SIX MONTH PROGRESS REPORT

0050-EX-ML-2003 Post Grant Documents

AMBIENT CORPORATION

2006-02-01ELS_74375

                                           Tel   202 955 3000    Holland & Knight LLP
                                           Fax 202 955 5564      2099 Pennsylvania Avenue, NW., Suite 100
                                                                 Washington, D.C. 20006
                                                                 www.hklaw.com




February 1, 2006
                                                                     GEORGE WHEELER
                                                                     202—457—7078
                                                                     gwheeler@hklaw.com
VIA ELECTRONIC SUBMISSION

Office of Engineering and Technology
Experimental Licensing Branch, MS 1300E1
Federal Communications Commission
445 12t" Street, S.W.
Washington D.C. 20054

                Re: Submission of Progress Report
                    Call Sign WD2XEQ, File No. 0050—EX—ML—2003

Gentlemen:

    In accordance with the terms of its Experimental License, Call Sign
WD2XEQ ("License"), Ambient Corporation ("Ambient") is filing the attached six—
month progress report ("Report") on its progress in evaluating the feasibility of
broadband access via carrier current systems over power lines.

         If there are any questions regarding the submission, please contact George Y.
Wheeler Esq. at (202) 457—7073. For technical questions concerning the Report itself,
contact Dr. Yehuda Cern, Ambient‘s Chief Engineer, at (617) 332—7680.




                                          Counsel for Ambient C’orporatzon
Enclosure

# 35538675_v1


                                                                   Call Sign WD2XEQ
                                                           File No. 0050—EX—ML—2003

          PROGRESS REPORT OF AMBIENT CORPORATION‘S TESTS
                           PURSUANT TO
                      EXPERIMENTAL LICENSE

      Ambient Corporation ("Company") submits this six—month progress report in
accordance with the conditions of its Experimental License to evaluate broadband
access via carrier current systems over power lines.

                                   *k    +#      *



Test Sites: The Company has continued its ongoing test program at its test site in
Westchester County, New York since the grant of its original STA in June 2002.
The physical layout of this system is unchanged from that reported in the
Company‘s previous Progress Reports.

The MV/LV test system with Orange and Rockland Utilities Inc. ("O&R") at
Monsey, New York reported in the company‘s previous Progress Reports is
unchanged and remains in operation.

The Company‘s previously reported in—house Low Voltage demonstration system at
a 200 unit high—rise apartment building in New York, NY, remains in operation.

As previously reported, the Company entered into a BPL Trial Agreement with San
Diego Gas & Electric Company (SDG&E), a unit of Sempra Energy (NYSE: SRE), to
evaluate BPL—enabled consumer and utility based applications. Installation of a
limited test network which was begun in August has been completed and is in
operation. This installation was included as a demonstration system for the
recently completed UPLC workshop in San Diego for utility and other customers of
BPL equipment.

Other Updates: Testing of the in—building LV demonstration facilities at the offices
of IDACOMM in Boise, Idaho has been terminated. An updated reference to the
testing of Ambient equipment in Charlotte, NC is not included here. This testing is
being conducted under FCC experimental authority held by Duke Power.

BPL Standards Development: Members of the Company‘s engineering staff
participated in the recently completed IEEE meeting in Las Vegas in which
substantial progress was made to develop safety, interoperability, EMC
measurement standards for access and in—building Broadband over Power Line
(BPL) technologies in the following IEEE working groups:

Dr. Yehuda Cern, its Chief Engineer, was chosen to head the Hardware subgroup of
IEEE Working Group P1675 which is developing "Standard for Broadband over
Power Line Hardware and Personnel Safety."


Aron Viner, its Director of Compliance & Standardization, was chosen as a Chair of
the PLC EMC Standard Working Group which will develop the Standard
"Powerline Communication Equipment. Electromagnetic Compatibility (EMC)
Requirements. Testing and Measurement Methods."

Ram Rao, its Chief Network Architect, became a member of the BPL MAC/ PHY
Standard Working Group which will develop "Standard for Broadband over Power
Line Networks: Medium Access Control and Physical Layer Specifications."

Testing of Advanced Hardware and Software Capabilities: In the framework of its
Experimental License, the Company continues to develop and test methods for
enhancing the performance of its BPL systems and to monitor and adjust the
parameters of its test facilities to be responsive to the concerns of the amateur radio
operators consistent with its obligations under its Experimental License.

The Company is continuing testing operations on underground distribution plant in
the Westchester County area in addition to on—going testing of overhead plant.

The Company has made additional advances in its software and hardware to
develop new generations of products which fully address all applicable regulatory
requirements. The Company is continuing to make improvements in compliance
with applicable radiated emission limits upon power—up following a fault condition
or during start—up operation after a shut—off procedure, to immediately restore
previous settings.

As previously reported to the Commission, the Company has notched out its signals
on Amateur bands, demonstrating significant advancements in our technology over
the relatively short time period of its test program. These bands include the
following Amateur Radio bands: 80, 40, 30, 20, 17, 15, 12 and 10 meters: 3.5—4 MHz,
7—7.3 MHz, 10.1—10.15 MHz, 14.0—14.35 MHz, 18,068 —18,168 MHz, 21—21.45 MHz;
24,890—24,990 MHz, and 28.0—29.7 MHz. Also, the Ambient frequency plan was
modified to comply with exceluded bands of operations according Table 1 of the FCC
Part 15, Subpart G Rules.

The company has also put in place procedures to give prior notification to and to
consult with public safety users in the areas where it plans to deploy its
Experimental test systems. It has also sent written notifications to public safety
users in areas where it has longstanding trials under its Experimental License.

February 1, 2006

# 3194022_v3



Document Created: 2006-02-01 10:47:57
Document Modified: 2006-02-01 10:47:57

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