Attachment letter

letter

LETTER submitted by AfriSpace

letter

2006-03-06

This document pretains to SAT-LOA-20050311-00061 for Application to Launch and Operate on a Satellite Space Stations filing.

IBFS_SATLOA2005031100061_486614

Ps, tastgs,ts a tater i PaulHastings wromers Teient it Mnteo Wittom ate 1 0 esn tE 31 70— mecashtngscon s (202) ssi—r791 ;’ms taragiunta@paulhastings.com RECEIVED terptenp March 6, 2006 sees7.00002 toage MAR — & zons * ViA HAND DELIVERY Herion n Marlene H. Dortch hn Sccretuy JS Federal Communications Commission Tok 236 Massachusetts Avenue, N.E. Sumte Suze 110 Te Washington, D.C. 20002 Hutegor ce Re: AfSpace Opposition to Application for Review TBFS File No. SAT—LOA—20050311—00061 Dear Ms. Dortch: On behalf of our client AfriSpace,Inc. (*AfriSpace"),we respectfully requestleave to include this letter in the record of the sbovereferenced proceeding, and herebyrequest a waiver of Section 145 of the Commission‘s rules o the extent necessary. As shown below, the Commission‘s consideration of thisleteris in the public iterest because it presents new information that was not availible to undersigned counsel atthe time offiling the Opposition of AfriSpace, Inc. to Application for Review (the "Opposition‘). Undersigned counsel to AfriSpace received a copyof the attached articl from an indlustry publication, Satmagazine.com, afer filing the Opposition. "This aricle states that "Ondas is making ts own fling under the Spanish flag, which is making the necessaryrequests through the TTU."" Based on this article, which includes an interview with the CEO of Ondas Spain,S.L/Ondas Media, S.A ("Ondas"), it is clear that Ondas has no bonafide intent offiling an application with the FCC. Ondas‘s assertion that it has "completed the process under Spans) law for obtaining the appropriate authorizations to implement is system" further shows that Ondas is belatedly attempting to paticipate in the AfrStar—2 proceeding solely for comperitive ressons" Since Ondas can show no motive for its oppositon tthe AfiStr2 Onterother than delaying the licensing process for AfriSpace and/or attempting to extract a commercial settement, the Commission should consider this article and Ondas‘s own statement as further evidence that Ondas has abused the Commission‘s processes 1"2006: The Yeafr Busopean Sarndie?,"Sitmapazinecom (Feb. 2000at 29 "irOndas ReplytAfiSpace Oppostion (*Ondas Reply)at 2 (mphassadded) ? AfiSpac futher nots hat duinga mecting among representavesfor Ondasand Tatematona Boreau suffon Febrwary2, 200, whichcounselfor Afrpaceattended, Ondas sepresentaivessted that Ondashad (continued..)

PaulHastings Marlene H. Dortch March 6, 2006 Page 2 AfriSpace notes that the Ondas Replyrelis, as did the Ondas Application for Review (the "Review Request"), entiely on highly technical questions offactthat Ondas neither raised in itsso—cilled "Petition to Deny" norin a periion for reconsideration to the Interational Bureau, as it was required to do under the Commission‘s rules.* If Ondas had genuinely believed that legitimate engineering analysis would support ts assertion that the satelite system allegedly planned by Ondas is compatible with AfriStar—1—which it must show in order to demonstrate any patntial harm eaused to it by the AfiStir2 Onlir—it would have presented the pertinent questions of fact to the technical expertsin the Bureau. Finally, AfriSpace respectfullyurges that the Commission fully consider the longterm implications that would follow from a decision by the FCC to grant the Review Request Such a decision would establish precedent for lcensing new satelite systems that the FCC knows willinterfere with systems that are already licensed and operational, such as AfriStar— 1, and would undoubtedly discourage investment in the sateliteindustry by bringing into question the value of an FCC liense. A grant of the Review Request also would create uncertainy in the industry by calling into question the valid precedent set by the Bureain the MSVOrter under vituall identical circumstances. In the event that the Commission or itstaff should have anyquestions concerning this filing, kindly refer them to the undersigned counsel for AfriSpace crfull s ned, Tara K. Giutta of PAUL, HASTINGS, JANOFSEY & WALKER LLP Counsel for AfiSpace,Inc. Enclosures (..continued) postd a bond in Spain. AfriSpace‘s ocal Spanishcounl hasinformed AfiSpace hat he amovunt of is hnd was Hcl€600000, The fact thata "development stige business," e Repl at 2, has poted a bond in thiamonntfuther shows that Ondas has nlexiimatintent of secking an authorzaton from the PCG,and itnstexdabusingthe Commision‘sprocesesslelyfocompettve resons "Sid7 CR §1.1150). Purther, with completedisteart forth iesOndasstatesreperedy in the Ondas Reply that AfriBwrt iauthorzed to se a toil ofonly 25 Mitz of opectram. See Ondas Reply at13,and 4. "This anerion rcis on asinglsttement in the AfrStar1 aplicaton thais delberatly aken out ofcontet in an attemptto misdead the Commission. The AfrStar—1 applcaion cel sets font the complte technicl parameten under which Afitaroperatsand on which the Boreau based th grntof the AfiStr—1 beense

Back to Contents FEATURE 2006: The Year for European Sat—radio? By Chris Forrester mote"channel easing w RLDSPACE® Jointy with WS. China Satcom is responsible"fr obuaining and mainaining theoffia Chines cences SATELLITE RADIO forL—band plinking and transmission,and forafir: sale services on receives More importanty,pertaps, TURN ON YOUR WORLD isthe obligtion for China Satcom to buid outthe Delphisatradto supplementary tercstial repeaters neoded Worldspaceent—ofyea eport Bear for widesprend recepdin. ChinaSatcom, Steamssays itis ooking for 42005 ingtor—based sradio as partof s agreement with WS, has numbersof40.000 t b added tothe operatr Worldspace moving waranted that is has "obsined the 100000 aleady declaed,and predias rapidy ahead to build on is requisite governmentlcense andlor another 365,000 netaddiions or2006. recentsubscriber sucesses in Inia, with approvals rom threlevan departments "This would putmean acore500,000 action rpeted on China, Europe and the of he Chinese govermment" subseribers could b i placeby th end Midtle Eas.Issigned a astminute of2006. BeaSteams projects 72000 subs cooperation agreement withChina Coineidentallthe Chinese nows in Indiaat 2005 yearend, 32000 by the helped witha Dcc 22 majorreport on WS end f2006,and SatlieCommunicatons (China Satcom) from investmentbank Bear Steams, which 2014."Based onourprojectionswe2.$4m subscibersby on Dee 20, whichrinsto2010. On January 3° Worldspacereceived fomal pernission cited the bsiness esting peer erforn"al~ thcompany vas stimate free cash fow from Intia would turm postive in 2011. Thnetresent to build and launch second cra, ‘obstcle coune" ofchal— AltiSar2,to 21 deg Eastwhich when in lengesahend. December saw some sefi valuc oftheinvestments is estimatedat poston willboos ts coverage over about 525 milionfothe county less the Europe. As Workdspace reported in is upwardprogess in Worldspace‘sshare amouns already spentby 2006yearnd pre—halday CC flin, he Chinese deal pricesitmoved fomS1 to$14.72, isalready included in our cash helped bythe Chinesedeal. Analyst *cansolidates and updatesthe provisions Kunal Madhukarwites that Bear Steams model,ate.weUsing threal ptions valation ofivecatierseparateagreements® valvethbusiess in ndin t between Worldspacand it sole agent is *eansiictive" about WS, gonenlly an equit value oabout 45 milion or ChinaSateom, which wereallduetoxpire cftngthecompany‘s longterm prospects about 31 pershare" on Dez31. China Satcom getsa 10% ificant untapped market opor— ‘agencyfew‘ from anycapcityleass Bear Stams hihlighs thobvious signed up fo the NortEastbeam on potenial ondia—and ofcoune Ch However Madhubarreminds AstaSta,the operator‘s 105 deg Easterft investorsthat and providesa detaiedlookatBurope Workdspacestilhasnt ied where t sys it assumes WSis ableto up a European Worldspace (WS) has thesponsi protiminay discssionscarmaler despte he commencecommersaloperaionsin 2007 biliy t bild anEarh Sution (at withmajor with Franceand haly being t fvoured Dongbeivang Vilge,Haidan Distic, automakers suchas Civoen/Pegeot. markes, "We aeprojectng4.7m subsin Beling) while China Satcom wil po— Euvope by 2014Based on ou projections, Also worth watching foris weestimate reecash fow fron Westem Februa2006 sariroazine com

Back to Contents FEATURES Worldspace‘s plans for International sat—radio Viable Market Potential Subscribers 188 million > 6075 ugp 11 Total Autos: 7 million io. million Total HH: Exc d 34 Total Autos: 8 millon ulc million million Western Europe iPobe 300 million U 12 Total Autos 200 million million Data: 1DG, Galup, China Mecia Mn or, Werkdspace estmates Europe would um positve in 2011," sys satefierelted capal expenditres DMI services s ts core misson. Insa the bank‘s repor,helping take whether to replac, expand capacity or 4B is slared t e aunched in "caly 2008% Worldspace‘sglobaltoalto 15m subs, bulda spare, we think the company may Workdspace hey metriesfor2006 when ndia, China and the Restofthe need toacces the financial markes.Our World are included. We expecthe model sugests hecompany may needto * 365,000netnewadditons company to tm netncome positvein borowinisean addional $130.3500 * Purherexpansion in India 2012,andcarings could each 5200 milion besiningin2008 bfore it stats o GrantoffurtherIndiarepeater milion in 2014,oraround 53 perstare" repay theobliationsbexinning i2011." Heences says the bank."Weestinate WorldSpace + Progressin hi could begingeveratng positive fee cash WorldSpace is o bcongratalied + Europe,ininch in atleastone flows (FCB) in 2011, though FCF fration forits ctivig in ndi,batthe Indin comty wouldals depend, o alageextent on goverment is not staning dly by and in _+ Decision on lainch of3#sueline the number of monthstheaverage PDecember200 approved thfunding of subseiber prepays, which has been Insat4E tbbultbyIndian Space But WorldSpace is notlone n significantfrthe o stefteracio Research Or(SRO),whichbroadcasting intrmationl steliteradi,Lunenboorg— operators in the U.S. Based on th tming minise Priyaranjan Dasmunshidescribes based Euopa—Max Paricpaionsand ofthe PCP breakevenandincremental willbea "suteofthe ar"crat w S— Madridbsed Ondas Media — and maybe othersar eachlooking t rnslte the Workdspace—Europe forecasts (000,and $000 Revenues) success ofXM and Sinuin the USA into mor zes zn zo zon zn m mm Eutope. Ondas has already amounced a Subscrbors 10 iee o0 Te es are 320 sam majrlink (@stategicinvestorand Revenses 2e oase) mesas saee) onasa ieaon asririel agagea technolosy suplier) withsatradio Dan: bar Seams speciaiss DelphCorpand siditis planning t aunch is 150—channelsevice Febriay 20 sarimeazine.com

Back to Contents FEATURES However ets lookalitlemore closely t Ondas.It is now resoubly wellfunded, attough recopnies tat significantfesh capalwil havero beraised.Curenty Delphiistheonly named investorin Ondas, atough Arevedo‘s previous industy links (DiscTV hom1995— Celso Azevedo, CEO, Ondas 1997,5ESAsta 1986—1999)gnchim good contacts. Azevedo‘s team includes technology and th schedule,"Azevedo in 200. Delphwillesublish a European atieast one previos player rom the faded says, e explained that the arangement radioimovationcentein GlobalRadio opention in Luxenbourg(as would notbeexclusivebecausethe Germanythis yearto develop thse new does Europs—Max),Initalseedinvestment various car manafictiers would wantto products.Cels Azevedo, CEO, Ondas, for Ondas camefrom Hans Peter Petrs use thirown favoured adio suppliers says: "As Europecontinies t be marked and Kiaus Oto Rehnig,both described as Pelphi would however be ableto supply a by a shorage of digita capacty, Ondas is serialentreprencurs refeencedsign that would be made in thepole poston to bring European wvailible t othr manaficturers. "Weare customers the unparaleed depth and Ondas promises. in ththid round f inancing,and wesull breath of mediacontet they havenever * 150channelsofsatliteratio havea lot of nancingto do, but we have beenable to enjoy:" * Vehicemanagement fouror fiveyearin which tind the ~Driver&hmgzrinfu financing."said Azevedo. We arecetainly excited t help Emergencycallsand sigals inroduce satlite radioto Burope," id In—carvideofentetainmen But as we have mentioned Ondas is Bob Schimacher genenal diecorof Enhanced data applcations fo rom alone. Luxenbountregisered advanced productdevelopmentand D: OrdasMedaJn 2006 Europs—Maisstllsecking nex—round businesstrtegyatDelphiElecronics& fiancing,andthere may bean amnounce— Safet: "We believe satliteradi will Ondas sys nital (Aug 2005) market mentstonty revolitionize theEvropean audiobroad— research froma Focus Group intictes castindusty serossthe contient by ~veny postivedemand®and it wil flw "The InmarsatGlobalstarand MSV offering consumers a lt morechoices that this up with a more comprchensivesudy projects donot intally include Burope, arealigned withtoda s lifsyles."Delpti in Q1,06. Azevedorighty sresses that but you can see what might be possble iscurrentyinthemidileofa Chapter 11 Ondas (and potentally anyrival that furherdown he line.Hovevethe bankruptey reorganisationwith —it sys — managesto make hexdway) willbenefit Jundamental queston is whether Ewope the emphasisvery much on from the hard work lready done by XM mightsupport more than one satlite reorganisaion and Srus,and ther radio supplers aperator in the DARS space given DARS "Delphhave gone trough allthe spectrunconsrains in Europe? We Worldspacilso doing business problems encountered rom thebeginning asted a welkplaced European inider withDetphihaving sizned a MOU with of theprojct so they are prctially whether a NoridSpace .1GH: GEO Delphito have mobilereceivers ready in doing this forthe thr time, which forus satelite ANDa 14 GHtz HEO sisenfron theI#haifor2000" is areduetionoftherisk foboth he Ondas could both be viably accommo— Febmar satymcazine.com

FEATURES datedin 12.3 Mit: ofspectrum aleady Ondas Medi‘s mainivalin the ow flng unde theSpaish fag which is carmarkedfor $—D.4B (=S—DARS) use by Inunch f European servic is making thenecessuy request through Europes spectrum reguators? The Workdspace: Azsvedo is no happy:"We wenrt gpp anover: "Mest nltebs gven tha the thinitsa mistaketo ask the PCC to fle business plans oXMandStrusrely on forasystem ikethis over Europe1‘ie each operator having accessto 12.3 Mc asking Franceto authorise a system over of spectrum as icensed bythe PCC;so the United Stites" Ondas is making ts diiding the available European S.DAB! $—04RS bandwdih by ro and ghving Mesumnden Ondasand Worlspace cach 625 ltz of spectun is unitely to sutain a vable business planfor both these o conpo— ies "In other words both NorliSpace and Ordas orefighin i outfr the sme bandvids in the 14 GHS—DABS—DARS renge in Europe h. MaxView for S aA€ellite Febriay 2008 sammenzine.com

CERTIFICATE OF SERVICE 1, Tara K. Giunta, hereby certify that on this 6th day of March, 2006, copies ofthe foregoing letter unless otherwise noted were sent via first—class mail, postage prepaid, t the following: "The Honorable Kevin Martin Chairman, Rederal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *The Honorable Michael Copps Commissioner, Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *The Honorable Jonathan Adelstein Commissioner, Federal Communications Commission 236 Massachusetts Avenve, N.E. Suite 110 Washington, DC 20002 *The Honorable Deborah Taylor Tate Commissioner, Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Donald Abelson Chicf, International Bureau Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Cassandra Thomas International Bureau Federal Communications Commission 236 Massachusetts Avenue, NJE. Suite 110 Washington, DC 20002

*Fem Jarmulnck International Bureau Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Gardner Foster International Bureau Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Robert Nelson International Bureau Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Jim Ball International Bureau Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Sam Feder General Counsel Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Emily Willeford Office of Chairman Martin Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002

*Jordan Goldstein Office of Commissioner Copps Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Barry Ohlson Office of Commissioner Adelstein Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 *Aaron Goldberger Office of Commissioner Tate Federal Communications Commission 236 Massachusetts Avenue, N. Suite 110 Washington, DC 20002 *Stephen J. Duall Artormey Advisor, Satellite Policy Branch Federal Communications Commission 236 Massachusetts Avenue, NE. Suite 110 Washington, DC 20002 Robert A. Mazer Gregory C. Staple Seott W. Woodworth Vinson & Elkins LL.P. 1455 Pennsylvania Avene, NW Suite 600 Washington, DC 20004—1008 (Counselfor Ondas Spain, SL) Tara K. Giunta * Via Hand Delivery


Document Created: 2006-03-08 11:38:52
Document Modified: 2006-03-08 11:38:52
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