Attachment 20170110145216-173.p

20170110145216-173.p

SUPPLEMENT

Supplement

1998-07-14

This document pretains to ITC-214-19980714-00666 for International Global Resale Authority on a International Telecommunications filing.

IBFS_ITC2141998071400666_1392620

Streamlined ITC—214—19980714—00666 HIGHPOINT CAPITAL (USA) INC. Categories of Services for 214 Applications (Streamline/Non—streamline) e al4— 1 49§g0714.—00 t4¢, vsmccommn ncoemmnntomncmaree Winzseameetenermnamem= ASSIGNMENT OF LICENSE EIEII:ID(DEI GLOBAL FACILITIES—BASED SERVICE GLOBAL FACILITIES—BASED/GLOBAL RESALE SERVICE GLOBAL RESALE SERVICE INDIVIDUAL FACILITIES—BASED SERVICE TNTERCONNECTED PRIVATE LINE RESALE SERVICE LIMITED GLOBAL FACILITIES—BASED SERVICE/LIMITED GLOBAL RESALE SERVICE LIMITED GLOBAL FACILITIES-BASED SERVICE A LIMITED GLOBAL RESALE SERVICE —A.—0—H. aA INMARSAT AND MOBILE SATELLITE SERVICE SWITCHED RESALE SERVICE TRANSFER OF CONTROL SUBMARINE CABLE LANDING LICENSE & :A TINTERNATIONAL SPECIAL PROJECT Description of Application: aA

SWIDLER m‘daapao BERLIN C RARTERED July 14, 1998 \D‘\Q’%% p y \{3:3;@}\ BY COURIER Ch Federal Communications Commission sé' International Bureau Telecommunications Division P.O. Box 358115 Pittsburgh, PA 15251—5115 Attention: Diane Cornell, Division Chief Re: Application of Highpoint Capital (USA) Inc., for Global Authority Pursuant to Section 214 of the Communications Act of 1934, As Amended, to Operate as an International Facilities—based Carrier and as an International Resale Carrier Dear Sir or Madam: Enclosed for filing with the Commission are an original and six (6) copies of the application of Highpoint Capital (USA) Inc. requesting global authority, pursuant to Section 214 of the Communications Act of 1934, as amended, to operate as an international facilities—based carrier and as an international resale carrier between the United States and various international points. As required by the Commission‘s Rules, a check in the amount of $745.00 is enclosed. Please date—stamp the extra copy of this application and return it in the enclosed self—addressed, stamped envelope. Any questions regarding the enclosed application should be addressed to the undersigned. Maria L. Cattafesta Counsel for Highpoint Capital (USA) Inc. Enclosures gC; Betty Kayton 3000 K STREET, N.W. ® SuUITE 300 244561.1 WasHINGTON, D.C. 20007—5116 (202)424—7500 m www.swIDLAW.COM ® FACSsIMILE (202)424—7645

efore the FEDERAL CON NICATIONS COMMISSION Wa ton, D.C. 20554 N/ N N NY NY N NY NY NNN N/ In the Matter of HIGHPOINT CAPITAL (USA) INC File No. ITC—98—_______ 71TC—2114—19 q 9g0 71| — OO Coléle Application for Global Authority Purs ) Section 214 of the Communications A of 1934, as amended, to Operate as an International Facilities—Based and Res: frier Between the United States and Various International Points LICATION Highpoint Capital (USA) Inc. ( point" or "Applicant"), by its undersigned counsel, hereby requests "global" authority, un »ction 214 of the Communications Act of 1934, as amended, 47 U.S.C. § 214, and Sectil 18 of the Commission‘s Rules, 47 C.F.R. § 63.18 (1997), to provide international telec nications services between the United States and international points. 1. The Proposed International Services Highpoint requests four types of authority in this Application, all of which are eligible for streamlined processing."‘ Highpoint specifically requests: (1) global facilities—based authority V See Streamlining the International 214 Authorization Process and TariffRequirements, 11 FCC Red 12884 (1996) (adopting streamlined 35—day processing procedures for certain international resale applications) ("Streamlining Order"); 47 C.F.R. § 63.12 (1998).

pursuant to Section 63.*** ~‘** of the FCC‘s Rules, 47 C.F. ‘)(1), to acquire interests in half—circuits in U.S. zed facilities as well as neces ting facilities to provide international telecomm ns services between the Unit! 1 all international points except those countries 1 by the Exclusion List;* (2) )rity pursuant to Section 63.18(e)(2) of the FCI s, 47 C.F.R. § 63.18(e)(2), e international switched services of all U.S.—au carriers to provide internati ed services between the United States and all i1 nal points served by those ca lobal authority pursuant to Section 63.18(e)(2) » ~C‘s rules, 47 C.F.R. §63.1¢ sell international private lines to provide intern: on—interconnected private lin« tweenthe United States and all international po (4) authority pursuant to Sec )(2) of the FCC‘s Rules, — 47 C.F.R. § 63.18(e)(2 ‘11 international private lines i »d to the public switched network ("PSN") at one ends to provide international ; vices on all international routes on which the CC m permits such services to be As Highpoint does not seek authority to serve 2s or use facilities excluded ision List, and does not 2/ Highpoint only seeks authority to own circuits on facilities not excluded by the Exclusion List. S3/ The FCC will automatically amend all Section 214 authorizations to permit carriers to resell international private lines to provide international switched services between the United States and other countries as provision of such services becomes permitted by the Commission. Streamlining Order at ( 34. See also, International Settlement Rates, IB Docket 96—261, Report and Order, FCC 97—280 (rel. Aug. 18, 1997)(Benchmarks Order); Rules and Policies ofForeign Market Participation in the U.S. Telecommunications Market, IB Docket 97—142, Report and Order on Reconsideration, FCC 97—398 (rel. Nov. 26, 1997) (Foreign Market Participation Order). ag—

seek to serve countries in which it has a facilities—based affiliate, Highpoint‘s Application for authority pursuant to Section 214 is eligible for streamlined processing.* Highpoint believes that the added competition its entry will bring to the market will benefit the consumers of United States—overseas services. These benefits include competitive pricing and increased availability of a variety of service options. A grant of this Application will therefore further the public interest. II. The Applicant Highpoint is a corporation organized under the laws of the State of Nevada. Highpoint is not affiliated, as that term is defined by Part 63 of the Commission‘s Rules* with any dominant U.S. carriers whose international services Highpoint will resell. As described in further detail below, Highpoint is affiliated, within the meaning of Section 63.18(h)(1)(i), 47 C.F.R. § 63.18(h)(1)(i), of the Commission‘s Rules, with foreign carriers in destination markets that are WTO Member countries. Therefore, Highpoint should be classified as a nondominant carrier for the provision of the services for which authority is requestedin this Application, and Highpoint‘s Application is eligible for streamlined processing. 4 See Streamlining Order;, 47 C.F.R. § 63.12 (1998). 3 47 C.F.R. §63.18(h); Market Entry and Regulation ofForeign—Affiliated Entities, Report and Order, 11 FCC Red 3875 (1995) (Market Entry Order). —3.

III. Public Interest Considerations In the Market Entry Order, the Commission set forth the following policy goals for its regulation of the U.S. international telecommunications market: to promote effective competition in the U.S. telecommunications market, particularly the market for international telecommunications services; to prevent anticompetitive conduct in the provision of international services or facilities; and to encourage foreign governments to open their communications markets." The Commission also stated that "establishing an effectively competitive global communications market could result in reduced rates, increased quality, and new innovative services."*" In addition, the Commission found that "effective competition directly advances the public interest and the Corrimission’s paramount goal of making available a rapid, efficient,— worldwide wire and radio communication service with adequate facilities at reasonable charges."* Grant of Highpoint‘s request for facilities—based and resale authority to provide international services as requested in this Application will directly further the Commission‘s policies of bringing increased competition to the U.S. international telecommunications services market and is therefore in the public interest. IV. Information Required under Section 63.18 As required by Section 63.18 of the Commission‘s Rules, Highpoint submits the following information: & Id. at [ 6. U Id. & Id. at 10.

(a) Name, address and telephone number of Applicant: Highpoint Capital (USA) Inc. 1890 North Shoreline Boulevard Mountain View, CA 94043—1320 Tel: (650) 943—4400 Fax: (650) 943—4480 (t Applicant is incorporated under the laws of the State of Nevada. (c Correspondence concerning this application should be sent to: Priscilla A. Whitehead, Esq. Maria L. Cattafesta, Esq. SWIDLER & BERLIN, CHARTERED 3000 K Street, N.W., Suite 300 Washington, D.C. 20007 Tel: (202) 424—7870 Fax: (202) 424—7645 with a copy to: David Warnes Chief Executive Officer Highpoint Capital (USA) Inc. 1890 North Shoreline Boulevard Mountain View, CA 94043—1320 Tel: (650) 943—4400 Fax: (650) 943—4480 (d Upon grant ofthis Application, Highpoint will become an authorized non—dominant facilities—based carrier and reseller with global authority, subject to Section 214 of the Communications Act of 1934, as amended, and the Commission‘s Rules. Highpoint lacks the market power that would allow it to control prices to the detriment of market competition. (e) Highpoint requests Section 214 authority to operate as a facilities—based carrier pursuant to the terms and conditions of Section 63.18(e)(1) and to operate as a resale carrier pursuant to the terms and conditions of Section 63.18(e)(2). Specifically, Highpoint requests: (1) global facilities—based authority pursuant to Section 63.18(e)(1) of the FCC‘s Rules, 47 C.F.R. § 63.18(e)(1), to acquire interests in half—circuits in U.S.—authorized facilities as well as necessary —5.

connecting facilities to provide international telecommunications services between the United States and all international points except those countries excluded by the Exclusion List;* (2) global authority pursuant to Section 63.18(e)(2) of the FCC‘s Rules, 47 C.F.R. § 63.18(e)(2), to resell the international switched services ofall U.S.—authorized carriers to provide international switched services between the United States and all international points served by those carriers; (3) global authority pursuant to Section 63.18(e)(2) of the FCC‘s rules, 47 C.F.R. §63.18(e)(2), to resell international private lines to provide international non— interconnected private line services between the United States and all international points; and (4) authority pursuant Section 63.18(e)(2) of the FCC‘s Rules, 47 C.F.R. § 63.18(e)(2), to resell international private lines interconnected to the public switched network ("PSN") at one or both ends to provide international switched services on all international routes on which the Commission permits such services to be provided. 8 Highpoint seeks authority in this Application to provide only services referenced under paragraph (e) of Section 63.18 of the Commission‘s Rules. (g) The authority requested in this Application is categorically excluded from environmental processing as defined by Section 1.1306 of the Commission‘s Rules, 47 C.F.R. § 1.1306. As such, an environmental assessment is not required for purposes of this Application and is therefore notattached. (h) Exhibit A provides Highpoint‘s foreign affiliations, pursuant to Section 63.18(h)(1)(i) of the Commission‘s Rules. Highpoint‘s 10% or greater direct or indirect shareholder is as follows: Name: Highpoint Capital Corporation /——~~ Address: 999 West Hastings #1030 Vancouver, BC V6C 2W2 Percentage Held: 100% Citizenship: Canada Principal Business: Holding company 9/ Highpoint only seeks authority to own circuits on facilities not excluded by the Exclusion List. —6—

Highpoint Capital Corporation‘s 10% or greater direct or indirect shareholder is as follows: Name: Eclipse Ltd. Address: c/o Codan Services Ltd. Clarendon House 2 Church Street P.O. Box HM 1022 Hamilton HM DX Bermuda t / Percentage Held: approximately 66% ‘ Citizenship: Bermuda ~— Principal Business: Holding company Eclipse Ltd.‘s 10% or greater direct or indirect shareholder is as follows: Name: Un Ltd. Address: c/o Codan Services Ltd. Clarendon House 2 Church Street P.O. Box HM 1022 Hamilton HM DX Bermuda Percentage Held: 100% Citizenship: Bermuda Principal Business: Holding company Un Ltd.‘s 10% or greater direct or indirect shareholder is as follows: Name: GST Global Telecommunications Inc. Address: 1890 North Shoreline Boulevard Mountain View, CA 94043—1320 Percentage Held: 100% Citizenship: Canada Principal Business: Holding company GST Global Telecommunications, Inc.‘s 10% or greater direct or indirect shareholder is as follows: Name: GST Telecommunications Inc. Address: 4317 North East Thurston Way Vancouver, WA 98662 Js

Percentage Held: approximately 20% Citizenship: Canada Principal Business: Holding company Highpoint submits its interlocking directorate report as Exhibit B. O As required by Section 63.18 (i) of the Commission‘s Rules, 47 C.F.R. § 63.18(i), Highpoint certifies that it has not agreed to accept nor shall it accept in the future any special concessions, as defined by the Commission‘s Rules, directly or indirectly from any foreign carrier or administration with respect to traffic or revenue flows between the U.S. and any foreign country for which Highpoint may be authorized to serve. ) Highpoint is not subject to a denial of Federal benefits pursuant to Section 5301 of the Anti—Drug Abuse Act of 1988. Highpoint‘s certification pursuant to Section 1.2002 of the Commission‘s Rules (implementing the Anti—Drug Abuse Act of 1988, 21 U.S.C. § 3301) is attached.

CONCLUSION For the reasons stated above, Highpoint Capital (USA) Inc. respectfully submits that the public interest, convenience, and necessity would be furthered by a grant of this Section 214 Application. Respectfully submitted, Priscifla A. Whitehead Maria L. Cattafesta SWIDLER & BERLIN, CHARTERED 3000 K Street, N.W., Suite 300 Washington, DC 20007 (202) 424—7870 (tel) (202) 424—7645 (fax) Counsel for Highpoint Capital (USA) Inc. Dated: July 14, 1998 242995.1

Exhibit A Foreign Affiliations of Highpoint Capital (USA) Inc.

HIGHPOINT CAPITAL (USA), INC. SCHEDULE OF FOREIGN AFFILIATES — SCHEDULE A The following entities are foreign affiliates of Highpoint Capital (USA) Inc.: Axxon Telecom BV Netherlands corporation Axxon Telecom Gmbh German corporation Axxon Telecom Ltd UK corporation Axxon Telecon NV SA Belgian corporation Bestel S.A. de C.V. Mexican corporation Cyberlight Canada Canadian corporation Cyberlight Europe Ltd. UK corporation Datamax de Mexico, S.A. de C.V. Mexican corporation Unitel S.A. Guatemalan corporation Vitacom de Mexico, S.A. de C.V. Mexican corporation

Exhibit Interlocking Directorate Report of Highpoint Capital (USA) Inc.

HIGHPOINT CAPITAL (USA), INC. SCHEDULE OF INTERLOCKING DIRECTORATES SCHEDULE B The interlocking directorates of Highpoint are as set forth below: Individual‘s Organization‘s Name Name Title W. Gordon Blankstein Highpoint Capital (USA) Inc. Director Global Thyme Inc. Director Bestel (USA) Inc. Director Vitacom Corporation Director lan Watson Highpoint Capital (USA) Inc. Dire Global Thyme Inc. Dire Bestel (USA) Inc. Dire Vitacom Corporation Dire James T. Geddis Highpoint Capital (USA) Inc. Dire e President Global Thyme Inc. Dire e President Bestel (USA) Inc. Dire e President Vitacom Corporation Dire e President David Warnes Highpoint Capital (USA) Inc. Director, President Vitacom Corporation President Donald MacFayden Highpoint Capital (USA) Inc. Vice President

CERTIFICATION OF APPLICANT On behalf of Highpoint Capital (USA) Inc., and in accordance with Section 1.2001—1.2003 of the Commission‘s Rules, 47 C.F.R. §§ 1.2001—1.2003, I hereby certify that no party to this Application is subject to a denial of Federal benefits that includes FCC benefits pursuant to Section 5301 of the Anti—Drug Abuse Act of 1988. See 21 U.S.C. § 853a. I also hereby certify that the statements in the foregoing Application for Section 214 authority are true, complete, and correct to the best of my knowledge and are made in good faith. To the extent required by the Commission‘s rules, Highpoint Capital (USA) Inc. has not agreed to accept any special concessions directly or indirectly from any foreign carrier or administration with respect to traffic or revenue flow between the United States and various international points under the authority granted under Section 214 of the Communications Act of 1934, as amended, and the Commission‘s Rules, and has not agreed to enter into such agreements in the future. HIGHPOINT CAPITAL (USA) INC. oz By: ) es Name: DABb W. WUAAne Title: CE Date: ~ ty 19

OCT—UW1—98 11:54 FROM:SWIDLER BERLIN SHEREFF FR ID: 2024247645 PAGE 2/ 4 SWIDLER BERLIN SHEREFF FRIEDMAN, uur 3000 K StREEt, NW, Surre 300 WaASHNGTON, DC 20007—5116 TELEPHONE (202)424—7500 Facemiite (202) 424—7645 NEw YORK OFFICE WWW,SWIDLAW.OCOM 919 THRD AVENUE NEW YORK, NY 10022.—9998 (R12) 758—9500 rax (212) 7158—95326 October 1, 1998 VIAFACSIMILE Ms. Fran G. Eisenstein International Bureau Federal Communications Commission 2000 M Street, N.W., Roorm 843 Washington, D.C. 20554 Re: SupplementalForeign Affiliat_tgfi[Lfb_nn_a_!igp for Highpoint Capital (USA) Iue.‘s Section 214 Application Dear Fran: Pursuant to your request, Highpoint Capital {(USA) Inc. ("Highpoint"), by its undersigned counsel and pursuant to Section 63.18(h) ofthe Commission‘s Rules,‘ as amended by the Foreign Participation Order," provides the following foreign affiliation information to supplement its pending Section 214 application. Please notethat in light of our additional consultation with you and other FCC staff, we understand that the following entifies, originallylisted as Highpoint‘s foreignaffiliates in its Section 214 application, are not deemed to be foreign affiliates since they are not operational: s *s: Cyberlight Canada Cyberlight Europe Ltd. _ Moreover, we understand that the following entities would not be deemed foreign affiliates since they are only value—added service providers: 1 47 CER. § 63.11 (1997). * Rules and Policies on Foreign Participation in the U.S. Telecommunications Market, IB Dockets 97—142 and 95—22, Report and Order and Order on Reconsideration, 12 FCC Red 23,891 {(1997), recon. pending, (Foreign Participation Order).

OCT—U1—98 11:54 FROM:SWIDLER BERLIN SHEREFF FR ID: 2024247645 PAGE 374 Ms. Fran G. Eisenstein October 1, 1998 Page 2 Datamax de Mexico, S.A. de C.V. Unitel S.A. None of the foreign affiliations described below warrant the classification ofHighpoint as a dominant internafional cartier on any route. These affiliates are small companies that are new market entrants offering services m competition with dominant foreign carriers and others. At this time, each foreign affiliate holds less than one percent (1%) ofthe market share in the international transport and local access markets in their respective countries. Moreover, none ofthesecarriers has the ability to discriminate against unaffiliated U.S. intemmational carriers through the control of bottleneck services or facilities to exercise market power in any destination country. Accordingly, Highpoint‘s foreign affiliates lack sufficient market power on the foreign end of their respective routes to affect competition adversely in the U.S. market, and therefore Highpoint should be classified as a nondominant carrier on all international routes. Highpoint‘s foreign affiliations are as follows: Belgium (WITO Member): Axxon Telecom NVSA is authorized to provide national and international telecommunications services, including prepaid and postpaid calling cards, internet services, vide:oconferenging and a number ofother value—added services in Belgrum. Germany (WTO Member): Axxzon Telecom GmbH provides national and international telecommunications services, including prepaid and postpaid calling cards, internet services, videoconferencing and a number ofother value—added services in Germany pursuant to its Class 4 license. Mexico (WTO Member): Highpoint has two foreign affiliates in Mexico. Bestel SA. de C.V. ("Bestel"): Bestel is authorized to provide national longdistance and international telecommunications services and to build, own and operate a fiber optic network from Nuevo Laredo to Mexico City (including spurs to other cities) pursuant to a concession it received from the Mexican government. In addition, Bestel has received a concession to provide point—to—point and multi—point microwave links in several regions within Mexico. Vitacom de Mexico ("Vitacom"): Vitacom provides value—added services, such as remote access and e—mail, pursuant to its registration as a value—added service provider with the Federal Telecommunications Commission (°COFETEL"). In addition, Vitacom has several earth stations that provide both domestic and international private line service pursuant to a permit it received from the Secretariat of Communications and Transportation ("SCT").

vua wa uw ag uov CRUII:OWiLDLGK DBGKLIIN SAHEKELE K 10 : 2024247645 PAGE 4 /4 Ms. Fran G. Eisenstein October 1, 1998 Page 3 4. TheNetherlands (WTO Member): Axxon Telecom BVis authorized to provide nati mal and international telecommunications services, including prepaid and postpaid calling cards, internet services, videoconferencing and a number of other value—added service:: in Thie Netherlands. 3. UnitedKingdom (WTO Member): Axxon Telecom Ltd. is authorized to provide nati mal and international telecommunications services, including prepaid and postpaid calling cards, internet services, videoconferencing and a number of other value—added services in the United Kingdom. Please do not hesitate to contact us if you have any questions or if you require ac ditional information. Very truly yours, M{nua cf (Cotmgrats P Priscilla A. Whitehead Mana L. Cattafesta Counsel for Highpoint Capital (USA) Inc. cc: Befty Kayton Catherine Wang José A. Palma 253567.1


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