Many VoIP providers may have to rely on a proposed 64.9% safe harbor to figure their universal service contributions, rather than being able to use traffic studies such as those the wireless industry uses, VoIP and wireless carrier sources said Fri. To wireless carriers’ relief, the FCC is signaling it will keep allowing traffic studies showing actual call volume as an alternative to using the safe harbor, sources said. Wireless carriers voiced alarm after reports surfaced (CD May 31 p1) the FCC planned to hike their safe harbor to 37.1% from 28.5%.
Howard Buskirk
Howard Buskirk, Executive Senior Editor, joined Warren Communications News in 2004, after covering Capitol Hill for Telecommunications Reports. He has covered Washington since 1993 and was formerly executive editor at Energy Business Watch, editor at Gas Daily and managing editor at Natural Gas Week. Previous to that, he was a staff reporter for the Atlanta Journal-Constitution and the Greenville News. Follow Buskirk on Twitter: @hbuskirk
CHICAGO -- TIA will make stronger carrier participation a major priority next year, for its 2nd Globalcomm event, TIA Pres. Matt Flanigan told us as the first Globalcomm wound down here this week. While TIA won’t make the first move, the group is open to working with USTelecom to combine their shows into a reconstituted Supercomm, he said.
Council Tree, Bethel Native Corp. and the Minority Media & Telecom Council filed Wed. evening in U.S. Appeals Court, Philadelphia for a stay on new FCC designated entity rules, approved ahead of the advance wireless services (AWS) auction. The groups asked the court to act by June 19, the deadline for the electronic filing of short form applications to bid in the auction, set to start Aug. 9.
Early termination fees (ETFs) are in general “part of the rate structure of wireless services” and shouldn’t be subject to state regulation, according to a study by former FCC Comr. Harold Furchtgott-Roth, which CTIA submitted to the Commission. CTIA is mounting a major campaign to convince the FCC that ETFs should be considered part of rates and not subject to state regulation, building on a petition seeking an expedited rulemaking the association filed a year ago. FCC Chmn. Martin is a former aide to Furchtgott-Roth.
CHICAGO -- Pulver.com CEO Jeff Pulver will not oppose an FCC move to impose universal service charges on VoIP, he said. An order to that effect, circulating on the 8th floor for the June agenda meeting, would require VoIP operators to remit fees on up to 64.9% of customer revenue. In an interview at Globalcomm here, Pulver blamed investment bankers managing the IPO for Vonage’s lackluster Wall Street debut.
CHICAGO -- The Telecom Act may limit the FCC’s ability to override local govt. and address telco arguments for removing municipalities from video franchise oversight, Comr. Adelstein said. “It is very clear to me that there are certain powers that local franchise authorities possess and that those authorities were basically delegated to them,” Adelstein said Mon. at Globalcomm here. The key phrase is that the FCC can act only given local authorities’ “unreasonable refusal” to award a license, but Adelstein questioned whether a build out requirement, for example, could be construed as unreasonable.
CHICAGO -- Basic U.S. research in telecom plummeted with the post-AT&T breakup demise of Bell Labs, and the price to U.S. firms could be high, officials warned Mon. at Globalcomm. A news conference saw calls for renewed collaboration among industry, universities and govt., and for pressure on Congress to spend more on basic research. Only 0.3% of U.S. research funding focuses on long-term telecom research, officials said.
Chmn. Martin’s office is reportedly drafting an item that addresses a petition for a declaratory ruling filed by Continental Airlines last summer, asking the FCC to declare Mass. Port Authority’s lease restrictions regarding installation, maintenance and use of Wi-Fi antenna at Boston’s Logan Airport in violation of the Commission’s Over the Air Reception Devices rules. At issue is Continental’s use of a WiFi antenna in its frequent flyer lounge at Logan and Massport’s demand that Continental cease using that antenna and instead provide WiFi service via Massport-sponsored service provider AWG’s system. The item has yet to circulate on the 8th floor. Lobbyists representing wireless carriers, several airlines and UPS met with Martin last week in a meeting arranged by former FCC Comr. Henry Rivera, counsel to Continental.
The FCC Fri. delivered a big loss to Council Tree, the Minority Media & Telecom Council (MMTC) and Bethel Native Corp., refusing to make changes they demanded in designated entity (DE) rules released April 17. The order clarifies the FCC’s intent in referring to “spectrum capacity,” and stating that the rules don’t apply retroactively to licenses bought in earlier auctions. And it counters complaints a DE decision on unjust enrichment rules didn’t follow proper procedure.
Public safety licensees may need to work more diligently at planning for 800 MHz rebanding, if the lack of requests for reimbursement of associated costs is an indication, the 800 MHz Transition Administrator warned. In its quarterly report to the FCC, the TA said many licensees aren’t requesting funds to cover 800 MHz rebanding, which can be complex. As of March 31, Sprint Nextel reported spending $376 million on rebanding costs it agreed to pay under the landmark FCC 800 MHz rebanding order, the TA said.