MSV Letter (Dec 23, 2005)

0137-EX-ML-2005 Post Grant Documents

Hughes Network Systems, sub LLC

2006-01-06ELS_74043

        MSV
Mobile Satellite Ventures LP                        ORIGINAL
                                               December 23, 2005          Hpsrttpby g— py

      Via Hand Delivery
      Ms, Marlene H. Dortch
      Secretary                                                      afleral e unc   arcos
                                                                                         . !LR"',?   anonBSiH

      Federal Communications Commission                                00 Sttien afRenratar
      445 12th Street, S.W.
      Washington, D.C. 20554

      Re:     Hughes Network Systems Sub, LLC; Call Sign WD2XJU; File No. 0137—EX—ML—2005
              Aeronautical Radio Inc.; File No. 0327—EX—PL—2005

      Dear Ms. Dortch:

               On November 28, 2005, Mobile Satellites Ventures Subsidiary LLC ("MSV") submitted
      letters in the above—captioned proceedings urging the Commussion to condition grant of the
      above—captioned applications on (i) use of only Inmarsat—3 satellites; and (ii) use of only those
      frequencies that were coordinated for Inmarsat Ventures Ltd. ("Inmarsat") under the spectrum
      sharing arrangement negotiated in 1999 among the North American L band operators, exclusive
      of frequencies that were temporarily loaned but subsequently recalled by the lenders.‘ MSV
      explained that it is concerned that use of uncoordinated Inmarsat satellites may result in harmful
      interference and jeopardize the coordination process.

             To date, MSV has not been served with a response from either Hughes or Aeronautical
      Radio. Inmarsat submitted a response on December 13"" in which it attached an opposition to an
      MSV filing submitted in a related proceeding." MSV hereby submits its Reply to this Inmarsat
      filing which fully addresses and refutes Inmarsat‘s claims.




      \ See Letter from Jennifer A. Manner, MSV, to Ms. Marlene H. Dortch, FCC, File No. 0137—EX—ML—
      2005 (November 28, 2005); Letter from Jennifer A. Manner, MSV. to Ms. Marlene H. Dortch, FCC, File
      No. 0327—EX—PL—2005 (November 28, 2005).

      ° See Letter from John P. Janka, Counsel to Inmarsat, to Ms. Marlene H. Dortch, FCC, File Nos. 0137—
      EX—ML—2005; 0327—EX—PL—2005 (December 13, 2005).


Ms. Marlene H. Dortch
December 23, 2005
Page 2


         Please contact the undersigned with any questions.


                                              Very truly yours,




                                               énnifer A. Manner
                                              Vice President, Regulatory Affairs
                                              MOBILE SATELLITE VENTURES
                                                      SUBSIDIARY LLC
                                              10802 Parkridge Boulevard
                                              Reston, Virginia 20191
                                              (703) 390—2700


                                         Exhibit A


Mobile Satellite Ventures Subsidiary LLC, Consolidated Reply to Oppositions, File Nos. SES—
LFS—20050930—01352, SES—AMD—20051111—01564, ITC—214—20051005—00395 (December 19,
2005)


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                                                    PUBLIC COPY (REDACTED)

                                                                December 19, 2005

         Via Hand Delivery                                                                 DFC 1 9 2005
         Ms. Marlene H. Dortch                                                                             aiovnime
         Secretary
                                       sion
         Federal Communications Commisissi
                                                                                               o
                                                                                    2egipra!a Comm
                                                                                    Fecer          unlco   ns Comminaion:
                                                                                                       atioi
                           icati
         445 12th Street, S.W.
         Washington, D.C. 20554

                         Re:          Reply of Mobile Satellites Ventures Subsidiary LLC to Oppositions to MSV‘s
                                      Petition to Hold in Abeyance or to Grant with Conditions Application of
                                      Telenor Satellite, Inc.
                                      File No. SES—LFS—20050930—01352
                                      File No. SES—AMD—20051111—01564
                                      File No. ITC—214—20051005—00395

         Dear Ms. Dortch:

                 Mobile Satellites Ventures Subsidiary LLC ("MSV") hereby files this redacted public
         version of a Reply to the Oppositions of Telenor Satellite, Inc. ("Telenor") and Inmarsat
         Ventures Limited to MSV‘s Petition to Hold in Abeyance or to Grant with Conditions the above—
         referenced applications of Telenor for Title III and Section 214 authorizations to operate
         terminals in the United States with an uncoordinated Inmarsat—4 L band satellite.‘ As discussed
         herein, certain information provided in the Petition should be treated as confidential."




          ‘ See Telenor Satellite, Inc., Application for Title III Blanket License, File No. SES—LFS—
          20050930—01352 (September 30, 2005); Telenor Satellite, Inc., Amendment, File No. SES—
          AMD—20051111—01564 (November 11, 2005); Telenor Satellite, Inc., Application for Section
          214 Authorization, File No. ITC—214—20051005—00395 (August 26, 2005).
          > 47 C.FR. § 0.459(b).


Ms. Marlene H. Dortch
December 19, 2005
Page 2

                             PUBLIC COPY (REDACTED)



47 C.F.R. § 0.459(b)(1)      ——      Identification of the specific information for which
                                     confidential treatment is sought

        MSV requests confidential treatment of information relating to the Mexico City
Memorandum of Understanding and the on—going international L band frequency coordination
process which is confidential to the parties to that coordination, which includes the Commission
and MSV.‘ When considering other applications to use Inmarsat satellites in the United States,
the Commission has acknowledged the confidentiality of this information and has afforded it
confidential treatment."

47 C.F.R. § 0.459(b)(2)       ——     Identification of the Commission proceeding in which
                                     the information was submitted or a description of the
                                     circumstances giving rise to the submission

       This information is being filed in MSV‘s Reply to Oppositions to MSV‘s Petition to Hold
in Abeyance or to Grant with Conditions the above—referenced Telenor applications.

47 C.F.R. § 0.459(b)(3)       =——    Explanation of the degree to which the information is
                                     commercial or financial, or contains a trade secret or is
                                     privileged

       As the Commission has acknowledged, the Mexico City Memorandum of Understanding
and related coordination documents are confidential.®

47 C.F.R. § 0.459(b)(4)       —      Explanation of the degree to which the information
                                     concerns a service that is subject to competition

     The information contained herein concerns the market for wireless services, in which
MSV faces competition from other MSS providers as well as from terrestrial wireless operators.


‘ See Memorandum of Understanding for the Intersystem Coordination of Certain Geostationary
Mobile Satellite Systems Operating in the Bands 1525—1544/1545—1559 MHz and 1626.5—
1646.5/1646.5—1660.5 MHz, Mexico City, Mexico, 18 June 1996.
* See COMSAT Corporation et. al., Memorandum Opinion, Order and Authorization, 16 FCC
Red 21661, T 111 (2001) ("COMSAT Order") ("The Mexico City Agreement and related
coordination documents, such as minutes of coordination meetings, are considered
confidential.").
* 14.


Ms. Marlene H. Dortch
December 19, 2005
Page 3

                             PUBLIC COPY (REDACTED)



47 C.F.R. § 0.459(b)(5)       ——     Explanation of how disclosure of the information could
                                     result in substantial competitive harm

        Disclosure of the information for which confidential treatment is sought would result in
violation of the Mexico City Memorandum of Understanding.

47 C.F.R. § 0.459(b)(6)       ——     Identification of any measures taken by the submitting
                                     party to prevent unauthorized disclosure

       Disclosure to third parties of the information for which confidential treatment is sought
has been pursuant to non—disclosure agreements.

47 C.F.R. § 0.459(b)(7)       —      Identification of whether the information is available to
                                     the public and the extent of any previous disclosure of
                                     the information to third parties

         The information for which confidential treatment is sought is not publicly available.
Disclosure to third parties of the information for which confidential treatment is sought has been
strictly pursuant to non—disclosure agreements.

47 C.F.R. § 0.459(b)(8)       —       Justification of the period during which the submitting
                                      party asserts that material should not be available for
                                      public disclosure

        The information for which confidential treatment is sought should remain confidential
indefinitely or until the parties to the Mexico City Memorandum of Understanding agree that it
can be made publicly available.

47 C.F.R. § 0.459(b)(9)       ——      Any other information that the party seeking
                                      confidential treatment believes may be useful in
                                      assessing whether its request for confidentiality should
                                      be granted

N/A.


Ms. Marlene H. Dortch
December 19, 2005
Page 4

                              PUBLIC COPY (REDACTED)



         Please contact the undersigned with any questions.


                                             Very truly yours,




                                              Jennifer A. Manner


                                PUBLIC COPY (REDACTED)


                                             Before the
                                Federal Communications Commission
                                       Washington, D.C. 20554

In the matter of

Telenor Satellite, Inc.                          File No. SES—LFS—20050930—01352
Application for Title III Blanket License        File No. SES—AMD—20051111—01564
to Operate Mobile Earth Terminals with
Inmarsat 4F2 at 52.75°W

Telenor Satellite, Inc.                           File No. ITC—214—20051005—00395
Application for Section 214 Authorization
to Operate Mobile Earth Terminals with
Inmarsat 4F2 at 52.75°W




                          CONSOLIDATED REPLY TO OPPOSITIONS




 Bruce D. Jacobs                                 Jennifer A. Manner
 David S. Konczal                                Vice President, Regulatory Affairs
 PILLSBURY WINTHROP                              MOBILE SATELLITE VENTURES
        SHAW PITTMAN LLP                             SUBSIDIARY LLC
 2300 N Street, NW                               10802 Parkridge Boulevard
 Washington, DC 20037—1128                       Reston, Virginia 20191
 (202) 663—8000                                  (703) 390—2700


December 19, 2005


                                PUBLIC COPY (REDACTED)


                                            Summary

       MSV‘s Petition demonstrated that a grant of this application will result in harmful

interference in the L band. The responses to MSV‘s Petition have done nothing to alleviate this

fundamental concern. Indeed, the theme of the responses is "trust us" and "blame MSV" rather

than an objective technical showing as to howinterference will be avoided with the new,

uncoordinated operations. With respect to each of the three specific concerns MSV described in

its Petition, the record continues to provide compelling evidence either that harmful interference

will definitely occur or cannot reasonably be expected to be avoided in advance of a coordination

agreement covering Inmarsat‘s new satellite and services.

       Inmarsat‘s continued use ofspectrum that it agreed to return to MSV and MSY Canada.

MSV demonstrated that Inmarsat‘s current operations on disputed spectrum are blocking MSV‘s

operations today and that grant of the instant application, to the extent it authorizes Inmarsat

operations on the disputed spectrum, would do éhe same. The cavalier responses of Inmarsat and

the applicant are that any new operations will not change anything, since Inmarsat‘s existing

operations already block MSV. To the contrary, operation of yet another uncoordinated Inmarsat

satellite on these disputed frequencies will only compound the existing problem.

       Inmarsat‘s new satellite and new services are technically differentfrom the satellites and

services Inmarsat has coordinated previously. MSV‘s Petition described what is obvious, that

Inmarsat‘s new satellite and newservices have different technical characteristics than those

Inmarsat has coordinated previously, they have not been coordinated, and their uncoordinated

operation likely will result in harmful interference. Inmarsat provides only the most superficial

response, one which fails to address all the relevant characteristics of its proposed operations and

which disingenuously mentions that Inmarsat "might" limit its operations, without describing or

committing to any such limits. Moreover, how and why Inmarsat would use its new satellite and


                                PUBLIC COPY (REDACTED)


provide new services without taking advantage of the new satellite‘s higher power and narrower

spot beams begs credibility and is never explained.

       Inmarsat claims the right to operate throughout the entire MSS L band. MSV‘s Petition

questioned how Inmarsat could commit to operate without causing harmful interference when it

is simultaneously claiming the right to operate throughout the band without any clear limitation.

In effect, Inmarsat is saying that without any "rules of the road" it can operate anywhere it

chooses without causing a collision. This is an extraordinarily arrogant assertion for Inmarsat to

make. In a congested L band, where there are already disputes that are preventing MSV from

using its licensed spectrum in order to avoid interference to Inmarsat customers, Inmarsat‘s claim

is particularly self—serving and outrageous. Inmarsat‘s response persists in failing to identify any

rules of the road it will obey in order to effectively preclude harmful interference. As evidenced

by its continued claim to be entitled to use the Qisputed spectrum, its ongoing use of global

beams and older satellites that themselves havé not been coordinated, and its plan to use the new

satellites not to replace the older satellites but to supplement them, it would be unreasonable to

expect that Inmarsat can and will operate its new satellite in a manner that does not lead to

harmful interference.

       The Commission‘s most important role is that of spectrum "traffic cop," enforcing

reasonable rules of the road, in this case that new L band satellites and services must be

coordinated before they are permitted to provide United States service. Such enforcement is

entirely within its authority under the WTO Basic Telecom Agreement and DISCO II principles,

and is consistent with its action in at least one other case, involving PanAmSat, in which there

was a reasonable concern that authorizing use of an uncoordinated satellite would increase

potential harmful interference. MSV cited the PanAmSat case in its Petition, but Inmarsat and




                                                 1


                                PUBLIC COPY (REDACTED)


the applicant chose to ignore it. Enforcing reasonable rules of the road is also consistent with

previous Bureau decisions to permit the use of foreign—licensed L band satellites. In those cases,

the satellites in question had completed the ITU coordination process, the operators had mutually

committed to using specific frequencies and other operating parameters that would prevent

harmful interference, and the terms of their earth station licenses limited them to those operating

parameters. In contrast, the new Inmarsat satellite and services have never been coordinated,

Inmarsat claims the right to operate throughout the band, and the applicant seeks a license that is

similarly unlimited. Inmarsat also fails completely to respond to any of the several reasons MSV

provided for why Inmarsat‘s new satellite is not a "replacement" satellite under the Mexico City

MoU and is thus not entitled to be treated as coordinated.

        Inmarsat claims that MSV has been "vetoing" coordination agreements since 1999 and is

fabricating interference concerns in an effort to keep Inmarsat from competing in the United

States market, and that the solution to MSV‘s perceived problem is for MSV to agree to renewed

multilateral meetings with Canadian, Mexican, and Russian operators. In fact, the break down in

coordination talks in 1999 was largely the result of Inmarsat‘s failure

          REDACTED                                                         , in particular MSV‘s

need for sufficient spectrum to serve several large wholesale customers, and reduce its use of

spectrum inefficient global beams. It is MSV, not Inmarsat, that has been proactive in trying to

advance the coordination process. MSV and MSV Canada are in the process of constructing

satellites that will provide more than 280 spot beams over the United States, enabling much

higher capacity broadband services to smaller and less expensive user devices than Inmarsat‘s

system can provide. It is Inmarsat that has blocked MSV‘s efforts to develop its system,

presumably because it has only recently invested over $1.5 billion in three Inmarsat—4 satellites




                                                 i1


                                 PUBLIC COPY (REDACTED)


that have insufficient power to provide service to the kind of small, handheld user devices that

can be served by the new satellites being built for MSV and MSV Canada. Moreover, Inmarsat‘s

new satellite is capable of providing no .more than a dozen spot beams over the United States

from its orbit location over the Atlantic Ocean. Inmarsat thus has every incentive to take an anti—

competitive position and continue to impede MSV‘s ability to gain stable, interference—free

access to the spectrum needed for MSV‘s new system. It is Inmarsat that has breeched the trust

required for coordination, by refusing to recognize            REDACTED

adding more satellites with inefficient global beams, causing unnecessary delay to the

Commussion‘s approval of ATC, refusing to return the spectrum it borrowed from MSV and

MSV Canada, and, more recently, by refusing to negotiate for stable access to spectrum

reconfigured into wider and more contiguous blocks consistent with the Commission‘s goal of

promoting efficient use of spectrum.

        Judging from its response, Inmarsat‘s cdnent strategy is to cynically hold éub]ic safety

hostage to its failure to coordinate its new satellite, similar to the approach Inmarsat has taken

regarding its continued use of disputed spectrum. Instead of giving in to these demands, the

Bureau should put the responsibility where it belongs——on Inmarsat——to make a sincere and

concerted effort to coordinate all of its existing and planned L band satellites and services with

those operating and planned by the other North American L band operators. Such an effort, to

which MSV is committed, can be completed in a few months and is the only way to produce

long—lasting, positive results for public safety and others.




                                                  1v


                                                   PUBLIC COPY (REDACTED)



                                                               Table of Contents

SUIMIMQY ..2.2.2.20000222222eeevrseevressrerirreceresecrcrsresiraessrectrisisesertsirrrecrisrectrrecssrecivetseeccsssessesececereesereressrecseces 1

Table@ Of CONU@MES ......22.022.202202202»veereersrcrsrersevcrsseerrrrssrecrrcressecerieeetsressrecersesesccaesrtaresccecrerereressrecccreresv

DiSCUSSIOM.....2...0.2020222s2errerervrrrreserrresrersressereseseeresresreresreesriersresersreeresererecressres se tesseeessven is ies srrea nsc es rec ies 2

L.          Grant of the Application Would Lead to Harmful INterfeEMCGE ...............0csesseserereerssreec ies 2

            A.          Inmarsat and Its Distributor Have Failed to Respond to MSV‘s
                        Showing Of H@MfUl INt@TfETEMCE ........2..0200.000see 0020 eev se e es v es vearr se e rr se rersrrscrrsscrnensrreeees 2

            B.          Inmarsat and its Distributor Have Not Shown Any Precedent to
                        SUppOIt THEIF POSIHIOM .....2...222222022ssee2e6esesee se v se ra se r es se t en rre s es se ts es vesenseerearec es esc ces eee 10

            C.          Inmarsat Must Bear Responsibility for Failing to Coordinate Its
                        Satellite In @ TiMeIY MANMNET..........0...01.0202sesaervseresrerverrrserrererserersseevessrersrsersssereveess 14

II.         The Bureau Should Address the Other Issues Presented by the Telenor
            pvgoiteutce 17


                                PUBLIC COPY (REDACTED)


                                             Before the
                                Federal Communications Commission
                                       Washington, D.C. 20554

In the matter of

Telenor Satellite, Inc.                             File No. SES—LFS—20050930—01352
Application for Title 1J Blanket License            File No. SES—AMD—20051111—01564
to Operate Mobile Earth Terminals with
Inmarsat 4F2 at 52.75°W

Telenor Satellite, Inc.                             File No. ITC—214—20051005—00395
Application for Section 214 Authorization
to Operate Mobile Earth Terminals with
Inmarsat 4F2 at 52.75°W

                          CONSOLIDATED REPLY TO OPPOSITIONS

        Mobile Satellite Ventures Subsidiary LLC ("MSV") hereby files this Consolidated Reply

to the Oppositions filed by Telenor Satellite, Inc. ("Telenor") and Inmarsat Ventures Limited

("Inmarsat") to MSV‘s Petition to Hold in Abeyance or to Grant with Conditions the above—

referenced applications to opefate earth stationé with an uncoordinated Inmarsat—4 L band

satellite.‘ By holding the Telenor applications in abeyance until the conclusion of a coordination




‘ In the above—referenced applications, Telenor is seeking Title III and Section 214 authorizations to
operate Broadband Global Area Network ("BGAN") terminals in the United States with an
uncoordinated Inmarsat—4 satellite located at 52.75°W (called "Inmarsat 4F2"). See Telenor Satellite,
Inc., Application for Title III Blanket License, File No. SES—LFS—20050930—01352 (September 30,
2005) ("Telenor Title III Application"); Telenor Satellite, Inc., Amendment, File No. SES—AMD—
20051111—01564 (November 11, 2005); Telenor Satellite, Inc., Application for Section 214
Authorization, File No. ITC—214—20051005—00395 (August 26, 2005). MSV is not opposed to the
Section 214 Application on its own, but only to the extent that it involves the proposed use of the
uncoordinated Inmarsat satellite.
In its initial Petition, MSV urged the Bureau, if it did grant the application despite the overwhelming
evidence of harmful evidence that will occur, to condition any license on the distributor not using certain
disputed frequencies. See MSY Petition at 14—17. On further reflection, MSV withdraws this alternative
request. In light of the failure of recent efforts by the Bureau and MSV to secure any commitment from
Inmarsat to cease operations on the disputed frequencies, MSV is now convinced that it is critical for the
Bureau both to deny any authority to use Inmarsat‘s new satellite as long as it remains uncoordinated


                                PUBLIC COPY (REDACTED)


agreement, the Bureau will be appropriately exercising its spectrum management authority to

prevent harmful interference.

                                            Discussion

1.     GRANT OF THE APPLICATION WOULD LEAD TO HARMFUL
       INTERFERENCE

       A.      Inmarsat and Its Distributor Have Failed to Respond to MSV‘s
               Showing of Harmful Interference

       As proponents of providing service in the United States with an uncoordinated satellite,

the burden falls squarely on Inmarsat and its distributor to demonstrate that Inmarsat can operate

its uncoordinated satellite on a non—harmful interference basis. Inmarsat and its distributors have

utterly failed to meet this burden. Not only does the Telenor application fail to explain how

Inmarsat intends to operate on a non—harmful interference basis, both Inmarsat and Telenor are

deafeningly silent in response to the evidence of three separate types of harmful interference that

will result both to other L band operators and to Inmarsat from operation of the Inmarsat 4F2

satellite prior to a coordination agreement."

       Interference resulting from Inmarsat‘s continued use ofspectrum that it agreed to return

to MSV and MSV Canada. The first type would result from the use of Inmarsat 4F2 to operate

on the frequencies Inmarsat has refused to return to MSV and MSV Canada. MSY Petfition at 10.

Inmarsat‘s current use of these frequencies prevents MSV and MSV Canada from using those

frequencies to test and deploy its new, hybrid system. This is a real, concrete example of

interference that is already occurring today. The only response Inmarsat can muster is that this



and to deny authority for the use of any Inmarsat satellite on the disputed spectrum, not just the new
Inmarsat satellite. MSV intends to make this latter request in a filing to be submitted in the near future.
* See Mobile Satellite Ventures Subsidiary LLC, Petition to Hold in Abeyance or to Grant with
Conditions, File Nos. SES—LFS—20050930—01352, SES—AMD—20051111—01564, ITC—214—
20051005—00395 (November 23, 2005) ("MSFY Petition"), at 7—14.


                                 PUBLIC COPY (REDACTED)

interference is already happening today, so it should not matter if it continues in the future." This

is no response at all. The fact that there is already interference from Inmarsat‘s operation of its

existing satellites does not mean the Commission should authorize the use of still more Inmarsat

satellites." Moreover, Inmarsat‘s claim that MSV can avoid interference by continuing to refrain

from using the loaned spectrum z;voids the issue entirely, and serves only to highlight Inmarsat‘s

disregard for the consequences of its actions. Inmarsat Opposition at 9, 19.

       Telenor and Inmarsat do not dispute that Inmarsat presently uses L band frequencies that

have been coordinated and assigned for use by MSV and MSV Canada nor do they dispute that

Inmarsat will use these frequencies on Inmarsat 4F2; rather, they claim that the Commission has

condoned such action by authorizing Inmarsat‘s existing satellites to operate on every L band

frequency." Even if the Commission condoned such operation in the context of requests filed

several years ago to use Inmarsat—3 satellites and other foreign—licensed satellites that had

completed the coordination process and were ih the ITU Master Register, those facts do not

apply to the instant application. Moreover, this interpretation of the Commission‘s order is

simply wrong. In the TMI Order and COMSAT Orders, the Commission authorized earth




* See Inmarsat Ventures Limited, Opposition, File Nos. SES—LFS—20050930—01352, SES—AMD—
20051111—01564, ITC—214—20051005—00395 (December 7, 2005) ("Inmarsat Opposition"), at 9,
19.
* Given Inmarsat‘s admission that it is using loaned frequencies on its current—generation
satellites, the Bureau should act sua sponte to clarify that existing L band earth station licensees
are not permitted to use loaned but recalled frequencies. MSY Petition at 16 n.33.
* See Telenor Satellite, Inc., Opposition, File Nos. SES—LFS—20050930—01352, SES—AMD—
20051 111—01564, ITC—214—20051005—00395 (December 7, 2005) ("Telenor Opposition"), at 6;
Inmarsat Opposition at 12—24 (citing Applications ofSATCOM Systems, Inc., TMI
Communications and Company, LP, et al., Order and Authorization, 14 FCC Red 20798 (1999)
("TMI Order"), affd sub nom. AMSC Subsidiary Corp. v. FCC, 216 F.3d 1154 (D.C. Cir. 2000)
("AMSC") and COMSAT Corporation et. al., Memorandum Opinion, Order and Authorization,
 16 FCC Red 21661 (2001) ("COMSAT Order‘)).


                                PUBLIC COPY (REDACTED)

stations to operate with L band satellites subject to two conditions: the Non—Interference

Condition® and the Spectrum Limitation Condition.‘ The same two conditions have been

imposed on earth stations authorized to operate with MSV and MSV Canada as well. See

Exhibit A. This has the practical effect of limiting each L band operator to using only those L

band frequencies it "coordinated for" its satellites in the 1999 Spectrum Sharing Arrangement

("ssa".‘

       Inmarsat, however, claims that the Spectrum Limitation Condition only applies when

there is a coordination agreement in effect that assigns specific frequencies to specific operators.

Inmarsat Opposition at 15. The plain language of the Spectrum Limitation Condition, however,

reveals that it applies even when there is no such coordination agreement in effect. The Comsat

Order unambiguously restricts Inmarsat to those portions of the L band coordinated for Inmarsat

in the "most recent annual L—Band operator—to—operator agreement." COMSAT Order at § 115(c)

(emphasis added). If the Commission had intended to require that the agreement be in effect at

the time of the order, the use of the "most recent" modifier would have been unnecessary, since,




© COMSAT Order § 115(d) ("[i}n the absence of a continuing annual L—band operator—to—operator
coordination agreement, operations of MET‘s in the 1525—1559 and 1626.5—1660.5 MHz bands
will be on a non—interference basis until a future operator—to—operator agreement is concluded");
TMI Order | 64.
‘ COMSAT Order § 115(c) ("[o}Jperations shall be limited to the portions of the 152 5—1559 and
1626.5—1660.5 MHz band coordinated for the Inmarsat satellite system in the most recent annual
L—Band operator—to—operator agreement"); TMI Order "| 64.
* L band frequencies that have been loaned between L band operators have not been
"coordinated for" the borrowing operator. In order to have the right to "loan" frequencies, the
lending operator must have "coordinated for" the right to use those frequencies in the first place.
Thus, the terms of the COMSAT Order and similar decisions licensing L band earth stations only
give the lending operator, and not the borrowing operator, the right to use loaned frequencies.
The words "coordinated for" as used in the COMSAT Order and similar decisions licensing L
band earth stations recognize the superior right the lending operator has to use these frequencies
and that the lending operator may exercise its right to use the loaned frequencies at some point in
the future.


                                 PUBLIC COPY (REDACTED)


by definition, any effective operator—to—operator agreement would be the "most recent" one. It is

also significant that the Commission imposed the Spectrum Limitation Condition in 2001, with

the full knowledge that the 1999 SSA — the "most recent‘"operator—to—operator agreement — had

formally expired. In light of this historical context, the interpretation suggested by Inmarsat is

illogical, as it would render the Spectrum Limitation Condition a nullity. Inmarsat‘s own actions

since 1999 demonstrate that it shared the view that the Spectrum Limitation Condition applied

even in the absence of a coordination agreement that assigns specific frequencies to specific

operators." Moreover, the Commission has repeatedly confirmed that although the 1999 SSA

may have formally expired, it continues to effectively govern the operations of L band MSS

providers. See Exhibit B.‘"" Accordingly, Inmarsat cannot legitimately claim that the

Commission has endorsed the interference it is causing today and plans to continue to cause in

the future."‘



° MSY Petition at 15—16 (noting that Inmarsat‘s decision in 2003 to request an additional loan
from MSV and MSV Canada is consistent with the Spectrum Limitation Condition, as is its
statement in its April 2005 securities filing that "the amount of spectrum available to each
operator is currently frozen at the levels agreed in 1999" (citing Inmarsat Global Ltd., Form F—20
(April 29, 2005), at 10 ("Inmarsat April 2005 Form F—20"°) (available at:
http://www.sec.gov/Archives/edgar/data/ 1291401/000104746905012474/ 0001 047469—05—
012474—index .htm)).
‘* To support its claim that the Spectrum Limitation Condition only applies when there is a
coordination agreement in effect that assigns specific frequencies to specific operators, Inmarsat
relies entirely on dicta from AMSC v. FCC in which the D.C. Circuit stated that the Spectrum
Limitation Condition "comes into play, however, only where there is a coordination agreement
in effect." Inmarsat Opposition at 15 (citing AMSC v. FCC, 216 F.3d at 1158). In fact, this
statement was made in the Background section of the opinion in which the court was
characterizing the facts of the case as presented by AMSC. See AMSC v. FCC, 216 F.3d at 1158
("If no new coordination agreement was reached, 4MSC argued, then the new MET‘s would be
free to operate anywhere in the Upper L—band, potentially interfering with AMSC‘s licensed
MSS operations.") (emphasis added).
‘‘ Despite Inmarsat‘s claim, the issue of use of loaned frequencies is not a private contractual
dispute between Inmarsat and MSV. Inmarsat Opposition at 10. Moreover, because Inmarsat
4F2 is not a replacement satellite under the Mexico City MoU, the Mexico City MoU multilateral


                                PUBLIC COPY (REDACTED)


        Interference resultingfrom technically different ofInmarsat‘s new satellite and services

relative to the satellites and services it has coordinated previously. The second type of

interference results from the technical differences between Inmarsat 4F2 and BGAN services

relative to Inmarsat—3 and the services coordinated for operation on Inmarsat—3. MSV has

demonstrated that these differences will result in greater interference both to other L band

operators and to Inmarsat. MSY Petition at 10—13." With respect to interference caused by

Inmarsat 4F2 to other L band operators, MSV in its Petition provided evidence that BGAN

terminals operating with Inmarsat 4F2 will use wideband carriers that are not contemplated in the

Mexico City MoU or the subsequent SSAs. [d. at 10. Because the North American L band


dispute resolution process is not applicable to the issue of use of loaned spectrum on Inmarsat
4F2. Inmarsat Opposition at 12. Inmarsat‘s distributors are currently using frequencies in the
United States that they are not authorized to use under the terms of their licenses and which
Inmarsat now proposes to use on its next—generation satellite. This is a simple case of the
Commission enforcing an existing license condition and ensuring that it is obeyed in the future.
Inmarsat attempts to mislead the Bureau by claiming that the spectrum it borrowed from MSV
and MSV Canada is part of the "overall balance struck" in the 1999 SSA that cannot be undone
without fundamentally altering the entire agreement. Inmarsat Opposition at 10. In fact, these
frequencies were loaned on a temporary basis to meet Inmarsat‘s short—term, emergency needs.
Indeed, Inmarsat complained in the coordination process
                         REDACTED

                         . Inmarsat knew full well that these loans would be recalled at some
point and it is unreasonable for Inmarsat to have expected to use these frequencies for the long
term.

  Inmarsat asserts that the absence of interference to date is sufficient evidence that there will
not be interference if the new application is granted. Inmarsat Opposition at 20. Given the
technically different nature of Inmarsat 4F2 relative to Inmarsat—3 satellites, however, it is
entirely irrelevant whether there have been any claims of interference resulting from the
operation of Inmarsat—3 satellites. As discussed in MSV‘s Petition, there are material technical
differences between the Inmarsat—3 and the Inmarsat 4F2 satellites and between the old services
Inmarsat provides and the new services it has developed that make operation on a non—harmful
interference basis far more problematic. Thus, Radio Regulation No. 9.6 et seq requires prior
coordination of Inmarsat 4F2 and BGAN. In any event, there already has been actual harmful
interference resulting from Inmarsat‘s continued illegal use of loaned frequencies on Inmarsat—3
satellites, which has the effect of precluding MSV and MSV Canada from using spectrum for
which they have coordinated.


                                      PUBLIC COPY (REDACTED)

operators have never coordinated an envelope of frequency assignments, including necessary

guard band requirements, within which Inmarsat can operate these wideband carriers,

interference will result to other L band operators from operation of Inmarsat 4F2 absent a prior

coordination agreement covering the satellite. Id. Inmarsat and Telenor appear to concede this

point by not offering any substantive response."" MSV also explained that the aggregate EIRP of

Inmarsat 4F2 is significantly higher than that of Inmarsat—3, raising the potential for increased

interference in the downlink to other L band operators. MSY Petition at 10—11. Inmarsat‘s

response focuses on individual carriers and avoids addressing the more fundamental concerns

MSV raised regarding the overall system‘s aggregate interference levels. Inmarsat Opposition at

21—22. Moreover, the wideband carriers Inmarsat operates today on its existing satellites have

never been coordinated, so any commitment to operate within those uncoordinated parameters is

                     114
no comfort at all.         The only defense Inmarsat can muster (without any technical support



" The Telenor application proposes the use of 200 kHz—wide carriers, which are much wider
than the carriers that have been coordinated to date among the L band operators. Telenor Title
TI Application, Technical Description at 18 (Table A.10—1) and Form 312, Schedule B. Notably,
Inmarsat does not deny that Inmarsat 4F2 will use wideband carriers.
14                             REDACTED


                                                               . Inmarsat has not yet undertaken this
required coordination. Not surprisingly, MSV has suffered non—co—channel interference from
Inmarsat‘s uncoordinated HSD transmissions due to Inmarsat‘s failure to provide sufficient
guard bands with respect to MSV transmissions. BGAN transmissions have substantially wider
bandwidth than HSD transmissions; consequently, they pose substantially higher risks of non—co—
channel interference than HSD transmissions. In coordination of these MSS wideband carriers,
the challenge is to suitably limit this interference risk while minimizing the size and number of
guard bands in order to achieve the highest possible spectrum utilization efficiency. Moreover,
the necessary guard bands must be equitably accommodated within the operators‘ frequency
assignments. Establishment of the appropriate risk—efficiency balances and equitable placements
of guardbands are not matters that should be decided unilaterally by Inmarsat.
Operation of wideband carriers on current—generation satellites is not the only example of
operations Inmarsat has failed to coordinate despite its obligation to do so. According to its


                                 PUBLIC COPY (REDACTED)


whatsoever) is the weak claim that the design of the Inmarsat 4F2 "allows the satellite to be

operated" so as to produce "no greater potential for interference" to MSV than that caused by

Inmarsat—3. Inmarsat Opposition at 18." In other words, under certain cireumstances, Inmarsat

could operate the Inmarsat 4F2 pursuant to the same exact technical parameters as Inmarsat—3.

Inmarsat does not explain how such operation is possible given the technically different nature of

the Inmarsat 4F2 relative to the Inmarsat—3 satellites, or how it could provide BGAN service

without using the higher—power beams available on Inmarsat 4F2. And, not surprisingly,

Inmarsat does not commit to operating exclusively in this manner (which would preclude it from

deploying wideband carriers and, thus, from providing BGAN service as it has been described);

it only offers this as an example of how it could operate the satellite in theory, not how it will

actually operate the satellite. Inmarsat also ignores that its plan is not to operate Inmarsat 4F2 as

a replacement to its existing satellites in the region but as a supplement to them, thus creating an

undefined but significant amount of additional interference even if it were possible to operate the

new satellite in exactly the same way as its existing fleet.

       With respect to interference caused to Inmarsat, MSV provided evidence that Inmarsat

may suffer significant interference upon operation of its new satellite. MSY Petifion at 11—12.




securities filings, Inmarsat also currently operates Inmarsat—2 satellites at 9I8°W and 142°W, none
of which have been coordinated with other North American L band operators. Inmarsat April
2005 Form F—20 at 39.
 Inmarsat also vaguely claims that it "plans" to operate Inmarsat 4F2 "within the technical
envelope of the last coordination agreement" and to ensure that "the interference levels MSV
receives from Inmarsat 4F2 are no higher than those already agreed for Inmarsat 3." Inmarsat
Opposition at 22. Again, Inmarsat does not explain what this means, let alone commit to
anything specific, and, in any event, it offers no technical documentation to support its claim.
According to the Telenor application, the characteristics of regional beams on an Inmarsat—4
satellite are not identical to those on an Inmarsat—3 satellite, so it is unclear how an Inmarsat—4
satellite might operate in the same technical envelope as an Inmarsat—3 satellite. Telenor Title IIZ
Application, Technical Description, Section A.3.


                                 PUBLIC COPY (REDACTED)


Inmarsat has told the Commission numerous times in the ATC rulemaking that the Inmarsat 4F2

satellite is far more susceptible than the Inmarsat—3 satellites to co—channel"® and adjacent

channel interference‘‘ from the operation of current—generation L band satellite terminals

operating with other L band systems. Inmarsat and Telenor are again silent in response to these

points. To be sure, Inmarsat‘s previous statements were made in the course of the ATC

proceeding where it was in Inmarsat‘s best interests to exaggerate its vulnerability to interference

so as to preclude MSV from receiving authority for ATC. Now that it is in Inmarsat‘s best

interests to claim that its new satellite can operate on a non—harmful interference basis, Inmarsat

not surprisingly tries to hide from its previous statements. But Inmarsat cannot have it both

ways. Inmarsat‘s only defense is the vaguely worded statement that "overall" the sensitivity of

Inmarsat 4F2 to interference is "not much different‘" than it is with Inmarsat—3. Inmarsat



 ‘© Based on evidence provided by Inmarsat, the Commission has explained that uplink co—
channel interference resulting from MSV‘s cufient-generation satellite terminals will increase
from 58.68% AT/T to 794.1% AT/T as Inmarsat transitions from the Inmarsat—3 satellites to the
narrow spot beams on the Inmarsat—4 satellites used to support BGAN operations. See Flexibility
for Delivery of Communications by MSS Providers, Report and Order, IB Docket No. 01—185, 18
FCC Red 1962 (February 10, 2003) ("ATC Order"), at Appendix C2, Table 2.1.1.C. The
Commission‘s characterization of the interference environment in this section of the 4TC Order
was strictly limited to interference from satellite operations. The Commission‘s decision to
permit operation of an Ancillary Terrestrial Component considered separately the potential
 impact of such terrestrial operations, concluding that terrestrial operations would be permitted if
they added no more than an additional 1% AT/T to the interference environment of co—channel
 operations of other, already—coordinated systems. See Flexibilityfor Delivery of
 Communications by MSS Providers, Memorandum Opinion and Order and Second Order and
Reconsideration, IB Docket Nos. 01—185, FCC 05—30 (February 25, 2005) ("ATC
Reconsideration Order‘"), "\ 44—45. For uncoordinated systems such as the Inmarsat—4 satellites,
the Commission left it to the operators to negotiate a combined interference limit and, in the
 absence of an agreement, indicated that it would permit a similar one percent additional rise in
the noise floor, above whatever level the parties coordinate for satellite operations. Id.
‘‘ Inmarsat has claimed in another proceeding that the Inmarsat 4F2 satellite has not been
designed to accommodate the level of adjacent band interference that can exist from operation of
current L band systems based on the system parameters contemplated when Inmarsat—3 was
coordinated. See Inmarsat Ventures Ltd, Petition for Partial Reconsideration and Clarification,
IB Docket No. 01—185 (May 13, 2005) ("Inmarsat Petition"), at 9.


                                 PUBLIC COPY (REDACTED)


Opposition at 22. Not only does this statement directly contradict what Inmarsat told the

Commission previously in the ATC proceeding, it should also fail to instill confidence in the

Bureau that Inmarsat will not be back to the Commission in the near future complaining that

MSV‘s operations are causing interference to its customers.

       Interference resulting from Inmarsat‘s proposal to operate throughout the entire MSS L

band. The third, and perhaps most troubling, type of interference results from Inmarsat‘s claim

to be entitled to use any and all L band frequencies, subject only to an empty commitment to do

so on a "non—harmful interference basis." MSY Petition at 12—13. Inmarsat and Telenor once

again fail to even try to explain how this will be accomplished despite the existing interference in

the band, the new technical characteristics of the proposed operations, and the contention among

the operators regarding their need for additional spectrum. There is nothing in the Telenor

application that contains any of the limits that would typically be negotiated in a coordination
                                                                                               a
process to prevent interference. Inmarsat states in passing that it has never claimed that it will

increase the amount of L band spectrum it uses once the Bureau authorizes Inmarsat 4F2,

Inmarsat Opposition at 20, but such a statement is neither a denial that it will do so nor a

commitment not to do so, and it certainly is not sufficiently detailed to provide any basis for

concluding that it is meaningful in terms of preventing harmful interference. Again, in light of

Inmarsat‘s past conduct and its refusal to be limited to the spectrum it coordinated in the 1999

SSA, its newstatement is at best confusing and at worst disingenuous.

       B.      Inmarsat and its Distributor Have Not Shown Any Precedent to
               Support Their Position

       Despite Inmarsat‘s claim to the contrary, Commission precedent does not establish an

unequivocal right to operate an uncoordinated satellite in the United States on a non—harmful




                                                 10


                                 PUBLIC COPY (REDACTED)


interference basis."" As the Bureau demonstrated in the PanAmSat Order, it will not license an

uncoordinated satellite if there is evidence that interference will result.‘" In that case, the Bureau

refused to permit the satellite to operate until after a coordination agreement had been reached

with affected operators. The same facts are presented here by the proposed operation of the

Inmarsat 4F2 satellite to provide BGAN services. In their replies, Inmarsat and Telenor fail to

even mention this case, let alone distinguish it.

       The facts of the TMI Order and the COMSAT Order, which Inmarsat cites, are far

different than those presented here. See Inmarsat Opposition at 19—21, 22—24. In those cases, it

was reasonable for the Commission to conclude that operation on a non—harmful interference

basis was possible because the satellites at issue had been coordinated,"" the operators had

committed to using specific frequencies,"‘ and the terms of their earth station licenses limited

them to those frequencies."" By contrast, in this case, Inmarsat is proposing to operate a satellite

and services that are not covered by any coordination agreement, are technically different than




% Immarsat Opposition at 13—17.
* See Letter from Thomas S. Tycz, FCC, to Joseph A. Godles, Counsel for PanAmSat, File No.
SAT—STA—19980902—00057 (September 15, 1998) (refusing to permit PanAmSat to operate C
band payload until after coordinating with affected Administrations) ("Pand4mSat Order").
*° While the 1999 SSA may have expired at the time the Commission permitted Inmarsat to
provide service in the United States in the COMSAT Order, the Mexico City MoU was in effect
at the time and is still in effect today. Thus, unlike in this case, the Commission in the COMS4T
Order was asked to allow a satellite already subject to the Mexico City MoU to provide service in
the United States. Here, there is no coordination agreement that covers Inmarsat 4F2.
21                REDACTED




* COMSAT Order § 115(c) ("[0|perations shall be limited to the portions of the 1525—1559 and
1626.5—1660.5 MHz band coordinated for the Inmarsat satellite system in the most recent annual
L—Band operator—to—operator agreement"); TMI Order «[ 64.


                                                    11


                                  PUBLIC COPY (REDACTED)


any satellite or services covered by the previous coordination agreement, has never been

analyzed by other L band operators, and (according to Inmarsat) will not accept any limitations

on the frequencies it will use. Thus, the proposed operation of Inmarsat 4F2 presents a far

different question than that presented in the TMI and COMSAT cases. For this reason, despite

Inmarsat‘s claims to the contrary, it is very relevant that Inmarsat 4F2 is not a replacement

satellite under the Mexico City MoU because it distinguishes this case from the TMI Order and

the COMSAT Order. Inmarsat Opposition at 25. As discussed in MSV‘s Petition, Inmarsat 4F2

is not a replacement under the Mexico City MoU because (i) it is not replacing another satellite;

(i1) it will cause greater interference to other L band operators; and (iii) it will require greater

protection from other L band operators. MSFY Petition 8—9. Because Inmarsat 4F2 is not a

replacement satellite under the Mexico City MoU, it has no rights under that agreement.

Inmarsat‘s vaguely worded claim that the Inmarsat 4F2 will operate within the "umbrella of

technical parameters" of Inmarsat—3 is unsupported and, regardless, is irrelevant in light of the

fact that Inmarsat is adding the new satellite to its existing constellation, not using it to replace

the Inmarsat—3 at 54°W. Inmarsat Opposition at 24. As MSV noted in its Petition, Inmarsat has

stated that it will continue to use the Inmarsat—3 satellite currently located at 54°W well after

Inmarsat 4F2 is in operation, until as late as 2014, which disqualifies that satellite from being

treated as a "replacement" under the Mexico City MoU. MSY Petition at 17—18. In its

Opposition, Inmarsat does not refute or retract this statemenit.

        The Bureau‘s decisions to license MSV‘s next—generation satellites conditioned on

operation on a non—harmful interference basis do not serve as precedent for grant of the present

earth station application to operate with the launched but uncoordinated Inmarsat 4F2 satellite.

Inmarsat Opposition at 7—8, 22—24; Telenor Opposition at 4—5. As MSV explained in its




                                                   12


                                 PUBLIC COPY (REDACTED)


Petition,"" an explanation which neither Inmarsat nor Telenor addresses in their Oppositions,

these satellite licensing cases are inapposite here because the satellites are years away from

launch"" and there was no claim that the satellites would cause interference."" An earth station

application such as that presented here, however, is fundamentally different because it means

that operation of the satellite is imminent. The Bureau cannot avoid the interference concerns

presented by the imminent operation of an uncoordinated satellite such as Inmarsat 4F2.

Moreover, because the Bureau has not yet had to consider an earth station application to operate

with MSV‘s next—generation satellites, the Bureau will not be violating the national treatment

obligations of the United States under the WTO Basic Telecom Agreement if it were to hold the

BGAN earth station application in abeyance pending the outcome of a coordination agreement

covering Inmarsat 4F2. See Inmarsat Opposition at 24,"°




* MSY Petition at 14 n.26.
* The Bureau licenses domestic satellites several years prior to launch so that operators have the
certainty needed to develop their systems as well as to establish construction and launch
milestones and complete any necessary international frequency coordination.
* While Inmarsat now claims that operation of MSV‘s next—generation satellites may present an
interference concern that the Bureau did not consider (Inmarsat Opposition at 7—8, 22—24),
Inmarsat never raised these issues previously. Inmarsat nonetheless weakly claims that the
Commission was "well aware" of these interference concerns (Inmarsat Opposition at 24), but
the fact is that no one objected to these applications on grounds of potential interference. Thus,
there were no interference concerns for the Bureau to consider.
*° in general, the Bureau‘s exercise of its spectrum management authority to deny this
application is consistent with the Chairman‘s Note to the World Trade Organization ("WTO")
Basic Telecommunications Agreement, which states that WTO Members may exercise their
domestic spectrum and frequency management policies when considering whether to allow
foreign—licensed satellites to service the U.S. market. See MSY Petition at 7 (citing Chairman of
the World Trade Organization Group on Basic Telecommunications, Chairman‘s Note, Market
Access Limitations on Spectrum Availability, 36 LL.M. at 372 ("under the GATS each Member
has the right to exercise spectrum/frequency management")).


                                                 13


                                  PUBLIC COPY (REDACTED)


         C.     Inmarsat Must Bear Responsibility for Failing to Coordinate Its
                Satellite in a Timely Manner

         Having failed in its legal case to establish that it has a right to operate an uncoordinated

satellite, Inmarsat reverts to blaming MSV for its coordination difficulties. Inmarsat Opposition

at 8—9. This is wrong as to both the problems with the existing coordination and Inmarsat‘s

failure to coordinate its new satellite. As to the breakdown in L band coordination in 1999, the

primary culprit was Inmarsat, which refused to abide by the terms of the Mexico City MoU

     REDACTED                                                 ; in this case, spectrum needed by MSV

to satisfy the requirements of large wholesale customers that, with sufficient spectrum access,

were prepared to invest in the development of new facilities and services."‘ To make matters

worse, Inmarsat persisted in continuing to use substantial amounts of spectrum for inefficient

global beam service and to operate an uncoordinated Inmarsat—2 satellite that had been moved to

98°wW,                     REDACTED                                                              28
      REDACTED

         If launch of BGAN service in the United States is delayed due to the interference

concerns presented here by MSV, this is the fault of Inmarsat and not MSV.*° Inmarsat has had




27              REDACTED


* Apart from the Mexico City MoU, as the satellite licensing authority for Inmarsat, the
administration of the United Kingdom is required to coordinate the new Inmarsat 4F2 satellite
network and BGAN services prior to their implementation. See ITU Radio Regulations, No. 9.6
et seq. Neither Inmarsat nor Telenor explains why this treaty obligation should be waived for
Inmarsat 4F2 and BGAN services. Instead, the record demonstrates that this coordination
obligation is essential, especially in this case where Inmarsat is asking to be allowed to
unilaterally decide spectrum usage and interference issues that normally are subject to
negotiation.
* Despite the claims of Inmarsat and Telenor, MSV is not raising these interference issues in
order to gain leverage in coordination or to prevent Inmarsat from offering its new BGAN


                                                    14


                                 PUBLIC COPY (REDACTED)


ample opportunity over the past several years while the Inmarsat—4 satellites were being

constructed to complete coordination with other L band operators. Indeed, MSV has been more

than willing to discuss coordination with Inmarsat and has reached out to Inmarsat on numerous

occasions to discuss coordination issues on a bilateral or a trilateral basis. The blame for the

failure to make any progress towards coordinating the Inmarsat—4 satellites in North America

rests solely with Inmarsat, which continues to make unreasonable demands, such as its refusal to

stop its illegal use of loaned spectrum."" It is Inmarsat— not MSV or the Bureau —— that holds the

key to coordinating Inmarsat—4 satellites and thus permitting their use in the United States.

        Inmarsat‘s motivation is plain. While Inmarsat has claimed that its BGAN service will

provide new and innovative broadband satellite services, the usefulness of this new service to the

American public, as well as the ability of the Inmarsat 4F2 satellite to make efficient use of L

band spectrum, are both very limited. Despite costing over $1.5 billion, the three Inmarsat—4

satellites lack the power to provide service to s'rlnall, handhbheld terminals.*‘ Moreover, as the

Telenor application reveals, the Inmarsat 4F2 satellite puts only 12 spot beams over the United

States and coastal waters, at a look angle that is likely to significantly reduce their ability to




service. Inmarsat Opposition at 2, Telenor Opposition at 2. MSV‘s only interest is to ensure
that L band spectrum can be used in an efficient and equitable manner by all L band operators
without having to endure mutual interference.
5° While Inmarsat claims that MSV has not responded to Inmarsat‘s recent efforts to coordinate
(Inmarsat Opposition at 9), MSV has tried to initiate coordination discussions with Inmarsat on
numerous occasions. Inmarsat‘s continued illegal use of loaned frequencies has prevented these
discussions from progressing.
 *‘ Indeed, in its recent failed attempt to obtain an authorization to provide MSS in the United
 States in the 2 GHz band, Inmarsat proposed a satellite with roughly five times the power of the
 Inmarsat 4F2 satellite. See Inmarsat Global Limited, Application, File No. SAT—PPL—20050926—
 00184 (September 26, 2005).


                                                   15


                                 PUBLIC COPY (REDACTED)


deliver maximum power to these areas."" As a result of these problems, one expert estimates that

by 2010 Inmarsat will have barely 4000 land—transportable broadband terminals of any kind

operating in all of North America."" In contrast, the satellites MSV and MSV Canada launch

will have several times more power than Inmarsat‘s satellite and put roughly 280 spot beams

over the United States and coastal waters, at a look angle that will permit delivery of maximum

power."* As a result, MSV will be able to efficiently provide 20—30 times more service to United

States customers, who will be able to use small, handheld terminals, similar in size to terrestrial

mobile devices. By depriving its competitor, MSV, of stable access to spectrum and refusing to

engage in serious discussions about improving the utility of the L band for broadband services by

coordinating wider and more contiguous frequency blocks, Inmarsat apparently hopes to choke

investment in MSV‘s new system. The Commission has identified the promotion of "efficient

and effective" use of spectrum as one of its strategic objectives,"" and it has recognized the

assignment of contiguous frequency blocks as a means of achieving this efficiency."" Needless

to say, if the Bureau authorizes the use of Inmarsat‘s new satellite and new services without

insisting that they first complete coordination, there are no reasonable prospects that such

coordination will ever be successfully completed. The Commission‘s goals of increasing




* See Telenor Title III Application, Attachment A (Technical Description) at 6 (Figure A.3—1).
* See Northern Sky Research, Next Generation Mobile Satellite Services, Table 3—15.
* See Letter from Randy Segal, MSV, to Ms. Marlene H. Dortch, FCC, File No. SAT—PPL—
20050926—00184, IB Docket No. 05—220, IB Docket No. 05—221 (December 1, 2005).
* See FCC, Strategic Plan: 2006—2011 (September 30, 2005).
38 See generally Improving Public Safety Communications in the 800 MHz Band, Report and
Order, 19 FCC Red 14969 (August 6, 2004); Amendment ofPart 2 of the Commission‘s Rules to
Allocate Spectrum Below 3 GHz for Mobile and Fixed Services to Support the Introduction of
New Advanced Wireless Services, including Third Generation Wireless Systems, Third Report
and Order, Third Notice ofProposed Rule Making, and Second Memorandum Opinion and
Order, 18 FCC Red 2223, [ 68 (2003).


                                                 16


                                PUBLIC COPY (REDACTED)


efficient use of spectrum and promoting broadband services, particularly in rural areas and for

the public safety community, will be thwarted. Having said that, however, it is also reasonable

to expect that if the parties commit to a good faith effort to complete a comprehensive regional

coordination agreement, MSV‘s view is that it can be completed in a matter of a few months.

II.    THE BUREAU SHOULD ADDRESS THE OTHER ISSUES PRESENTED
       BY THE TELENOR APPLICATIONS

       Inmarsat and Telenor are non—responsive on the additional issues raised by MSV that

warrant further scrutiny. First, they continue to miss the point and argue that Inmarsat 4F2 is a

replacement under the Commission‘s satellite processing rules, while failing to even address

MSV‘s point that Inmarsat 4F2 cannot properly be considered a replacement satellite under the

Mexico City MoU."‘ Accordingly, the Bureau should make clear that whatever decision it may

make regarding whether Inmarsat 4F2 is a replacement satellite under the Commission‘s rules, it

should clarify that such a decision does not mean the satellite is a replacement under the Mexico
                                                1




City MoU.

       Second, while MSV agrees with Inmarsat and Telenor that the Commission‘s rule

requiring Fixed Satellite Service ("FSS") satellites to operate with +0.05° East—West station

keeping does not apply to MSS satellites, MSV‘s concern here is only that the Bureau apply this

rule consistently, which Inmarsat and Telenor ignore. Thus, to the extent the Bureau authorizes

Inmarsat 4F2 for service in the United States with +0.1° East—West station keeping without

seeking a waiver, the Bureau must afford similar treatment to other MSS satellites proposing to

serve the U.S. market, such as MSV—1 and MSV—SA.



*‘ Under the Mexico City MoU, a new satellite is given the right to use the spectrum assigned to
the satellite it is replacing       REDACTED
                                                         As discussed above, Telenor and Inmarsat
has failed to demonstrate that Inmarsat 4F2 meets this criterion.


                                                    17


                                PUBLIC COPY (REDACTED)

       Third, MSS operators in the past have been required to file with the Commission the

Implementation Plans negotiated with the Executive Branch. If Telenor is not required to do so,

the Bureau must make clear that other MSS operators are not required to do so either.

       Finally, Telenor and Inmarsat note that E911 requirements do not currently apply to MSS

operators. See Telenor Opposition at 9; Inmarsat Response at 27. The Bureau should make clear

that Inmarsat‘s unilateral choice to locate gateway earth stations overseas does not excuse it from

having to comply with any E911 requirements the Commission may adopt in the future.

                                           Conclusion

       Based on the foregoing, the Bureau should hold in abeyance the Telenor applications

until the conclusion of an L band coordination agreement.

                                     Respectfully submitted,




 EP AfgZ—
 Bruce D. Jacobs
                                                       Inbt 4/u,
                                                      Xénnifer A. Manner
 David S. Konczal                                     Vice President, Regulatory Affairs
 PILLSBURY WINTHROP                                   MOBILE SATELLITE VENTURES
        SHAW PITTMAN LLP                                     SUBSIDIARY LLC
 2300 N Street, NW                                    10802 Parkridge Boulevard
 Washington, DC 20037—1128                            Reston, Virginia 20191
 (202) 663—8000                                       (703) 390—2700

Dated: December 19, 2005




                                                 18


                                 PUBLIC COPY (REDACTED)


                                           Exhibit A

                 Spectrum Limitation Conditions and Non—Interference Conditions
                               Imposed on L Band MET Licenses

MET Licenses to Access Inmarsat

       COMSAT Corporation et. al., Memorandum Opinion, Order and Authorization, FCC 01—
272, 115(c)—(d) (2001) (granting application of Stratos, Telenor ({/k/a COMSAT Mobile),
Honeywell, and Deere to operate with Inmarsat):

       115. IT IS FURTHER ORDERED that the applications listed in Appendix C to operate
       mobile earth terminals to provide domestic and international Mobile Satellite Service via
       the privatized Inmarsat system ARE GRANTED subject to the following conditions:
       ¥eock %




       c. Operations shall be limited to the portions of the 1525—1559 and 1626.5—1660.5 MHz
       band coordinated for the Inmarsat satellite system in the most recent annual L—Band
       operator—to—operator agreement;

       d. In the absence of a continuing annual L—band operator—to—operator coordination
       agreement, operations of MET‘s in the 1,525—1559 and 1626.5—1660.5 MHz bands will be
       on a non—interference basis until a future operator—to—operator agreement is concluded. In
       this instance, each licensee must notify the other four operators in these frequency bands
       that it will be operating on a non—interference basis. Each licensee must notify its
       customers that its operations are on a non—interference basis."

       Richtec Incorporated, Order and Authorization, 18 FCC Red 3295 (Chief, Satellite
Division, International Bureau, March 7, 2003) (granting application to operate D+ terminals
with Inmarsat):

       "17. IT IS FURTHER ORDERED that Richtec‘s mobile earth station operations shall be
       limited to the portions of the 1 525—1544 and 1626.5—1645.5 MHz band coordinated for
       the satellite being accessed in the most recent annual L—band operator—to—operator
       agreement. In the absence of a continuing annual L—band operator—to—operator
       coordination agreement, Richtec‘s operation in the 1525—1 530 MHz, 1530—1544 MHz,
       1626.5—1645.5 MHz frequency bands (lower L—bands) will be on a non—interference basis
       until a future operator—to—operator agreement is concluded. Richtec shall not cause
       harmful interference to any other lawfully operating satellite or radio facility and shall
       cease operations upon notification of such interference. Furthermore, Richtec must
       notify all other operators in these frequency bands that it will be operating on a non—
       interference basis. Richtec must also notify its customers in the United States that its
       operations are on a non—interference basis."


                                PUBLIC COPY (REDACTED)

MET Licenses to Access MSV and MSV Canada L Band Satellites

e       Vistar Data Communications, Inc., Order and Authorization, 17 FCC Red 12899 (Deputy
Chief, Satellite Division, International Bureau, July 2, 2002) (granting authority to operate half—
duplex METs with MSV):

       "17. IT IS FURTHER ORDERED that Vistar Data Communications, Inc.‘s MET
       operations shall be limited to the portions of the 1525—1559 and 1626.5—1660.5 MHz
       band coordinated for the satellite being accessed in the most recent annual L—band
       operator—to—operator agreement.

       18. IT IS FURTHER ORDERED that in the absence of a continuing annual operator—to—
       operator coordination agreement, Vistar Data Communications, Inc.‘s operation in the
       1525—1559 and 1626.5—1660.5 MHz band will be on a non—harmful interference basis.
       Consequently, in the absence of a coordination agreement, Vistar Data Communications,
       Inc. shall not cause harmful interference to any other lawfully operating satellite or radio
       facility and shall cease operations upon written notification of such interference.
       Furthermore, Vistar Data Communications, Inc. must notify all other operators in these
       frequency bands that it will be operating on a non—harmful interference basis. Vistar Data
       Communications, Inc. must also notify its customers in the United States that its
       operations are on a non—harmful interference basis."

o      Mobile Satellite Ventures Subsidiary LLC, Memorandum Opinion, Order and
Authorization, 19 FCC Red 4672 (Chief, International Bureau, March 12, 2004) (granting
authority to operate additional half—duplex METs with MSV and MSV Canada satellites):

       "7. IT IS FURTHER ORDERED that Mobile Satellite Ventures Subsidiary LLC‘s MET
       operations shall be limited to 2.0 MHz of spectrum in each direction of the 1626.5—
       1645.5 MHz and 1530—1 544 MHz band coordinated for the satellite being accessed in the
       most recent annual L—band operator—to—operator agreement, and that no additional
       spectrum will be requested or used.

       8. IT IS FURTHER ORDERED that, in the absence of a continuing annual operator—to—
       operator coordination agreement, Mobile Satellite Ventures Subsidiary LLC‘s operation
       in the 1626.5—1645.5 MHz and 1530—1544 MHz band will be on a non—harmful
       interference basis. Consequently, in the absence of a coordination agreement, Mobile
       Satellite Ventures Subsidiary LLC shall not cause harmful interference to any other
       lawfully operating satellite or radio facility and shall cease operations upon written
       notification of such interference. Furthermore, Mobile Satellite Ventures Subsidiary LLC
       must notify all other operators in these frequency bands that it will be operating on a non—
       bharmful interference basis. MSV, Inc. must also notify its customers in the United States
       that its operations are on a non—harmful interference basis."


                                PUBLIC COPY (REDACTED)


o      Mobile Satellite Ventures Subsidiary LLC, Memorandum Opinion and Order, 17 FCC
Red 12894 (Deputy Chief, Satellite Division, International Bureau, July 2, 2002) (granting
authority to operate additional half—duplex METs with MSV):

       "9. IT IS FURTHER ORDERED that Mobile Satellite Ventures Subsidiary LLC‘s MET
       operations shall be limited to the portions of the 1525—1 559 and 1626.5—1660.5 MHz
       band coordinated for the satellite being accessed in the most recent annual L—band
       operator—to—operator agreement.

       10. IT IS FURTHER ORDERED that, in the absence of a continuing annual operator—to—
       operator coordination agreement, Mobile Satellite Ventures Subsidiary LLC‘s operation
       in the 1525—1559 and 1626.5—1660.5 MHz band will be on a non—harmful interference
       basis. Consequently, in the absence of a coordination agreement, Mobile Satellite
       Ventures Subsidiary LLC shall not cause harmful interference to any other lawfully
       operating satellite or radio facility and shall cease operations upon written notification of
       such interference. Furthermore, Mobile Satellite Ventures Subsidiary LLC must notify
       all other operators in these frequency bands that it will be operating on a non—harmful
       interference basis. MSV, Inc. must also notify its customers in the United States that its
       operations are on a non—harmful interference basis."

o      National Systems & Research Co., Order and Authorization, 17 FCC Red 12011 (Deputy
Chief, Satellite Division, International Bureau, June 28, 2002) (granting authority to operate
METs with MSV):

       "11. IT IS FURTHER ORDERED that National Systems & Research Co.‘s MET
       operations shall be limited to the portions of the 1525—1559 and 1626.5—1660.5 MHz
       band coordination for the satellite being accessed in the most recent annual L—band
       operator—to—Ooperator agreement.

       12. IT IS FURTHER ORDERED that in the absence of a continuing annual operator—to—
       operator coordination agreement, National Systems & Research Co.‘s operation in the
       1525—1 530 MHz, 1530—1 544 MHz, 1626.5—1645.5 MHz frequency bands (lower L—band)
       and the 1545—1 559 MHz and 1646.5—1660.5 MHz (upper L—band) frequency bands will
       be on a non—interference basis until a future operator—to—operator agreement is concluded.
       National Systems & Research Co. shall not cause harmful interference to any other
       lawfully operating satellite or radio facility and shall cease operations upon written
       notification of such interference. Furthermore, National Systems & Research Co. must
       notify all other operators in these frequency bands that it will be operating on a non—
       interference basis. National Systems & Research Co. must also notify its customers in
       the United States that its operations are on a non—harmful interference basis."

o      Infosat Communications, Inc., Order and Authorization, 17 FCC Red 1610 (January 25,
2002) (granting authority to operate METs with MSV Canada satellite):

       14. IT IS FURTHER ORDERED that Infosat Communications, Inc. IS AUTHORIZED
       to operate in the 1525—1530 MHz, 1530—1544 MHz, and 1626.5—1645.5 MHz frequency
       bands (lower L—band) subject to the following conditions:


                               PUBLIC COPY (REDACTED)




      b. Operations shall be limited to the portions of the lower L—band coordinated for TMI
      satellite network in the most recent annual L—band operator—to—operator agreement;

       15. IT IS FURTHER ORDERED that in the absence of a continuing annual L—band
       operator—to—operator coordination agreement, Infosat‘s operations of MET‘s in the 1530—
       1559 and 1631.5—1660 MHz band will be on a non—harmful interference basis until a
       future operator—to—operator agreement is concluded. Infosat Communications, Inc. shall
       not cause harmful interference to any other lawfully operating satellite or radio facility
       and shall cease operations upon notification of such interference. Furthermore, Infosat
       Communications, Inc. must notify all other operators in these frequency bands that it will
       be operating on a non—harmful interference basis. Infosat Communications, Inc. must
       also notify its customers in the United States that its operations are on a non—harmful
       interference basis."

        TMI Communications and Company, L.P., Order and Authorization, 15 FCC Red 18117
(Chief, Satellite and Radiocommunication Division, September 25, 2000) (granting authority to
operate METs with TM1I):

       "8.     Accordingly, IT IS ORDERED that Application File No.SES—LIC—19990318—
       00435 IS GRANTED and TMI Communications and Company, L.P. IS AUTHORIZED
       to operate up to 100,000 full—duplex tracking and asset management data services mobile
       earth terminals through the Canadian licensed MSAT—1 space station in portions of the
       1545—1558.5 and 1646.5—1660 MHz band coordinated for the TMI satellite network in the
       most recent annual L—band operator—to—operator coordination agreement, in accordance
       with the technical specifications set forth in its application and its Radio Station
       Authorization, and consistent with the Commission‘s rules.

       9.     IT IS FURTHER ORDERED that in the absence of an annual operator—to—
       operator coordination agreement, TMI‘s operation in the 1545—1558.5 and 1646.5—1660
       MHz band will be on a non—interference basis. Consequently, in the absence of a
       coordination agreement, TMI shall not cause harmful interference to any other lawfully
       operating satellite or radio facility and shall immediately cease operations upon
       notification of such interference. Furthermore, TMI must notify the other four space
       station operators in these frequency bands that it will be operating on a non—interference
       basis. TMI must also notify its customers in the United States that TMI‘s operations are
       on a non—interference basis."

       SatCom Systems, Inc., Order and Authorization, 14 FCC Red 20798 (November 30,
1999) (granting authority to operate MET‘s with MSV Canada satellite):

       "63. Accordingly, IT IS ORDERED that Application File Number 647—DSE—P/L—98;
       IBFS File Number SES—LIC—19980310—00272E9808 159 IS GRANTED and SatCom
       Systems, Inc. IS AUTHORIZED to operate up to 25,000 mobile earth terminals through
       the Canadian licensed MSAT—1 space station in the portions of the 1545—1558.5 and
       1646.5—1660 MHz band coordinated for the TMI satellite network in the most recent


                         PUBLIC COPY (REDACTED)


annual L—band operator—to—operator coordination agreement, to the extent indicated
herein, in accordance with the technical specifications set forth in its application and its
Radio Station Authorization, and consistent with the Commission‘s rules. In the absence
of a continuing annual L—band operator—to—operator coordination agreement, SatCom‘s
operation in the 1545—1558.5 and 1546.5—1660 MHz bands will be on a non—interference
basis until a future operator—to—operator agreement is concluded. In this instance, SatCom
must notify the other four operators in these frequency bands that it will be operating on a
non—interference basis. SatCom must also notify its customers that SatCom‘s operations
are on a non—interference basis.

64. IT IS FURTHER ORDERED that Application File Number 730—DSE—P/L—98; IBFS
File No. SES—LIC—19980330—00339E980179 IS GRANTED and TMI Communications
and Company, L.P. IS AUTHORIZED to operate up to 100,000 mobile earth terminals
through the Canadian licensed MSAT—1 space station in the portions of the 1545—1558.5
and 1646.5—1660 MHz band coordinated for the TMI satellite network in the most recent
annual L—band operator—to—operator coordination agreement, to the extent indicated
herein, in accordance with the technical specifications set forth in its application and its
Radio Station Authorization, and consistent with the Commission‘s rules. In the absence
of a continuing annual operator—to—operator coordination agreement, TMI‘s operation in
the 1545—1558.5 and 1646.5—1660 MHz band will be on a non—interference basis until a
future operator—to—operator agreement is concluded. In this instance, TMI must notify the
other four operators in the these frequency bands that it will be operating on a non—
interference basis. TMI must also notify its customers in the United States that TMI‘s
operations are on a non—interference basi‘s."
                                          1


                               PUBLIC COPY (REDACTED)


                                           Exhibit B

Commission Statements Acknowledging Applicability of Spectrum Limitation Condition

      Flexibility for Delivery of Communications by MSS Providers, Report and Order, IB
Docket No. 01—185, 18 FCC Red 1962 (February 10, 2003) ("ATC Order").

       "The parties to the MoU last revised spectrum assignments in 1999 and, pending further
       negotiations, continue to operate under those assignments today." («] 92)

       "Although annual meetings were to have taken place under the terms of the Mexico City
       MoU, these meetings have not occurred since the parties last agreed to a complex
       spectrum—sharing arrangement in London in 1999; therefore, the parties continue to
       operate under the 1999 assignments pending further negotiations." (n. 144)

       Mobile Satellite Ventures Subsidiary LLC, Order and Authorization, DA 04—3553 (Int‘l
Bur. 2004):

       ‘"The parties to the MOU last revised the spectrum assignments in 1999 and, pending
       further negotiations, continue to operate with those assignments today." (n.8)

       Flexibilityfor Delivery of Communications by MSS Providers, Memorandum Opinion
and Order and Second Order and ATC Reconsideration Order, IB Docket Nos. 01—185, FCC 05—
30 (February 25, 2005) ("ATC Reconsideration Order"):

       ‘"These negotiations have not occurred since 1999, and the 1999 coordination agreement
       remains in effect." (%) 38)

       "The current coordination agreement under which Inmarsat and MSV share L—band
       spectrum was finalized in 1999. Ideally, the L—band MSS operators should renegotiate
       their coordination agreement every year. Indeed, changes to the existing coordination
       agreement could help avoid some of the potential interference issues that could arise from
       deployment of MSS/ATC. At the same time, however, we acknowledge that it could take
       a great deal of time and effort to conduct further coordination negotiations. For this
       reason, in the case of any L—band frequency that is currently the subject of a coordination
       agreement and is shared between an MSS operator and an MSS/ATC operator, we will
       permit an MSS/ATC to cause a small increase in interference to another MSS operator‘s
       system above the coordinated interference level when the coordinated interference level
       is already greater than 6% ?T/T. This measure accounts for the reality that MSS is
       currently operating in the L—band, and that it may be necessary and appropriate to allow a
       slightly higher level of interference than currently coordinated levels allow in order to
       permit ATC to begin operations. When L—band MSS operators enter into a new
       coordination agreement, this additional interference allowance will no longer apply, and
       MSS/ATC operators will be required to operate its ATC within the limits coordinated by
       the parties." («] 44) (emphasis added)


                                 Technical Certification

       I, Dr. Peter D. Karabinis, Senior Vice President and Chief Technical Officer of
Mobile Satellite Ventures Subsidiary LLC, certify under penalty of perjury that:

        I am the technically qualified person with overall responsibility for the technical
information contained in the foregoing. 1 am familiar yith the Commission‘s rules, and
the information contained in the foregoing is true     conrgct to the best of my
knowledge and belief.




                                                      Dated: December 19, 2005


                          CERTIFICATE OF SERVICE

       1, Cherie Mills, hereby certify that on this 23rd day of December
2005, served a true copy of the foregoing by first—class United States
mail, postage prepaid, upon the following:


Roderick Porter*                       Cassandra Thomas*
International Bureau                   International Bureau
Federal Communications Commission      Federal Communications Commission
445 12‘" Street, S.W.                  445 12‘" Street, S.W.
Washington, DC 20554                   Washington, DC 20554


Robert Nelson*                         Scott Kotlier*
International Bureau                   International Bureau
Federal Communications Commission      Federal Communications Commission
445 12‘" Street, S.W.                  445 12" Street, S.W.
Washington, DC 20554                   Washington, DC 20554


James Burtle*                          Stephen Duall*
Office of Engineering and Technology   International Bureau
Federal Communications Commission      Federal Communications Commission
445 12"" Street, S.W.                  445 12‘" Street, S.W.
Washington, DC 20554                   Washington, DC 20554


Joslyn Read                            Christopher Wheatley
Hughes Network Systems Inc.            Aeronautical Radio, Inc.
11717 Exploration Lane                 2551 Riva Road
Germantown, MD 20876                   Annapolis, MD 21401


Steven Doiron                          John P. Janka
Hughes Network Systems Inc.            Jeffrey A. Marks
11717 Exploration Lane                 Latham & Watkins LLP
Germantown, MD 20876                   555 Eleventh Street, N.W.
                                       Suite 1000
                                       Washington, DC 20004


                                       Counsel for Inmarsat


   ravrci PM ifb &A
Cherie Mills


*By hand delivery



Document Created: 2006-01-06 09:22:55
Document Modified: 2006-01-06 09:22:55

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