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No clear answer on analog set-aside rule

WASHINGTON-With apologies to Shakespeare, “To eliminate the analog set-aside rule or not to eliminate the analog rule, that is the question?”

The answer, however, is in the eye of the beholder. Large wireless carriers want the rule eliminated, small rural carriers and consumer advocates do not, and the nation’s largest PCS carrier said it could be eliminated-just not yet.

Cellular carriers today are required to set aside a portion of their networks for analog customers, but carriers have hoped the Federal Communications Commission would remove this requirement so they could use the more spectrally efficient digital technologies used by PCS carriers and enhanced SMRs.

PCS carriers, which do not have any analog set-aside requirement, often have complained that cellular operators clamor for more spectrum without efficiently using the spectrum they currently own.

The FCC in May proposed eliminating the analog-only rule. Comments were recently filed in the proceeding. Replies are due Aug. 1.

The Cellular Telecommunications & Internet Association, which purports to represent all carriers, agreed with Sprint PCS that a transition period to digital is necessary, but the trade association said the FCC should not be in the business of mandating technical standards. In its comments, Sprint PCS specifically suggested sunsetting the analog rule in five years.

Rural carriers were outraged at the thought of eliminating the rule. “The commission-mandated analog standard is the only way to ensure that large carriers do not exercise undue influence over a smaller carrier’s technology choice. Without the analog standard, large carriers would wield significant strong market power since they would be able to dictate to small carriers that they must implement a specific technology or lose the ability to roam,” said the Rural Cellular Association.

The Rural Telecommunications Group went a step further than written comments. RTG representatives participated in a conference call with Jeffrey Steinberg of the FCC’s Wireless Telecommunications Bureau. During the call, RTG said, “The commission’s almost 20-year history of requiring analog has promoted massive investments in analog facilities and use by over 40 million subscribers.”

The Wireless Consumers Alliance wants to keep the set-aside rule.

“At the very least, carriers who wish to discontinue analog service should be required to replace all analog phones with dual-mode phones which are equal to or better than the analog phone replaced based on original purchase price. This replacement obligation should include all the 911-only phones without regard to source or cost. We submit the death of urban analog service will result in `nationwide service,’ which excludes rural areas. This means rural subscribers will be effectively shut out when attempting to roam into urban areas. Conversely, the urban subscriber will no longer have the ability to stay in contact when traveling in rural areas. In fact, analog service covers most of the country and it makes no sense to dismantle this system from a public-interest perspective,” said WCA.

Telematics providers and groups representing the hearing impaired also called to keep the set-aside rule.

“The situation faced by consumers who are deaf or hard of hearing does not have the same inherent market-based protections as that for other consumers. For individuals with disabilities, the market forces that provide alternatives for many consumers do not provide any protection for significant elements of the population. Consumers who are deaf and hard of hearing fervently wish to participate in the market that includes digital wireless services. However, the digital equipment manufacturers and digital service providers have not instituted the accommodations that would allow this access. This leaves these consumers with only one option for mobile telephone service, analog cellular telephones,” said the Alexander Graham Bell Association for the Deaf and Hard of Hearing.

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