Fla. PSC decided to defer ruling on BellSouth’s compliance with Sec. 271 checklist items unrelated to telco’s operation support systems (OSS) until it was ready to rule on OSS items. PSC said compliance with all 14 points would be determined at special meeting April 1, following OSS-related workshops in Feb. PSC said simultaneous consideration of OSS and non-OSS issues would allow full evaluation of entire record and eliminate any potential for mixed signals that could result from different decisions at different times. Meanwhile, PSC took action on several issues related to local intercarrier compensation. Agency decided (Case 000075TP) that CLEC would qualify for reciprocal compensation at higher tandem rate if its switch served geographic area that was comparable but not necessarily identical to area served by incumbent’s tandem switch and CLEC had exchange prefix codes assigned within that area, regardless of size of its customer base within area. It also ruled that originating carrier was responsible for costs of local transport to terminating carrier’s interconnection point. PSC declined to classify foreign exchange (FX) traffic or calls to virtual local numbers as local or toll, saying incumbent and CLEC should settle classification of those relatively uncommon types of calls through negotiations. Agency also declined to rule on whether Internet protocol telephony was subject to local reciprocal compensation until IP telephony developed further. PSC deferred action on staff suggestion that it establish default system for local intercarrier compensation until after it held hearings on issue. It also deferred for later hearing staff suggestion to declare state’s LATAs as default local calling areas for compensation purposes unless parties negotiated different calling area definitions.
Country of origin cases
Utah PSC adopted colocation pricing model for Qwest that was developed by Div. of Public Utilities from model originally proposed by Qwest, and adopted input price values for certain specific colocation elements. It set price of $28 per splice for joining fiber or metal cable, saying record showed that level would cover setup and completion costs for an efficient provider. PSC (Case 00-049-106) also set engineering charge at $5,000, based on directly attributable engineering costs in Qwest testimony, and set rental fee for colocation space at $2.89 per sq. ft. It set overhead cost factor at 26.7%, or about half of value Qwest had used in its version of pricing model. PSC said Qwest’s figure included overhead costs for nonwholesale activities and overhead costs specific only to certain types of wholesale services. PSC directed public utilities div. to update model using those input price values by Dec. 24. Pleas for reconsideration must be filed by Dec. 23. In another matter, PSC in its annual report to legislature didn’t propose any specific telecom bills for upcoming session but suggested criteria for evaluating any telecom- related bills that were introduced. PSC said bills should be evaluated on basis of whether they would: (1) Advance competition or promote consolidation. (2) Negate competitive success already accomplished. (3) Promote capital investment in Utah telecom. (4) Give unfair advantages to any particular competitor or class of competitors. PSC reported local competition grew 640% over previous year, to 45,300 lines this fall from 6,100 year ago.
U.S. Supreme Court justices hammered attorneys with questions as they heard 2 complex cases Wed. challenging rights of federal courts to review interconnection enforcement decisions by state PUCs. Legal issues dealing with states rights and Constitutional questions piqued justices’ interest as they questioned nearly every aspect of 2 cases. Cases, involving Md. PSC and Ill. Commerce Commission (ICC) center on 2 basic issues: (1) Whether U.S. Constitution’s sovereign immunity provision bars companies from challenging state PUC decisions in federal court. (2) Whether federal courts can hear some challenges to PUC interconnection decisions but not others. States argued that Telecom Act called for federal court review only of initial PUC action approving interconnection agreements but not when PUC made subsequent decisions to enforce that original ruling.
Ad rates are no higher in cities where single company owns TV station and newspaper, and those markets have benefited from pooling of newsgathering resources, broadcasters and newspaper owners said in comments on FCC rulemaking on eliminating newspaper-broadcast cross-ownership ban (CD Dec 4 p9). Cox said data on Dayton and Atlanta markets, where it has grandfathered cross-ownership, clearly support claim of no impact on ad rates. Gannett said improved news availability in markets with cross-ownership “overwhelmingly demonstrate… the societal benefits of encouraging local news outlets to pool resources.” ALTV said ending ban also is justified by increasing competitiveness of local markets since neither broadcast stations nor local newspapers remained “dominant giant” in local markets that they were in 1975 when ban was imposed. Given arrival of cable news and Internet, ALTV said, “long gone are the days where the public waits for the 11 o'clock news or the morning paper.” Schurz Communications said local news outlets now must compete against Internet-delivered newspapers from around world, as well as streaming media, so FCC “should not continue to regulate newspaper owners more strictly than any other media enterprise.” Cox said original spectrum scarcity rationale for ban “has vanished” with media proliferation and “for a broadcast ownership rule to pass judicial muster, the Commission must show both that a specific harm actually exists and that the rule will actually fix or prevent the harm.”.. Tribune Co. said Sept. 11 events, in which broadcasters and newspapers pooled resources, showed benefit of easing ownership rules. It said current environment was “megamall” of media outlets: “Never before has the media marketplace been so fragmented and so clearly incapable of domination… This competitive marketplace, not the rule, is the best guarantor of diversity.”
Radio Ad Bureau (RAB) added 7 members to its board, for total of 60. Newly elected: Joan Gerberding, Nassau Media Partners; Jay Meyers, Clear Channel Communications; Michael Osterhout, Morris Communications; Robert Proffit, Citadel Communications; Art Rowbotham, Hall Communications; Daniel Savadove, Root Communications; Al Vincente, Pamal Bcstg. David Crowl of Clear Channel remains RAB chmn. with David Kennedy, Susquehanna Radio, vice chmn. Kennedy also is joint board chmn. of NAB. RAB said it would retain early bird $495 registration fee (originally scheduled to jump by $100 Dec. 1, another $100 Jan. 1) throughout preregistration period for Feb. 7-10 convention at Disney’s Coronado Springs Resort, Orlando.
Platforms Wireless International has targeted 2002 for rollout of project that uses tethered, helium-filled airships as flexible, floating platforms for wireless phone and Internet services in emerging nations. COO Robert Perry told us company successfully demonstrated technology in Southern Cal. last spring and was negotiating with telecom companies in Indonesia and Africa, as well as Central and S. America. He anticipates having $25 million ARC (Airborne Relay Communications) system up and running in at least one country by March or April.
ANAHEIM -- Senior federal copyright attorney warned RIAA and cable companies that streaming media and music downloads might not be covered by traditional compulsory licensing for mechanical recordings. At roundtable discussion at Western Cable Show here, U.S. Copyright Senior Attorney Bill Roberts discussed pending petition by RIAA and others on individual streaming of music that also could cover video streaming.
Legislation implementing NextWave settlement agreement has 100% chance of passing Congress by year-end, Verizon Senior Vp-Deputy Gen. Counsel John Thorne told American Enterprise Institute (AEI)-Brookings Joint Center panel Fri. In occasionally heated discussion about what went wrong with FCC’s PCS policies and policy implications of NextWave accord, Thorne defended decision by govt. agencies and carriers to settle rather than continue to litigate. “We looked at alternatives to settlement,” he said. “I actually think we might have won in the Supreme Court,” he said, referring to petition for certiorari filed by FCC seeking review of U.S. Appeals Court, D.C., decision this summer that overturned Commission’s decision to cancel NextWave’s PCS licenses for nonpayment. Even if high court ultimately sided with FCC, lower court hadn’t addressed all outstanding NextWave issues and legal proceedings to wrap those up could take 2 or 3 years until licenses were free, he said.
Boeing spokesman said discussions were “suspended” with 3 U.S. airlines on forming joint venture that would provide airline passengers with in-flight 2-way broadband connectivity to email, the Internet, corporate intranets, live TV, entertainment. In June news conference, United, American, Delta and Connexion by Boeing announced they had signed letter of intent to pursue forming new global business services for commercial aircraft. Proposed venture would have been owned jointly by Boeing and 3 airlines, with Boeing serving as major shareholder with overall management responsibility. All 3 airlines pulled out because of financial difficulties they faced in wake of Sept. 11 terrorist attacks, Boeing said. Connexion is moving forward, and company will continue working with airlines starting with meetings scheduled for Jan., spokesman said: “We are ensuring we're ready to go as soon as the airline markets recover.” Boeing wouldn’t speculate on any other airlines’ ability to invest, but said it wouldn’t object to equity negotiations with other groups outside original 3 and was actively discussing possibilities with other carriers. Company also has seen “significant rise in interest” in executive service side of aviation industry, specifically from VIP and govt. aircraft. There also is major interest in Connexion as security enhancement for aircraft, spokesman said. He told us that soon after attacks, company wouldn’t feel effects of airline industry’s scaling back plane orders because most of airplanes that would have Connexion installed were in retrofit market. Airlines “continue to see value that Connexion service by Boeing can provide… There is no correlation between [airlines’ review of order positions] and Connexion.” Boeing said Thurs. that primary market for service still was retrofit aircraft, but in future it would offer service to customers as they ordered new aircraft.
VoiceStream asked FCC for partial waiver of guidelines for deploying wireless priority access service (PAS) to begin offering PAS on voluntary basis immediately in N.Y., Washington and other cities that VoiceStream serves. Petition filed late Wed. follows up on plans for limited relief that VoiceStream told FCC last week it would seek on PAS rules so that service could be offered to national security and emergency personnel (CD Nov 23 p6). Waiver request follows similar one filed by Verizon Wireless for implementing wireless PAS under agreement that carrier appears to have reached with National Communications System (NCS), which issued request for near-term PAS capability for N.Y., Salt Lake City, Washington. VoiceStream said it believed contract award wouldn’t be exclusive to Verizon. VoiceStream said it had been meeting with NCS and its contractor DynCorp since Sept. 11 to determine what PAS capabilities could be offered using GSM in Washington and N.Y. within 60 days and what could be implemented for near term and by end of 2002 on nationwide basis. VoiceStream told FCC it had revised original PAS solution it had proposed to one that had more features. Carrier said it could roll out PAS capability called Enhanced Multi-Level Precedence and Preemption (eMLPP), which lines up priority call for next- available slot in system when radio or network resources are busy. Seven different priority levels are offered for call set-up and call continuity if wireless call is handed off. VoiceStream said service was subscription-based and wouldn’t require any interaction with it in case of emergency because offering had “always-on” capability. Handsets using eMLPP technology aren’t yet commercially available, although VoiceStream said Sony/Ericsson’s wireless equipment joint venture had indicated it could offer them commercially for GSM operators in U.S. in 60-90 days. “Other mechanisms for allowing a choice of priority levels on a per-call basis that do not require specific eMLPP-capable handsets are being explored,” carrier said. VoiceStream asked that waiver stay in effect until such handsets were available commercially or until alternatives for providing choice of priority levels on per-call basis were in place. “Based on discussions between VoiceStream and various government agencies, we anticipate a statement of their support of VoiceStream’s request to be forthcoming, which should further attest to the fact that a limited waiver would serve the public interest,” carrier said. NCS already has submitted filing at FCC supporting Verizon’s waiver petition.