WASHINGTON-The U.S. low-earth-orbit data satellite market may end up far less competitive than envisioned as policymakers struggle to craft rules around a smaller-than-anticipated spectrum allocation capable of supporting only a few licensees.
The Federal Communications Commission delayed proposing rules last month for little LEOs-which are authorized to operate on small spectrum slices below 1 GHz that are shared with the federal government-so the National Telecommunications and Information Administration could examine spectrum sharing options involving weather and military satellite systems.
FCC and NTIA officials said they’re working to address spectrum issues and hope to recommend regulations for little LEOs this month. It will be a challenging task.
To date, three little LEOs-Orbital Communications Inc., GE Starsys Global Positioning Inc. and Volunteers in Technical Assistance-have been licensed by the FCC. Of those, only Orbcomm is operational. VITA is a nonprofit group whose mission is providing disaster relief, medical assistance and education support to third world countries.
Second round applicants, whose status are uncertain, are E-Sat Inc., Final Analysis Communications Services, CTA Commercial, LEO One USA and GE American Communications.
Part of the dilemma stems from the United States’ failure at the 1995 World Radiocommunication Conference in Geneva to secure more spectrum for little LEOs. Moreover, little LEOs have faced hostility from private wireless users in the United States that fear the next-generation data satellites will interfere with terrestrial-based mobile communications.
But Phillip Spector, an attorney who represents CTA, believes there is more to the story, namely bureaucratic foot-dragging by the FCC that he said undermines policy.
“You don’t encourage competition by the situation we have today,” he said. Spector suggested the field of applicants could be winnowed down by booting out GE, already majority owner of Starsys, and by imposing strict financial requirements that he claims only CTA LEO One can meet.
The FCC must deal with warring factions among the little LEO licensee and applicant pool. Orbcomm, for example, is said to want more frequencies to expand operations and, therefore, obviously is cool to the idea of licensing competitors.
CTA said giving Orbcomm more spectrum will preclude the kind of competition the FCC has pushed for in little LEO service from the start.
Despite the spectrum shortage, an FCC official said progress is being made toward securing more spectrum at the WRC in 1997 for little LEOs.
