Contrary to what the U.S. Bankruptcy Court decided, SES and Intelsat's C-Band Alliance agreement "is certainly not a model of clarity," U.S. District Judge Robert Payne for the Eastern District of Virginia ruled Friday as he reversed the Bankruptcy Court's denial of SES' $421 million claim against Intelsat for the collapse of the CBA. In his 57-page decision Friday (docket 3:22-cv-00668),Payne remanded the case to Bankruptcy Court. SES sought damages from the CBA's collapse as part of Intelsat's now-concluded Chapter 11 bankruptcy (see 2007140029). At oral argument in March, Payne was critical of the CBA agreement (see 2303200062).
Country of origin cases
The FCC unanimously approved an ATSC 3.0 order and Further NPRM moving the substantially similar and physical layer sunsets to July 17, 2027, and seeking comment on the 3.0 patent marketplace (see 2306210051). The agency will “initiate a review approximately one year before the requirement is set to expire to seek comment on whether it should be extended based on marketplace conditions at that time,” the order said. The order also clarifies the agency’s stance on hosting multicast channels and allows such arrangements to be approved through license modifications, permits lateral hosting arrangements authorized through special temporary authority, and says the agency doesn’t believe market forces are enough to prevent broadcasters from leaving some 1.0 viewers behind. “Some broadcasters state that they have every incentive to ‘maximize’ viewership, but those arguments more correctly appear to focus on maximizing profits, which will not necessarily support the needs of [over-the-air] OTA 1.0 viewers for the length of the transition,” said the order. The originating station and not the host station is responsible for regulatory compliance for multicast streams in ATSC 3.0 sharing arrangements, and noncommercial educational stations are allowed to participate in such arrangements, the order said. “We find that departing from our licensing regime is appropriate because it is limited to the temporary broadcast transition to 3.0 and to specific situations for which there is a clear need,” the order said. In the FNPRM, the agency seeks comment on the ATSC 3.0 standard essential patent (SEP) marketplace, and on whether patent holders are licensing them under the “reasonable and non-discriminatory (RAND) terms” required by the Advanced Television Systems Committee. “We seek additional comment on the state of this market, particularly from the perspective of parties, or the representatives of parties, that do not hold SEPs but have licensed or attempted to license them,” said the FNPRM. “Are SEP holders complying with the ATSC RAND requirements?” "The steps the Commission has taken today -- to facilitate the hosting of multicast programming and provide an end date to a rule mandating identical ATSC 1.0 and 3.0 broadcasts -- will help make that transition possible," said NAB in a release.
Senate Commerce Committee Republicans are likely to barrage FCC nominee Anna Gomez with questions during a Thursday confirmation hearing to pinpoint her positions on communications policies the commission might act on under a 3-2 Democratic majority, but won’t go as negative as during ex-candidate Gigi Sohn’s February panel (see 2302140077), lawmakers and lobbyists said in interviews. Gomez will get a far friendlier reception from Senate Commerce’s Democratic majority, but officials say they will be eyeing questions from three caucus members who were undecided on Sohn in the weeks before her March withdrawal (see 2303070082).
The FCC approved a draft ATSC 3.0 order with sunset dates for the substantially similar and A/322 physical layer requirements (see 2304070045) and is expected to release it soon, FCC and industry officials told us. The order extends the substantially similar requirement for four years, and will require the FCC to examine the progress of the new standard one year before the sunset date. The order also similarly extends the physical layer requirement. The substantially similar requirement had been set to end in July. The A/322 physical layer was to sunset in March, but that was temporarily stayed by the agency earlier this year.
Ohio senators passed a state budget bill 24-7 Thursday despite industry opposition to provisions requiring age verification for social media and limiting wireless eligibility for broadband grants. A New Jersey Assembly panel later that day approved a bill to set children’s privacy rules. Earlier this week, Texas Gov. Greg Abbott (R) signed a kids’ social media measure, plus bills to ban TikTok and require a council to study artificial intelligence. The Arizona legislature passed a broader bill to regulate social media.
The reaction has been muted to FCC Chairwoman Jessica Rosenworcel's speech Wednesday launching a Privacy and Data Protection Task Force and urging a more aggressive approach by the agency on data privacy (see 2306140075). But some observers questioned how far the FCC can go under its legal authority to regulate privacy. Rosenworcel said Wednesday sections 222 and 631 of the Communication Act provide the grounding for FCC action. Congress rejected ISP privacy rules approved under former Chairman Tom Wheeler, through a Congressional Review Act resolution (see 1704040059).
USTelecom's Industry Traceback Group (ITG) "remains the best candidate" for the role of the registered industry consortium for tracebacks, the group told the FCC. Comments posted Friday in docket 20-22 showed support for USTelecom's redesignation as the registered consortium, a designation the group has held since 2020 (see 2007270068). Iconectiv also submitted a letter of intent for designation.
The New York Privacy Act passed the state Senate without the private right of action from the original S-365 (see 2304250063). The Senate voted 46-15 Thursday to send the measure to the Assembly. Also, the Senate voted 62-0 to send the Assembly S-6318, which would require the New York Public Service Commission to map mobile coverage and reliability across the state and then make a plan to ensure reliable coverage statewide (see 2305160033). The latest version of S-365 sets parameters for state attorney general action, which is how most other state privacy laws are enforced. Consumer Reports withdrew its support and is now officially “neutral” on the bill, policy analyst Matthew Schwartz emailed Friday. “Among numerous other changes, the amendments removed automated decisionmaking rights, weakened the definition of biometric information, carved out nonprofits, weakened risk assessments, and inserted a loyalty program carveout.” Microsoft supports the New York Privacy Act, a spokesperson said. "We will continue working with sponsors in both houses and stakeholders to pass comprehensive privacy legislation." CTIA opposed the mobile mapping bill in a letter Wednesday. SB-6318 “would unnecessarily duplicate efforts by the [FCC] to comprehensively map and regularly update mobile wireless coverage throughout the country,” said the wireless industry association: New York should instead seek to reduce local government barriers to wireless deployment. “If the bill contemplates directing the PSC to mandate wireless deployment in specific areas or regulate wireless rates, such measures would be preempted by federal law,” CTIA warned.
The FCC’s final 42 GHz NPRM, released Friday, got few changes from the draft proposed by Chairwoman Jessica Rosenworcel, as expected (see 2306020048). Commissioners approved the 42 GHz item 4-0 Thursday (see 2306080042). The final version of the next-generation 911 NPRM adds numerous questions to the draft and got the most tweaks among the items approved Thursday. No major changes were made to the final NPRM on robocalls and robotexts, which were also approved unanimously (see 2306080043).
The attorneys general from 28 states urged the FCC to do anything that could help block illegal and unwanted robotexts to consumers, in reply comments on a March Further NPRM (see 2303160061). The AGs conceded that rules for robocalls may not be an exact match for robotexts. Carriers continue to urge caution in the approach taken by the commission, noting work already underway (see 2305090047).