Dear Editor,
RCR Wireless News recently ran the SMR Special Report in the Nov. 13 issue. Upon careful reading, it more properly should have been called the Nextel Special Report. I was surprised and disappointed by the negative tone of one leading headline “SMR-centric regulatory issues fade as industry fades.” RCR readers should know, that despite the Nextel legacy, the specialized wireless communications industry is very much alive and well. However to appreciate this industry today, we need to look beyond 800 MHz.
While we concede to Nextel much of the 800 MHz band, we cannot overlook the overwhelming evidence of dynamic growth and vitality of commercial wireless in other spectrum bands such as 220 MHz, 450 MHz and 900 MHz.
In the next five years, research studies predict we will see the largest industry growth for operators in 220 MHz and 900 MHz. According to the Strategis Group, the subscriber base for 217 MHz and 220 MHz will increase from 38,000 in 1999 to a projected figure of 425,000 by 2004. The 220 MHz spectrum band has numerous advantages for the operator: Narrowband channels allow for efficient use of spectrum, the inclusion of voice and data applications and affordable infrastructure. In the same Strategis Group report, the 900 MHz subscriber numbers are projected to double in the next five years. Furthermore, manufacturers can look forward to increased analog radio service sales in the 220 MHz, 450 MHz and 900 MHz bands. I would hardly call specialized mobile radio a fading industry.
The American Mobile Telecommunications Association recognizes the opportunities that exist for operators in lower spectrum bands. We should expect a 50-percent increase in the number of subscribers at 450 MHz in 2000 according to the SMR study co-published by the Strategis Group and AMTA. The AMTEX 2000 meeting that was recently held in Dallas highlighted UHF trunking opportunities for small to medium-sized operators.
One presentation noted that the FCC created favorable rule changes that allow for commercial operation on business radio service channels and the trunking of channels. AMTA has been a proponent of greater spectrum efficiency at 450-512 MHz and has been encouraged by the FCC that AMTA is on the right track in promoting changes to its outdated rules.
The article notes that the SMR regulatory agenda is in decline at the FCC. This somewhat misleading statement may have some merit, but AMTA remains the only association devoted to the interests of the small and medium and some large commercial wireless operators and manufacturers. AMTA has been in on the yet-to-resolved problems with RF interference, FCC licensing rules, spectrum efficiency standards, and regulatory and administrative payment formulas to the FCC. Because things have been less contentious should not be construed as being any less important. And in the very recent past, AMTA has scored numerous regulatory victories for small and medium-sized businesses. The association helped reduce regulatory fees for small CMRS systems, promoted small business bidding credits, and successfully reduced upfront payments and minimum opening bids for 220 MHz operators. There will be more regulatory battles in specialized wireless communications, and we must continue to monitor and interact with the FCC and Congress on behalf of the small and medium operator.
Certainly Nextel and all its apparent successes cast a long shadow over the traditional regulatory landscape. My purpose in writing was to point out that beyond such shadows is a beehive of activity that represents operators and manufacturers who are offering SMR-like services in other frequencies.
Bob McGowan
Chairman, AMTA
President, Fleet Talk Partner
