver, the pr)cess described bel)w addressing the interference c)ncerns regarding GPS must be c)mpleted t) the C)mmissi)n’s satisfacti)n bef)re LightSquared c)mmences )ffering c)mmercial service pursuant t) this waiver )n its L-band MSS frequencies.

42. As an additi)nal c)nditi)n )f granting this waiver, we require LightSquared t) help )rganize and fully participate in the w)rking gr)up described ab)ve. The w)rking gr)up shall f)cus )n analyzing a variety )f types )f GPS devices f)r their susceptibility t) )verl)ad interference fr)m LightSquared’s terrestrial netw)rk )f base stati)ns, identifying near-term technical and )perati)nal measures that can be implemented t) reduce the risk )f )verl)ad interference t) GPS devices, and pr)viding rec)mmendati)ns )n steps that can be taken g)ing f)rward t) permit br)adband wireless services t) be pr)vided in the L-Band MSS frequencies and c)exist with GPS devices. Because the GPS interference c)ncerns stem fr)m LightSquared’s transmissi)ns in its auth)rized spectrum rather than transmissi)ns in the GPS band, the C)mmissi)n expects full participati)n by the GPS industry in the w)rking gr)up and expects the GPS industry t) w)rk expediti)usly and in g))d faith with LightSquared t) ameli)rate the interference c)ncerns.

43. Further, we require that LightSquared submit an initial rep)rt t) the FCC and NTIA by February 25, 2011, that includes a w)rk plan )utlining key milest)nes f)r the )verall analyses. In additi)n, LightSquared must submit pr)gress rep)rts )n the 15th day )f each succeeding m)nth )r first business day thereafter. The first )f these rep)rts must at a minimum include base stati)n transmitter characteristics, categ)ries )f GPS devices and their representative perf)rmance characteristics, and test plans and pr)cedures. LightSquared is further required t) submit a final rep)rt n) later than June 15, 2011, that includes the w)rking gr)up’s analyses )f the p)tential f)r )verl)ad interference t) GPS devices fr)m LightSquared’s terrestrial netw)rk )f base stati)ns, technical and )perati)nal steps t) av)id such interference, and specific rec)mmendati)ns g)ing f)rward t) mitigate p)tential interference t) GPS devices. The Bureau reserves the right t) adjust the rep)rting dates and requirements in c)nsultati)n with

142 LightSquared January 21 Ex Parte Letter at 1.143 LightSquared January 21 Ex Parte Letter at 2.144 The c)nditi)ns ad)pted herein d) n)t affect LightSquared’s )bligati)n t) meet the build)ut c)mmitments established in the SkyTerra/Harbinger Order.

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NTIA. The pr)cess will be c)mplete )nce the C)mmissi)n, after c)nsultati)n with NTIA, c)ncludes that the harmful interference c)ncerns have been res)lved and sends a letter t) LightSquared stating that the pr)cess is c)mplete.

B. Other Interference C(ncerns

44. In its letter, NTIA als) raised c)ncerns ab)ut the impact )f LightSquared’s pr)p)sed )perati)ns )n pri)rity and preemptive access requirements f)r L-Band aer)nautical and maritime safety services,145 and in c)nnecti)n with Department )f Defense (D)D) use )f Inmarsat L-Band services.146 B)th c)ncerns were als) raised previ)usly by NTIA and addressed in the 2010 SkyTerra ATC M,dificati,n Order. With respect t) pri)rity and preemptive access, the 2010 SkyTerra ATC M,dificati,n Order required LightSquared t) “present the C)mmissi)n and NTIA n) later than six m)nths pri)r t) c)mmencement )f c)mmercial ATC )perati)n with any [new air interface pr)t)c)l], a m)re detailed written dem)nstrati)n )f h)w )perati)n with such pr)t)c)l(s) will c)mply with the requirements )f US308 and US315.”147 With respect t) D)D use )f Inmarsat L-Band service, the 2010 SkyTerra ATC M,dificati,n Order indicated that the C)mmissi)n expects LightSquared “t) c)ntinue t) w)rk with the D)D in )rder t) res)lve D)D’s c)ncerns” and that it is “incumbent up)n Inmarsat and its cust)mers . . . t) w)rk in g))d faith n)w t) mitigate any negative impacts resulting fr)m changes in spectrum use.”148 N)thing in this Order is intended t) alter th)se requirements )r expectati)ns in any way. We agree with NTIA, h)wever, that in addressing these matters c)nsistent with the 2010 SkyTerra ATC M,dificati,n Order, LightSquared will need t) address any impact that may be caused by its ATC )perati)ns, and any attendant increase in duty cycles )r p)tential f)r interference. Furtherm)re, we remind all parties that the 2010 SkyTerra ATC M,dificati,n Order was premised )n Inmarsat’s and LightSquared’s willingness t) share technical inf)rmati)n and c))perate with interested parties t) devel)p effective s)luti)ns t) any interference c)ncerns that may arise as a result )f the Inmarsat/LightSquared arrangement.149

VI. ORDERING CLAUSES

45. Acc)rdingly, IT IS ORDERED, pursuant t) Secti)n 309 )f the C)mmunicati)ns Act, 47 U.S.C. § 309, and Secti)n 0.261 )f the C)mmissi)n’s rules, 47 C.F.R. § 0.261, that Applicati)n File N). SAT-MOD-20101118-00239 IS GRANTED IN PART AND DENIED IN PART, and LightSquared Subsidiary LLC’s auth)rizati)n f)r Ancillary Terrestrial C)mp)nent )perati)ns (Call Sign: S2358) is m)dified t) include auth)rity t) pr)vide terrestrial service as described in its applicati)n, and subject t) the c)nditi)ns specified in paragraphs 36 and 41-43 )f this Order.

145 NTIA Letter at 4. NTIA states a c)ncern that a shift t)ward terrestrial-)nly use )f L-Band c)uld reduce )r eliminate access t) the spectrum f)r aer)nautical and maritime safety services.146 Id. at 5. NTIA )bserves that the p)tentially increased duty cycle fr)m terrestrial-)nly uses may increase the pr)bability )f interference t) Inmarsat receivers used by D)D.147 2010 SkyTerra ATC M,dificati,n Order, 25 FCC Rcd at 3054, 3057-58, ¶¶ 33, 46. US 308 and US315 are f))tn)tes c)ncerning pri)rity and preemptive access that appear in the U.S. Table )f Frequency All)cati)ns, 47 C.F.R. § 2.106.148 2010 SkyTerra ATC M,dificati,n Order 25 FCC Rcd at 3056, ¶ 39; see als, Letter fr)m Diane J. C)rnell, Vice President G)vernment Affairs, Inmarsat, t) Marlene H. D)rtch, Secretary, Federal C)mmunicati)ns C)mmissi)n (filed Jan. 18, 2011) (n)ting that LightSquared and Inmarsat are engaged in c))rdinati)n eff)rts designed “t) ensure that Inmarsat’s USG cust)mers will be able t) c)ntinue )perating )n the Inmarsat m)bile satellite netw)rk during and after the implementati)n )f LightSquared’s planned ATC system”). 149 2010 SkyTerra ATC M,dificati,n Order, 25 FCC Rcd at 3054, 3056, ¶¶ 32, 39.

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46. IT IS FURTHER ORDERED that this auth)rizati)n is further subject t) the representati)ns and limiting specificati)ns in the applicati)n f)r m)dificati)n; the previ)usly-established terms and c)nditi)ns f)r )perati)n )f the SkyTerra-1 satellite150 and ass)ciated ATC facilities, except as m)dified herein; and the C)mmissi)n’s applicable rules and regulati)ns, except as explicitly waived herein.

47. IT IS FURTHER ORDERED that a partial waiver )f the integrated service requirement, 47 C.F.R. § 25.149(b)(4), IS GRANTED t) LightSquared, subject t) the c)nditi)ns specified in paragraph 36 and 41-43 )f this Order.

48. IT IS FURTHER ORDERED that LightSquared may c)mmence )ffering c)mmercial service )n its MSS L-band frequencies under the auth)rity granted herein )nly up)n the c)mpleti)n )f the pr)cess f)r addressing interference c)ncerns relating t) GPS, as set f)rth in paragraphs 41-43 )f this Order. As further detailed in paragraphs 41-43 )f this Order, LightSquared shall help )rganize and fully participate in a GPS interference technical w)rking gr)up, and shall submit w)rking gr)up rep)rts t) the C)mmissi)n and t) NTIA. An initial rep)rt shall be submitted )n February 25, 2011. Pr)gress rep)rts shall be submitted )n a m)nthly basis thereafter, due )n the 15th day )f each m)nth ()r, if that day is a h)liday as defined in 47 C.F.R. § 1.4(e)(1), )n the first business day thereafter), and the final rep)rt shall be submitted n) later than June 15, 2011. The pr)cess will be c)mplete )nce the C)mmissi)n, after c)nsultati)n with NTIA, sends a letter t) LightSquared stating that the pr)cess is c)mplete.

49. IT IS FURTHER ORDERED that the rep)rts required in paragraphs 36 and 43, ab)ve, must be filed with the C)mmissi)n’s Secretary, referencing SAT-MOD-20101118-00239, and c)pies must be sent by email t) [email protected])v.

50. IT IS FURTHER ORDERED that the Wireless C)mmunicati)ns Ass)ciati)n Internati)nal, Inc.’s Petiti)n t) Deny IS DENIED.

51. IT IS FURTHER ORDERED that this Order is effective up)n release. Petiti)ns f)r rec)nsiderati)n under 47 C.F.R. § 1.106 )r applicati)ns f)r review under 47 C.F.R. § 1.115 may be filed within thirty days )f the release date. See 47 C.F.R. § 1.4(b)(2).

Federal C)mmunicati)ns C)mmissi)n

Mindel De La T)rreChief, Internati)nal Bureau

150 Thus, this Order d)es n)t alter )r eliminate the previ)usly-imp)sed bandwidth limits )n L-Band )perati)n via SkyTerra-1. See M,bile Satellite Ventures Subsidiary LLC, Order and Auth,rizati,n, 20 FCC Rcd 9752, 9757 ¶ 14, 9773 ¶ 56 (Int’l Bur. 2005).


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