Before the

**Federal Communications Commission**

**Washington, D.C. 20554**

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| In the Matter of                 | * | DA 99-1283                   |
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| Hughes Network Systems           | ) | DA 00-1765                   |
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| Wilmington Trust Company         | * |                              |
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| Requests for Waiver of Section   | * |                              |
| 90.665                           | * |                              |
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| of the Commission's Rules for    | * |                              |
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| Major Trading Area-Based 900 MHz | * |                              |
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| Specialized Mobile Radio         | ) |                              |
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**ORDER**

**Adopted: August 22, 2000 Released: August 23, 2000**

By the Chief, Commercial Wireless Division, Wireless Telecommunications
Bureau:

1\. On June 16, 1999, Hughes Network Systems (Hughes) and Wilmington
Trust Company (Wilmington Trust) (collectively, the Creditors) filed
separate requests for waiver of section 90.665 of the Commission's rules
for Major Trading Area (MTA)-based 900 MHz Specialized Mobile Radio
(SMR) licenses formerly held by Geotek, Inc. (Geotek).[^1] We dismiss
these waiver requests for lack of standing because the parties who
originally filed the requests no longer hold an interest in the
licenses.

2\. Geotek initially acquired its 900 MHz SMR licenses from the
Commission in Auction No. 7 in 1996.[^2] On June 29, 1998, Geotek filed
a voluntary petition for reorganization under Chapter 11, Title 11 of
the United States Code.[^3] In formulating a plan of reorganization,
Geotek conducted an auction process to determine the party, or parties,
to which it would seek to assign its licenses. In early February 1999,
Geotek's creditors selected Nextel Communications, Inc. (Nextel) from
among the bidders, and, on February 16, 1999, the Bankruptcy Court
entered an order authorizing the sale of Geotek's 900 MHz SMR licenses
to Nextel. On March 5, 1999, Geotek and its Creditors filed applications
with the Commission to assign Geotek's licenses to the Creditors. On
March 9, 1999, the Creditors and FCI 900, Inc. (FCI 900) filed
applications to further assign them from the Creditors to FCI 900, a
wholly owned subsidiary of Nextel.

3\. On June 16, 1999, the Creditors filed separate requests for waiver
of section 90.665 of the Commission's rules. Section 90.665 requires a
900 MHz MTA licensee to place into operation a sufficient number of base
stations to provide coverage to at least one-third of the population of
the MTA within three years of the original license grant, and to at
least two-thirds of the MTA population within five years of the original
license grant. Alternatively, an MTA licensee may demonstrate, through a
showing to the Commission at the five-year mark, that it is providing
substantial service in the MTA.[^4]

4\. In their requests for waiver of section 90.665, the Creditors
argued, in part, that because Geotek had never commenced construction,
the ultimate successor-in-interest would have to "start from scratch"
and, therefore, would require additional time to meet the coverage
benchmarks for 900 MHz MTA licensees.[^5] The Creditors asked that the
construction schedule for these licenses be restarted as of the date the
Commission approved the assignment of the licenses from Geotek to the
Creditors.[^6]

5\. On June 18, 1999, the Creditors, together with Geotek, filed a
request for an extension of the deadline for the three-year construction
buildout requirements for these licenses.[^7] At three years from
original license grant, a 900 MHz MTA-based licensee must either certify
that the one-third coverage standard has been satisfied, or provide
written notification that it has elected to show substantial service in
the MTA five years from original license grant.[^8] Geotek and its
Creditors asked that the three-year requirements be waived in order for
the successor licensee to make this election.[^9] On August 9, 1999, the
Commercial Wireless Division suspended the three-year requirements for
these licenses until such time as the Commission ruled on the Creditors'
separate requests for waiver of section 90.665 of the Commission's
rules.[^10]

6\. In order to comply with a subsequent Department of Justice Consent
Decree,[^11] Nextel withdrew the assignment applications that it had
filed with the Commission for those markets covered by the Consent
Decree. On January 14, 2000, the Commission approved applications to
assign all the licenses to the Creditors, and approved the remaining
applications to assign the licenses in the non-Consent Decree markets to
FCI 900.[^12]

7\. On April 7, 2000 and April 11, 2000, the Creditors submitted
applications to assign the licenses in the Consent Decree markets to
Neoworld License Holdings, LLC (Neoworld).[^13] On August 4, 2000, the
Commission approved these assignment applications.[^14] Accordingly,
Hughes and Wilmington Trust no longer hold any interest in any of the
subject licenses. Therefore, the Creditors no longer have standing to
request modifications of Commission requirements concerning these
licenses. Accordingly, we dismiss the Creditors' waiver requests for
lack of standing.

8\. Pursuant to the August 6, 1999 *Order* suspending the three-year
construction buildout requirement for all these licenses,[^15] the
current licensees, FCI 900 and Neoworld, must file their three-year
construction buildout certificates within 30 days of the release of this
*Memorandum Opinion and Order*. We recognize that the actual three-year
date has passed and that these entities have only recently acquired
these licenses. On or before September 21, 2000, therefore, FCI 900 and
Neoworld must either certify that they have placed into operation a
sufficient number of base stations to provide coverage to at least
one-third of the MTA population as of September 21, 2000, or notify the
Commission that they have elected to demonstrate substantial service at
the five-year mark.[^16] The five-year buildout requirements for these
licenses remain unchanged.

9\. Accordingly, IT IS ORDERED that, pursuant to sections 1, 2, and 4(i)
of the Communications Act of 1934, as amended, 47 U.S.C. §§ 151, 152,
154(i), and section 0.331 of the Commission's rules, 47 C.F.R. § 0.331,
the separate requests for waiver of section 90.665 of the Commission's
rules filed by Hughes Network Systems and Wilmington Trust Company on
June 16, 1999 ARE DISMISSED for lack of standing.

10\. IT IS FURTHER ORDERED that, pursuant to sections 1, 2, and 4(i) of
the Communications Act of 1934, as amended, 47 U.S.C. §§ 151, 152,
154(i), and section 0.331 of the Commission's rules, 47 C.F.R. § 0.331,
on or before September 21, 2000, FCI 900 and Neoworld must either
certify that they have placed into operation a sufficient number of base
stations to provide coverage to at least one-third of the MTA population
as of September 21, 2000 or, alternatively, file written notice that
they have elected to demonstrate substantial service at the five-year
mark.

Federal Communications Commission

William W. Kunze

Chief, Commercial Wireless Division,

Wireless Telecommunications Bureau

[^1]: *See* Requests for Waiver filed by Hughes Network Systems and
    Wilmington Trust Company on June 16, 1999 (Waiver Requests). These
    requests were placed on Public Notice June 30, 1999. *Public
    Notice*, Wireless Telecommunications Bureau Seeks Comment On a
    Request for Waiver of the Coverage Requirements for 900 MHz SMR
    Licenses Filed by Geotek Communications, Inc. and Hughes Network
    Systems, 14 FCC Rcd. 11216 (WTB 1999). Hughes and Wilmington,
    together with Geotek, also filed a request for waiver of the
    three-year filing requirement. *See* Motion for Extension of Time to
    File Substantial Service Showing, filed on June 18, 1999 (Filing
    Extension Request).

[^2]: *Public Notice,* FCC Prepared to Award 900 MHz MTA Licenses
    Additional Payment Due By July 8, 1996, 11 FCC Rcd 7701 (WTB 1996).

[^3]: 11 U.S.C. § 101 *et seq.*

[^4]: 47 C.F.R. § 90.665. If a licensee elects the substantial service
    alternative, it must file written notification with the Commission
    of its election at the three-year mark. This rule also required an
    MTA licensee electing the substantial service alternative to file
    documentation at the three-year mark showing how it would satisfy
    the substantial service standard within five years. The Wireless
    Telecommunications Bureau (Bureau), however, waived this latter
    requirement for all 900 MHz MTA licensees because it was not
    required for any other service. *See* In the Matter of Construction
    Requirements for Metropolitan Trading Area-Based Licenses in the
    896-901/935-940 MHz Band, *Order*, 14 FCC Rcd. 13223 (WTB 1999).

[^5]: *See* Waiver Requests.

[^6]: *Id*.

[^7]: *See* Filing Extension Request.

[^8]: 47 C.F.R. § 90.665. *See* *also* 47 C.F.R. § 1.946(d).

[^9]: *See* Filing Extension Request.

[^10]: In the Matter of Geotek Communications, Inc., *Order*, 14 FCC
    Rcd. 18860 (WTB 1999).

[^11]: *See United States v. Motorola, Inc. and Nextel Communications,
    Inc*., 1995 WL 866794 \*3 (D.D.C. 1995).

[^12]: Applications of Various Subsidiaries and Affiliates of Geotek
    Communications, Inc., and Wilmington Trust Company or Hughes
    Electronics Corporation, and Applications of Wilmington Trust
    Company or Hughes Electronics Corporation and FCI 900, Inc., For
    Consent to Assignment of 900 MHz Specialized Mobile Radio Licenses,
    *Memorandum Opinion and Order*, 15 FCC Rcd 790 (WTB, 2000) (Geotek
    Order). These assignments were consummated on February 2, 2000 and
    February 9, 2000 respectively.

[^13]: Applications of Neoworld License Holdings, Inc., Hughes
    Electronics Corporation, and Wilmington Trust Company for Assignment
    of Licenses, File Nos. 0000104291 and 0000103142, filed April 7,
    2000 and April 11, 2000, Public Interest Statement at 2.

[^14]: In re Applications of Neoworld License Holdings, Inc.,
    *Memorandum Opinion and Order*, DA 00-1765 (WTB: rel. August 4,
    2000). These assignments were consummated on August 14, 2000.

[^15]: *See* n.10, *supra*.

[^16]: We note that these notifications must be filed electronically via
    the Universal Licensing System pursuant to section 1.913(b) of the
    Commission's rules. 47 C.F.R. § 1.913(b).