Attachment 2003Boeing ltr july

2003Boeing ltr july

LETTER submitted by Boeing

letter

2003-07-28

This document pretains to SAT-AMD-19980318-00021 for Amended Filing on a Satellite Space Stations filing.

IBFS_SATAMD1998031800021_1072557

                                                                                                              SQqUIRE, SANDERS & DEempsEY L.L.P.
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                                                             July 28, 2003
                                                                                                      VIA HAND DELIVERY

      Marlene H. Dortch                                             RECE lVED
      Secretary
      Federal Communications Commission                                JUL 2 8 2003
                                                                Federal Communications   Commission            AUG 0 5 20
      Washington, D.C. h
      oraapataca       20054                                             Uffice of Secrotary                                     03
                                                                                                          I     Policy Branep
                                                                                                           memafional Bursay
              Re:       The Boeing Company
                        Authority For Use of the 1990—2025/2165—2200 MHz and
                        Associated Frequency Bands for a Mobile—Satellite System
                        File Nos. SAT—MOD—20030711—00128, SAT—MOD—20020726—0013,
                        179—SAT—P/LA—97(16), 90—SAT—AMEND—98, SAT—LOA—19970926—00149,
                        SAT—AMD—19980318—00021 >


      Dear Ms. Dortch:

              On July 24, 2003, The Boeing Company ("Boeing"), through its attorneys and pursuant
      to Section 25.143(e)(3) of the Commission‘s rules,‘ filed its required certification that it had
      satisfied its second milestone for its 2 GHz mobile—satellite service ("MSS") license by
      completing the Critical Design Review ("CDR") for its geosynchronous 2 GHz MSS satellite on
      July 17, 2003. As indicated in the letter accompanying Boeing‘s certification, the CDR
      documentation for Boeing‘s 2 GHz MSS satellite not only reflects the modified authorization
      that the Commission issued to Boeing on June 24, 2003 ("Authorization Order")," but also
      reflects the minor changes that Boeing requested in its Application for Modification that was
      filed with the Commission on July 11, 2003 ("Modification Application")."

              The Commission has previously permitted satellite licensees to satisfy their milestone
      requirements by achieving conformity with the technical terms of their system authorization, or
      with the technical terms of a subsequently granted modification application filed in advance of,

       See 47 C.F.R. § 25.143(e)(3) (2002).
      * See The Boeing Company, For Modification of Authority For Use of the 1990—2025/2165—2200 MHz and
      Associated Frequency Bandsfor a Mobile—Satellite System, DA 03—2073 (June 24, 2003) ("Authorization Order").
      * See The Boeing Company, Application For Modification of Authority For Use of the 1990—2025/2165—2200 MHz
      and Associated Frequency Bands for a Mobile—Satellite System, FCC File No. SAT—MOD—20030711—00128 (July
      11, 2003) (‘Modification Application").                               .


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                                                                                              SQUIRE, SAnipeRSs & DEMPSEY LLP.




 Secretary Dortch                                                                       '             July 28, 2003
 Page 2

or concurrently with, the milestone deadline.* The Commission has provided this flexibility to
licensees as long as the proposed modification does not result in delays in the implementation of
the network and the provision of services to consumers."

        The Commission has never stated, however, whether it will extend this flexible policy to
its recently created milestone for CDR completion. The public interest would clearly be served
by extending the policy to the CDR milestone in order to permit licensees to respond to changes
in technology and consumer demand, as long as the changes do not delay the construction and
implementation of the licensed network.

         In the event that the Commission declines to extend its flexible policy to its CDR
milestone, however, Boeing, out of caution, herein requests a limited waiver of the
Commission‘s policy in order to permit Boeing to satisfy its CDR milestone using the technical
parameters of its Modification Application, rather than the technical parameters of its
Authorization Order. The Commission has the authority to waive its rules and policies if there is
"good cause" to do so.° Waiver is appropriate if (1) special circumstances warrant a deviation
from the general rule, and (2) such deviation would better serve the public interest than would
strict adherence to the general rule.‘ Circumstances that would justify a waiver include
"considerations of hardship, equity, or more effective implementation of overall policy."*

         Good cause exists to grant Boeing a limited waiver of the Commission‘s CDR milestone
requirements. Boeing‘s decision to conform its CDR documentation to the technical parameters
of its Modification Application was in direct response to the Commission‘s recent decisions to
authorize MSS licensees to incorporate an ancillary terrestrial component ("ATC") into their




* See, eg., Boeing Modification Order, [ 28 n.56; Teledesic LLC Application for Authority to Construct, Launch,
and Operate a Ka—Band Satellite System in the Fixed Satellite Service; Objection of @contact LLC, DA 02—1430,
9 8 & 9 (June 18, 2002) ("Teledesic Order") (observing that the Commission often receives requests from licensees
to modify the technical design of their satellites while they are being constructed and those licensees are permitted to
satisfy their milestone requirements using these modified parameters).
* See Teledesic Order, [ 11. .
6 See 47 C.FR. § 1.3. See also WAIT Radio v. FCC, 418 F.2d 1153 (D.C. Cir. 1969) ("WAIT Radio"); Northeast
Cellular Telephone Co. v. FCC, 897 F.24 1166 (D.C. Cir. 1990) ("Northeast Cellular®).
" See Northeast Cellular, 897 F.2d at 1166. See also Comsat Corporation, Petition for Partial Relieffrom the
Current Regulatory Treatment of Comsat World —Systems‘ Switched Voice, Private Line, and Video and Audio
Services, Order, 11 FCC Red 9622, 9625 (1996); Petition of General Communications, Inc. for a Partial Waiver of
the Bush Earth Station Policy, Memorandum Opinion and Order, 11 FCC Red 2535, 2536 (Int‘l Bur. 1996).
8 WAIT Radio, 418 F.24 at 1159.


                                                                                          SQUIRE, SanipeRs & DEMPSEY LLP.




  Secretary Dortch                                                                                July 28, 2003
  Page 3

  networks® and to increase the service link spectrum assigned to 2 GHz MSS licensees.‘" The
  Commission issued these important decisions more than a year after the Commission granted
  Boeing its 2 GHz MSS license and only months before its CDR deadline. The Commission‘s
  changes in the rules for 2 GHz MSS, although requested and welcomed by 2 GHz MSS
  licensees, nevertheless qualify as unusual circumstances justifying a waiver of the Commission‘s .
  CDR milestone policy.

         Failure to grant a waiver would constitute a substantial hardship for Boeing and would
  impair Boeing‘s service offerings to the public. The Commission concluded in its ATC order
  that MSS licensees .can use ATC to expand coverage, improve efficiency and enhance
  competition in important markets that MSS networks serve, including the maritime, aeronautical,
  commercial—transportation and public—safety markets."" If Boeing had not incorporated the
  technical changes included in its Modification Application into its CDR documentation, then
  Boeing would have been left at a clear competitive disadvantage as compared to other MSS
  networks. Furthermore, the public interest benefits that can be achieved through the provision of
  ATC would not be made available as a part of Boeing‘s service, reducing competition and
  spectrum efficiency, and potentially withholding unnecessarily new communication services
  from consumers.

          Instead, in order to enable Boeing‘s network to accommodate commercially viable
  services incorporating ATC, Boeing needed to incorporate relatively minor technical changes
 into the design of its network. Specifically, Boeing increased the power of its satellite in order to
 communicate seamlessly with dual—mode user terminals that are sufficiently small in size to be
 commercially attractive to consumers. Boeing also increased the capacity of its network in order
 to accommodate increased user density resulting from the provision of expanded service
 offerings incorporating ATC in addition to its previously proposed aeronautical communication,
 navigation and surveillance ("CNS") services.

        All of the technical changes proposed by Boeing in its Modification Application clearly
 qualify as minor technical changes. Boeing‘s Modification Application did not include any
 request for additional spectrum or orbital positions and did not raise any new spectrum sharing
 issues with respect to other authorized spectrum users. Instead, the satellite network design that

  ° See Flexibility for Delivery of Communications by Mobile Satellite Service Providers in the 2 GHz Band, the L—
~ Band, and the 1.6/2.4 GHz Bands, Report and Order and Notice of Proposed Rulemaking, FCC 03—15 (Feb. 10,
  2003) ("ATC Order").
 !? See Amendment of Part 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; The Establishment ofPolicies and Service Rules for the Mobile—Satellite Service in the 2 GHz Band, Third
 Report and Order, Third Notice of Proposed Rulemaking and Second Memorandum Opinion and Order, FCC 03—16,
 «[ 32 (Feb. 10, 2003) ("2 GHz Reallocation Order‘); see also Authorization Order, §| 38.
 4 See ATC Order, § 23.


                                                                              Squias, Sanpers & DEmpsEy LLB




 Secretary Dortch        _                                                           July 28, 2003
Page 4               ’

is including in Boeing‘s CDR documentation is technically capable of operating using the
service link and feeder link assignments previously issued by the Commission to Boeing in its
Authorization Order. Furthermore, Boeing has already incorporated its proposed modifications
in its network design. Thus, no possibility exists that Boeing‘s proposed minor technical
changes could delay the construction, launch and operation of its network.

         For each of these reasons and, particularly, in light of the Commission‘s recent decision
to grant MSS licensees with ATC authority, the public interest would clearly be served by
permitting Boeing to satisfy its CDR milestone requirement using the technical parameters of its
July 11th Modification Application. Therefore, to the extent that it is deemed necessary, a
limited waiver of the Commission‘s CDR milestone compliance policy is warranted for Boeing‘s
 2 GHz MSS system.

         Please let us know if you have any questions. Thank you for your attention to this matter.




                                              David A. Nall
                                              Counsel for The Boeing Company



ce: Thomas Tycz, Chief, Satellite Division

Enclosure



Document Created: 2015-01-07 17:01:12
Document Modified: 2015-01-07 17:01:12

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