WASHINGTON-A nasty fight has erupted over permits issued by the Federal Communications Commission for a developmental wireless local loop system in the Gulf of Mexico.
WLL service in the Gulf apparently is viewed as a potentially lucrative business, given the presence of energy concerns in that region and their need for communications. The developmental WLL permits held by PetroCom License Corp. are under attack by Shell Offshore Services Co., Rig Telephones Inc., Bachow/Coastel Operations L.L.C., Sola Communications Inc. and IWL Communications Inc. The parties, among other things, accuse PetroCom of improperly trying to gain commercial leverage in the Gulf.
“This action is warranted because PetroCom is abusing its developmental authority in violation of the limitations under the authorizations to build and operate a commercialized communications system in the Gulf of Mexico, giving PetroCom an unfair competitive advantage,” the firms stated.
PetroCom, which lost Shell as a partner, replied last week that Shell and others are the ones trying to gain an unfair advantage.
“PetroCom has invested millions of dollars into developing a WLL system in the Gulf,” the firm told the FCC last week. “It has taken this risk, well aware that it must eventually compete in an auction to obtain an authorization for regulator commercial operations. Shell chose not to take that risk. Now that PetroCom is realizing some success with its developmental operations, Shell instead has chosen to participate with the other petitioners in the filing of a frivolous motion seeking cancellation of PetroCom’s developmental authorizations.” PetroCom noted the firms challenging the licenses currently compete against it in the Gulf, providing microwave, satellite and cellular service.
