Page 148 - SAMENA Trends - November-December 2019

REGULATORY & POLICY UPDATES SAMENA TRENDS

online for millions of people across 50 cities in the is not available today at speeds of at least 10 Mbps
country. Next steps involve the FCC voting on Pai’s downstream and 1 Mbps upstream. Funding went to
plan, though further details are unavailable at this time. the company that committed to deploying service at the
(November 19, 2019) mobileidworld.com lowest level of support, with a weighting system used
to favor bids to provide higher-speed or lower-latency
US Federal Communications (FCC) Commission service. The areas for which funding were awarded
Chairman Ajit Pai outlined plans to hold a public were traditionally served by one of the nation’s largest
auction of spectrum between 3.7GHz and 4.2GHz price cap carriers. Those carriers were offered funding
(C-Band), despite concerns a government-run process to deploy broadband to those areas using a cost model
could delay the arrival of critical mid-band airwaves to developed by the FCC, but some carriers declined the
market. A total of 280MHz of spectrum from 3.7GHz to funding. The areas that were declined were included
3.98GHz would be on offer, with an additional 200MHz in the auction, along with what the FCC calls “remote
from 4GHz to 4.2GHz preserved for incumbent satellite areas” – the costliest to serve areas, which were not
services. The FCC recently faced political pressure part of the offer to the price cap carriers. The FCC
to hold a public auction despite repeated offers from has made several previous announcements of CAF II
a group of satellite service providers known as the funding authorizations and the majority of the funding
C-Band Alliance (CBA) to hold a private sale as soon has now been authorized. Companies whose funding
as Q1 2020. Senior FCC officials said on a call with was announced today have until late 2025 to complete
journalists CBA was ultimately unable to demonstrate deployments, with several key milestones between
it would be able to conduct a fair and transparent now and then. The first milestone occurs three years
auction, pointing to concerns about price transparency from now, when funding recipients are required to have
and smaller players’ ability to compete in a private sale. reached at least 40% of target locations in a state.
The FCC is expected to vote on the proposed plan early (November 14, 2019) telecompetitor.com
next year, with the goal of commencing the sale before
the end of 2020, the officials said. However, telecom The US Federal Communications Commission (FCC)
analysts at LightShed Partners expressed doubts about issued formal approval for T-Mobile US and Sprint’s
that timeline, arguing in a research note the decision to proposed merger, confirming it would green light the
hold a public sale is “likely to complicate and materially deal despite opposition from two of its five members.
delay the availability of spectrum that has been globally In a statement, Chairman Ajit Pai said the regulator had
identified as a primary 5G spectrum band”. Specifically, concluded the deal offered several benefits following
they noted it took a “material amount of time” for the a review lasting more than a year. Specifically, the FCC
FCC to gain support and develop the auction process expects the merger to advance US leadership in 5G, help
for its 2017 sale of 600MHz spectrum, which required it close the broadband gap in rural areas and increase
to relocate and compensate incumbent licensees as it competition. He noted structural remedies put in place
would likely have to do in the C-Band. by the FCC would address competitive and pricing
(November 18, 2019) mobileworldlive.com concerns. The announcement of its formal approval
followed a vote last month in which commissioners
The FCC has authorized nearly $13.5 million more in rural Jessica Rosenworcel and Geoffrey Starks objected
broadband funding for two companies that won funding to the deal. In a fresh statement, Rosenworcel again
in the Connect America Fund CAF II auction. Just over blasted the decision, branding the merger “blatantly
$1.9 million will go to Hankins Information Technology anticompetitive” and claiming it will “end a golden age
for deployments in California, with the remainder going in wireless that helped bring to market lower prices and
to Newmax, which operates as Intermax Networks, for more innovative services”. Rosenworcel and Starks
deployments in Idaho and Washington. Companies were among a number of politicians and critics which
are authorized to receive funding after the FCC has pressed the FCC to delay its vote to give the public time
reviewed and approved their long-form application and to comment on conditions imposed by the regulator
after the company has submitted an appropriate letter and the Department of Justice in exchange for approval.
of credit and bankruptcy code opinion letter. The CAF Sprint and T-Mobile still face a lawsuit from 16 attorney
II auction used a reverse auction to award funding to generals aiming to block the deal: a court case is due to
deploy broadband to certain areas where such service begin on 9 December. (November 6, 2019) mobileworldlive.com

Regulatory Unit of Communications Services (Unidad del Uruguay (Movistar) leading the bidding, registering
Reguladora de Servicios de Comunicaciones, URSEC) total commitments of USD28.015 million. Also
has announced the results of its auction of spectrum successful were state-backed Administracion Nacional
in the 1700MHz/2100MHz (AWS), 1800MHz and de Telecomunicaciones (Antel, USD22.412 million) and
2600MHz frequency bands. The process generated America Movil-backed AM Wireless Uruguay (trading
Uruguay a total of USD65.427 million, with Telefonica Moviles as Claro, USD15.0 million). The total breakdown is as
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