Allowing geostationary orbit (GSO) fixed satellite service (FSS) downlinks in the 17.3-17.8 GHz band on a co-primary basis with incumbent services got satellite operator backing and wireless concerns in docket 20-330 comments posted Thursday. Hughes, Telesat, SES, Intelsat, Eutelsat, Boeing, Lockheed Martin and Thales said the FSS allocations would help meet growing demand for more Ka-band downlink spectrum for high-throughput satellites. They said 17/24 GHz rules could be updated and extended to 17 GHz FSS networks. To protect incumbent direct broadcast satellite and broadcast satellite service operations, Hughes backed limiting geostationary FSS operations in the swath to low-density applications like gateways and feeder links. Inmarsat said FSS satellites that sought authorization in the 17 GHz band exponentially increased in the past 10 years, and growth will continue, with it launching Ka-band payloads on its GX6A and GX6B satellites and next three Xpress satellites over two years. Backing the NPRM, Viasat said the FCC should allow earth stations in motion to operate in the 17 GHz band in the same manner as GSO FSS earth stations and give blanket-licensed earth stations there the same level of interference protection as a conforming earth station that wasn't blanket licensed. Amazon's Kuiper urged a Further NPRM to consider allowing non-geostationary orbit FSS use of the 17.3-17.7 GHz band, saying it would "remedy the imbalance" between accessible uplink and downlink spectrum available to Ka-band systems. CTIA said it's "premature" to look at the 17 GHz allocations since it's intertwined with the 12 GHz band NPRM, and issues there haven't been considered. It said the proposed technical fixed service protections are outdated and may not protect it, and proposed FSS allocations and service rules could hurt some uses of the frequencies. AT&T urged operational requirements to protect incumbent DBS and terrestrial fixed service via such steps as wider minimum orbital spacing requirements between GSO FSS downlinks and existing and proposed incumbents' satellites and restriction of GSO FSS downlinks to gateway-type earth stations.

Uniform organizational rules that create a standard for exercise of delegated authority across FCC bureaus and offices when they dismiss procedurally defective applications for review take effect April 5, says Thursday's Federal Register. It says offices and bureaus will have clear authority to dismiss applications that don't comply with procedural requirements.

Google, NCTA and 20 others urged leaders of the House and Senate Commerce committees Wednesday to address “current estimated costs to clear the 3.45 GHz band of federal users,” which “could jeopardize” FCC “ability to conduct a successful auction and meet its obligation to ensure that a wide variety of applicants have access to spectrum.” Commissioners vote March 17 on beginning an auction for early October (see 2102230065). NTIA in January estimated relocation costs “at more than $13.4 billion, meaning that the auction reserve price that bidders would have to meet in order for a successful auction would be nearly $15 billion, likely putting licenses out of reach for all but the three largest nationwide wireless operators,” stakeholders also including Comcast, Hewlett Packard Enterprise, Public Knowledge, the Rural Wireless Association and Wireless ISP Association said in a letter to Senate Commerce Chair Maria Cantwell, D-Wash.; ranking member Roger Wicker, R-Miss.; House Commerce Chairman Frank Pallone, D-N.J.; and ranking member Cathy McMorris Rodgers, R-Wash. “Wireless providers’ large financial commitments in the recent C-band auction and related build-out obligations make it all the more appropriate to encourage other sources of capital in a second mid-band spectrum auction in the same year.” Congress “should encourage the FCC to consider licensing policies akin to those adopted in the [citizens broadband radio service] CBRS band that could increase competition, lower costs for prospective new entrants, and better ensure that the benefits of 5G are enjoyed by all consumers,” the entities said. They want lawmakers to “work closely with NTIA, affected federal spectrum users, and the FCC to consider ways to refine and reduce the federal government’s relocation cost estimate.”

Q2 USF revenue will be around $9.9 billion, Universal Service Administrative Co. reported Tuesday. The sequential drop of about $163 million makes it the "lowest quarterly revenue" ever, said analyst Billy Jack Gregg. The contribution factor, as expected, will increase from 31.8% to 33.4% (see 2102010059).

The Senate confirmed Gina Raimondo as commerce secretary Tuesday in a bipartisan 84-15 vote, as expected. Senate Commerce Committee ranking member Roger Wicker of Mississippi and Communications Subcommittee ranking member John Thune of South Dakota were among the Republicans who backed Raimondo, after previously voting to advance her out of committee (see 2102030065). The 15 Republicans who opposed Raimondo on the floor included Sens. Ted Cruz of Texas and Marco Rubio of Florida, both of whom complained she hadn’t unequivocally ruled out the Commerce Department rolling back restrictions on Huawei and other Chinese telecom and tech firms (see 2102010069). Cruz placed a hold on Raimondo, delaying confirmation (see 2102050064). “Nominees will never be more engaged, more transparent or more forthcoming than during their confirmation process,” so Raimondo's refusal “to be any of these speaks volumes to how she would act” if confirmed, Cruz said on the floor. “There has been a rush to embrace the worst elements of the Chinese Communist Party in the Biden administration, and that includes” Raimondo. “We’re just about six weeks into the Biden presidency,” and the administration “has already been keen on lifting the restrictions on Huawei since the very first week,” Cruz said. “Where will we be six months from now? A year from now? Prohibiting the use of platforms like Huawei and safeguarding American technology from being exploited by Chinese espionage infrastructure are commonsense measures to protect American national security.” Stakeholders congratulated Raimondo, including BSA|The Software Alliance, CTIA, MPA, TechNet and USTelecom.

The Senate is expected to vote as soon as Wednesday on the American Rescue Plan Act COVID-19 budget reconciliation package (HR-1319), which includes $7.6 billion for E-rate remote learning (see 2102100061), Majority Leader Chuck Schumer, D-N.Y., said Monday. The House OK'd it 219-212 Saturday. All House Republicans opposed the measure, as expected. The House Rules Committee decided Friday against allowing floor votes on three telecom-related amendments, including one seeking to require the FCC to “establish a priority system that prioritizes” the E-rate funding for schools and libraries in unserved and rural areas. Agriculture Committee ranking member Glenn Thompson, R-Pa., spoke during the Rules meeting for his amendment to allocate $800 million for Agriculture Department broadband programs. They were “left out” despite being “instrumental in closing this digital divide in rural America,” he said. Commerce Committee Chairman Frank Pallone, D-N.J., said HR-1319 “meets the urgency of this moment,” citing the money as a way to “expand internet connectivity to help students and teachers without home internet access.” Commerce ranking member Cathy McMorris Rodgers, R-Wash., called the measure a “hyper-partisan package” that “isn’t timely or targeted.” Schools, Health & Libraries Broadband Coalition Executive Director John Windhausen praised it as a “welcome move to help learners of all ages.”

AT&T selling a minority stake in DirecTV to TPG (see our report here, news release here) drew speculation about the video business that's being spun off eventually being combined with Dish Network. Meanwhile, AT&T told us it will file satellite license transfer applications with the FCC to assign operations to DirecTV. A Barclays analyst asked during a Thursday conference call if the TPV deal has any provision about how the ownership of the entity would be shared in any future DirecTV-Dish. “There's a lot of different terms and conditions in it and a lot of different scenarios that might be out there, none of which I'm going to talk about,” AT&T CEO John Stankey said: “If something else occurs, we get 70% of ultimately the value,” the stake the telco keeps. Dish Chairman Charlie Ergen thinks a future DirecTV-Dish is “inevitable” (see 2011060043). A Dish spokesperson declined to comment. The transaction “is better than it seems for AT&T, but only if there is a subsequent value-enhancing transaction (like a merger with Dish),” theorized New Street Friday. “We are confident that this transaction was set up as a precursor to a second transaction, presumably a combination with Dish.” The deal foretells “more wheeling and dealing ahead,” likely putting DirecTV’s “popular but costly” NFL Sunday Ticket service "into play," wrote GlobalData senior analyst Tammy Parker.

AT&T will spin off its U.S. video distribution business in a $7.8 billion deal with TPG that will give the investment firm a 30% stake to AT&T's 70%. The telco said Thursday New DirecTV -- made up of its DirecTV, AT&T TV and U-verse video services -- will have a five-person board: two people each from AT&T and TPG, plus the new company's CEO, Bill Morrow, who currently heads AT&T's U.S. video unit. The transaction is expected to close in the second half of the year. This "aligns with our investment and operational focus on connectivity and content, and the strategic businesses that are key to growing our customer relationships across 5G wireless, fiber and HBO Max," said AT&T CEO John Stankey. He added it's in line with plans to invest in growth areas, maintain its dividend, focus on debt reduction "and restructure or monetize non-core assets." The spinoff "provides the flexibility and dedicated management focus needed to continue ... managing the business for profitability." “We certainly didn’t expect this outcome” when AT&T closed on DirecTV in 2015, Stankey said in a call with analysts. He said it lines up with “current realities of the market" and AT&T’s focus on connectivity and content, and improves the “overall growth profile” of the remaining core business. The carrier had strong wireless subscriber and fiber customer growth in 2020, and HBO Max adoption is surpassing expectations, he said. Asked about a similar sale of AT&T’s Latin American video assets, Stankey said the company has looked at opportunities for monetizing them and “we’ll continue to look at them … if the right opportunity popped up.” AT&T said it will receive $7.6 billion in cash from New DirecTV at close, which it will use to pay down debt, and the spinoff will assume $200 million in existing DirecTV debt. It said TPG will pay $1.8 billion in cash to New DirecTV for its stake, and New DirecTV has secured $6.2 billion in bank group funding. TPG Principal John Flynn said it anticipates growing New DirecTV's streaming video service while continuing DBS service to subscribers. AT&T said it and DirecTV will have a commercial agreement to continue offering bundled pay-TV service for its wireless and internet customers. Analysts said AT&T is under pressure to pay down debt after its big spending in the C-band auction (see 2102250046).

The wireless industry seems "unwilling to accept" the FCC's repeated conclusion that fixed satellite service earth stations can share spectrum with upper microwave flexible-use service (UMFUS), such as the proposed FSS allocation in the 51.4-52.4 GHz band, the Satellite Industry Association said in RM-11871 Wednesday. It replied to CTIA's opposition to SIA's spectrum allocation petition (see 2102090050). Existing restrictions on placing FSS gateway earth stations in spectrum shared with UMFUS shows that CTIA's claim the satellite industry wants unrestricted FSS deployments in the 51.4-52.4 GHz band is groundless, SIA said. FSS operators "urgently" need that millimeter-wave spectrum for more capacity to support the growing demand for broadband satellite services, it said. CTIA didn't comment. Amazon's Kuiper said the spectrum will help fix a V-band FSS uplink/downlink "imbalance," with 4.5 GHz available for FSS downlinks in the 37.5-42 GHz band but only 4 GHz in the 47.2-50.2 and 50.4-51.4 GHz bands for uplinks.

President Joe Biden was expected to have signed off Wednesday night on an executive order aimed at improving the resiliency of the supply chain for semiconductors and other “essential products.” The EO would direct federal agencies to conduct a 100-day comprehensive review of U.S. supply chains for semiconductors and three other products, the White House said. It would direct a one-year review of the U.S. supply chain for information and communications technology. Agencies should recommend ways to improve supply chain resiliency, the White House said. The Information Technology Industry Council and Semiconductor Industry Association praised the coming document. Senate Intelligence Committee Chairman Mark Warner, D-Va., and 11 other lawmakers met with Biden and Vice President Kamala Harris to discuss supply chain resiliency. Sen. John Cornyn, R-Texas, told reporters he focused on funding the Creating Helpful Incentives to Produce Semiconductors for America Act. The measure, which passed as part of the FY 2021 National Defense Authorization Act (see 2101030002), authorizes federal incentives to promote semiconductor manufacturing and public-sector investments in semiconductor R&D. Sen. Maggie Hassan, D-N.H., another meeting participant, said in a statement that the U.S. must “bring home the manufacturing of advanced technologies, including for 5G infrastructure, in order to address potential shortages and vulnerabilities.”