Attachment surrender

surrender

OTHER submitted by MSV

surrender

2006-06-12

This document pretains to SAT-LOA-20030827-00174 for Application to Launch and Operate on a Satellite Space Stations filing.

IBFS_SATLOA2003082700174_506466

MSV Mobile Satelite Vontures io ORIGINAL June 12, 2006 Via Hand Delivery Ms. Marlene H. Dortch RECEIVED Secretary Federal Communications Commission JUN 1 2 2008 445 12th Stret, S.W. Washington, D.C. 20554 FadenConmuneatons Ofrer t StentoyCarmisso Re: MSV International, LLC Surrender of Authorization and Request for Withdrawal and Release of Performance Bond Call Sign 52487 Dear Ms. Dortch: MSV International, LLC (°MSVI®)a wholly owned subsidiary ofMobile Satellite Ventures LP (*MSV"), hereby respectfully surrenders is authorization to launch and operate an L band satellite (°MSV—SA") at the 63.5°W orbitallocation to provide mobile satellite service in South America, File No. SAT—LOA—20030827—00174. MSVI also requests the Commission‘s consent to the withdrawal and release ofthe $2.25 million performance bond MSVI posted for that satelite." MSVI is surrendering its license for this satelite in order to accelerate by approximately eight months the construction, launch, and operation of its next—generation North American satelltesystem. MSVI‘s parent has expended significant resources in the MSV—8A satellit. In addition to the S3 million performance bond posted for this satellie, as of the date of this fling, MSV has paid Bocing S5 million, specifically attributable under the contract to the MSV—SA satellte, and has invested approximately S1 million more in developing and contracting for this particular satellite. Moreover, MSV is not abandoning its proposed satellte to serve South America, but merely deferring further investment to free capital and resources for its North American system. Thus, MSV has demonstrated a sincere commitment to proceeding with the construction ofthe MSV—SA satellite." ‘ In thealternative, to the extent necessary, MSVI requests a waiver of the bond requirement forthe reasons stated herein. 47 CER. § 1.3. The bond was inially posted on February 7, 2005 in the amount of $3 millon. Subsequently, as permitted under the Commission‘s rules, MSV reduced the bond amount to S2.25 millon. See Public Notice, Report No. SAT—00356, DA 06—918, at 2 (April 21, 2006). * SAmendmentofthe Commission‘s Space Station Licensing Rules and Policies, FrstReport and Order andFurther Notice ofProposed Rulemaking, 1B Docket No. 02—34, FCC 03—102 (rel. May 19, 2003) (‘Space Station Reform First Report and Order"),§ 170.

Ms. Marlene H. Dortch June 12, 2006 Page 2 Withdrawal and release ofthe performance bond will not undermine the purpose ofthe Commission‘s bond requirement, which is to prevent the "warchousing" of scarce satellite spectrum." In this case, the frequencies licensed to the MSV—SA satellite are oflitle or no value to other prospective satellte operators;thus, MSVI has not precluded a "willing and able" operator from using these frequencies.". With respect to the L band frequencies, the Burcau permitted MSV—SA to use only those frequenciesthat the Commission has already coordinated and authorized for MSV‘s North American system." The Bureau made clear that MSV is the only entity that can use these same frequencies in South America due to the harmful interference that would otherwise result to MSV‘s North American satellit.® Thus, sound technical reasons, and not MSVI‘s license, precludes any other entity from using the L band frequencies licensed to MSV—SA in South America. The Appendix 30B Ku band frequencies at 63.5°W licensed to MSV—SA are also oflimited value to other potential satellite operators. The Commission restricts the number of satellite earth stations that can operate using these frequencies to facilitate use ofthis band by terrestrial operators. For example, the Commission has rejected requests to use this spectrum for consumer—based satellites services that entail deployment ofmore than a handful oearth stations." Moreaver, MSV‘s proposed use ofAppendix 30B frequencies at 63.5°W is a "modification to the plan" under the TTU Appendix 30B band plan procedures, which requires a demonstration that existing and new allotments around the 63.5°W orbital location in the Appendix 30B list will not be adversely affected. Given the limited permitted use of the Appendix 30B frequencies and the international coordination that must be completed in order to use these frequencies,it is unlikely that any other entity would be "willing and able" to Iaunch a satellte using Appendix 30B frequencies at the 63.5°W orbital location. ‘v. " See Space Station Reform First Report and Order a § 173; Amendment ofthe Commission‘s Space Station Licensing Rules and Policies, First Order on Reconsideration and Fifth Report and Order, 1B Docket No. 02—34 (July 6, 2004) (‘Space Starion Reform First Order on Reconsideration"), t 137 ("The bond requirement was designed to prevent such valuable resources from lying fallow when another party might be able to putthose resources into use.") ° See Mobile SatelIte Ventures Subsidiary LLC, Order and Authorization, DA 05—50 (January 10, 2005) ("MSF—S4 Order"), t 38 (AJny NGSO—like satelite serving South Americain the bands lcensed to AMSC—1 is likel to cause harmful nterference to AMSC—1s North American operations. Thisis because, in this case,the large North American and South American coverage areas are in close proximity to each other and, indeed, are likely to overlap.") *t. " See NGSO FSS Systems Co—Frequency with GSO and Terrestrial Systems in the Ku—Band Frequency Range, First Report and Order and Further NPRM, FCC 00—418, 16 FC Red 4096, § 29 (2000);see also Assignment of Orbital Locations to Space Stations in the Domestic Fixed—SateliteService, Order and Authorization, 1 ECC Red 3385 (Chict, Sat. and Radiocomm. Div., 1999).

Ms. Marlene H. Dortch June 12, 2006 Page 3 Please contact the undersigned with any questions. Very truly yours, ée-—/v\ Alima Z2 Jennifer A. Manner

Certificate of Service 1, Sylvia A. Davis, hereby certify that on the 12® day of June, 2006 the foregoing letter was served byfirst class U.S. mail, postage prepaid, or by hand delivery (*) on the following: John P. Janka Latham & Watkins LLP 555 Eleventh Street, N.W., Suite 1000 Washington, D.C. 200041304 Andrea Kelly * Intemational Bureau Federal Communications Commission 445 12" Street,SW Washington, DC 20554 Karl Kensinger * Interational Bureau Federal Communications Commission 445 12" Street, SW Washington, DC 20554 Syivia A. Davis


Document Created: 2006-06-15 15:24:48
Document Modified: 2006-06-15 15:24:48
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