Addressing regulatory backlogs, the bill seeks to establish a fast-tracked shot clock for approval of satellite and space licenses
In sum — what to know:
Clearing regulatory backlog: Senate Commerce okays a bipartisan legislation with amendments, that seeks to “streamline” FCC’s approval processes for satellites and commercial space projects.
The backdrop: The bill comes amid a surge of commercial space activities, which is emerging as a critical driver in the U.S. economy
The U.S. Senate Commerce Committee last week passed a bill that would allow speedy approval of satellites and other space applications by the Federal Communications Commission (FCC).
The legislation aimed at streamlining satellite licensing, is part of a broader effort to make high-speed internet accessible in rural communities.
“Unlocking the full potential of America’s satellite industry is a major part of connecting more rural communities to high-speed internet,” said Senator, Peter Welch (D-VT). That requires cutting the “red tapes” that hamstring deployment of new satellite technologies, he argued.
Senate Commerce Committee Chair Ted Cruz (R-TX) added, “We have more rocket launches and satellite deployments today than ever before. However, innovative companies that seek to expand broadband access to Americans are facing a regulatory process that is outdated, leading to massive delays in the deployment of new satellite technologies.
Senators Welch and Cruz, who introduced the Satellite and Telecommunications Streamlining (SAT) Act — a bipartisan legislation — in January, contended FCC’s current licensing frameworks on the grounds that they introduce uncertainty causing a licensing bottleneck. As a remedy, they proposed an overhaul and modernization of the processes which they said will ensure U.S.’ competitiveness in the satellite sector.
FCC has a reputation for having overly restrictive legacy approval processes. In October last year, the low Earth orbit (LEO) Policy Working Group published a report emphasizing this. The report, compiled by members of various industry groups, pointed that the full potential of LEO connectivity is being constrained by FCC’s outdated regulatory frameworks, which it described as “overly slow, bespoke, and burdensome.”
Highlighting LEO satellites’ growing role in closing the digital divide in America, the report urged policymakers to create a regulatory environment that allows for inclusion of LEO in existing and forward-looking federal broadband subsidy programs for expansion of connectivity in remote and underserved areas.
For it’s part, the FCC has made several adjustments to organize and speed up the processing times, as satellite applications have started pouring in in the recent years. While the senators maintain the need for technical review in shared/sensitive frequency bands, they argue that radical reformation is required to clear the backlog and expedite review of emerging space projects.
“The Federal Communications Commission should take action within its remit to be forward-looking and ensure the United States sustains global leadership in commercial space, including advancing and implementing cutting-edge policy positions so that the United States is the global standard setter.”
The bill proposes a one-year “shot clock” which requires the FCC to make a final decision within 12 months of filing.
The bill got unanimous approval, with requests for amendment. The original version could potentially lead to automatic approval of projects upon expiration of a one and a half year timeline, Senator Maria Cantwell (D-WA) pointed out. Her office requested amendment to ensure that FCC retains authority to review all applications.
“We all want faster licensing — but we made sure the FCC’s experts set the rules for what gets fast-tracked, not a one-size-fits-all shot clock that treats a ground antenna the same as a million satellite constellations,” Cantwell’s office said.
The bill has been passed on to the Senate Committee of Commerce, Science, and Transportation for further evaluation — particularly the application review window.
The bill comes after SpaceX sought approval in January to launch a shocking 1 million solar-powered satellites for its orbital data center project. The FCC has issued a fast-track response to the filing by kicking off a public comment period.
“The FCC welcomes and now seeks comment on the SpaceX application for Orbital Data Centers,” wrote chairman Brendan Carr on X.
