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Wireless Plan Could Force TV Stations Off the Air in Upstate NY, Detroit, and Seattle for Verizon & AT&T

Over the air television in Detroit if the NAB is correct.

The National Association of Broadcasters is warning a Congressional plan proposed on behalf of the wireless industry could force every broadcast station in Detroit off the air, and drive at least one network affiliate in many northern U.S. cities along the Canadian border to “go dark” if the plan is adopted.

The FCC’s National Broadband Plan contains provisions now on Capitol Hill to recapture spectrum currently used by free over-the-air television stations and provide it to wireless providers to bolster mobile broadband and cell phone networks.  Lawmakers expect the wireless industry will pay up to $33 billion for the lucrative spectrum, to be shared with vacating broadcasters and the U.S. Treasury.

But the NAB says the FCC plan goes too far, forcing stations to vacate UHF channels 31-51 to crowd into the remaining channel space of 11 VHF channels (2-13) and 17 UHF channels (14-31).  According to a study conducted by the broadcasting lobby, there is simply not enough remaining channel space to accommodate 1,735 U.S. stations, forcing at least 210 to sign off, permanently.

Because of agreements with the Canadian government to protect American and Canadian stations from mutual interference, the results could be devastating for northern cities along the U.S.-Canadian border.  The worst impact would be in Detroit, Michigan where the NAB predicts every local station would have to leave the airwaves.

The cities of Buffalo, Seattle, Syracuse, Cleveland, Spokane, Rochester and Watertown, NY and Flint, Mich. would likely lose at least one major network affiliated-full power station each.  At least 73 stations in the top-10 largest television markets would be forced off the air, unable to find appropriate channel space in the remaining available spectrum.  Hundreds of stations would be forced to change channels and potentially reduce power and coverage areas to protect stations sharing the same channel number in adjacent cities.

“If the FCC’s National Broadband Plan to recapture 20 more TV channels is implemented, service disruption, confusion and inconvenience for local television viewers will make the 2009 DTV transition seem like child’s play,” said NAB President Gordon Smith. “NAB endorses truly voluntary spectrum auctions. Our concern is that the FCC plan will morph into involuntary, because it is impossible for the FCC to meet spectrum reclamation goals without this becoming a government mandate.”

Broadcasters are feeling a bit peeved at the federal government for repeatedly returning to sell off a dwindling number of channels for other uses.  The original UHF dial included channels 14-83, but over the years the highest channel number has dropped to 51, mostly for the benefit of the cell phone industry.  Now they’re back for more, seeking channels 31-51 for wireless broadband and mobile telephony.

The cell phone industry wants broadcasters to “voluntarily” give up their channel space and reduce transmitter power so more stations can share the same dial position in nearby cities.  But that could leave fringe reception areas in rural communities between cities without over-the-air television reception, and make free television more difficult to watch without a rooftop antenna.

The NAB called on the FCC to immediately make public its analyses of the broadband plan’s potential negative impact on viewers of free and local television.

“We’ve waited patiently for over a year for FCC data on how the Broadband Plan impacts broadcasters, and more importantly, the tens of millions of viewers who rely every day on local TV for news, entertainment, sports and lifeline emergency weather information,” said the NAB’s Smith. “Even Congress can’t get information from the FCC. All we are seeking is more transparency. We have but one chance to get this right if we are to preserve future innovation for broadcasters and our viewers.”

[flv width=”512″ height=”308″]http://www.phillipdampier.com/video/NAB Free TV Spot.f4v[/flv]

The National Association of Broadcasters is distributing this ad to local broadcasters to air on their stations to inform viewers about the spectrum controversy.  (1 minute)

The consumer wireless handset lobby does not deny the plan will leave Americans with fewer channel choices, but they believe that will come from corporate station owners voluntarily shutting down stations for profit.

“The study presumes an unrealistic scenario in which every single existing TV station continues to operate over-the-air. However in the event of incentive spectrum auctions, it is highly likely numerous stations will capitalize on their spectrum assets by exiting the business or sharing resources,” said Consumer Electronics Association senior vice president for government affairs Michael Petricone.

Petricone believes the number of Americans spending time with broadcast television is dwindling, and less important than the wireless industry’s spectrum woes.

“Our nation faces a crisis as demand for wireless spectrum will soon outstrip supply,” said Petricone. “Meanwhile, the number of Americans relying purely on over-the-air TV is less than 10 percent, according to both CEA and Nielsen market research. Incentive auctions would be a financial windfall for broadcasters, free up the spectrum necessary for the next generation of American innovation to move forward and bring in $33 billion to the U.S. Treasury.”

The cellular industry’s top lobbying group CTIA was more plain: it’s survival of the fittest.

“Since spectrum is a finite resource, it is vital that the U.S. government ensures the highest and best use of it,” said CTIA vice president Chris Guttman-McCabe.

[flv width=”512″ height=”308″]http://www.phillipdampier.com/video/NAB Explains Spectrum.flv[/flv]

The NAB explains the concept of “spectrum” — or ‘the airwaves’ to consumers and what a major reduction in UHF channel space would mean for “free television.”  (3 minutes)

AT&T Lobbyist Talks Up Dollar-a-Holler Advocacy: “We Seem to Be Having Success”

Cicconi

Jim Cicconi, AT&T’s chief lobbyist told Politico the company’s practice of encouraging civil rights and charity groups to advocate on its behalf was “entirely natural,” and claimed opponents of the proposed merger of AT&T and T-Mobile were doing the same thing.

“The difference is that we seem to be having success and they are not. We attribute that entirely to the obvious benefits of the merger and the history of what we have stood for as a company,” Cicconi said. “What seems unnecessary is for opponents to attack the motives and credibility of those who have chosen to support our position and not theirs.”

AT&T has made substantial contributions, both financial and through involvement by key AT&T executives on various boards of directors of non-profit groups, as part of its corporate strategy.  Often, many of the non-profit groups involved thank AT&T by submitting letters of support for various business activities AT&T is engaged in, including public policy debates, mergers and acquisitions, and legislation that could impact the company’s bottom line.

On occasion, the connection between AT&T’s large financial contributions and the advocacy letters that often result becomes a point of contention with rank and file members of the organization, as happened in June with a gay rights organization that culminated in the resignation of its president and an AT&T-connected board member.

But more often than not, the corporate money-and-influence-connection goes unnoticed by the constituents of these organizations, many of whom will be disadvantaged, charge critics, by an outcome favorable to AT&T.

Politico explored the links between AT&T executives, lobbyists, money and civic groups and charities and discovered plenty:

Somehow, letters from the National Urban League and...

• Norelie Garcia, associate vice president of federal affairs at AT&T, who is an executive committee chair on the National Puerto Rican Coalition’s board of directors. The group wrote to the FCC May 27.

• Jerry Fuentes, president of AT&T for the Arizona and New Mexico regions, is the vice president for corporate policy on the National Hispanic Caucus of State Legislators’s business board of advisers. The organization wrote to the FCC backing AT&T on May 26.

• Barbara Winn, AT&T’s Sacramento-area director of external affairs, is listed on the letterhead of the Greater Sacramento Urban League as executive committee chairman in the filing the group sent to the FCC supporting the deal June 17.

• Tanya Lombard, assistant vice president of public affairs at AT&T, is a board member of the National Coalition on Black Civic Participation. The group wrote to the FCC May 25, saying “We believe it will help fulfill President Obama’s vision of an America in which everyone has affordable access to high-speed Internet service.”

AT&T is listed as a sponsor of the Cuban American National Council , the National Puerto Rican Coalition, and among the National Coalition on Black Civic Participation’s 35th anniversary partners. Meanwhile, it costs $25,000 annually to be a full member of the National Hispanic Caucus of State Legislators’s business board of advisers, as AT&T’s Fuentes is.

In 2009, the AT&T Foundation gave the local chapters of the Urban League in Chattanooga, Tenn.; Columbia, S.C.; and Knoxville, Tenn., a total of $45,000.

The National Urban League in 2009 received more funding — $100,000 — from the Sprint Foundation. But Sprint, which has been the most vocal corporate opponent of the AT&T/T-Mobile deal, does not have executives on the boards of any of those groups, the company said.

...the National Action Network turned out to be nearly identical.

Politico found many of America’s most influential civic rights groups received private briefings from AT&T executives promoting the deal — meetings which ultimately led to letters of support from those organizations, despite their having little or no input from those opposed to the merger.  AT&T also has dispatched “advocacy kits” to many groups filled with sample letters and talking points the company encourages groups to use as a template for letters of their own.  Not counting on the laziness among many tasked with writing the letters ultimately dispatched to the Federal Communications Commission, there is often a striking resemblance of correspondence favoring the merger.

Politico notes the text in two filings submitted last month to the FCC by the National Urban League and Al Sharpton’s National Action Network regarding the acquisition are nearly identical.

All of this disturbs ColorofChange, a civil rights group not on the payroll of either those supporting the merger or opposed to it.

“There are long-standing relationships AT&T has with these organizations that we think unfortunately have led some of them to take AT&T’s position on an issue that will negatively impact black people,” Rashad Robinson, executive director of ColorofChange told Politico.

AT&T just disclosed its latest lobbying reports, showing the company has increased its lobbying budget by nearly $1,000,000 compared with the same quarter last year — spending $6.84 million during the first quarter of 2011 alone on lobbying the federal government.

Sprint Nextel, seen by many as the primary opponent of the deal, actually reduced its own lobbying expenses during the same period, spending just $583,000 during the first quarter, down 25% from the $774,100 spent a year earlier.

FCC Cracks Down on Phone Crammers: $11.7 Million in Fines Over ‘Mystery Charges’

Phillip Dampier June 21, 2011 Consumer News, Public Policy & Gov't, Video 2 Comments

Cramming

After years of mystery phone charges for long distance services, ringtones, software backup, and phone entertainment customers never signed up for, the Federal Communications Commission today announced it was getting tough with more than $11 million in fines against some of the companies responsible.

Phone cramming — the practice of signing you up for paid services you never ordered, wanted or needed, has been a perennial problem ever since telecommunications reform allowed third parties to charge for their dubious services on monthly telephone bills.  In return, phone companies collect a substantial piece of the action, leading some critics to charge Ma Bell has a financial interest in keeping phone cramming alive and well.

Helping increase the confusion, most cramming charges are listed under innocent-sound names like “long distance discount plan,” “protection plan,” or “ring choice.”  Most are buried under “other charges” found on the back of the bill or somewhere on the second page.  The monthly charges can range from $2-20 — the smaller the amount, the less likely it will be questioned by a cramming victim.

Some of these charges have been collected from unsuspecting customers for years.

Now FCC Chairman Julius Genachowski has proposed fining the worst offenders $11.7 million for violating the agency’s cramming rules.

“We’ve seen people getting charges for yoga classes, cosmetics, diet products, and, yes, psychic hotline memberships,” Genachowski said. “These mystery fees are often buried in bills that can run 20 or so pages, and they are labeled with hard-to-decipher descriptions like USBI.”

The targets of the fines: Main Street Telephone; VoiceNet Telephone, LLC; Cheap2Dial Telephone, LLC; and Norristown Telephone, LCC.

Customers who do ferret out cramming charges run into roadblocks trying to get their money back.  Telling customers they themselves authorized the charges, several crammers refuse to provide refunds or only agree to stop future charges, while keeping the money they already collected.  Other customers seeking refunds from phone companies find themselves in a loop of “buck-passing,” as companies like Qwest redirect callers to the crammers to get charges credited back.

The Senate Commerce Committee will hold hearings on phone cramming soon and issue a report on the ongoing problems this practice causes customers, according to Sen. Jay Rockefeller (D-WV).

[flv width=”480″ height=”380″]http://www.phillipdampier.com/video/WISH Indianapolis Phone Cramming Durham 12-17-10.flv[/flv]

WISH-TV in Indianapolis has spent years tracking the exploits of former-local businessman Tim Durham, who allegedly wiped out the savings of thousands of people, was blamed by one victim for the death of his elderly mother, and was implicated indirectly in a phone cramming operation.  (13 minutes)

[flv width=”480″ height=”290″]http://www.phillipdampier.com/video/KSTP Minneapolis Victims of Bill Cramming 1-7-11.flv[/flv]

KSTP-TV in Minneapolis provides raw video of Greg Carlson of Eagan and Matt Rohn of Northfield sharing their stories about being crammed by USBI for long distance on their Qwest bills.  (6 minutes)

Gay Rights Group Exposes AT&T’s Dollar-a-Holler Skunkworks – New Revelations About FCC Ties

A major scandal in one of the nation’s most important gay civil rights organizations has inadvertently exposed AT&T’s public policy skunkworks — a dollar-a-holler operation to advocate for the company’s merger with T-Mobile, complete with pre-written advocacy letters, traded favors and promises of support from other board members, paid for with big financial contributions.

When it was all over, the president of Gay & Lesbian Alliance Against Defamation (GLAAD) resigned, his ties to a Republican operative board member connected with AT&T were exposed, and the progressive gay and lesbian media outed the whole sordid affair — painting one of the clearest pictures yet of how civil rights groups get into the unenviable position of trading their good name for a piece of big business action.

As Stop the Cap! has reported for nearly three years now, there is a cottage industry in the non-profit sector collecting favors and contributions in return for letters on organization letterhead supporting the public policy agendas of their corporate sponsors.  Honest non-profit groups won’t engage on issues that have little or no connection to their mission statements, but other groups have relaxed those standards to meet fundraising goals or to deal with internal board politics.

The latter appears to be the most prominent reason for GLAAD’s poorly managed entry into the debate on Net Neutrality and AT&T’s merger targets — the first time the group has ever spoken up about a corporate merger.  Because so many in the gay, lesbian, and transgendered community are politically aware, it came as quite a shock when GLAAD suddenly dove into two issues most assumed were not relevant to the group’s mission:

GLAAD Net Neutrality Intrigue: On January 4, 2010, GLAAD President Jarrett Barrios signed a letter to the Federal Communications Commission expressing “concern” about the implementation of formal protection of the open Internet through Net Neutrality.  At the time, nothing about Barrios’ letter seemed suspicious.  In fact, it was typical of the type and tone of concern trolling by certain groups that could pay a stiff price if rank and file members ever found out.  But several members did and raised hell with GLAAD’s leadership over the issue.  Barrios evidently panicked, quickly sending a follow-up letter to the FCC claiming his signature was forged and begging the ‘fake’ submission be withdrawn.  Ironically, he added the views in the original letter, unclear as they were, did not represent GLAAD’s position on Net Neutrality, whatever it was.

GLAAD Loves AT&T and T-Mobile’s Merger: On May 31st, Barrios joined the National Gay & Lesbian Chamber of Commerce in penning a joint letter advocating the merger because, apparently, gay people love 4G, artistic use of the Internet, and telemedicine.  Gay groups immediately pounced, some describing the letter bizarre, others potentially offensive.  The second letter ignited an all-out firestorm against GLAAD’s leadership, particularly considering AT&T has donated profusely to GLAAD over the years, and gay people have no more love towards AT&T and its business agenda than anyone else.

Signorile

Head scratching over why GLAAD was obsessed with delivering a helping hand to AT&T was soon followed by detailed investigations which began to uncover the important underlying facts.

One pivotal moment came from Michelangelo Signorile, a long-time gay activist and radio talk show host, who interviewed GLAAD’s former board co-chair, Laurie Perper.  Perper left GLAAD suggesting its board was in turmoil under the leadership of Barrios.  In her words, Barrios’ efforts to shore up his presidency included trading an AT&T advocacy letter for a company-connected board member’s continued support.

Perper also dismissed Barrios’ suggestion that the letter to the FCC about Net Neutrality was forged.  Instead, she claims, Barrios tried to blame it on his administrative assistant, Jeanne Christiano, who he claimed ambitiously sent the letter without his authorization.

Former GLAAD board co-chair Laurie Perper talks with Michelangelo Signorile about the connection between AT&T and GLAAD’s president. June 7, 2011. (11 minutes)
You must remain on this page to hear the clip, or you can download the clip and listen later.

Since that interview, Barrios’ has come clean about who wrote the Net Neutrality letter.  According to Barrios, AT&T sent the talking points to include in the letter and he authorized it:

The letter’s origins lay with AT&T; the telecom giant sent Barrios suggested wording for another letter to the FCC. Barrios’ special assistant used the language verbatim to create the letter, signed his name to it, and sent it in.

Barrios recounts that he was at an airport when his assistant called him to go through some items on his agenda. In a hurry to board his plane, when she told him that “they” wanted him to send in the letter to the FCC, Barrios assumed he needed to resend his first letter again. He authorized her to send the letter without any oversight.

[…] “This was from a letter with language from AT&T suggesting that we support this, and at the time, it was not something I had seen,” Barrios said. “When I saw it, we withdrew it to reflect our perspective.”

Barrios: Now updating his resume

Further investigations uncovered AT&T-connected board member Troup Coronado. Many activists were surprised to learn learn Coronado is or was a paid consultant for AT&T and a Republican operative who used to work for Sen. Orrin Hatch (R-Utah).  While involved in Congress, Coronado worked to install judges hostile to gay and lesbian rights on the federal bench.  Today, he is a board member overseeing one of the nation’s most important gay and lesbian rights groups.

That revelation went over about as well as one could expect, and within a week, Barrios submitted his resignation, and calls for Coronado to leave are growing louder by the hour.

The intrigue has thrown GLAAD into full scale damage control mode, even as former board members like Perper call the group hopelessly brand tarnished and advocate its disbanding.  It also embarrasses AT&T by further exposing the sock-puppetry operations it runs to build phantom support for its business and policy agenda.

How Former and Current FCC Employees Helped Other Gay Groups (Heart) AT&T

GLAAD is not the only LGBT group in the chorus conducted by AT&T.  The National Gay & Lesbian Chamber of Commerce is no more friendly to consumer interests than any other Chamber of Commerce, and their participation in fronting for AT&T was to be expected.  But the National Gay & Lesbian Task Force is now repenting for their own involvement in AT&T’s bought and paid for parade:

“The National Gay and Lesbian Task Force submitted a letter to the Federal Communications Commission on Jan. 5, 2010, about rules and regulations regarding net neutrality. The letter was a response to a request by AT&T,” she said. “However, we quickly realized that we had not gone through an appropriate internal process on such policy matters and that the Jan. 5 letter did not accurately reflect our views and was a mistake. As a result, on Jan. 14, the Task Force submitted an additional letter to the FCC clarifying the organization’s position on net neutrality.”

“The Task Force has established a clearer internal review process that applies to any request for sign-on or policy endorsement from any group, organization or corporate partner. We have not issued any additional letters on net neutrality. Additionally the Task Force has declined requests from our corporate partner AT&T for further action regarding this issue and declined requests to write a letter regarding the proposed merger between AT&T and T-Mobile.”

Perhaps even more disturbing, new evidence is emerging that the FCC itself may be encouraging some of these civil rights groups to participate in discussions about controversial industry events.  The Bilerico Project discovered FCC chief Bill Lake meeting with GLAAD to talk specifically about how the group could become involved in public policy debates:

What’s not disclosed, however, is that Robinson, Barrios and board member Anthony Varona met with FCC chief Bill Lake and Deputy Director Bob Radcliffe in mid-May of last year. Varona is a former FCC attorney.

“Rashad, Jarrett and Tony met with the FCC in May 2010 to discuss GLAAD’s involvement in present and future FCC proceedings (including broadband proliferation items, public interest programming initiatives, etc.),” according to Rich Ferraro, GLAAD’s Director of Communications. The group denies that they took a formal position on any matter pending before the FCC at the time.

If true, this could link corporate astroturfing and dollar-a-holler advocacy to FCC insiders currently at the agency, as well as those who used to work there.

A word to the wise: if your non-profit needs cash, ask for contributions from your members.  Don’t sell out your good name for a billion-dollar corporate merger.  The position you protect may turn out to be your own.

LightSquared Fail? America’s Newest Wireless Competitor Could Wipe Out Your GPS

The Rochester, Minn. Amateur Radio Club spent months documenting potential interference from another problem technology: Broadband Over Power Lines.

Back in 2004, the Federal Communications Commission was looking for ways to expand broadband competition.  Borrowing from a mild success story in Europe, the Washington regulator, with the help of a well-financed lobbying campaign, approved new technology that would deliver broadband service over power lines, known as BPL.  The promises were great — fast access over an extensive, already-wired network that reached virtually every home in the country.  Glossy brochures promising a new generation of broadband and new competition were sent to every member of Congress.  Dollar-a-holler groups like the New Millennium Research Council produced “research reports” claiming the technology would advent a broadband revolution.  Some investors used to sleepy returns from utility companies dreamed about the promise of a rich new revenue stream pitching broadband service.

But there was a slight problem.  The technology worked better on paper than it did in real life.  Even more importantly, it carried more baggage than USAir.  Delivering wideband broadband signals over unshielded power cables never designed to carry radio frequencies meant interference — a lot of it, to any radio band the broadband signal occupied.  That meant a horrible listening experience on AM, and practically no listening at all over the shortwave bands, designated for military communications, international broadcasters, and the amateur radio community.

The FCC approved and supported the technology anyway, promising filters and other mitigation for those impacted by interference — a notion scoffed at by the American Radio Relay League, a group representing amateur radio operators.

So why don’t we have that third choice for broadband today?  BPL technology buried itself as its woeful performance could never match the high-flying marketing promises found in the brochure.

Fast forward to 2011 and manufacturers of satellite navigation devices, popularly known as GPS units, are terrified America is about to embark on another dreadful mistake.

LightSquared, a new entrant in the telecommunications marketplace, is constructing a nationwide 4G wireless broadband network with traditional ground-based antenna towers supplemented with a satellite system providing coverage in rural areas.  The company’s new network will occupy a frequency band just adjacent to that used by global positioning satellites, the backbone of the GPS system that some LightSquared critics contend will be crippled if the company’s 4G network is ever switched on.

[flv width=”640″ height=”388″]http://www.phillipdampier.com/video/LightSquared Intro.flv[/flv]

LightSquared released this promotional video talking up their future network.  (2 minutes)

Early interference tests conducted by a federal working group show those critics may be right.  Because satellite signals are so weak, manufacturers like Tom-Tom and Garmin must create highly sensitive GPS receivers to handle the faint signals.  Because these units are not always selective enough to reject adjacent signal interference, a neighboring transmitter delivering a much more powerful signal — such as that from LightSquared — could overwhelm them.

Independent testing found serious interference problems even for professional grade GPS units used by civil aviation, ships, and emergency responders.  A sampling:

  • GM’s OnStar system received significant interference, making it difficult to identify the location of crashed vehicles and disrupting turn-by-turn directions and other navigation services;
  • In recent tests in New Mexico, LightSquared caused GPS receivers used by nearby police, fire and ambulance crews to lose reception;
  • John Deere’s agricultural equipment incorporating GPS technology failed to receive signals during the LightSquared testing;
  • Both the Coast Guard and NASA reported significant interference to their GPS receivers;
  • The Federal Aviation Administration reports their GPS receivers completely failed while the tests were conducted.

The red box identifies the spectrum assigned to LightSquared. Its immediate neighbors are faint signals from communications satellites. (click to enlarge)

With complaints like that coming after a small-scale test, the thought of 40,000 ground-based LightSquared towers obliterating the nation’s access to GPS is more than just a little concerning to users and manufacturers.

“LightSquared’s network could cause devastating interference to all different kinds of GPS receivers,” Jim Kirkland, vice president and general counsel of Trimble Navigation Ltd., told the Washington Post.  Trimble manufactures GPS devices.

The Radio Technical Commission for Aeronautics advised the FAA its own independent tests of the LightSquared system found the consequences of turning this 4G wireless service on would be cataclysmic for GPS signals, making most satellite navigation equipment completely useless in most major metropolitan areas.

LightSquared executive vice president Jeffrey Carlisle told the Post he remained confident that the two systems could co-exist, even admitting he expected to find interference issues.  Carlisle says the real question is how to mitigate it.

This is not the first time interference issues have come before the FCC.  Nearby spectrum neighbors often don’t get along, especially when one licensed user relies on weak signals from space and the other utilizes more powerful ground-based transmitters.  The Commission has even fielded complaints over garage door openers interfering with certain military radios.

LightSquared’s network concept isn’t by itself the problem.  XM Radio manages to operate its mix of satellite-delivered radio and 900 ground-based repeater transmitters without creating interference for other users.

Deere Companies produced this diagram showing a comparison of the respective power levels of LightSquared signals vs. satellite navigation signals.

Unfortunately for LightSquared, it has several problems to contend with, the most significant being its “zoning problem.”  The souped-up 4G network is simply not in character for the spectrum neighborhood it calls home.  It’s a McMansion being built in a neighborhood of cottages.  LightSquared’s neighbors are low powered satellite signals in the 1-2Ghz range, including those from the satellites which provide GPS.  In certain cases, receiver equipment can be designed to reject the adjacent interference a network like LightSquared could create, but with millions of existing GPS units already in use, that may prove impractical.

LightSquared has tried to rope off its channel space as much as possible, trading spectrum with other nearby users to create a nearly contiguous 20Mhz slice it can dedicate to its signals, in hopes of reducing interference.  But the recent tests suggest this may not be enough.  General Motors suggested LightSquared needs to find a better neighborhood — one more suited to the kind of signal it wants to offer.  That could come from a spectrum trade or a frequency reallocation by the FCC.

The FCC is taking a “wait and see” approach so far, claiming further tests are needed.  But the agency earlier pledged it would not allow LightSquared to operate its network if it created major interference problems for other spectrum users.  Some GPS manufacturers think that commitment is too vague, because “major interference” is in the eye of the beholder.

Those concerns may be warranted, considering the FCC earlier found its way clear to ignore the documented interference Broadband Over Power Lines created over both the AM and shortwave radio dial.  Even after a blizzard of lobbying and campaign contributions won support for BPL in Washington, the ultimately inferior product that resulted couldn’t win the support of the group that ultimately mattered most — paying customers.

[flv width=”640″ height=”500″]http://www.phillipdampier.com/video/Bloomberg Ahuja Says LightSquared to Finish 4G Network Before 2016 6-11-11.flv[/flv]

Sanjiv Ahuja, chief executive officer of LightSquared, talks about the company’s efforts to build a wireless broadband network as other spectrum users challenge the company’s potential to create interference.  (7 minutes)

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