FCC Sends Ligado License Modification Order to IRAC; Action Likely
The FCC sent Ligado's licensing order to NTIA for the Interdepartment Radio Advisory Committee to consider. Industry officials said questions remain, but that action moves the satellite company a step closer to launching a terrestrial network and putting more spectrum in play for 5G. The FCC is giving 15 days notice to NTIA it's planning to act, and permission isn't needed from NTIA, former government officials said.
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In June, Ligado sought prompt FCC action on its license modification applications under Communications Act Section 7 (see 1906250059). Applications were pending since Dec. 31, 2015. Commissioners said after their June 6 meeting Ligado presents tricky issues that must be addressed (see 1906060056). The FCC and NTIA didn’t comment Wednesday.
“This is a good step as it appears that [Chairman Ajit] Pai is checking boxes as he gets ready to make a decision and that the FCC staff has completed the work necessary to write the order and to issue a final decision,” said a former official. “At least things are finally moving forward after being in purgatory,” said Roger Entner, analyst at Recon Analytics.
The question is conditions, emailed satellite analyst Tim Farrar. “One key issue is how to address fixing U.S. government owned GPS devices, which Ligado has promised to do,” he said: “Ligado simply suggested it should be required to set up a process for replacement, rather than ensuring devices are actually fixed, before commencing operations. If a final order requires the fixes to be in place before operations commence, then that would cause a multi-year delay and potentially hand DOD a veto.” Also in question is if Ligado must give Inmarsat $150 million in delayed payments, he said. “Ligado doesn’t have that money so will need an immediate injection of capital if it is to avoid filing for bankruptcy,” Farrar said.
The Free State Foundation “has argued for over a year now that the FCC should render a decision one way or another on the applications,” said President Randolph May: “I hope the FCC’s ultimate decision gives Ligado the go-ahead because the L-band spectrum should be put to use to provide 5G and other additional advanced wireless networks.”
“After nearly four years of review, it’s a very positive development,” said Michael Calabrese, director of the Wireless Future Program at New America. “It suggests that the commission has decided how it will accommodate any legitimate agency concerns about authorizing Ligado to deploy 5G and related services on this valuable mid-band spectrum. It’s also a positive sign that Chairman Pai is willing to assert the FCC’s role as the expert agency that should rightfully decide the reality and public interest trade-offs with respect to incumbent claims of interference.”