Before the

Federal Communications Commission

Washington, D.C. 20554

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FIFTH REPORT

**Adopted:** August 3, 2000 **Released:** August 18, 2000

By the Commission:

**[Table of Contents]{.underline}**

**[Page]{.underline}**

I. INTRODUCTION [3](#introduction)

A. Overview [3](#overview)

B. Status of Competition [4](#status-of-competition)

C. Industry Development [5](#industry-development)

II\. THE CMRS INDUSTRY [9](#the-cmrs-industry)

A. Mobile Telephony [9](#mobile-telephony)

1\. Mobile Telephone Overview and Analysis
[9](#mobile-telephone-overview-and-analysis)

2\. Cellular Sector Analysis
[27](#cellular-sector-analysis2number-range-level3number-range-level4)

3\. Broadband PCS Sector Analysis
[28](#broadband-pcs-sector-analysis3number-range-level3)

4\. Other Competitors: Nextel Communications, Other Specialized Mobile
Radio Operators, Resellers, and Satellite Operators
[30](#other-competitors-nextel-communications-other-specialized-mobile-radio-operators-resellers-and-satellite-operators4number-range-level3)

B. Mobile Data [33](#number-range-level2number-range-level3mobile-data)

1\. Introduction [33](#introduction-1)

2\. Data Services to Mobile Telephone Handsets
[36](#data-services-to-mobile-telephone-handsets)

3\. Traditional Paging and Messaging Devices
[55](#traditional-paging-and-messagingbnumber-range-level2number-range-level3-devices)

4\. Other Handheld Devices [63](#other-handheld-devices)

5\. Miscellaneous Data Devices [66](#miscellaneous-data-devices)

C. Dispatch [69](#dispatchcnumber-range-level2)

1\. Commercial Dispatch Market Structure and Performance
[70](#commercial-dispatch-market-structure-and-performance)

2\. Major Trends and Developments [71](#major-trends-and-developments)

III\. CONCLUSION [75](#conclusion-1)

IV\. ADMINISTRATIVE MATTERS [77](#administrative-matters)

APPENDIX A: Spectrum Auctions Tables

APPENDIX B: Mobile Telephony Tables

APPENDIX C: Mobile Data Tables

APPENDIX D: Dispatch Tables

APPENDIX E: Fixed Wireless Voice and Data

APPENDIX F: Additional Maps

APPENDIX G: Cellular License Ownership

# INTRODUCTION

## Overview 

In 1993, Congress created the statutory classification of Commercial
Mobile Services[^1] to promote the consistent regulation of mobile radio
services that are similar in nature.[^2] At the same time, Congress
established the promotion of competition as a fundamental goal for CMRS
policy formation and regulation. To measure progress toward this goal,
Congress required the Federal Communications Commission ("Commission")
to submit annual reports that analyze competitive conditions in the
industry.[^3] This report is the fifth of the Commission's annual
reports on the state of CMRS competition.[^4]

With one exception discussed below, this report follows the same general
structure as the *Fourth Report*.[^5] This report bases its analysis on
a consumer-oriented view of wireless services by focusing on specific
product categories, regardless of their regulatory classification. In
some cases, this includes an analysis of offerings outside the umbrella
of "services" specifically designated by the Commission as CMRS.[^6]
However, because licensees of these other spectrum-based services often
compete with CMRS providers, as well as with other providers of
telecommunications services, the Commission believes that it is
important to consider them in the analysis.

This report focuses on three categories of wireless services: mobile
telephony,[^7] mobile data, [^8] and dispatch.[^9] This is a departure
from the report's two previous editions, in which there was also a
separate section for paging/messaging. The Commission believes that
mobile data services warrant a more extensive treatment in this year's
report. While there are still only a limited number of mobile data
services available in the United States beyond paging/messaging, that
number is growing rapidly, and it seems clear that a larger mobile data
sector is in the process of emerging. In the context of this developing
sector, paging/messaging services can be viewed as a part of the larger
landscape. In fact, some paging/messaging operators have begun to market
themselves as competitors in the emerging mobile data world.[^10]
Therefore, in this year's report, the paging/messaging section has
become a subsection of a larger discussion of mobile data services.[^11]

The three consumer-oriented service categories discussed in this report
are not as clearly delineated when viewed from the carriers'
perspective. For example, some dispatch operators also offer mobile
telephone services. In addition, many mobile telephone,
paging/messaging, and dispatch operators are leveraging their core
assets to enter the growing market for mobile data services.[^12]
Therefore, while these service categories are used to provide structure
for this CMRS competition report, the Commission's view of operators is
not limited by the categories in which this report places them.

## Status of Competition

In the year 2000, the CMRS industry continues to benefit from the
effects of increased competition as evidenced by lower prices to
consumers and increased diversity of service offerings. For example, by
year-end 1999, the number of mobile telephone subscribers had reached
86.0 million or 32 percent of the country's population.[^13] In
addition, according to the U.S. Department of Labor's Bureau of Labor
Statistics, the price of mobile telephone service declined by 11.3
percent between the end of January 1999 and the end of January
2000.[^14] Another analyst estimates that mobile telephone prices fell
20 percent between 1998 and 1999.[^15]

The process of carriers building nationwide footprints[^16] continues to
be a significant trend in the mobile telephone sector. The two most
prominent mobile telephone mergers announced during 1999 involved large
regional operators seeking to create nationwide footprints in order to
compete effectively with existing operators offering attractive
nationwide pricing plans.[^17] In parallel with the process of footprint
building, mobile telephone operators continue to deploy their networks
in an increasing number of markets, expand their digital footprints, and
develop innovative pricing plans.

In the mobile data sector, the ongoing transition from paging/messaging
to more advanced mobile data services makes it difficult to generalize
about the status of competition. The paging/messaging subsector has long
been highly competitive, but there has been little change in the demand
for paging services.[^18] At the same time, virtually all wireless
providers -- from existing mobile telephone operators to numerous new
entrepreneurs -- have announced plans to offer consumers an impressive
variety of mobile data services. However, many of the providers
currently offer mobile data as an add-on to existing mobile voice
services. Further, the services currently offered by a variety of
carriers are diverse in a number of characteristics including different
levels of geographic coverage and various target markets.

In the dispatch sector, 220 MHz licensees are beginning to deploy their
networks. In addition, some mobile telephone operators are beginning to
offer services that cater to the needs of the dispatch sector, creating
the potential for inter-service competition.

## Industry Development

*[Mobile Telephony]{.underline}*. Since the release of the *Fourth
Report*, the mobile telephony sector of CMRS has experienced another
year of strong growth and competitive development.[^19] In the twelve
months ending December 1999, the mobile telephony sector generated over
\$40 billion in revenues,[^20] increased subscribership from 69.2
million to 86.0 million,[^21] and produced a nationwide penetration rate
of roughly 32 percent.[^22] Broadband PCS carriers and Nextel
Communications, Inc. ("Nextel") continue to deploy their networks.[^23]
To date, 222 million people, or 88 percent of the total U.S. population,
have three or more different operators (cellular, broadband PCS, and/or
Nextel) offering mobile telephone service in the counties in which they
live. Over 172 million people, or 69 percent of the U.S. population,
live in areas with five or more mobile telephone operators competing to
offer service. And 11 million people, or 4 percent of the population,
can choose from among seven different mobile telephone operators.

The rise of digital technology in the mobile telephone sector continues
unabated. The combined effect of increasing digital and declining analog
customers has been that, at the end of 1999, digital subscribers made up
51 percent of the industry total, up from 30 percent at the end of
1998.[^24] Finally, in part because of growing competition in the
marketplace, it appears that the average price of mobile telephone
service has fallen substantially during the year since the *Fourth
Report*, continuing the trend of the last several years.[^25] According
to the U.S. Department of Labor Bureau of Labor Statistics, the price of
mobile telephone service declined by 11.3 percent between the end of
January 1999 and the end of January 2000.[^26] Another analyst estimates
that mobile telephone prices fell 20 percent between 1998 and 1999.[^27]

*[Mobile Data]{.underline}*. While analysts estimate that only 2 percent
of mobile traffic currently carries data,[^28] many analysts believe
that the mobile data sector has turned a corner and that it is finally
beginning to bring long-promised growth to mobile telephone and other
wireless operators.[^29] The development of a number of new technologies
has contributed to this turn of events. One of the most discussed
technological transitions for the industry is the coming migration of
mobile telephone networks to third generation (or "3G") technologies
with service offerings such as high speed Internet access and video
conferencing. In addition, new protocols and technologies are being
developed that facilitate the ability of mobile telephones and other
handheld devices to access the Internet, as well as laptop computers and
printers without cables.

*[Dispatch]{.underline}*. One analyst finds that in 1999 the commercial
dispatch industry's total subscribership increased by 30 percent from
4.6 million in 1998 to 6.0 million.[^30] While Nextel is the largest
provider, its services include both mobile telephone and dispatch.
Focusing on SMR providers without regard to the particular service
markets involved, Nextel possesses by far the largest subscriber base.
Using its iDEN technology, Nextel provided service to roughly 4.5
million digital subscribers at the end of 1999, 62 percent more than the
2.8 million it served at the end of 1998.[^31] However, a number of
mobile telephony providers now offer plans that allow unlimited calling
among members of a defined group, such as a family, or among all of an
operator's subscribers in a defined area.

![](media/image1.png)

# THE CMRS INDUSTRY

## Mobile Telephony

This report defines the mobile telephone sector to include all operators
that offer commercially available interconnected mobile phone services.
These operators provide access to the public switched telephone network
("PSTN") via mobile communication devices employing radiowave technology
to transmit calls. As discussed in last year's report,[^32] providers
using cellular radiotelephone, broadband PCS, and SMR licenses dominate
this sector.[^33] Because these licensees offer mobile telephone
services that are essentially interchangeable for most consumers, they
are discussed in this report as a cohesive industry sector. Mobile
telephone services are also offered by resellers and operators using
satellite systems.

The discussion below begins with an overview of the mobile telephone
market as a whole. This is followed by subsections for cellular
operators; broadband PCS operators; the digital SMR provider, Nextel;
other SMR operators; resellers; and satellite providers.

### Mobile Telephone Overview and Analysis

#### Mobile Telephone Sector Structure and Performance 

In 1999, the mobile telephone sector experienced another record year. As
of December 1999, the sector had over 86.0 million subscribers,[^34]
which translates into a nationwide penetration rate of roughly 32
percent.[^35] It represents a 24 percent increase over the 69.2 million
subscribers reported for December 1998 and is the largest twelve-month
increase in total number of subscribers in the history of the sector. In
addition to the penetration rate rising to 32 percent, a recent study
concluded that 43 percent of all households had service at the end of
1999, up from 35 percent in 1998.[^36] The financial performance of the
mobile telephone sector also continued to be strong. In 1999, the
sector's annual total service revenue was over \$40 billion,[^37] an
increase of 21 percent over the year ending December 1998.

The past year also has seen rapid changes in the structure of the mobile
telephone sector. The most dramatic change has been the emergence of two
new nationwide[^38] operators. At the time of the *Fourth Report*, there
were only three operators with nationwide footprints: AT&T Services
("AT&T"), Sprint PCS Group ("Sprint PCS"), and Nextel. Since then, Bell
Atlantic Corp. ("Bell Atlantic," now known as Verizon)[^39] and
VoiceStream Wireless Corp. ("VoiceStream") have used joint ventures and
mergers to join the ranks of the nationwide operators. These mergers are
discussed below.

#### Major Operational Trends

*[Building Nationwide Footprints]{.underline}*. A significant trend in
the mobile telephone sector during 1999, as in previous years, was the
continued effort of carriers to build nationwide footprints. As shown in
Table 3 in Appendix B,[^40] between December 1998 and December 1999,
five of the top 25 operators by subscribership combined with other
carriers. Furthermore, since the end of 1999, five operators in the
year-end 1999 top 25 have merged with other carriers, and the joint
venture between BellSouth Corporation ("BellSouth") and SBC
Communications, Inc. ("SBC"), announced in April 2000, is currently
pending before the Commission.[^41] As noted in last year's report, one
of the driving forces behind many of these transactions has been the
desire of large regional carriers to enhance their ability to compete
with nationwide operators such as AT&T, Sprint PCS, and Nextel that are
offering attractive nationwide pricing plans.[^42]

The Commission previously concluded that operators with larger
footprints can achieve economies of scale and increased efficiencies
compared to operators with smaller footprints.[^43] Such benefits permit
companies to introduce and expand innovative pricing plans such as
digital-one-rate type ("DOR") plans,[^44] reducing prices to consumers.
Analysts have drawn similar conclusions, predicting that the current
consolidation will intensify competition among nationwide wireless
providers.[^45]

Indeed, as discussed in Section II.d, *infra*, there is some evidence
that the addition of new nationwide operators already may be
contributing to decreasing prices. Moreover, it is important to
emphasize that, along with the process of consolidation, the mobile
telephone sector continues to experience heightened competition as a
result of the expansion by broadband PCS carriers and Nextel.[^46]

*Voicestream/Omnipoint/Aerial* - The broadband PCS operator VoiceStream,
the largest U.S. carrier using GSM technology, merged with Omnipoint
Corp. ("Omnipoint") and Aerial Communications, Inc. ("Aerial"), which
were two of the other largest independent GSM-based operators in the
country.[^47] The new combined company controls PCS licenses covering
220 million POPs[^48] and serves approximately 2.2 million
customers.[^49]

*Verizon Wireless* - Bell Atlantic, GTE, and Vodafone have combined
their cellular and broadband PCS licenses into a single company, Verizon
Wireless.[^50] In April 2000, Bell Atlantic and Vodafone joined the
assets of Bell Atlantic Mobile, AirTouch Communications, Inc.
("AirTouch"), and PrimeCo Personal Communications (formerly a joint Bell
Atlantic -- AirTouch broadband PCS venture) to create Verizon Wireless.
On June 30, 2000, Bell Atlantic completed its merger with GTE, and the
new company became Verizon.[^51] At that time, GTE's cellular and
broadband PCS assets were merged into Verizon Wireless.[^52] Verizon
Wireless has a footprint covering 232 million POPs (more than 90 percent
of the U.S. population),[^53] and is the largest mobile telephony
provider with approximately 25 million subscribers.[^54] Verizon owns 55
percent of Verizon Wireless, and Vodafone owns 45 percent.

*SBC/BellSouth* -- In April, SBC and BellSouth announced they would
combine their U.S. wireless operations into a joint venture, Alloy
LLC.[^55] If the proposed joint venture is approved by the Commission
and consummated, the new venture would cover 175 million POPs and serve
16.2 million subscribers, making it the second largest wireless
carrier.[^56]

While the most high profile transactions have been on a national stage,
there have been several smaller mergers that have been completed or
announced since the release of the *Fourth Report*. Many of these have
involved existing nationwide or regional operators purchasing smaller
companies in order to expand or enhance their existing footprints.[^57]
Smaller operators have also made acquisitions in an attempt to increase
the size of their footprints.[^58]

*[International Alliances/Expansion]{.underline}*. In addition to the
domestic transactional activities that have taken place since the
release of the *Fourth Report*, there also has been international
activity in the form of both foreign operators investing in U.S.
companies and U.S. companies seeking to expand their access to foreign
markets.

The most notable entry into the U.S. market was Vodafone's merger with
AirTouch.[^59] With this acquisition, Vodafone, which was already the
largest mobile telephone operator in the world, acquired what was, at
the time, the largest carrier in the United States by number of
subscribers. In addition, in July, Deutsche Telekom announced it would
acquire VoiceStream.[^60] Other examples of foreign operators investing
in U.S. carriers include the Finnish company Sonera acquiring a 9
percent stake in the broadband PCS operator PowerTel Inc.
("PowerTel"),[^61] and Hong Kong company, Hutchison Telecommunications
Limited, owning a 23 percent stake in VoiceStream after VoiceStream
completed its acquisitions of Omnipoint and Aerial.[^62]

A number of U.S. mobile telephone operators have been investing in
foreign mobile telephone businesses for some time, most notably,
BellSouth, Bell Atlantic, and AirTouch (prior to its acquisition by
Vodafone).[^63] While these companies continued to invest abroad in
1999, other U.S. companies began to look to foreign markets for the
first time, including some broadband PCS operators that employed
strategic partnerships to expand their footprints to other parts of
North America. For example, VoiceStream made a significant investment in
the Canadian GSM operator Microcell Telecommunications, Inc.[^64] In
addition, Sprint PCS acquired 30.5 percent of Mexican operator Pegaso
PCS.[^65] During the past year, AT&T increased its wireless presence in
North America by acquiring one-third of the Canadian carrier Rogers
Cantel Mobile Communications Inc. through a joint investment with
British Telecommunications.[^66]

*[Continued Rise of Digital]{.underline}*. The rise of digital
technology in the mobile telephone sector documented in the *Fourth
Report* continues unabated.[^67] During 1999, the number of customers
subscribing to digital services doubled from approximately 20.7 million
to 44.1 million.[^68] At the same time, the number of analog subscribers
declined for the first time, from 48.5 million to 41.9 million. The
combined effect of these two trends was that at the end of 1999, digital
subscribers made up 51 percent of the industry total, up from 30 percent
at the end of 1998. All four of the primary competing digital
technologies experienced growth in subscribership ranging from 65 to 147
percent.[^69] In addition, analysts estimate that 80 percent of all new
mobile phones sold in 1999 were digital.[^70]

While the all-digital broadband PCS operators primarily fueled this
growth, many of the major cellular carriers have moved a large portion
of their subscriber base from analog to digital services. For example,
according to AT&T, almost 70 percent of its cellular subscribers were
using digital telephones as of September 30, 1999.[^71] Similarly, Bell
Atlantic reported that at the end of 1999, nearly 40 percent of its
total customers used digital services[^72] and 72 percent of its busy
hour traffic came from its digital customers.[^73]

*[Wireless/Wireline Competition]{.underline}*. The *Fourth Report*
discussed a growing trend of some mobile telephone carriers using a
variety of methods to target homes with wireline-based second telephone
lines.[^74] There are indications that at least one carrier is achieving
some measure of success in this market, and there is evidence that
wireless services have begun to replace some customers' primary wireline
phone. For example, the *Fourth Report* mentioned that in early 1999
Chase Telecommunications Holdings Inc., whose licenses were acquired by
Leap Wireless International, Inc. ("Leap") in March 2000,[^75] began
offering a mobile telephone service in Chattanooga, Tennessee designed
to compete with wireline local telephone service.[^76] Leap's service
has met with some success. The company reported that by the end of 1999,
after only ten months of service, it had over 22,000 customers in
Chattanooga, which represents a penetration rate of seven percent.[^77]
It has also been reported that 61 percent of these customers are using
the service as their primary phone, accounting for an average of 1,000
minutes of use ("MOUs") each month, while the others are using it as a
second phone line.[^78] Leap expanded its service to the Nashville,
Tennessee market in January 2000.

In March, Midwest Wireless launched a similar service called "Realm" in
four Minnesota communities.[^79] The company indicates that the service
is similar to the traditional cordless phone service used at home, but
also allows customers to use their phone as a mobile phone.[^80] For
\$39.99 per month and 1000 minutes, Realm subscribers may call anywhere
in their own area code toll free and anywhere else in the United States
for \$0.12 per minute (or unlimited for an additional \$12.95 per
month).[^81]

Finally, a recent survey sponsored by the Personal Communications
Industry Association ("PCIA") and the Yankee Group lends supports to the
view that some customers are replacing their wireline phone with a
wireless handset. In the survey released in September 1999, 2 percent of
respondents indicated that their mobile phone functions as their only
phone.[^82]

*[Use of Overlapping Cellular and Broadband PCS Licenses]{.underline}*.
Several mobile telephone operators have purchased broadband PCS licenses
that overlap the geographic areas of their cellular licenses. The
Commission estimates that mobile telephone operators own overlapping
cellular and broadband PCS licenses (at least 35 MHz of total spectrum)
in areas containing over 110 million POPs.[^83] These areas include:
large portions of the mid-Atlantic from Philadelphia to South Carolina;
Chicago and northern and central Illinois; Houston and eastern Texas;
parts of southern and northern California; and parts of Oregon and
Washington.

The carrier with the largest amount of overlapping cellular-PCS spectrum
is AT&T, whose overlap areas contain approximately 100 million POPs and
include portions of the Pacific Northwest, Pennsylvania, West Virginia,
Maine, Oklahoma, Ohio, and Arkansas; and major cities such as New York,
Los Angeles, San Francisco, Denver, Dallas, and Miami.

In addition to AT&T, other cellular licensees have acquired 10 MHz
broadband PCS licenses to supplement their cellular licenses. For
example, in 1999 Bell Atlantic acquired six D and E block broadband PCS
licenses from Rivgam Communications, LLC ("Rivgam"), which cover five
markets in its east coast cellular service area.[^84] In 1998, Vodafone
also purchased from Rivgam several 10 MHz PCS licenses that overlap its
cellular markets in California and Nevada.[^85] Verizon Wireless's
license areas now include additional cellular and broadband PCS overlaps
in Florida, Alabama, Texas, Virginia, Ohio, Indiana, Illinois,
Wisconsin, and Washington, as a result of the combination GTE's wireless
assets with those of Verizon Wireless. As mentioned earlier, Verizon
Wireless has agreed to divest 20 MHz and retain 10 MHz of the 30 MHz PCS
licenses in these areas as part of its divestiture agreement with the
U.S. Department of Justice.[^86] Under the proposed SBC and BellSouth
wireless joint venture, the new company would have overlapping
cellular-PCS spectrum in Los Angeles, central Indiana, and portions of
Louisiana and Mississippi.

These moves by carriers to own overlapping cellular and PCS spectrum
indicate that they plan to use the broadband PCS licenses in conjunction
with their cellular licenses as a means to expand capacity and/or offer
additional services. In order to use both sets of frequencies in the
same geographic area, carriers must deploy the same digital technology
(either CDMA or TDMA) in both their cellular and PCS systems, and their
subscribers must use dual-band handsets. AT&T is reportedly testing a
dual-band network in the Miami, Florida area.[^87] According to the
report, AT&T's system can automatically switch back and forth between
cellular and broadband PCS frequencies in the same geographic area,
depending on available network capacity. If the trial is successful, the
system may be expanded to other areas of AT&T's wireless network.[^88]

*[Innovative Pricing Plans]{.underline}*. In the mobile telephone
sector, a single operator often tries a new and innovative pricing plan,
and is later imitated by competitors once the plan has proven to be
successful. For example, many in the industry questioned AT&T's wisdom
when it introduced the first DOR plan in May 1998.[^89] Today virtually
all of the major operators offer a similar type of DOR pricing
plan,[^90] where customers can purchase a bucket of MOUs (Minutes of
Use) on a nationwide or on a nearly-nationwide network without incurring
roaming or long distance charges. The entry price point for these plans
has fallen substantially. In May 1998, AT&T's least expensive DOR plan
cost \$89.99 for 600 minutes.[^91] Now Sprint PCS's least expensive Free
& Clear plans cost \$19.99 for 20 minutes and \$29.99 for 180, and
Verizon Wireless offers its SingleRate plan beginning at \$35 for 150
minutes.[^92]

The past year has seen another example of pricing innovation in
family-oriented plans. These plans allow a family to establish an
account with a certain number of family members within the same calling
area. Each family member has his or her own wireless phone and phone
number, and can make unlimited calls to the other wireless numbers on
the account and to and from the family's home number within the defined
family calling area. The charges are usually provided on a single bill.
This type of family plan was first introduced by AT&T in the third
quarter of 1999,[^93] and SBC Communications has since instituted its
own such plan called "FamilyTalk."[^94]

In October 1999, Bell Atlantic introduced a different type of family
pricing plan, called "Share-A-Minute."[^95] With this type of plan, two
or more customers -- generally members of the same family -- can share
monthly airtime by each making calls from the same bucket of minutes
while maintaining separate phones and phone numbers. The customers on
the account can also make unlimited calls to each other without
deducting from the bucket of minutes.

#### Market Entry

The past two editions of this report provided summaries of estimated
broadband PCS coverage by BTAs.[^96] For this year's report, in an
attempt to provide a more precise picture of network deployments, the
Commission has decided to re-estimate and enhance these coverage maps
using county boundaries.[^97] This analysis is based on publicly
available sources of information released by the operators such as news
releases, filings with the SEC, and coverage maps available on
operators' Internet sites.[^98] On July 10, 2000, broadband PCS A and B
block licensees submitted information on their coverage areas to the
Commission as evidence that they have met their five-year buildout
requirements. This information will be made publicly available; however,
it is not included in this report's analysis of coverage and buildout.

There are several important caveats to note when considering this data.
First, to be considered as "covering" a county, an operator need only be
offering service in a portion of that county. Second, multiple operators
shown as covering the same county are not necessarily providing service
to the same portion of that county. Consequently, some of the counties
included in this analysis may have only a small amount of coverage from
a particular provider. Third, the POPs and square miles figures in this
analysis include all of the POPs and all of the square miles in a county
considered to have coverage. Therefore, this analysis overstates the
total coverage in terms of both geographic areas and populations
covered. Fourth, in a small number of areas, sufficient coverage
information was not available to move from BTA-by-BTA determinations to
county-by-county determinations. In each of these cases, the population
and square miles of the entire BTA are included. Lastly, all population
figures are based on the 1990 census.

In the five years since the Commission first granted the A and B block
broadband PCS licenses, non-cellular carriers[^99] have built extensive
networks covering a large portion of the country's population. To date,
222 million people, or 88 percent of the total U.S. population, have
three or more different operators (cellular, PCS, and/or Nextel)
offering mobile telephone service in the counties in which they live.
However, these counties make up only 35 percent of the total land area
of the United States, reflecting the nation's uneven population
distribution. On the other hand, the land area of these counties, 1.3
million square miles, is roughly equal to the combined land area of the
15 members of the European Union. Over 173 million people, or 69 percent
of the U.S. population, live in areas with five or more mobile telephone
operators competing to offer service. And 11 million people, or 4
percent of the population, can choose from among seven different mobile
telephone operators.

#### Price Competition

As the Commission observed in the previous two reports, it is difficult
to identify sources of information that track mobile telephone prices in
a comprehensive manner.[^100] However, a number of reports and other
available data indicate that the entrance of new competitors into this
market continues to reduce prices. Because these studies use different
methodologies and market samples, their findings vary and are comparable
only in the broadest terms. Nevertheless, they clearly show that the
average price of mobile telephony has fallen substantially since the
*Fourth Report*, continuing the trend of the last several years.[^101]

According to one estimate, prices declined by approximately 8 percent
during the last six months of 1999.[^102] The same survey also stated
that the biggest price declines came in plans offering 150 minutes of
talk time each month, which dropped by 12 percent during that 6-month
period.[^103] This may indicate that competition is continuing to make
mobile telephone services more affordable for all Americans and not just
those who can afford price plans that provide 500 or 1,000 MOUs per
month. As discussed earlier,[^104] the entry level price of DOR plans
has also fallen substantially. When AT&T introduced its DOR plan in May
1998, the least expensive package cost \$89.99. Now Sprint PCS and
Verizon Wireless offer DOR plans starting at \$19.99 and \$35 per month,
respectively. Another analyst estimates that prices fell by 20 percent
between 1998 and 1999.[^105]

According to a report by a third analyst, subscribers with medium usage
level (200 to 360 MOUs per month) saw the greatest benefits of price
competition during 1999.[^106] This is a change from this analyst's same
study from the previous year in which it concluded that price
competition had focused primarily on high-usage customers (over 400 MOUs
per month) during 1998.[^107] By examining the median price per MOU in
1999 of four different usage levels (60, 240, 420, and 600 MOUs per
month), this analyst found the greatest price per MOU drop of 29 percent
(from \$0.21 to \$0.15) was seen in usage levels of 240 MOUs per
month.[^108] The price per MOU for the lowest level of usage (60 MOUs
per month) remained constant at \$0.40 per minute during 1999, while
higher levels of usage -- 420 and 600 MOUs -- saw price decreases of 20
percent (from \$0.15 to \$0.12) and 8 percent (from \$0.12 to \$0.11),
respectively.[^109]

The results of this third analyst's study do not account for promotional
prices such as free bonus minutes or free weekend minutes. The study
concedes that the prices it reports would have been even lower if it had
included promotions, as they move MOU prices down even further.[^110]

Another source of price information is the cellular telephone services
component of the Consumer Price Index ("Cellular CPI") produced by the
United States Department of Labor's Bureau of Labor Statistics.[^111] In
the 12 months between the end of January 1999 and the end of January
2000, the Cellular CPI decreased by 11.3 percent. In comparison, during
the same period of time, the local telephone services component
increased by 2.5 percent and the long distance telephone services
component decreased by 1.4 percent. The overall consumer price index
increased by 2.7 percent.

*[Roaming]{.underline}*. According to one analyst, there has been a
reduction in roaming rates in the past year or two.[^112] The analyst
estimates that U.S. Cellular Corporation dropped its local average
roaming rate per minute by 50 percent between the fourth quarter of 1997
and the first quarter of 1999 from \$0.75 to \$0.37.[^113] Another
analyst estimates that the average effective roaming yield (roaming
revenues divided by MOUs) for five companies will fall from \$0.44 to
\$.0.36 between 1999 and 2000.[^114] One analyst attributes the
reduction in roaming rates primarily to a new switching capability and
rural buildout by affiliates of major carriers.[^115] First, carriers
have developed the functionality to allow digital handsets to switch
between the A and B cellular and PCS bands, provided the customer has a
dual band phone and the digital standards are compatible. In contrast,
old analog phones were programmed to search only for one of the two
cellular bands and had to be manually reprogrammed to roam on another
network. Due to this technological advancement, the major carriers are
able to leverage large bundles of roaming minutes when negotiating for
roaming rates. Second, several major carriers have negotiated agreements
with affiliates to build out their secondary and rural markets.[^116] As
a result, carriers have additional alternatives for their traffic,
potentially lowering roaming rates.[^117] Competition from firms with
large or nationwide footprints that are able to minimize the need for
roaming by their customers may be forcing other firms to lower their
roaming rates.[^118]

*[Prepaid]{.underline}*. Although a number of analysts predict that at
least half of new wireless users will subscribe to a prepaid pricing
plan within the next several years, only approximately 6 percent of U.S.
wireless phone users currently subscribe to prepaid plans.[^119] This
contrasts sharply with the experience of prepaid wireless in Europe. For
example, almost all new wireless subscribers in Italy and the United
Kingdom were prepaid in 1999.[^120]

Prepaid subscribership has generally increased at a more gradual rate in
the United States. As reported in the *Fourth Report*, Powertel is a
broadband PCS operator with a substantial number of prepaid
subscribers.[^121] As of March 31, 2000, Powertel reported that 44
percent of its subscriber base was on prepaid pricing plans.[^122] This
is a substantial increase over the 20 percent of Powertel subscribers on
prepaid plans as of the end of the first quarter of 1999.[^123]
VoiceStream reported that as of March 31, 2000, it had 500,000 prepaid
subscribers out of a total subscriber base of 1.8 million.[^124] AT&T
announced a national prepaid plan in September that permits wireless
subscribers to call from any location without incurring any additional
roaming or long distance charges.[^125] Sprint PCS has been promoting an
alternative approach to traditional prepaid called "Automatic Spending
Limits" ("ASL"), in which the wireless subscriber pays a deposit that
becomes their monthly spending limit.[^126] ASL, which enables
subscribers to access the same pricing plans as postpaid subscribers,
accounted for about 15 percent of the Sprint PCS subscribership as of
May 9, 2000, whereas traditional prepaid accounted for about 2
percent.[^127] Leap Wireless is offering a prepaid local wireless
service in Chattanooga and Nashville.[^128] This prepaid service, which
is marketed under the Cricket brand, is priced at \$29.95 per month to
make and/or receive an unlimited number of local calls and was designed
to compete with local wireline service.[^129]

#### Consumer Response

Some of the key metrics reported by mobile telephone operators, such as
net new subscriber growth, MOUs, and increasing average revenue per unit
("ARPU"), demonstrate the increased demand for and reliance placed on
mobile services.

*[Net New Subscriber Growth]{.underline}*. As discussed above, 1999 saw
a 24 percent increase in the number of subscribers, compared to
increases of 25 percent in 1998 and 26 percent in 1997.[^130] In
absolute terms, 1999 net additional subscribers, 16.8 million, reached a
new high compared to previous year increases.[^131]

The *Fourth Report* discussed the fact that, since their initial
launches in 1995, non-cellular carriers have consistently taken an
increasing share of the industry's subscriber growth, previously
reaching as high as 50 percent in 1998.[^132] That trend has continued
during the past year, with non-cellular carriers attracting between 50
and 64 percent of the industry's total new subscribers in each quarter
of 1999.[^133] According to at least one analyst, this trend will
continue, with these carriers achieving a 75 percent share of annual
growth by the middle of this decade.[^134]

*[Minutes-of-Use]{.underline}*. As discussed in last year's report,
operators have designed their pricing plans to increase subscribers'
MOUs, not just total subscribership.[^135] This trend continued during
1999. While estimates of average MOUs per subscriber per month ("average
MOUs") vary, all show an increase between 1998 and 1999. According to
the Cellular Telecommunications Industry Association's ("CTIA") mobile
telephone survey, average MOUs were 180 between July and December 1999,
an increase of 38 percent from 130 MOUs during the same period in
1998.[^136] Two other industry analysts, using somewhat different
methodologies, reported higher 1999 MOUs but a lower growth rate than
CTIA. The first analyst estimated average MOUs of 200 in 1999,[^137] an
increase of 20 percent from 170 MOUs in 1998.[^138] The second analyst
calculated 242 average MOUs in 1999, also a 20 percent increase from 199
in 1998.[^139]

Increasing MOUs most likely reflect the decreasing prices and the
general wider acceptance of and reliance upon wireless service. This
trend may also indicate that mobile telephony is moving away from just
complementing existing wireline voice service and towards competing
directly with it. According to one analyst, mobile telephone customers'
share of total voice MOUs has increased from 3.2 percent in 1997 to 4.5
percent in 1998, and to 7.1 percent in 1999.[^140]

*[Average Revenue Per Unit]{.underline}*. One of the reasons operators
sought to increase the MOUs of their subscribers appears to be a belief
that doing so would help counteract any negative effect falling prices
are having on the average monthly revenue per subscriber (often referred
to as average revenue per unit, or ARPU). For the mobile telephone
sector, ARPU has decreased almost continuously since CTIA began
gathering data on it, going from a peak of \$98.02 in December 1988 to a
low of \$39.43 in December 1998.[^141] However, in 1999, ARPU has
actually increased slightly, first to \$40.24 in June 1999 and then to
\$41.24 in December 1999. Analysts attribute this rise to increasing
MOUs.[^142]

#### Factors Affecting Growth and Competitive Development

##### Coverage by Technology Type

The desire by operators to create nationwide footprints for their chosen
digital technology continued during 1999. The *Fourth Report* discussed
how this drive stems from cellular operators needing to improve capacity
as well as increase their advanced service offerings, and from broadband
PCS and digital SMR operators needing to expand their footprints to
increase their competitiveness.[^143] To estimate the current levels of
deployment of the four main digital mobile telephone technologies (CDMA,
TDMA, GSM, and iDEN), the Commission has prepared maps of each
technology combining the coverage by all of the relevant
operators.[^144]

CDMA and TDMA technologies are deployed in the networks of both cellular
and broadband PCS operators.[^145] To date, CDMA has been launched in at
least some portion of counties containing 204 million people, or 80.8
percent of the U.S. population.[^146] To date, TDMA has been launched in
at least some portion of counties containing 207 million people, or 81.6
percent of the U.S. population.[^147] Based on the footprints of the
carriers that have committed to using the two technologies, CDMA could
potentially be deployed to 100 percent of the U.S. population and TDMA
could potentially be deployed to 98.6 percent.

In the United States, only broadband PCS operators are deploying GSM
technology. Carriers that have committed to using GSM have a combined
footprint covering 247 million POPs, or 91 percent of the U.S.
population. To date, GSM has been launched in at least some portion of
counties containing 165 million people, or approximately 65.3 percent of
the U.S. population.[^148]

The analysis of iDEN coverage is limited to the largest digital SMR
provider, Nextel. While Nextel is not the only provider using
iDEN,[^149] it is the only one for which detailed coverage information
is available. To date, Nextel has launched iDEN-based service in at
least some portion of counties containing over 185 million people, or
approximately 73.3 percent of the U.S. population.[^150]

#### Foreign Mobile Telephone Market Comparison

As mentioned above, many U.S. carriers are beginning to form alliances
or acquire networks in foreign markets in order to expand into
additional mobile telephone markets. A comparison of the major trends in
the U.S. mobile telephone market with those in Western Europe, which
most resembles the United States in terms of economic development, shows
that while penetration levels are higher in Western Europe, average MOUs
are higher in the United States. Also, innovative mobile data
applications are being used more widely in Europe than in the United
States. These and other international mobile data developments are
discussed in Section B, *infra*.

The most prominent difference between the U.S. and Western European
mobile telephone markets is that the Western European markets are
achieving greater penetration levels and higher average penetration
growth.[^151] On average, Western European penetration reached 40
percent at the end of 1999 compared to 32 percent in the United
States.[^152] The penetration rates of individual countries vary widely,
however, ranging from a low of 28 percent in Germany to a high of 65
percent in Finland. In 1999, Western Europe also increased penetration
levels at a faster rate than the United States. On average, Western
Europe's average penetration increased by 67 percent over its 24 percent
average penetration in 1998. This is almost three times higher than the
23 percent penetration growth in the United States during 1999. Two
countries, Spain and Greece, were able to at least double their
penetration levels -- from 18 percent to 38 percent and from 18 percent
to 36 percent, respectively.

While a higher percentage of the Western European population currently
subscribes to mobile phone service, average MOU data shows that
subscribers in the United States are using their phones to a greater
extent. One analyst estimates that average MOUs in Western Europe will
be 145 at the end of 2000.[^153] The same analyst estimates that average
MOUs in the United States will be 52 percent higher at 221 at the end of
2000.[^154] The analyst speculates this may be due to the higher
penetration of prepaid service in Europe, which tends to dilute per
subscriber traffic.[^155]

While many of the countries in Asia and Latin America have less
developed mobile telephone industries than the United States and Western
Europe, mobile telephone subscribership is nonetheless expanding rapidly
in many of these countries.[^156] For example, while the People's
Republic of China's mobile telephone penetration did not pass the 3
percent level until 1999,[^157] mobile telephone operators in that
country added more than 16 million new customers between October 1998
and October 1999.[^158] In addition, although no country in Latin
America has penetration levels comparable to those of the United States
and Western Europe, mobile telephone subscribership is growing rapidly
there. According to one analyst, eight countries in Latin America at
least doubled their penetration levels between June 1998 and June
1999.[^159]

Given the large number of differences between telecommunications markets
around the globe, it is difficult to provide a simple explanation for
the performance differences between the U.S. and various foreign
markets. Analysts offer a wide variety of reasons, such as differences
in governmental regulation (including licensing and standards policies),
the extent of competition in the wireless market, the prices and quality
of existing wireline telecommunications infrastructure, and the status
of overall economic development in the country or region. Despite these
differences, one clear theme emerges: wireless technologies are rapidly
becoming one of the central elements of the world's telecommunications
infrastructure. Regardless of the many differences among countries, the
result over the past several years has been the same: mobile telephony
is becoming an essential part of most cultures and economies across the
globe.

#### Increased Demand For Spectrum

It appears that the market value of licenses enabling use of spectrum
suitable for mobile applications has been rising over the last year. For
example, in December 1999 Nextel offered a total of \$8.3 billion, or
\$2.31 per MHz-pop, for the licenses formerly held by NextWave Telecom,
Inc.[^160] (This offer was contingent on elimination of the rule that
reserves these licenses for "entrepreneurs" and would prohibit Nextel
from acquiring them.) In an April 2000 auction held in the United
Kingdom for spectrum to be used for 3G mobile services, winning bids
averaged \$4.27 per MHz-pop.[^161] In comparison, winning bids in the
original A/B block auction, which closed in March 1995, averaged \$0.46
per MHz-pop.[^162] This increase in values is generally considered to
result from increased predictions about future *demand* for mobile
services, including mobile data services in particular.[^163] The
Commission has been moving to provide spectrum to satisfy this increased
demand. For example, the auction of licenses for certain C and F block
PCS spectrum has been scheduled for this year and the licenses for 700
MHz spectrum will be auctioned in March 2001.[^164] In addition, the
Commission's general policy of allowing flexible use of spectrum
licenses, rather than allowing only specific, narrow uses, should help
make spectrum resources available to satisfy competing demands in an
effective fashion.[^165] Similarly, Commission efforts to facilitate the
development of secondary markets for spectrum licenses will also help to
meet new demands for spectrum.[^166] While this information appears in
the mobile telephone section, it is equally relevant to mobile data.

### Cellular Sector Analysis2Number range level3Number range level4

The Commission began licensing of commercial cellular systems in 1981
and completed licensing the majority of systems by 1992. The Commission
divided the United States and its possessions into 734 cellular market
areas (305 Metropolitan Statistical Areas \["MSAs"\] and 428 Rural
Service Areas \["RSAs"\], and a market for the Gulf of Mexico). Two
cellular systems were licensed in each market area. The Commission
allocated 50 MHz of spectrum in the 800 MHz frequency band for the two
competing cellular systems in each market (25 MHz for each system).

#### Cellular Sector Structure

The effects of the consolidation discussed above have been particularly
noticeable in the cellular sector. Of the 12 companies on the mobile
telephone sector's list of the top 25 operators by subscribership (*pro
forma* year-end 1999) that have consolidated since the end of 1998,
seven were cellular-only operators and two others were predominantly
cellular carriers with broadband PCS operations.[^167] As a result, the
three largest carriers on the *pro forma* year-end 1999 top 25
subscriber list controlled systems serving 82 percent of all cellular
customers.[^168] The top three carriers previously had controlled only
40 percent at the end of 1998.[^169]

#### Response to Competition

The efforts of cellular operators to increase their capacity and expand
their service offerings by deploying digital technologies, as discussed
in the *Fourth Report*,[^170] has continued during the past year.
Digital technology allows expansion of capacity without degradation of
service for existing customers. The extra capacity also permits the
inclusion of advanced services such as short messaging service ("SMS").
As discussed above, cellular operators are also attempting to deal with
capacity constraints by testing and deploying the technology to utilize
both cellular and PCS frequencies within the same geographical
area.[^171]

To track digital rollouts, the Commission has compiled a list of MSAs
and RSAs with some level of digital coverage by the incumbent cellular
operators. These data are based on publicly available information
released by the operators, such as news releases, filings made with the
SEC, and coverage maps available on operators' Internet sites. The
Commission has found that digital cellular services are available in
approximately 420 MSAs and RSAs, which have a combined coverage of more
than 230 million POPs, or 84 percent of the nation's total
population.[^172]

### Broadband PCS Sector Analysis3Number range level3

Broadband PCS is similar to cellular service, except that broadband PCS
systems operate in different spectrum bands and are designed to use a
digital format. The Commission has set aside the spectrum between 1850
MHz and 1990 MHz for broadband PCS. This spectrum includes 120 MHz
divided originally into three blocks of 30 MHz[^173] each and three
blocks of 10 MHz each. Two of the 30 MHz blocks are assigned on the
basis of 51 Major Trading Areas ("MTAs").[^174] One of the 30 MHz blocks
and all of the 10 MHz blocks are assigned on the basis of 493
BTAs.[^175] The Commission's broadband PCS allocation also includes 20
MHz of spectrum for unlicensed broadband PCS.[^176]

The year since the release of the *Fourth Report* has been one of strong
growth for broadband PCS operators. In that time, seven new broadband
PCS operators have commenced service, and subscribership of operators
for whom public information is available has increased by more than 100
percent to 14.5 million.[^177]

#### Broadband PCS Sector Structure

The current structure of the broadband PCS sector revolves around four
groups of companies: (1) AT&T and its partners; (2) Sprint PCS and its
partners; (3) VoiceStream and its partners; and (4) other companies. The
AT&T family consists of AT&T's significant, wholly-owned cellular and
PCS properties, as well as the joint ventures it has with four
companies: Cincinnati Bell (now a subsidiary of Broadwing), TeleCorp PCS
Inc., Tritel Inc.,[^178] and Triton PCS Holdings Inc. AT&T has sold
portions of some of its broadband PCS licenses to the joint ventures in
return for a minority ownership interest in them. These companies are
currently deploying TDMA technology and AT&T service under the brand
name SunCom in certain areas of the country. The Sprint PCS family
consists of Sprint PCS and 18 affiliates. Each of the affiliates has an
agreement with Sprint PCS in which it agrees to use Sprint's PCS
licenses to deploy CDMA technology and Sprint PCS-branded service in
specific areas of the country.[^179] Some of the affiliates also own
their own broadband PCS licenses, and at least two affiliates -- US
Unwired and Via Wireless -- are using a combination of their own
spectrum and Sprint's to deploy service. The VoiceStream family, which
began as a unit of the cellular operator Western Wireless Corp., now
includes licenses that VoiceStream has acquired from Omnipoint and
Aerial, as well as five joint ventures in which VoiceStream has a
minority ownership interest. These companies are deploying a GSM-based
network that covers a large portion of the country. The remaining
companies include Verizon Wireless, the SBC/BellSouth wireless joint
venture, and Powertel, along with a number of smaller operators. Like
AT&T, Verizon Wireless has significant cellular operations, but now owns
PCS licenses covering 101 million POPs.[^180] Under the proposed SBC and
BellSouth wireless joint venture, the new company would cover
approximately 47 million POPs primarily in the southeastern, midwestern,
and western United States with mainly TDMA and GSM technologies.[^181]
Lastly, PowerTel is constructing a GSM-based network throughout much of
the southeastern United States.

#### Competitive Development

While the broadband PCS sector has made great strides over the past five
years, its coverage is not as extensive as the coverage of cellular
networks. There are still many smaller markets that have yet to see any
operators compete with the incumbent cellular operators. Consequently,
the tracking of broadband PCS deployments remains an important metric of
sector development.

Currently, broadband PCS operators have deployed networks that provide
coverage in at least some portion of counties containing more than 217
million people, which is nearly 86 percent of the nation's total
population. These counties also cover more than 1.1 million square
miles, which equals 32 percent of the country's land area.[^182]

To illustrate the types of markets in which broadband PCS operators have
been concentrating their deployment efforts, this report divides the
counties into quartiles by their total populations.[^183] Of the
counties in the top quartile, 85.8 percent have at least one broadband
PCS operator providing some coverage. In the second quartile, 52.5
percent of counties have some coverage, and 33.4 percent and 12.0
percent of counties in the bottom two quartiles, respectively, have some
broadband PCS coverage.

### Other Competitors: Nextel Communications, Other Specialized Mobile Radio Operators, Resellers, and Satellite Operators4Number range level3

This section discusses four other types of operators that are competing
in the mobile telephone segment: the digital SMR provider, Nextel; other
SMR operators; resellers; and satellite operators.

#### Nextel Communications, Inc.

For a number of years, SMR service providers have been a source of
competition in some mobile telephone markets. The Commission first
established SMR in 1979 to provide land mobile communications on a
commercial basis. While the primary use for SMR traditionally has been
dispatch services,[^184] SMR systems have always had the ability to
offer "interconnected" service allowing access to the PSTN. However,
until recently SMR systems have suffered from limited capacity.

By increasing capacity, digital technologies have enabled SMR providers
to become more significant competitors in mobile telephone markets. As
explained in the *Fourth Report*, the operator most responsible for
using digital technology to make SMR a mobile telephone competitor has
been Nextel, with its deployment of Motorola, Inc.'s iDEN
technology.[^185] Nextel has combined various billing features, a
near-nationwide footprint, and handsets that can be used for both
interconnected service as well as traditional dispatch type services
(marketed as "Direct Connect®") to create an offering targeted to
business users.[^186] Nextel continues to compete successfully in the
mobile telephone market. During 1999, Nextel was the second fastest
growing operator, adding more than 1.7 million customers.[^187] Nextel's
iDEN subscribership of 4.5 million makes it the seventh largest mobile
telephony provider in the United States. The company has rolled out
service in counties covering over 70 percent of the nation's population.
Nextel also continued to have the highest ARPU levels in the industry,
reaching as high as \$74 per subscriber per month, during 1999.[^188]

#### Other Specialized Mobile Radio Operators

Traditionally, urban SMR operators had only a limited ability to offer
mobile telephone services. This limitation has been due to a number of
factors, including limited spectrum availability and the preclusion of
spectrum reuse by traditional, analog, high-power, single site
transmitter systems employed by SMR operators.[^189] In contrast, SMR
operators in less spectrum-scarce, rural areas have faced fewer capacity
difficulties and, consequently, have had a greater ability to offer
mobile telephone services.[^190] For example, prior to its 1997 merger
with Nextel, Pittencrieff Communications, Inc. focused on rural areas
and presented its service as an alternative to cellular service.[^191]
As recently as 1996, SMR operators other than Nextel had several hundred
thousand customers using interconnected service.[^192]

#### Resellers

Resellers offer service to consumers by purchasing airtime at wholesale
rates from facilities-based providers and reselling it at retail
prices.[^193] According to a survey performed for the Association of
Communications Enterprises ("ASCENT," formerly the Telecommunications
Resellers Association), the resale sector currently accounts for
approximately 3 percent of all mobile telephone subscribers.[^194] In
1999, the top 20 resale providers had over 1.4 million subscribers,
which is an increase of 29 percent over 1998.[^195] Worldcom, Inc.
("WorldCom," formerly MCI WorldCom Inc.) is by far the largest reseller
with 950,000 customers in 1999, accounting for over half of all the
subscribers reported by the 20 largest resellers. The remainder of the
top 20 resale providers saw their combined subscribership decrease by
60,000 during 1999.[^196]

#### Satellite Operators

The first global satellite-based mobile telephony operator,[^197]
Iridium LLC ("Iridium"), filed for Chapter 11 bankruptcy protection from
creditors on August 13, 1999.[^198] On March 17, 2000, Iridium announced
that it was ceasing operations.[^199] At this time, Motorola, the
system's operator, continues to maintain the system, and limited service
is being provided through operational gateways. Iridium had about 50,000
subscribers at the end of 1999.[^200]

ICO Global Communications Ltd. ("ICO") declared bankruptcy in August
1999. In December 1999, the bankruptcy court granted final approval of a
\$1.2 billion bailout package led by Craig McCaw.[^201] McCaw is now
focused on ICO and his own proposed satellite network, Teledesic.[^202]

In February 2000 Globalstar Telecommunications Ltd. ("Globalstar")
announced the commercial availability of its mobile satellite service
throughout the United States.[^203] Globalstar's 48 satellite system
utilizes a "bent-pipe" architecture, in which each call goes up to the
nearest satellite.[^204] The satellite receives the signal and
retransmits it to the nearest land-based gateway where the signal is
routed into the landline system. Globalstar's tri-mode handheld phones
operate in satellite mode, and in digital and analog cellular modes
wherever cellular service is available.[^205] The handsets weigh
slightly more than 11 ounces, and are priced around \$1,500.[^206] The
company is offering a number of domestic pricing plans, with monthly
service fees ranging from \$30 to \$370 and per-minute fees from \$1.69
to \$1.39.[^207] Data capabilities at 9.6 kbps include e-mail, fax and
file transfer, as well as short message service, and are expected to be
available later in 2000.[^208]

In March 2000, Globalstar lowered its handset prices by as much as 25
percent.[^209] The company also launched a price promotion that gave new
and existing subscribers 30 percent off of their monthly access fees and
domestic airtime until July 15.[^210] While Globalstar's original
predictions called for nearly 700,000 mobile subscribers by the end of
2000, it has reduced that number closer to 400,000.[^211]

## Number range level2Number range level3Mobile Data

### Introduction

Mobile data service is the delivery of non-voice information to a mobile
device.[^212] Mobile data services run the gamut from paging/messaging,
to Internet access, to e-mail delivery.[^213] Mobile data devices
include telephone handsets, pagers, handheld computers, personal digital
assistants ("PDAs"), and laptop computers equipped with wireless modems.
A variety of wireless providers are involved with these rapidly evolving
services.

For years, analysts discussed mobile data extensively, remarking in each
of the past several years that "this will be the year that mobile data
takes off."[^214] Despite such prognostications, however, analysts
estimate that just 2 percent of mobile traffic is currently data.[^215]
Analysts note that this may be due partly to unsatisfied demand for
voice services driving the growth of new subscribers.[^216] Still others
argue that, as with wireline Internet service, a critical mass must be
achieved in order for widespread market appeal to materialize.[^217]

Many analysts believe, however, that the mobile data sector has turned a
corner and that it is finally beginning to witness the long-promised
growth in demand and revenues to mobile telephone providers and other
wireless operators.[^218] Several developments are contributing to this
change. First, technologies offering somewhat faster data speeds are
beginning to be deployed and others with much faster speeds are on the
near horizon as the industry starts the transition to third generation
("3G") mobile telephone networks,[^219] which promise services such as
high-speed Internet access and mobile video conferencing. Second, recent
technological advances are helping to transform mobile telephone
handsets from simple voice tools to sophisticated data devices. These
advances include: Wireless Application Protocol ("WAP"), a
recently-developed protocol for wireless devices; Bluetooth, a
technology that allows devices such as mobile handsets and laptop
computers to interact without cables; and operating systems designed for
mobile telephones and other handheld computing devices. Third, as
evidenced in the wireline context, other technological advances and
proliferating applications have made wireline Internet use an everyday
event and have thereby increased the demand for mobile access to the
World Wide Web, e-mail, and e-commerce. The U.S. data services/Internet
market is not only sizeable (generating \$40 billion in annual revenues)
but is estimated to be growing at more than 30 percent annually.[^220]
In some markets, wireline data traffic is equal to wireline voice
traffic.[^221] In this regard, research indicates that existing mobile
telephone subscribers provide a large potential market of mobile data
users. For example, one study shows that 46 percent of mobile telephone
subscribers (or almost 40 million) have wired Internet access at
home.[^222] Wireless carriers are anxious to capture even a small
portion of such a vast market.[^223]

Other potential growth drivers of the mobile data sector include: the
tremendous growth in digital handset use; the low retail pricing for
short messaging service ("SMS"); and greater computer literacy.[^224]

Analysts forecast tremendous growth potential in the U.S. for mobile
data services.[^225] One forecast estimates that by 2002 wireless data
subscribers will outnumber wireline data subscribers.[^226] Another
analyst expects at least \$35-\$40 billion in revenues by 2007 -- an
annual growth rate of 25 to 30 percent---and 100 million subscribers
using some form of mobile data.[^227]

Much of what is driving estimates of the potential growth in U.S. mobile
data services is based on trends observed elsewhere. Japanese carrier
NTT Mobile Communications Network Inc. ("NTT DoCoMo"), for example,
launched its i-mode data service in February 1999 and within one year
had almost 5 million mobile data customers (or roughly 16 percent of its
total voice and data subscriber base) and by June had more than 7
million subscribers.[^228] As a result, one analyst estimates that NTT
DoCoMo is the largest Internet Service Provider ("ISP") in Japan.[^229]
Its i-mode service offers e-mail and Internet access at 9.6 kbps to a
mobile telephone handset. Service is offered on a per transmission basis
and the average incremental revenue per month to NTT DoCoMo for the
average i-mode user is \$11.20 to \$12.15.[^230] By February 2000,
i-mode subscribers had access to over 6,000 Web sites and content
provided by 341 companies.[^231]

For purposes of this report, the discussion of the mobile data services
sector is structured predominately according to the types of devices a
consumer would choose for his or her mobile data needs: mobile telephone
handsets, traditional paging and messaging devices, and other handset
devices. Short discussions on dedicated data networks and telemetry are
also included. This structure is somewhat arbitrary but convenient given
the current state of the mobile data sector. However, because the world
of mobile data services is rapidly evolving, due to the emergence of and
convergence of technologies and services, it is quite possible that next
year's report will be structured in a different manner.

### Data Services to Mobile Telephone Handsets 

To appreciate the types of data services available over mobile telephone
handsets, it is important to understand the evolution of mobile
telephone technologies from the first generation to the emerging third
generation ("3G") of mobile phones.[^232] The first generation of mobile
telephone network technologies, sometimes termed "1G," represented
pioneer analog cellular systems that permitted two-way voice
communications, circuit-switched data transmission, [^233] and, through
an upgrade, Cellular Digital Packet Data ("CDPD") services. In the
United States, the two original cellular carriers in each geographic
area deployed Advanced Mobile Phone Service ("AMPS"), which is still
widely used today.

In recent years, U.S. cellular and PCS operators have been actively
deploying their second-generation networks ("2G"). GSM, TDMA,[^234] and
CDMA are the 2G network technologies deployed in the United
States.[^235] 2G networks are the first digital mobile telephone
networks and offer voice services such as voice mail and caller ID as
well as SMS.[^236] In addition, the networks permit packet-switched and
circuit-switched data transmission at speeds of 9.6 to 19.2 kbps,[^237]
compared to traditional wireline rates up to 56 kbps and ISDN rates of
128 kbps. This means that a mobile user currently needs 10 minutes to
download a one megabyte file over a 2G network at 14.4 kbps compared to
less than 3 minutes using traditional wireline and only one minute using
ISDN. The fourth digital technology currently deployed by U.S. operators
is iDEN. As previously discussed, iDEN is a proprietary technology used
by some SMR operators, most notably Nextel.[^238] While iDEN is not
always classified within the 2G category, for purposes of this report,
iDEN will be discussed in the same section as the three other 2G
technologies.

International Mobile Telecommunications-2000 ("IMT-2000") is an
initiative of the International Telecommunication Union ("ITU") seeking
to integrate the various wireless systems, both fixed and mobile,
currently being deployed and developed under a family of standards to
promote global service capabilities and interoperability after the year
2000. These systems are known outside the ITU as third generation or 3G
systems.[^239] 3G technology promises Internet access with speeds up to
two megabits per second ("Mbps") from a fixed location, 384 kbps at
pedestrian speeds, and 144 kbps at traveling speeds of 100 kilometers
per hour.[^240] Planned 3G services include video and audio streaming
and location-based services that could, for example, notify travelers of
a concert in a city they are visiting.[^241] In May 2000, the ITU
adopted a recommendation that contained specifications for five IMT-2000
terrestrial radio interfaces: CDMA Direct Spread (also known as WCDMA),
[^242] CDMA Multi-Carrier (also known as cdma2000), TDMA Single Carrier
(also known as UWC-136), CDMA TDD, and FDMA/TDMA (also known as
DECT).[^243] According to the ITU, the specifications allow existing
mobile operators to seamlessly evolve their networks towards 3G service
capabilities and permit equipment vendors to build handsets that work
anywhere in the world irrespective of the specific network or radio
options chosen by the operator providing mobile services at that
specific location.[^244]

Many analysts believe that the transition to 3G will be accomplished in
phases. The first phase of 3G is often referred to as 2.5G.[^245]
Depending on the source, however, a technology may be classified as 2.5G
or 3G.[^246] For example, Enhanced Data for GSM Evolution ("EDGE"), a
major component in the UWC-136 standard that some TDMA carriers propose
deploying,[^247] is also compatible with GSM networks. Some sources
refer to EDGE as 2.5G, while others refer to it as a 3G
technology.[^248] Any categorization of technologies contained in this
report is intended merely to facilitate discussion and should not be
interpreted as a statement about how the Commission believes these
technologies should be classified.

Each 2G technology has different migration paths to 3G networks.
Depending on their particular situations, some carriers will choose to
take an incremental approach and upgrade to a high-speed 2.5G technology
while some operators may wait until 3G is available.[^249] Analysts
suggest that the migration path to 3G will depend in part on: (1)
whether the mobile operator is an incumbent or a new entrant; (2) what
2G standard the carrier's network is based on; (3) what investments have
been made for 2G; (4) the licensing regulations (whether spectrum is
available, number of 3G licenses awarded, and whether nationwide
coverage is required); (5) capacity constraints on the existing system;
(6) existing frequency range; (7) current demand for mobile data; and
(8) intensity of competition in the operator's market.[^250]

Analysts offer a wide range of dates for 3G deployment. However, many
analysts believe that Japan will be the first to launch 3G services,
followed by Europe and then the United States.[^251] Many European
countries are in the process of auctioning and/or licensing spectrum for
3G use.[^252] Most recently, the United Kingdom auctioned five
nationwide 3G licenses for \$35.5 billion.[^253]

Beyond the migration paths to 3G, mobile telephone operators must also
consider two other issues in order to provide mobile data services:
handset capabilities, and what services and products to offer. All three
issues are addressed below.

#### Migration Paths to 3G

In the United States, mobile telephone providers are beginning to deploy
2.5G technologies. Equipment manufacturers are in the process of
developing 3G equipment and operators are testing technologies. This
section briefly discusses the current mobile data capabilities of the
four digital mobile telephone technologies and the 2.5G and 3G software
and infrastructure upgrades available for each technology.[^254] The
discussion includes the theoretical data speeds for each upgrade and,
where available, the estimated cost of the upgrade. Because the cost
estimates are often quite specific to an operator's network, relevant
cost comparisons across various upgrades cannot be made. Technology
tests are also briefly discussed.[^255]

[*CDMA*.]{.underline} Several U.S. CDMA operators are offering
circuit-switched mobile data services at rates up to 14.4 kbps.[^256]
CDMA operators have several potential upgrades as they transition to 3G
networks. One such upgrade is IS-95B, which is a packet-based network
that combines 8 channels and is expected to offer data transmission
rates up to 64 kbps.[^257] Foreign carriers have begun to deploy
software upgrades in the core and radio networks for IS-95B at a cost of
\$50 to \$120 million per operator.[^258] According to analysts, SK
Telecom (Korea) began rolling out service in 1999, and DDI-IDO (Japan)
began offering service in early 2000.[^259] Thus far, no U.S. carriers
have announced their intent to deploy IS-95B.[^260]

QUALCOMM is developing a data-only upgrade to work with CDMA, called
High Data Rate ("HDR"), that offers data rates of up to 2.4 Mbps for
fixed applications using the existing 1.25 MHz channel.[^261] HDR
requires both hardware and software upgrades.[^262] According to
analysts, US WEST, Inc. ("US WEST," which was acquired by Qwest
Communications International, Inc. on June 30, 2000) and Cisco Systems
began a trial of HDR in 1999 and Korean Telecom Freetel plans to adopt
HDR in 2002.[^263]

1xRTT (Radio Transmission Technology, also referred to as cdma2000 Phase
1)[^264] will enable data speeds of up to 144 kbps.[^265] The technology
uses the same 1.25 MHz channel used by the existing 2G network (denoted
by the use of the term "1x").[^266] Unlike some of the other
technologies discussed, 1xRTT has the added benefit of doubling voice
capacity.[^267] The upgrade to 1xRTT requires operators to install new
cards at base stations,[^268] which Sprint PCS estimates will cost \$400
to \$600 million for its entire system.[^269] While existing CDMA
handsets will function on 1xRTT networks, they will not provide the
higher 1x data rates or help improve voice capacity.[^270] One analyst
believes that every major U.S. CDMA carrier will upgrade to 1xRTT
starting in 2001.[^271] For example, Sprint PCS is currently testing
1xRTT[^272] and according to an analyst plans initial deployment by
mid-2001.[^273] Verizon Wireless also plans to launch service in
2001.[^274] One analyst indicates that Telstra (Australia) plans to
begin 1xRTT trials in June 2000 and SK Telecom (Korea) plans to
introduce 1xRTT service in the fourth quarter of 2000.[^275]

In June, Lucent and Sprint PCS announced they would conduct a joint
trial of 1xEvolution technology ("1xEV") which is based on HDR and
incorporates the 1xRTT technology.[^276] According to the CDA
Development Group, 1xEV enables data capabilities of at least 2 Mbps and
even greater voice capacity in the existing 1.25 MHz channel.[^277] In
March, Nokia and Motorola announced the development the 1XTREME
technology that promises integrated voice and data with transmission
speeds up to 5.2 Mbps also in the existing 1.25 MHz channel.[^278]

3xRTT, or cdma2000 Phase 2, supports packet data rates of up to 2 Mbps
or higher depending on the user's mobility and requires 5 MHz of
spectrum.[^279] As its name implies, 3xRTT triples the bandwidth
capabilities and requires three of CDMA's 1.25 MHz channels.[^280]
Analysts indicate that a number of carriers are testing 3xRTT, including
Sprint PCS in conjunction with Nortel Networks.[^281] After 1xRTT, the
choice between the higher speed networks may depend on a carrier's
capital expenditure plans, spectrum considerations, and demands for
high-speed data services by customers.[^282]

The other CDMA-based 3G standard is WCDMA, which analysts anticipate
that many European carriers will deploy and which requires 5 MHz of
bandwidth.[^283] Contracts have been executed and based on analyst's
reports, several trials of WCDMA are in progress abroad including
efforts by Nortel and Vodafone (U.K.), and Ericsson and Telia
(Sweden).[^284]

Analysts note that while WCDMA and cdma2000 both use a CDMA air
interface, they are not compatible.[^285] The main difference between
WCDMA and cdma2000 is network synchronization.[^286] WCDMA is
asynchronous, requiring that it use a unique long code sequence per user
channel.[^287] Cdma2000, on the other hand, is synchronous, and can
therefore reuse the spreading codes through phase shifting.[^288]

*[TDMA]{.underline}*. TDMA networks have deployed a CDPD overlay to
enable packet data to be carried alongside voice traffic.[^289] CDPD
offers data speeds of up to 19.2 kbps.[^290] Several carriers, including
AT&T, have offered mobile data services for several years using a CDPD
overlay on its TDMA network.[^291]

TDMA carriers may deploy General Packet Radio Service ("GPRS") because
it is compatible with both TDMA and GSM networks. GPRS is a packet-based
data-only upgrade that ultimately allows data rates up to 115 kbps by
aggregating up to eight 14.4 kbps channels.[^292] In order to migrate to
EDGE, TDMA carriers will use a core GPRS backbone for IP and EDGE as the
radio interface technology.[^293] EDGE will provide the higher data
rates envisioned by 3G (up to 384 kbps), but according to analysts will
not offer voice-over-IP until 2003.[^294] EDGE is compatible with both
TDMA and GSM networks and will enable convergence of GSM and TDMA
technology.[^295] AT&T plans to use EDGE for its 3G strategy and has
announced commercial launch in 2002.[^296] According to analysts,
SBC/BellSouth plans to launch EDGE in late 2001 or early 2002.[^297]
Lucent and Ericsson are currently running trials with AT&T.[^298]

*[GSM]{.underline}*. The current data offerings of GSM operators include
SMS and circuit-switched data transmission at 9.6 kbps.[^299] A number
of potential upgrades have been developed. High Speed Circuit Switched
Data ("HSCSD") increases the bit rate to 14.4 kbps and, by combining
four channels, offers reported data rates of 57.6 kbps.[^300] Analysts
estimate that the software upgrade cost will be relatively low at \$20
million to \$30 million for European operators.[^301] Analysts believe
that if the demand for mobile Internet services does not materialize as
quickly as anticipated, then HSCSD may be an economical upgrade choice.
However, because HSCSD ties up four dedicated channels, it uses a large
amount of bandwidth and reduces voice capacity over the network. As data
traffic grows, this problem will be exacerbated.[^302] While HSCSD
infrastructure and handsets are available, some analysts believe that no
U.S. operator will deploy HSCSD.[^303] Several European operators,
including Sonera (Finland), Europolitan (Sweden), and E-Plus (Germany),
have deployed HSCSD networks.[^304]

In the U.S. and abroad, GPRS is believed by some analysts to be the
primary migration path for GSM operators due to its reliance on packet
rather than circuit switching.[^305] GPRS uses the same 200 KHz
bandwidth used for GSM voice calls.[^306] European operators estimate
that the upgrade from GSM to GPRS will cost from \$50 million to \$120
million.[^307] Among U.S. carriers, Omnipoint (prior to its merger with
VoiceStream) expected the upgrade to GPRS to cost less than \$10
million.[^308] VoiceStream indicates that most of the costs of the GPRS
upgrade were included in the company's original equipment cost estimates
and, therefore, the incremental costs will be insignificant.[^309] While
vendors have negotiated a number of GPRS contracts with both U.S.
operators and those abroad, handsets are not yet commercially
available.[^310] The first U.S. GPRS trial involving Omnipoint was
announced in December 1999, and an analyst reports that the merged
VoiceStream/Omnipoint/Aerial plans to launch services in the fourth
quarter of this year.[^311] The same analyst indicates that Powertel and
PacBell Wireless are also expected to begin deployment by the end of
this year.[^312] A number of GPRS trials are in progress abroad, and,
according to analysts, in November 1999 BT CellNet (U.K.) transmitted
the first GPRS data-transfer call.[^313] Reports indicate that BT
CellNet plans to launch service this summer.[^314]

Some GSM carriers plan to deploy EDGE as a migration path from GPRS.
EDGE uses the same 200 KHz of carrier bandwidth as GPRS but, based on
the numbers available for European operators, it is much more expensive
than either HSCSD or GPRS at \$300 million to \$600 million per
network.[^315] Worldwide, analysts believe that EDGE will be used by
carriers who do not obtain a 3G license but wish to upgrade their TDMA
systems, or by carriers who deploy 3G only in urban "islands" markets
and want to cover their rural and suburban markets with EDGE.[^316]
Analysts indicate that U.S. GSM operators are still evaluating the
deployment of EDGE.[^317] As noted above, analysts anticipate that many
3G European operators will deploy WCDMA.

*[iDEN]{.underline}*. The iDEN system is a communications system that
combines the capabilities of digital dispatch, digital cellular-like
interconnect, short messaging service, and both circuit switched and
packet switched data into a single system.[^318] iDEN packet data
permits end users access to kbps of effective throughput via a single 25
kHz channel.[^319] In April, Nextel launched Nextel Online, a wireless
Internet service for business customers offering speeds of 19.2
kbps.[^320] Service is available in 43 markets with full coverage
expected by mid-2000.[^321] For a further discussion of Nextel's
Internet service, *see* Section B.(ii), *infra*.

Southern LINC offers packet data and Internet services over its
iDEN-based network. To date, the company offers wireless Internet
dispatching services, public safety/law enforcement services, and "My
LINC" business services, which permit users to access news headlines,
weather reports and stock quotes; view and update their address book;
and send and receive e-mail.[^322]

iDEN operators have not publicly announced a migration path to 3G beyond
the existing iDEN technology.[^323] However, some analysts note that
iDEN operators may deploy EDGE and WCDMA.[^324]

#### Handset Capabilities

A variety of advanced handsets are already in use today, with many more
in development.[^325] Many analysts refer to these handsets as
"smartphones" that may include features such as a microprocessor,
memory, screen, built-in modem, microbrowser to access the Internet,
voice, access to e-mail, and PDA.[^326] Smartphone handsets are
available for all four digital technologies, and some work over multiple
spectrum bands.[^327] Handsets are currently available for some network
upgrades (*e.g.*, HSCSD) and are being developed for others (*e.g.*,
GPRS).[^328] Handsets for 3G are still in the trial and development
phase. Analysts note that 3G handsets will likely not only have to
support two or more 3G standards to permit roaming, but they will also
have to support existing 2G standards. This is because many 3G
technologies will be implemented in large population centers first, and
handsets will fall back onto 2G networks outside these areas.[^329] One
forecast predicts that handsets for WCDMA will debut in Japan in 2001,
followed by the cdma2000 handsets in Korea and possibly the United
States.[^330]

Beyond network upgrades, three other recent technological advances are
facilitating the transformation of mobile telephone handsets from simple
voice tools to sophisticated data devices. As noted above, these
advances include: WAP, a recently developed protocol for wireless
devices; Bluetooth, a technology that allows devices such as mobile
handsets and laptop computers to interact without cables; and, operating
systems designed for handheld devices.

##### WAP

Wireless Application Protocol, or WAP, is a set of technologies that
allows mobile phones, handheld computers, and other portable devices to
access the Internet. Ericsson, Nokia, Motorola, and a start-up software
company called Phone.com founded the WAP Forum in June 1997 to establish
a global, open industry standard for bringing the Internet to handheld
devices and wireless phones. WAP is a "technology enabler," meaning that
it is not a product itself but a set of non-proprietary standards that
the entire wireless data industry can use to develop its products.
Technically, it is referred to as a communications protocol
specification. The goal of WAP is to allow all wireless devices,
regardless of their manufacturer or network, to access the Internet in
essentially the same way.

WAP is a means of helping the wireless industry overcome the challenges
of accessing the Internet from a handheld device or wireless phone,
which is quite different from accessing the Internet from a desktop or
laptop computer. Handheld devices and wireless phones have smaller
screens, different keypads (usually numbers instead of QWERTY), less
memory, and a relatively short battery life. In addition, mobile
wireless networks, at least at the current time, are less predictable in
their availability and stability and are slower than wireline networks.
Furthermore, wireless users generally demand products and services that
are quick and easy to use, and often use their handhelds to accomplish
small, specific tasks, while possibly doing other things simultaneously.
Mobile handset users are also more price-sensitive than PC users; a \$50
difference in price is small for a PC, but is significant for a handset.
Producers of mobile handheld devices must therefore add significant
value at a low cost, and WAP allows them to do this.[^331]

*[Industry Cooperation]{.underline}*. WAP has been developed and
supported by nearly the entire wireless industry and is the product of
its cooperation. Since 1997, more than 200 companies have joined the WAP
Forum,[^332] including wireless carriers with more than 100 million
subscribers worldwide.[^333] Handset manufacturers with a combined
global market share of 90 percent have committed to shipping WAP-enabled
devices.[^334] This will reportedly lead to the availability of tens of
millions of WAP products by the end of 2000.[^335] Because of the broad
acceptance of WAP by the industry, thousands of third-party developers
have begun to build WAP-based products and applications.[^336]

WAP allows the different segments of the wireless industry -- equipment
manufacturers, network operators, and application and content providers
-- to develop products that are independent from yet interoperable with
the products of the other segments. WAP is designed to work on any
mobile device that meets minimum specifications and on any mobile
telephone network -- CDMA, TDMA, GSM, or iDEN -- regardless of its
protocol.[^337] While the WAP specification works across different types
of wireless technologies, companies can still layer their own unique
features on top of WAP in order to differentiate their products. WAP can
also evolve as wireless networks increase in bandwidth and carriers
develop new applications for wireless phones.[^338] WAP allows all Web
content and applications for mobile devices to be hosted on standard Web
servers,[^339] and WAP can also be used with any operating system.[^340]
Because the WAP specification is open and public, mobile device
manufacturers can integrate it at minimal cost.[^341]

While WAP has many positive features, some members of the wireless
industry note that certain problems with the standard have arisen with
its implementation. For example, the way in which vendors have
integrated WAP into their products has sometimes made those products
incompatible with others. A WAP-enabled phone made by Nokia reportedly
has had difficulty interacting with a WAP server made by Phone.com, and
some additional problems have arisen with the interoperability of
applications.[^342] Another criticism of WAP has been the lack of an
end-to-end security solution to enable e-commerce applications.[^343]
Some companies view WAP as one of many interfaces and as an interim step
in mobile data evolution.[^344]

*[Current WAP Offerings]{.underline}*. A few equipment manufacturers
have developed WAP-enabled handsets, and a few carriers worldwide are
currently offering Web-based services with these handsets.[^345] For
example, Nokia began shipping its first WAP-enabled phone, "the 7110,"
in September 1999 and had shipped 100,000 units by November 1999.[^346]
For a further overview of rollouts of WAP-enabled phones worldwide, see
Table 6 in Appendix C. It is estimated that by 2004, 95 percent of
mobile phones sold will be WAP-enabled.[^347]

##### Bluetooth

Bluetooth is a protocol standard for establishing a wireless connection
between electronic devices that are up to 10 meters apart.[^348] It uses
unlicensed spectrum in the 2.45 GHz band and can send signals in all
directions, without a direct line of sight.[^349] Connectivity speeds
are expected to reach up to 1 Mbps.[^350] Bluetooth was initially
developed by Ericsson, Nokia, Intel, IBM, and Toshiba,[^351] and is now
backed by over 1,400 companies worldwide,[^352] including Microsoft,
Lucent, Motorola, and 3Com.[^353]

Bluetooth eliminates the need for cables and other PC hardware
accessories. It can be used to connect devices such as mobile and
wireline phones, handheld devices, personal computers, computer
accessories, digital cameras, kitchen and household appliances, and
electronic car devices to each other and to the Internet -- essentially
creating a wireless LAN in one's home. A user could, for example, send
documents from a laptop to a printer or desktop computer without using a
cable. Some more futuristic examples include using Bluetooth to start a
car from inside without going outside or to turn on the dishwasher at
home from an Internet connection at work. In order for devices to "talk"
to each other they must have a Bluetooth transceiver or set of
Bluetooth-enabled chips. Analysts expect that chips will cost \$20 to
\$30 initially but that prices will fall as volume increases.[^354]

The first Bluetooth software development kit, which companies can use to
integrate Bluetooth into their products, was made available in April
2000.[^355] In November 1999, Ericsson unveiled a Bluetooth-enabled
wireless headset that allows people to answer their wireless phones from
up to 30 feet away.[^356] Analysts believe that most of the initial
Bluetooth-enabled products will be laptops, wireless phones, and
PDAs.[^357] Analysts also predict that by the end of 2003, 70 percent of
mobile phones will incorporate Bluetooth and a total of 200 million
Bluetooth-enabled devices will have been shipped.[^358]

##### Operating Systems

Operating systems are software programs that manage the basic operations
of a computer system. The operations include memory apportionment, the
order and method of handling tasks, and flow of information into and out
of the main processor and to peripherals (*e.g.*, printers).[^359]
Operating systems perform similar functions on mobile handsets and
facilitate the provision of mobile data services.

A number of operating systems compete to serve the mobile telephone
handset sector, including Pocket PC, Palm OS, and EPOC. Pocket PC is the
successor to Microsoft's Windows CE system and includes features such as
Word and Excel.[^360] Pocket PC operates as a slimmed down version of
Windows for the desktop PC and is compatible with existing Internet
protocols. Pocket PC operates on a number of devices, which are
discussed in Section 5, *infra*.

Palm Inc. promotes its Palm OS operating system. In addition to
functioning as the operating system for Palm Inc.'s line of Palm PDA
devices, Palm OS is installed on Kyocera's pdQ phone.[^361]

In 1998, Nokia, Ericsson, Motorola, and Psion Software joined to form
Symbian to develop the software and hardware standards for the next
generation of wireless smart phones and other handheld devices.[^362]
Symbian's operating system is EPOC, which uses the WAP protocol. Sun,
Phillips, and NTT DoCoMo have joined the Symbian alliance and licensed
EPOC. Most recently, IBM, with support from a number of other entities,
announced plans to develop an open, scalable platform based on
EPOC.[^363]

It is too early to determine whether any of the operating systems
discussed above will ultimately dominate the handset market as Palm has
thus far dominated the handheld device market.[^364]

#### Services and Products

In order to be successful, providers must determine what mobile data
services end users demand.[^365] One analyst anticipates two groups of
users: "casual data users" who receive certain preselected information
on a periodic basis, including short messages and Internet e-mail sent
to and from mobile devices, and "interactive data users" who will
routinely access e-mail, Web services, or e-commerce on a wireless
basis.[^366] The same analyst believes that casual data user revenues
will amount to \$8 billion by 2007, with over one-third of the total
attributed to mobile phone subscribers using their wireless phones for
data services.[^367] Interactive data users will require a more powerful
access device such as a laptop with wireless modem, a Palm VII, or a
smartphone handset such as the Nokia 9000 Communicator.[^368]
Interactive data users are anticipated to include both individual
consumers and businesses, although businesses will constitute the bulk
of the market in early years.[^369] This analyst forecasts that by 2007
annual revenues attributable to interactive data users will reach \$7
billion for mobile e-mail and \$11 billion for mobile Internet.[^370]

The earliest offerings over the four existing digital networks have
consisted primarily of one-way SMS. However, carriers are starting to
offer more sophisticated data services, including Internet access and
e-mail, e-commerce, and location-based services such as roadside
assistance and mobile yellow pages.

##### SMS 

Short messaging service provides the ability to send and receive text
messages to and from mobile handsets with message length ranging from
140 to 256 characters.[^371] SMS can be used to deliver a wide range of
information to mobile users, including stock prices, sport scores,
weather reports, and horoscopes. All four digital networks are capable
of offering SMS over many of their handsets.[^372] Most carriers charge
between \$2 and \$10 per month for SMS, but a few carriers offer
subscribers SMS at no charge.[^373] One analyst estimates that by 2003
over 66 percent of all wireless subscribers will use SMS to send and
receive messages, get information, make data inquiries, and schedule
reservations.[^374]

SMS is particularly popular in Europe. By April 1999, customers in the
European Union were transmitting one billion short messages per
month.[^375] Sonera (Finland) reports that by year-end 1999 more than 60
percent of its 2.1 million subscribers were using SMS and averaged 21
messages per month.[^376]

##### Internet Access

A number of U.S. operators are currently offering mobile Internet access
at rates of 9.6 kbps to 19.2 kbps. The services vary in terms of what
content can be accessed, how content is accessed, and the costs
associated with accessing content. This subsection begins with a
discussion of the Internet access offerings of several U.S. operators
and very briefly touches on the type of content that operators are
offering as well as the associated costs. The subsection concludes with
a brief summary of how carriers are delivering content to their mobile
Internet subscribers.

*[Carrier Offerings]{.underline}*. Three examples of carriers offering
Internet access services are Sprint PCS, AT&T, and Nextel. A more
detailed list of carriers' offerings is provided in Appendix C, Table 7.
On September 20, 1999, Sprint PCS launched nationwide Wireless Web
service offering connectivity up to 14.4 kbps through both an
Internet-ready handset and connected to a laptop using their handset in
place of a modem.[^377] Initially, Wireless Web's content included
Yahoo!'s "My Yahoo!," which allows a user to customize content directly
from the Yahoo! Web site that is sent to the wireless handset.[^378] The
offerings have been increased to include MapQuest, InfoSpace, Bloomberg,
and Amazon.com, among other services.[^379] Sprint PCS offers three
pricing plans for its Wireless Web service.[^380] As of year-end 1999,
Sprint had a low single digit percentage of its customer base
subscribing to its lowest cost Wireless Web service (\$9.95 per
month).[^381]

AT&T's PocketNet, a mobile Internet phone and data service offered over
CDPD for several years, covers a total of 145 million POPs including
areas covered by roaming agreements.[^382] CDPD permits data speeds up
to 19.2 kbps.[^383] In May 2000, AT&T repackaged its PocketNet service
by offering existing customers either: (1) free access to 40 Web sites
for existing AT&T customers or (2) a \$6.99 or \$14.99 per month plan
for additional services including e-mail, faxing, calendars, and access
to additional Web sites.[^384] AT&T offers its PocketNet subscribers
access to a number of Web sites including E\*Trade, MapQuest, Barnes and
Noble.com, and abcnews.com.[^385] As of summer, AT&T had more than
100,000 PocketNet customers.[^386]

In April 2000, Nextel launched Nextel Online, a wireless Internet
service offering data speeds up to 19.2 kbps for business
customers.[^387] Service is available in 43 markets with full coverage
expected by mid-2000.[^388] Nextel offers flat-rate pricing beginning at
\$14.95 per month and unlimited access to online content and
commerce.[^389] Nextel is partnering with Microsoft's MSN and offers
access to services such as MSN Hotmail, MoneyCentral, and
Expedia.com.[^390] No subscribership figures are available at this time.

While some mobile telephone operators currently offer price per minute
or fixed bucket of minutes' data plans, analysts believe that ultimately
flat rate pricing will be necessary since users are accustomed to that
pricing structure.[^391]

*[Content]{.underline}*. As noted briefly above, operators are pursuing
a number of methods to provide content to subscribers, including
alliances with wireless portal providers and the creation of their own
wireless Internet portals. Analysts note that a portal may be a great
way to promote new mobile service and products.[^392] Eventually,
similar to wired Internet portal providers, analysts believe that
wireless Internet portal providers should be able to charge a commission
for transactions completed at their Internet portals as well as charge
for advertising.[^393] For example, customers signing on to Sprint's
Wireless Web service are sent to Sprint's home page, and Yahoo! and AOL
are listed as links.[^394] Sprint receives revenues from the companies
when it sends customers to either Yahoo! or AOL.[^395]

There are many players positioning themselves to enter the wireless
Internet portal market. In addition to those mentioned above, a number
of carrier/portal alliances have been announced, including: AOL and
Nextel; Infospace and GTE Wireless; and Excite and NTT DoCoMo.[^396] In
addition, several European carriers have already launched wireless
portals, including Orange (UK)[^397] and Telia Mobile (Sweden).[^398]
Sonera (Finland) has developed a portal called "Zed" that allows users
to set up and manage their accounts and personal home pages through the
Internet, and then access them over their handsets.[^399] As of the end
of January 2000, Zed had more than 600,000 users.[^400] For additional
wireless portals, see Appendix C, Table 8.

At this early stage, the service models are still in flux, with ISPs and
even mobile operators creating integrated and seamless portals (often
including customer service and account access) or choosing to maintain a
separate stand-alone portal as a related, but unique operation. At the
same time, portals such as Yahoo! are providing formatting that allows
Web-enabled phones/PDAs access to content. The lines continue to blur
between service providers, content providers, and hardware providers.

##### E-Commerce

The Internet offers users a variety of e-commerce applications
including, the ability to pay bills online, trade stocks, participate in
auctions, and purchase a seemingly endless array of goods and services
from around the globe.[^401] Some analysts believe that mobile
e-commerce, or what is sometimes referred to as "m-commerce," will
generate revenues of \$23 billion by 2004.[^402] However, others believe
that the type of lengthy Internet browsing that is typically done from
desktop computers will not be as widespread on mobile devices because of
physical limitations, such as screen size, that will persist despite the
technological advances outlined above. Instead, mobile data users will
desire more limited information quickly.[^403] As a result, these
analysts believe that e-commerce applications such as accessing bank
accounts, transferring funds, or executing stock trades, which typically
do not require lengthy browsing sessions, will be quite popular among
mobile data subscribers.[^404]

##### Location-Based Services 

A number of location technologies have been developed that will be used
by wireless carriers to offer enhanced 911 access to mobile telephone
handsets.[^405] Network-based solutions use radio-signal-processing
methods.[^406] Some handset-based solutions use the U.S. military's
Global Positioning System[^407] ("GPS") satellites.[^408] Such so-called
"hybrid" systems use upgrades to the network and handsets, but do not
rely on the GPS system.[^409]

Location technologies can also be used by wireless carriers to deliver
commercially valuable, location-specific information such as roadside
assistance, mobile yellow pages, direction services, and asset tracking,
to users of various wireless devices.[^410] For example, Sprint PCS
offers the location-based information services of Go2 Systems Inc.
("Go2") to its Wireless Web subscribers.[^411] Subscribers can access
more than 300 sites including services such as hotels and banking.[^412]
Currently, the customer's location is determined either through manual
input of their present location or through customer selection from a
preprogrammed list of locations (*e.g.*, office).[^413] One company
called InfoMove combines the Internet, wireless (via CDPD), automotive,
GPS, and text-to-speech technologies to help carriers deliver Internet
information to commuting consumers. According to the company's plan,
drivers can place their palm-sized PC, handheld PC or Internet-ready
handset in a cradle in their cars. Customers then receive personalized
content instantly, including real-time traffic advisories, audible
directions, vehicle diagnostics and maintenance alerts, emergency
services, location-based advertising, and text-to-speech e-mail
capabilities.[^414] InfoMove anticipates that service will be available
in the third quarter of this year.[^415]

### Traditional Paging and MessagingBNumber range level2Number range level3 Devices

Since the writing of the *Fourth Report*, the paging/messaging
industry[^416] has continued its restructuring efforts in the face of
competition from mobile telephone carriers, who have rolled out digital
service in most major U.S. markets and lowered their monthly rates.
Paging/messaging operators are attempting to position themselves as
major players in the emerging mobile data sector. During 1999 and early
2000, several operators introduced two-way services that allow
subscribers to access e-mail and information from the Internet.[^417]
The two-way technology deployed in their networks also allows paging
companies to enter the largely untapped market of wireless telemetry.

During 1999, the paging industry experienced a slight increase in
subscribership and a drop in total revenue from its traditional one-way
business. However, many companies are using this traditional business,
which generally has positive earnings, to fund the deployment of more
expensive two-way networks.[^418]

This report's discussion of the paging/messaging industry begins with a
summary of the industry's performance and structure during 1999 and
includes information about specific carriers. This summary is followed
by an analysis of the strategies and operational trends employed by the
industry to compete with other CMRS carriers. These include the rollout
of two-way Internet-based services, the development of common standards,
and consolidation. The paging/messaging section concludes with an
assessment of competition and industry projections.

#### Paging Industry Structure and Performance

According to one analyst, the paging industry experienced slight growth
in subscribership during 1999, while its annual revenues
decreased.[^419] Based on this estimate, 700,000 new paging units
(including both one-way and advanced messaging) were added during 1999
for a total of 45.8 million units in service, an increase of 1.6 percent
over 1998.[^420] However, total revenues fell about 0.7 percent to
\$4.426 billion.[^421] Another analyst estimated 52.5 million units were
in service at year-end 1999, a 2.9 percent increase from the previous
year. That analyst calculated a 2 percent increase in one-way paging
subscribers and a 100 percent increase in two-way subscribers.[^422]

Paging Network, Inc. ("PageNet") remained the largest paging carrier in
1999 with 9 million subscribers.[^423] In November 1999, PageNet
announced its merger with the second largest paging carrier, Arch
Communications ("Arch"). The merger is discussed in detail below. Based
on 45.8 million subscribers, PageNet has 20 percent of all paging
customers, Arch has 15 percent, and Metrocall, Inc. ("Metrocall") has 13
percent. BellSouth Wireless Data ("BSWD") and Motient Corp. ("Motient,"
formerly American Mobile Satellite Communications, Inc.) also offer
two-way advanced messaging services nationwide in competition with
traditional paging companies, using the Mobitex and DataTAC network
technologies, respectively.[^424] In April 2000, Motient formed a
strategic alliance with Metrocall that will result in Metrocall
reselling Motient's services.[^425]

Three leading paging/messaging operators -- PageNet, WebLink Wireless,
Inc. ("WebLink," formerly PageMart Wireless), and SkyTel -- offer
nationwide facilities-based services using their narrowband PCS
licenses. A number of other narrowband PCS licensees, including Vodafone
and Metrocall, have negotiated strategic agreements with existing
narrowband PCS operators to initially resell services and then construct
their own facilities, sharing the capital and expenses with the existing
carriers.[^426]

At least two carriers are offering satellite-based paging
services.[^427] For example, QUALCOMM Inc. offers advanced messaging for
trucking companies using geostationary satellite ("GEO") systems, and
ORBCOMM Global LP offers two-way messaging using low earth orbiting
("LEO") satellite systems.[^428] Over 1,200 U.S. transportation fleets
use QUALCOMM's GEO-based system, called OmniTRACS, for two-way data
messaging and position tracking.[^429] In addition, most
paging/messaging carriers use satellites to backhaul traffic on their
networks.[^430]

#### Operational Trends and Competitive Strategies

Both analysts and members of the paging industry believe the plateau in
subscribership during 1999 was caused largely by heightened competition
from cellular and broadband PCS carriers.[^431] In 1999, mobile phone
operators improved, expanded, and lowered the price of their digital
voice services, which are often bundled with an SMS-based advanced
messaging component at little or no additional cost.[^432] These
developments continued to diminish the traditional advantages of paging,
which include size, unobtrusiveness, long battery life, price, and
nationwide and in-building coverage.[^433]

A December 1999 survey of paging customers by the Strategis Group
illustrates the declining demand for paging services.[^434] Of the
paging subscribers who intended to churn in the next three months, 65
percent stated they would discontinue paging service altogether.[^435]
Over 40 percent of paging customers stated they were likely to purchase
a mobile phone within the next year.[^436] Another study reported that
the purchase of a cellular phone is one of the top ten reasons paging
customers discontinue service.[^437] On the other hand, the number of
concurrent pager/mobile phone users has increased. In 1999, the total
was over 25 million -- a fivefold increase from 1994 and an 8 percent
increase from 1998.[^438] Fifty percent of Arch's customers and 60
percent of Metrocall's customers have both a pager and a mobile
phone.[^439] Analysts believe that traditional one-way paging will
continue to drop in subscribership and become a niche application,
rather than a mass-market product, used by certain types of
professionals such as doctors and engineers.[^440]

In late 1999, the average paging bill was only one-fifth of the average
cellular bill.[^441] However, mobile telephony providers are offering
more and more minutes per month for smaller increases in price.[^442]
Paging operators will face even greater competition as mobile telephony
operators add mobile data services such as Internet access to their
existing voice offerings.[^443] Paging carriers, however, tend to view
the Internet as an asset in their restructuring efforts, as many have
begun to integrate the Internet into their products in order to compete
in the mobile data sector.[^444]

##### Internet-Based, Two-Way Services 

As discussed in the *Fourth Report*, paging/messaging companies began
offering advanced services between 1995 and 1998.[^445] These advanced
services included text-to-speech messaging, 1.5-way guaranteed
messaging, two-way messaging, and some customized information
updates.[^446] The paging industry expanded these advanced services
during 1999 and early 2000 to include Internet-based offerings, such as
e-mail and customized Web content. And, like most of the other mobile
data devices on the market, many of the new advanced messaging units
include integrated PDA features, such as an address book, date book, and
to-do list.

BSWD, Motient, and SkyTel appear to be the furthest along in competing
in the emerging mobile data sector. SkyTel began deploying its two-way
network in 1995 and began offering service with the Motorola PageWriter
2000 in 1997.[^447] During 1999 and 2000, the three companies began
offering two-way, Internet-based mobile data services with interactive
pagers made by Research In Motion.[^448] Research In Motion also markets
a two-way messaging service under the name Blackberry. The devices have
a larger screen than most pagers and a small but full QWERTY keypad, are
smaller than a cigarette pack, and cost around \$400.[^449] With the
devices, users can send and receive Internet e-mail messages,[^450] as
well as receive customized information updates, such as stock quotes,
news headlines, and weather reports, from a variety of content
providers.[^451] The devices also include standard PDA features that can
be synchronized with desktop software.[^452]

In an effort to transition to Internet-based services, PageMart Wireless
changed its name to WebLink Wireless on December 1, 1999.[^453] In
October 1999, WebLink began marketing its e-Pager service; users'
devices have an e-mail address instead of a telephone number.[^454]
During 1999, PageNet and WebLink completed the deployment of the ReFLEX
25 two-way technology in their networks and awaited the availability of
ReFLEX 25-compatible end user devices from equipment manufacturers
Motorola and Glenayre. Before their network upgrades were complete and
devices available, both PageNet and WebLink resold SkyTel's two-way
services. In February 2000, both companies began offering two-way
services over their own networks.[^455] A summary of the advanced
messaging services offered by BSWD, Motient, SkyTel, PageNet, WebLink,
Vodafone, and other carriers can be found in Table 14 in Appendix C.

To strengthen their Internet-based, advanced messaging products, several
paging companies formed partnerships with Internet content providers,
ISPs, and PC manufacturers during the past year. Some analysts believe
that converging with the Internet is what will help the paging/messaging
industry remain viable.[^456] WebLink, for example, offers specialized
content to e-Pager subscribers from several Internet sites, including
Yahoo!, MSN.com, HitMeNow.com, BlueLight.com, and LynkUs.com.[^457]
Motient formed an alliance with GoAmerica Communications Corp, a leading
wireless Internet service and content provider. GoAmerica's Go.Web
service includes access to corporate intranets and personalized
Web-clipped content such as stock, news, travel, sports, and weather
updates.[^458] eBay initiated a one-way service through which SkyTel's
customers can receive auction updates notifying them when they have won
an auction, been outbid, or sold an item. eBay hopes to make the service
two-way in the future.[^459]

In February 2000, PSINet, a leading business ISP, bought a 9.9 percent
stake in Metrocall. Metrocall, PSINet, and two other companies that
invested in Metrocall agreed to form a joint venture called Inciscent
that will offer services such as Internet access, paging, two-way
wireless data, and e-mail hosting to small office/home office ("SOHO")
and medium-sized business customers.[^460]

In addition to offering Internet-based and two-way services, industry
analysts and players believe that paging companies will become important
providers of commercial telemetry services.[^461] Wireless telemetry is
the use of wireless technology by companies to monitor equipment in
remote locations.[^462] Telemetry transmissions work well over paging
and narrowband spectrum as they are short and low cost, and require
devices that are highly reliable and have a long battery life.[^463] One
analyst believes telemetry represents a substantially larger market than
the consumer advanced messaging services that compete with broadband
mobile phone services.[^464] *See* Section II.b, *infra*, for a more
complete discussion of telemetry services.

##### Common Standards

In 1999, an alliance of ten leading paging companies, including
Glenayre, Motorola, PageNet, WebLink, and SkyTel, agreed to adopt a
wireless transport communication protocol ("WTCP") that gives messaging
devices a common interface with the Internet.[^465] The protocol
prevents the fragmentation that could develop if different industry
players offered different products and services that did not work with
each other. It also ensures that application developers will have a
large enough market for their advanced messaging, e-commerce, and
telemetry products to make their investments profitable.[^466] WCTP has
not yet been made compatible with WAP,[^467] but analysts and companies
believe that doing so would be advantageous to paging companies, as it
would allow them to integrate the numerous applications currently being
developed for WAP.[^468] The Personal Communications Industry
Association ("PCIA"), the trade association of the paging/messaging
industry, approved WTCP in December 1999.[^469]

##### Consolidation 

There were two key acquisitions in the paging industry during 1999:
Arch/PageNet and WorldCom/SkyTel.[^470] In addition, Metrocall announced
its plans to acquire NationPage from AT&T in February 2000. NationPage
was once the paging subsidiary of Vanguard Cellular, a company acquired
by AT&T in May 1999, and is a leading regional paging/messaging provider
in Pennsylvania, New Jersey, and New York.[^471] The paging industry
views consolidation as a way to compete more effectively with wireless
phone operators, decrease costs, and increase interoperability.[^472]

*[Arch/PageNet]{.underline}*. In November 1999, the second largest
paging company, Arch,[^473] announced its plans to acquire PageNet, the
nation's largest paging operator. The Commission approved the companies'
transfer of licenses in April 2000.[^474] In order to expedite the
merger, PageNet filed for Chapter 11 bankruptcy protection on July 24,
2000.[^475] The merger is expected to close by the third quarter of
2000.[^476] Arch/PageNet will be the largest U.S. paging company, with
35 percent of the 50 million subscribers.[^477] As part of the merger
agreement, PageNet will spin off its wireless data subsidiary, Vast
Solutions.[^478] Vast Solutions was formed in January 1999 to develop
mobile data services and applications, especially integrated products
that large corporations could use to link their employees to intranets
and internal databases.[^479]

*[WorldCom/SkyTel]{.underline}*. On October 1, 1999, WorldCom completed
its acquisition of SkyTel.[^480] While many large telecommunications
companies had been divesting their paging units and many of the recent
paging mergers had been horizontal, the WorldCom/SkyTel merger was an
exception to both of those trends.[^481] Aside from its investment in
Metricom,[^482] WorldCom's only mobile wireless asset is SkyTel.
Analysts believe WorldCom recognized the trend towards Web-based,
wireless advanced messaging products and SkyTel's potential to serve
that market. SkyTel also allows WorldCom to bundle those products with
its other telecom offerings.[^483]

#### Conclusion

In the previous CMRS Competition Reports, the Commission concluded that
the paging segment of the CMRS industry was highly competitive. Despite
the recent merger of the largest and second-largest paging companies,
the Commission continues to believe that the paging/messaging industry
is highly competitive for a number of reasons. First, there is still an
average of 30 paging licensees serving each of the 25 largest cities in
the United States (not including resellers) and an average of 10 paging
licensees serving each of the 25 smallest MSAs.[^484] Second, the
spectrum capacity held by these firms should be sufficient to ensure
they can provide meaningful competition.[^485] Third, switching costs
for consumers remain relatively low. Fourth, as discussed above, paging
carriers are facing strong competition from other sectors of the
wireless industry.

Analysts consistently agree that paging's future is in advanced
services, including two-way and Internet-based products, [^486] and that
the industry currently has a window of opportunity in which to retain
its current one-way customers by offering them advanced services before
user-friendly, WAP-based Internet access technology becomes widespread
on mobile telephone handsets and other devices.[^487]

### Other Handheld Devices

Several PDAs, also referred to as handheld devices or palm pilots, now
offer users a wireless connection to the Internet, either through a
built-in wireless modem or a separate wireless modem card. The three
categories of wireless handheld devices discussed below are: 1) the Palm
devices made by Palm, Inc.; 2) the various Pocket PC and Windows CE
devices; and 3) the recently-unveiled Proton made by Research in
Motion.[^488] The Palm VII, the most advanced of the devices made by
Palm Inc., was the first PDA to connect directly to the Internet
wirelessly without an external device.[^489] Because of this innovation
and because Palm Inc. claims a large share -- 73 percent -- of the total
PDA market, our discussion of wireless handhelds initially focuses on
the Palm VII. The devices in the second category run Microsoft's Windows
CE or newer Pocket PC operating system and can connect to the Internet
via a separate wireless modem card or Internet-ready mobile phone. The
third category includes only the Proton, which, like the Palm VII, can
establish a wireless connection to the Internet through a built-in
modem.

*[Palm Inc. Devices]{.underline}*. Palm Inc. currently manufactures two
handheld devices that can connect to the Internet wirelessly. Both
contain all of the basic PDA features such as an address book, date
book, note pad, calculator, expense record, and data storage. Users of
the Palm V can access the Internet by attaching a separate wireless
modem, but the Palm VII has a built-in antenna and wireless connection
to the Internet. In addition, in April 2000, Palm Inc. announced it was
planning to sell new versions of the Palm III and Palm V with the
built-in wireless connection of the Palm VII.[^490]

Users of the two Palm devices discussed above can access the Internet
using a technology called "Web clipping." Web clipping allows the Palm
devices to display small amounts of text information from Internet sites
that have been specially designed for the proprietary Palm platform.
There are over 250 Web clipping applications that Palm users can
download from companies such as MapQuest, the Wall Street Journal,
Starbucks, and Travelocity. Users can access information from these
sites but cannot surf beyond them.[^491] While data transfer rates are
slow, about 8 kbps, Palm Inc. will cache some content for its users,
meaning that it will hold and constantly update Web-clipped sites that a
user visits frequently on its servers. Thus, cached sites can be
accessed faster than non-cached sites.

While Palm users can check e-mail, they can receive e-mail only that is
sent to their palm.net account, not to a different, pre-existing
account. However, they can send messages to any Internet e-mail address.
Palm devices do not automatically notify a user when an e-mail message
has been received; therefore, users must periodically dial in to check
the account.

The Palm VII currently costs approximately \$450,[^492] and monthly
connectivity charges are additional. In February 2000, Palm Inc.
introduced a flat rate pricing plan for Palm Internet access of \$44.95
per month for unlimited usage.[^493] For \$9.95 per month, users can get
50 kilobytes worth of e-mail and Internet content, or 150 screens of
information.[^494] For \$39.95 per month, they can receive 300
kilobytes, with additional kilobytes costing 20 cents each.[^495]

The Palm VII was released nationwide in the fall of 1999. Because the
Palm devices connect to the network of BellSouth Wireless Data, they can
be used in 260 major cities nationwide and have no roaming charges. Palm
Inc. had sold a total of 5 million Palm units (including those that do
not connect to the Internet) and a few thousand Palm VIIs as of the end
of 1999.[^496]

*[Pocket PC/Windows CE Devices]{.underline}*. In April 2000, Microsoft
launched its latest handheld operating system, Pocket PC.[^497] Pocket
PC is a more advanced version of Windows CE and includes PDA versions of
many of Microsoft's desktop software applications, such as Word, Excel,
and Outlook.[^498] Pocket PC also includes Pocket Internet Explorer,
which allows users to browse the entire Web, not Web-clipped
applications as with the Palm.[^499] As noted earlier, neither Windows
CE nor the newer Pocket PC devices have a built-in modem. Users must
therefore attach a separate wireless modem or an Internet-ready mobile
phone.[^500] Four companies, including Hewlett-Packard, Casio, Symbol,
and Compaq, manufacture handheld devices that run Pocket PC.[^501]

*[Proton]{.underline}*. In April 2000, RIM unveiled its wireless PDA,
called the Proton or RIM 957 Wireless Handheld.[^502] The Proton has
some of the same features as RIM's Blackberry Interactive Pager,[^503]
such as a wireless connection, a small QWERTY keypad and two-way e-mail
access. However, the Proton is larger, and has a bigger screen, more
memory, more advanced organizer software, and a WAP-enabled Web browser.
RIM began selling the devices in May 2000 at a price of \$499 with
unlimited monthly Internet access costing \$39. Like the Palm devices,
the Proton uses BSWD's network. However, the Proton has a built-in
instant messaging capability and therefore does not require users to
dial-in to check their e-mail accounts.[^504]

### Miscellaneous Data Devices

There are a number of other mobile data providers and services that do
not fall into the categories described above or that offer additional
services not included above. These include dedicated data networks and
telemetry services.

#### Dedicated Data Networks

There are a number of mobile data providers that offer only data
services. Many of these networks began by initially serving vertical
markets such as asset tracking and field service and have evolved to
serve horizontal markets such as messaging and Internet access. Examples
of dedicated data networks include Motient Network (formerly the ARDIS
Network),[^505] BSWD, Metricom, Inc. ("Metricom"), and Teletrac, Inc.
("Teletrac").

Motient Network is a packet-switched network offering applications such
as mobile e-mail and Internet access, telemetry, transportation and
package delivery, and field service.[^506] It operates in the 800 MHz
SMR band and had approximately 122,200 subscribers at year-end
1999.[^507] BSWD is also a packet-switched network operating in the 900
MHz band that primarily offers field service and dispatch
applications.[^508] In addition, BSWD provides the network over which
the Palm VII accesses the Internet.[^509]

Metricom offers packet-switched services using 900 MHz and 2.4 GHz
unlicensed spectrum, as well as 2.3 GHz Wireless Communications Service
("WCS") licensed spectrum. As of the end of 1999, Metricom was offering
Ricochet Wireless Internet service ("Ricochet") in a few metropolitan
areas and several airports and college campuses.[^510] Ricochet basic
service costs \$29.95 per month for unlimited Internet access from a
laptop through a Ricochet wireless modem and an e-mail account. In June
1999, WorldCom began reselling Ricochet.[^511] As of year-end 1999,
Metricom had 30,000 subscribers.[^512] While Metricom currently provides
data transmission speeds of 28.8 kbps, the company plans to upgrade its
network and offer data speeds exceeding 128 kbps by the end of summer
2000.[^513] By the end of summer 2001, Metricom plans to offer the
service in 46 markets covering 100 million POPs.[^514]

Teletrac offers vehicle location and two-way mobile data services to
approximately 3,200 corporate customers with 70,000 vehicles.[^515] It
operates over licensed frequencies in the 900 MHz band.[^516] Teletrac
provides service in 12 metropolitan markets and recently began to
provide vehicle location and two-way digital messaging to its customers
using CDPD and GPS by reselling CDPD airtime purchased from cellular
carriers.[^517] By using other carriers' facilities, this new service
allows the company to offer its services in additional markets.[^518]

#### Telemetry

Some companies also use wireless technology to monitor their equipment
in remote locations, generally referred to as wireless telemetry. One
common example of wireless telemetry is automatic meter reading
("AMR").[^519] Some utilities offer telemetry services more advanced
than simple AMR. For example, Puget Sound Energy in the Seattle
metropolitan area has created a two-way service that allows customers to
manage their energy consumption during peak hours and control their home
thermostats over the Internet.[^520]

Telemetry can also be used to monitor HVAC systems, gas and oil
pipelines, vending machines, alarm systems, parking meters,
streetlights, smoke/fire detectors, factory process systems, and
photocopiers. Wireless telemetry is also used to provide a variety of
vehicle tracking and location services.

The wireless telemetry market has grown since the publication of the
*Fourth Report*. In the past few years, utility deregulation has
prompted the growing use of AMR systems, as they increase utilities'
efficiency and quality of service while lowering their costs. For
example, Kansas City Power & Light has reportedly saved 100,000 trips by
repair crews to customers' homes because of AMR telemetry.[^521]

Both non-CMRS and CMRS providers are players in the telemetry market.
The two major non-CMRS providers are CellNet Data Systems, Inc.
("CellNet") and Itron, Inc ("Itron"). See Appendix C, Table 16 for an
overview of their services. Schlumberger Resource Management Systems,
which provides management services to energy and utility companies,
completed its acquisition of CellNet in May 2000.[^522] During 1999,
CellNet increased its telemetry base from two million to three million
units.[^523] In addition to AMR, the company provides remote monitoring
for photocopiers, vending machines, parking meters, and home security
systems.[^524] Itron focuses exclusively on providing AMR telemetry
equipment and is the leader in that market. As of December 31 1999,
Itron had shipped 15.4 million AMR units, a 14 percent increase from the
previous year, to over 500 utilities.[^525]

Most of the current CMRS telemetry providers are paging/messaging
carriers, including WebLink, SkyTel, Motient, and BSWD. As mentioned
earlier, many analysts and industry players believe that the telemetry
market represents a significant business opportunity for
paging/messaging carriers. GTE, Omnipoint, and Metricom also offer
telemetry services, and Aeris and Cellemetry, while not CMRS providers
themselves, use the cellular networks of CMRS providers to offer their
telemetry products.[^526]

Technological developments have aided the wireless telemetry industry
during the past year. For example, Telemetrix Technologies Inc., a
licensed broadband PCS operator and developer of broadband PCS-based
telemetry and telecommunications technologies, created and patented a
method of transmitting telemetry information using SMS
transmissions.[^527] Motorola also released its CreataLink 2 XT two-way
telemetry transceiver, which is based on its ReFLEX two-way messaging
protocol. The transceiver can be installed on and integrated into
various types of equipment, and users can connect to the transceiver via
a telephone, the Internet, or Motorola's PageWriter 2000.[^528]

## DispatchCNumber range level2

Dispatch services allow two-way, real-time, voice communications between
mobile units and fixed units (*e.g.*, between a taxicab dispatch office
and a taxi) or between two or more mobile units (*e.g.*, between a car
and a truck). Typical users of dispatch services include service and
delivery companies whose operations require their employees to
communicate with each other on a private (one-to-one) or group
(one-to-many) basis. Dispatch networks can also be designed to
interconnect with the PSTN. Dispatch service is provided on both a CMRS
and PMRS basis. It can be characterized as falling into three primary
segments. First, "trunked dispatch" includes firms offering on a
commercial basis both one-to-one and one-to-many calling services on
trunked systems[^529] employing either analog or digital network
architectures. These services are provided primarily by carriers
operating at 800 MHz, 900 MHz, and 220 MHz, but also by qualified
private land mobile operators.[^530] Note that as one part of trunked
dispatch, some dispatch service offered in the 800 MHz and 900 MHz bands
is referred to as Specialized Mobile Radio (SMR) service.[^531] Second,
"traditional dispatch" is non-interconnected, non-CMRS, dispatch service
provided on a for profit basis.[^532] Third, "private dispatch" refers
to in-house systems operated by companies and state and local
governments solely for their internal communications needs in support of
their own business operations.[^533] According to one analyst, there
were approximately 16.2 million private dispatch users in the United
States as of year-end 1999.[^534] However, this report will limit its
discussion of dispatch services primarily to trunked and traditional
dispatch. In addition, because industry sources often provide data using
a digital/analog distinction, we will sometimes use that breakdown for
purposes of this report.[^535]

### Commercial Dispatch Market Structure and Performance

One analyst finds that in 1999 the commercial dispatch industry's total
subscribership increased by 30 percent from 4.6 million in 1998 to 6.0
million,[^536] and that of the 1999 total, approximately 1.6 million, or
slightly more than 25 percent, were analog dispatch subscribers.[^537]
This total includes all Nextel subscribers. Nextel's primary service
offering, however, is essentially a bundle of services in at least two
markets, mobile voice and trunked dispatch. Thus, all Nextel subscribers
should not be counted in the dispatch sector, and estimates of the
dispatch sector that include all Nextel subscribers overstate the size
and concentration of that sector. In addition, Nextel's Direct Connect®
service option itself may be seen as providing more than trunked
dispatch, because to some degree it is a substitute for mobile voice
features such as speed dialing and conference calling. Thus, estimates
of dispatch that employ some pro-ration of Nextel subscribers based on
use of the Direct Connect® service option are inappropriate as
well.[^538]

While nationwide, summary measures are unavailable, it is nonetheless
true that local trunked dispatch markets are generally
concentrated.[^539] However, firms providing this service face
considerable competitive pressures because their customers possess
numerous competitive options. For some trunked dispatch users,
traditional dispatch services are likely to be a viable competitive
alternative. For large users, owning and operating private, internal
radio systems may be a competitive alternative. For some users, data
dispatch service will constitute an effective alternative. And finally,
as further discussed below, cellular and PCS firms are beginning to
provide price/service plans that are similar to Nextel's mobile voice
plus Direct Connect® service offering. Collectively, the various options
available to consumers should promote competitive performance in trunked
dispatch.[^540]

Focusing on SMR providers without regard to the particular service
markets involved, Nextel possesses by far the largest subscriber base.
Using its iDEN technology, Nextel provided service to roughly 4.5
million digital subscribers at the end of 1999, 62 percent more than the
2.8 million it served at the end of 1998.[^541] With 292,000 analog
subscribers,[^542] Nextel's share of the analog dispatch market
continues to decline, from 21 percent in 1998 to 18 percent in 1999, as
a result of Nextel's continued efforts to convert its analog networks to
digital networks (see *Analog Growth* and *Upper 800 MHz Band Relocation
Progress* below).[^543] The second largest dispatch operator in 1999 was
Southern LINC, with around 200,000 digital subscribers. The third
largest operator was Mobex, with 65,000 subscribers. Other significant
operators include the Chadmoore Wireless Group, Inc., with 37,000 analog
subscribers. In addition, there are a large number of small dispatch
operators covering localized areas, with less than \$5 million in annual
revenues.[^544]

### Major Trends and Developments

#### Competition from the Mobile Telephony Sector 

Non-SMR operators are now offering calling plans or services that
attempt to provide or compete with what is considered the distinctive
aspect of dispatch service: its group, or one-to-many, feature. A number
of mobile telephony providers now offer plans that allow unlimited
calling among members of a defined group, such as family-oriented price
plans, or among all of an operator's subscribers in a defined
area..[^545] In September 1999, under the Cellular One brand name, SBC
launched Cellular One to One, a service employing an Ericsson technology
enabling subscribers to make conference calls with up to 30 different
parties by dialing pre-programmed group numbers.[^546]

#### Analog Subscribership

Analog subscribership declined slightly in 1999. This is again primarily
due to Nextel's migration of its subscribers to its digital systems in
the 800 MHz band. Analog subscriber growth was positive, however, in the
non-800 MHz bands. While total analog subscribers in the 800 MHz band
declined 4 percent in 1999, analog subscribership grew 4 percent in the
900 MHz, 39 percent in the 450 MHz, and 35 percent in the 220 MHz. As
mentioned in the *Fourth Report*, this growth shows the continued demand
for cheaper, dispatch-only service that is generally provided by analog
operators.[^547]

#### 220 MHz Service

Licensees authorized in the Phase II 220 MHz Service are permitted to
provide voice, data, paging, and fixed communications.[^548] On October
22, 1998, the Commission completed the Phase II 220 MHz auction,[^549]
raising \$21 million.[^550] A second auction of FCC-held licenses began
on June 8, 1999, and closed on June 30, 1999.[^551] The second auction
offered a total of nine licenses in four Economic Area Groups ("EAGs")
and 216 licenses in 87 Economic Areas ("EAs"). The number of licenses
available in each EA ranged from one to five, while the number of
licenses available in each EAG ranged from two to three. No nationwide
licenses were available in this auction.[^552] The auction raised over
\$1.9 million, almost all from the top five bidders.[^553]

A supplier of 220 MHz equipment, Datamarine International, Inc. (selling
its equipment through its wholly owned subsidiary, SEA, Inc.), expects
the build-out of the 220 MHz band to increase demand for its
products.[^554] The company says it expects to ship large quantities of
220 MHz radios beginning in the third quarter of fiscal 2000.[^555]

#### Upper 800 MHz Band Relocation Progress

On December 8, 1997, the Commission completed an auction for the upper
200 channels in the 800 MHz SMR band.[^556] The license holders from
that auction are permitted to relocate incumbent licensees to comparable
spectrum.[^557] FCC rules provide for a one-year voluntary negotiation
period, followed by a one-year mandatory negotiation period between
incumbent licensees and the new EA licensees. Ultimately, the incumbent
operators face forced relocation if the new licensee so desires. The
voluntary negotiation period ended on December 4, 1999.[^558]

The largest of the upper 800 MHz licensees, Nextel, has reported little
conflict so far in its discussions of relocation with incumbents, with
only ten licensees indicating they were not interested in discussing
relocation voluntarily.[^559] Of all the approximately 400 negotiations
completed during the voluntary period, about two-thirds resulted in
Nextel acquiring the licenses held by incumbents, and one-third resulted
in the incumbents' systems being retuned to other frequencies. Those 800
Mhz licensees that have been relocated had their systems retuned almost
exclusively within the 800 MHz band.[^560] Nextel has indicated that it
is more interested in moving systems than in purchasing them during the
non-voluntary period.[^561]

The Commission has scheduled two more 800 MHz SMR auctions in August and
November 2000. In the SMR 800 MHz General Category auction 1,050
licenses will be available in the 851-854 MHz band, and in the SMR 800
MHz Lower 80 Channels auction 2,800 licenses will be available in the
856-860 band.[^562]

#### Geotek Bankruptcy and Nextel 

Geotek Communications, Inc. ("Geotek"), an SMR operator that used its
own patented technology in the 900 MHz band to provide a range of
telecommunications services to small- and medium-size businesses with
mobile fleets of vehicles, filed for Chapter 11 bankruptcy protection on
June 29, 1998.[^563] Although it originally planned to reorganize,
Geotek announced in October 1998 that it was shutting down its SMR
operations.[^564]

On February 12, 1999, Geotek's creditors selected Nextel to buy all 191
of its 900 MHz licenses[^565] for \$150 million, pending regulatory
approval.[^566] Four days later, Nextel and Geotek received permission
for the transaction from the Delaware Bankruptcy Court.[^567]

However, Nextel was subject to a 1995 Consent Decree it signed with the
Department of Justice settling an antitrust lawsuit.[^568] The Consent
Decree limited the number of licenses Nextel could acquire in the top 15
U.S. markets. The following day, Nextel filed suit in the U.S. District
Court for the District of Columbia to lift the Consent Decree limiting
its holdings in the 900 MHz band.

On March 5, 1999, Geotek filed applications jointly with its creditors
seeking Commission consent to assign its licenses to its primary secured
creditors, Wilmington Trust Company and Hughes Electronics Corporation
(collectively, the "creditors").[^569] On March 9, 1999, the creditors
and FCI 900, Inc. ("FCI 900"), a wholly owned subsidiary of Nextel,
filed applications with the Commission seeking consent to assign all of
these licenses to FCI 900.

In June 1999, Nextel and DOJ reached a settlement that provided for the
Consent Decree to terminate in October 2000. On December 16, 1999, the
U.S. District Court for the District of Columbia accepted the
settlement; as a result, the Consent Decree remains in effect until
October 2000.[^570] On December 17, 1999, Nextel requested that it be
permitted to withdraw the applications to assign to FCI 900 the licenses
covered by the Nextel Consent Decree.[^571]

On January 14, 2000, the Wireless Telecommunications Bureau ("Bureau")
granted applications for the assignment of licenses from the bankruptcy
estate of Geotek to the creditors, the further assignment of licenses in
markets not covered by the Consent Decree from the Creditors to FCI 900,
and the request to withdraw the FCI 900 applications for the Consent
Decree licenses.[^572] On August 4, 2000, the Bureau granted consent for
Neoworld License Holdings, Inc. ("Neoworld") to acquire from the
creditors the former Geotek licenses that Nextel cannot acquire as long
as the current Consent Decree with DOJ remains in force.[^573]

# CONCLUSION

Several key trends have marked the year since the release of the *Fourth
Report*. First, during 1999 mobile telephone subscribership increased by
24 percent and average MOUs increased by 38 percent, while, according to
the Bureau of Labor Statistics, the price of mobile telephone service
fell by 11.3 percent.[^574] Second, the deployment of digital technology
continued unabated. At the end of 1999, 51 percent of all mobile
telephone subscribers used digital phones, and 80 percent of all mobile
phones sold that year were digital.[^575] Third, mobile telephony
providers continued to build their nationwide footprints. Among the
major carriers, achieving a national presence and a nationwide
infrastructure are perceived as necessary to respond to consumer demands
for seamless service at reasonable prices. Fourth, the rapid development
of new mobile data technologies and applications for mobile data
services may set the stage for the take-off of the mobile data sector in
the coming years.

Between December 1998 and December 1999, five of the top 25 operators by
subscribership combined with other carriers. Furthermore, since the end
of 1999, five operators in the year-end 1999 top 25 have merged with
other carriers, and the merger of a fourth is currently pending before
the Commission. As was the case last year, the two most prominent
mergers involved large regional operators attempting to create
nationwide footprints in order to compete effectively with existing
nationwide operators.

Some analysts predict that the current consolidation will intensify
competition among nationwide wireless providers.[^576] Their reasoning
is that the cost savings made possible by operating large scale wireless
networks will push these carriers to extend innovative pricing plans,
such as DOR-type plans, to broader segments of the market.[^577] If
these predictions prove correct, the consolidations will benefit
consumers by reinforcing the downward trend in prices.

Indeed, there is some evidence that the addition of new nationwide
operators already may be contributing to decreasing prices. For example,
according to one survey, prices declined by approximately eight percent
during the last six months of 1999.[^578] In addition, the biggest price
declines came in price plans offering 150 minutes of talk time each
month, which dropped by 12 percent over the last six months of
1999.[^579] This may indicate that competition is continuing to make
mobile telephone services more affordable for all Americans and not just
those who can afford price plans that provide 500 or 1,000 minutes per
month. While estimates of average MOUs show year over year increases,
perhaps most interesting is that one analyst's estimates indicate that
mobile telephone customers' share of total voice MOUs has increased from
3.2 percent in 1997, to 4.5 percent in 1998, and to 7.1 percent in
1999.[^580]

Moreover, it is important to emphasize that, along with the process of
consolidation across geographic areas, the mobile telephone sector
continues to experience heightened competition within geographic areas
as a result of the expansion by broadband PCS carriers and Nextel. To
date, 222 million people, or 88 percent of the total U.S. population,
have three or more different operators (cellular, broadband PCS, and/or
Nextel) offering mobile telephone service in the counties in which they
live. Over 172 million people, or 69 percent of the U.S. population,
live in areas with five or more mobile telephone operators competing to
offer service. And 11 million people, or 4 percent of the population,
can choose from among seven different mobile telephone operators.

Competition has also been instrumental in reshaping the mobile data and
dispatch sectors. Paging operators, facing intense competition for a
base of paging customers that has not changed substantially, plus
heightened competition from cellular and broadband PCS operators, are
diversifying their operations by offering customers a variety of more
advanced mobile data services. Mobile telephone operators are joined by
other wireless entities such as satellite, dedicated data, and hand held
device providers in offering an impressive and ever-expanding variety of
mobile data services. Similarly, the dispatch sector is also facing
increased competition from both mobile telephone providers that are
beginning to offer dispatch services, as well as new SMR licensees
beginning to deploy their networks.

Finally, while analysts estimate that overall data traffic on mobile
networks has remained low at around 2 percent,[^581] the development of
new mobile data technologies and applications has been proceeding
rapidly. For example, CDMA operators are currently testing a network
technology that will permit mobile telephone customers to access the
Internet at speeds of up to ten times the current rate. Some operators
intend to begin commercial service as early as 2001. Many analysts
believe that these new wireless data technologies and applications will
drive the growth of mobile data services and the expansion of overall
wireless usage in the coming years.

# ADMINISTRATIVE MATTERS

This Fifth Report is issued pursuant to authority contained in Section
332 (c)(1)(C) of the Communications Act of 1934, as amended, 47 U.S.C. §
322 (c)(1)(C).

It is ORDERED that the Secretary shall send copies of this Report to the
appropriate committees and subcommittees of the United States House of
Representatives and the United States Senate.

FEDERAL COMMUNICATIONS COMMISSION

Magalie Roman Salas

Secretary

**APPENDIX A:**

**SPECTRUM AUCTIONS**

**[Table of Contents]{.underline}**

Table 1A: FCC Auctions Summary - Service Design A-2

Table 1B: FCC Auctions Summary - Auction Results A-4

Table 2: "Closed" Broadcast Auction #25 Results A-5

Table 3: 929 and 931 MHz Paging Service Auction #26 Results A-6

Table 4: Table 4: "Closed" Broadcast Auction #27 Results A-8

Table 5: Broadcast Auction #28 Results A-8

Table 6: 39 GHz Auction #30 Results A-8

**Table 1A: FCC Auctions Summary -**

**Service Design**

+---+--------------+-------+-------+---------------+--------+--------+
| * |              | **N   | **    | **Spectrum    | *      | **S    |
| * |              | umber | Geogr | per license** | *Total | ervice |
| A |              | of    | aphic |               | Sp     | D      |
| u |              | Lic   | Li    |               | ectrum | escrip |
| c |              | enses | cense |               | (in    | tion** |
| t |              | (1)** | S     |               | megahe |        |
| i |              |       | cheme |               | rtz)** |        |
| o |              |       | (2)** |               |        |        |
| n |              |       |       |               |        |        |
| N |              |       |       |               |        |        |
| u |              |       |       |               |        |        |
| m |              |       |       |               |        |        |
| b |              |       |       |               |        |        |
| e |              |       |       |               |        |        |
| r |              |       |       |               |        |        |
| a |              |       |       |               |        |        |
| n |              |       |       |               |        |        |
| d |              |       |       |               |        |        |
| N |              |       |       |               |        |        |
| a |              |       |       |               |        |        |
| m |              |       |       |               |        |        |
| e |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Nationwide | 11    | Natio | 11 blocks, 5  | 0.7875 | Ad     |
| * | Narrowband   | (3)   | nwide | = 50/50 KHz,  | MHz    | vanced |
| 1 | PCS**        |       |       | 3 = 50/12.5   |        | pagin  |
| * |              |       |       | KHz, 2 = 50   |        | g/data |
| * |              |       |       | KHz           |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | *            | 594   | MSA   | 2 blocks of   | 1 MHz  | Inter  |
| * | *Interactive |       |       | 500 kHz       |        | active |
| 2 | Video and    |       |       |               |        | data   |
| * | Data         |       |       |               |        |        |
| * | Service**    |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Regional   | 30    | Reg   | 6 blocks, 2 = | 0.45   | Ad     |
| * | Narrowband   |       | ional | 50/50 KHz, 4  | MHz    | vanced |
| 3 | PCS**        |       |       | = 50/12.5 KHz |        | pagin  |
| * |              |       |       |               |        | g/data |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **A & B      | 102   | MTA   | 2 blocks of   | 60 MHz | Mobile |
| * | block        | (4)   |       | 30 MHz        |        | voice  |
| 4 | Broadband    |       |       |               |        | and    |
| * | PCS**        |       |       |               |        | data   |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **C block    | 493   | BTA   | 1 block of 30 | 30 MHz | Mobile |
| * | Broadband    |       |       | MHz or 2      |        | voice  |
| 5 | PCS (5)**    |       |       | blocks of 15  |        | and    |
| / |              |       |       | MHz           |        | data   |
| 1 |              |       |       |               |        |        |
| 0 |              |       |       |               |        |        |
| / |              |       |       |               |        |        |
| 2 |              |       |       |               |        |        |
| 2 |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **           | 493   | BTA   | Max of 13     | 78 MHz | Wi     |
| * | Multichannel |       |       | channels of 6 | (6)    | reless |
| 6 | Distribution |       |       | MHz           |        | cable  |
| * | Service**    |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **900 MHz    | 1020  | MTA   | 20 blocks of  | 5 MHz  | Mobile |
| * | Specialized  |       |       | 25 KHz        |        | voice  |
| 7 | Mobile       |       |       |               |        | and    |
| * | Radio**      |       |       |               |        | data   |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Digital    | 1     | Full  | 500 MHz       | 437.5  | Multic |
| * | Broadcast    |       | US    |               | MHz    | hannel |
| 8 | Service      |       | Cov   |               |        | video  |
| * | (7)**        |       | erage |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Digital    | 1     | Pa    | Uses same     | 375    | Multic |
| * | Broadcast    |       | rtial | spectrum as   | MHz    | hannel |
| 9 | Service      |       | US    | full coverage |        | video  |
| * | (7)**        |       | Cov   | license       |        |        |
| * |              |       | erage |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **D, E, & F  | 1479  | BTA   | 3 blocks of   | 30 MHz | Mobile |
| * | block        |       |       | 10 MHz        |        | voice  |
| 1 | Broadband    |       |       |               |        | and    |
| 1 | PCS (8)**    |       |       |               |        | data   |
| / |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
|   |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| 2 |              |       |       |               |        |        |
| 2 |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Cellular   | 14    | MS    | 2 blocks of   | 50 MHz | Mobile |
| * | Unserved**   |       | A/RSA | 25 MHz        |        | voice  |
| 1 |              |       |       |               |        | and    |
| 2 |              |       |       |               |        | data   |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | *            | 981   | MS    | 2 blocks of   | 1 MHz  | Inter  |
| * | *Interactive |       | A/RSA | 500 KHz       |        | active |
| 1 | Video and    |       |       |               |        | data   |
| 3 | Data         |       |       |               |        |        |
| * | Service**    |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Wireless   | 128   | MEA   | 4 blocks, 2 = | 30 MHz | \(9\)  |
| * | Co           |       | /REAG | 10 MHz, 2 = 5 |        |        |
| 1 | mmunications |       |       | MHz           |        |        |
| 4 | Service**    |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Digital    | 2     | Full  | 2 blocks of   | 25 MHz | Multic |
| * | Audio Radio  |       | US    | 12.5 MHz      |        | hannel |
| 1 | Service**    |       | Cov   |               |        | audio  |
| 5 |              |       | erage |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Upper 800  | 525   | EA    | 3 blocks, 1   | **1**0 | Mobile |
| * | MHz          |       |       | MHz, 3 MHz ,  | MHz    | voice  |
| 1 | Specialized  |       |       | and 6 MHz     |        | and    |
| 6 | Mobile       |       |       |               |        | data   |
| * | Radio**      |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Local      | 986   | BTA   | 2 blocks,     | 1300   | Fixed  |
| * | Multipoint   | (10)  |       | 1150 MHz and  | MHz    | voice, |
| 1 | Distribution |       |       | 150 MHz       |        | data   |
| 7 | Service**    |       |       |               |        | and    |
| / |              |       |       |               |        | video  |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
|   |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| 2 |              |       |       |               |        |        |
| 3 |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **220 MHz**  | 908   | Nati  | 13 blocks, 3  | 1.55   | Voice, |
| * |              |       | onal, | = 100 KHz, 5  | MHz    | data,  |
| 1 |              |       | EAG,  | = 100 KHz, 5  |        | p      |
| 8 |              |       | EA    | = 150 KHz     |        | aging, |
| / |              |       |       |               |        | fixed  |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
|   |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| 2 |              |       |       |               |        |        |
| 4 |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **General    | 875   | EA    | 5 blocks of 5 | 25 MHz | \(11\) |
| * | Wireless     |       |       | MHz           |        |        |
| 1 | Co           |       |       |               |        |        |
| 9 | mmunications |       |       |               |        |        |
| * | Service**    |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **VHF Public | 42    | Pub.  | 1 block       | 350 to | Fixed  |
| * | Coast**      |       | Coast | between 350   | 500    | and    |
| 2 |              |       | St    | and 500 KHz   | kHz    | mobile |
| 0 |              |       | ation |               |        |        |
| * |              |       | Areas |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **Location   | 528   | EA    | 3 blocks, 2 = | 14.25  | Mobile |
| * | and          |       |       | 6 MHz, 1 =    | MHz    | tel    |
| 2 | Monitoring   |       |       | 2.25 MHz      |        | emetry |
| 1 | Service**    |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **\"Closed\" | 118   | n/a   | \(12\)        | \(12\) | Bro    |
| * | Broadcast**  |       |       |               |        | adcast |
| 2 |              |       |       |               |        | TV and |
| 5 |              |       |       |               |        | radio  |
| / |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
|   |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| 2 |              |       |       |               |        |        |
| 7 |              |       |       |               |        |        |
| / |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
|   |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| 2 |              |       |       |               |        |        |
| 8 |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **929 and    | 2,499 | MEA   | 49 blocks of  | 790    | Paging |
| * | 931 MHz      |       |       | 20 kHz, 12 in | kHz    | and    |
| 2 | Paging       |       |       | 929 Band, 37  |        | mes    |
| 6 | Service**    |       |       | in 931 band.  |        | saging |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+
| * | **39 GHz**   | 2,450 | EA    | 14 Blocks of  | 1400   | Fixed  |
| * |              |       |       | 100 MHz       | MHz    | (13)   |
| 3 |              |       |       |               |        |        |
| 0 |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
| * |              |       |       |               |        |        |
+---+--------------+-------+-------+---------------+--------+--------+

Source: Federal Communications Commission

\(1\) This is the total number of licenses initially auctioned in each
service. It does not take into account any partitioning and
disaggregation activity. Some of these licenses may not have been
granted.

\(2\) MTAs = Major Trading Areas, BTAs = Basic Trading Areas, MSAs =
Metropolitan Statistical Areas, RSAs = Rural Service Areas, MEAs = Major
Economic Areas, REAGs = Regional Economic Area Groups, EAs = Economic
Areas.

\(3\) Includes one pioneer preference license.

\(4\) Includes three pioneer preference licenses.

\(5\) To date, three auctions have been completed that included C block
PCS licenses, the original and two reauctions.

\(6\) To be precise, Multipoint Distribution Service ( MDS ) total
spectrum should be 76 MHz because Channel 2 was originally 6 MHz only in
the top 50 markets. In the rest of the markets, it was Channel 2A with 4
MHz. As noted in the MDS Auction Procedures, Terms, and Conditions: \"In
1992, the 2160-2162 MHz frequency was reallocated to emerging
technologies, and thus, any subsequent MDS use of these 2 MHz will be
secondary.\"

\(7\) There is a total of 500 MHz of DBS downlink spectrum available.
The same spectrum can be reused at each of the eight U.S. DBS orbital
slots. The figures in the table are (28/32) x500 and (24/32) x500,
respectively, but they each refer to portions of the same 500 MHz of
spectrum.

\(8\) To date, two auctions have been completed that included DEF block
PCS licenses, the original and one reauction.

\(9\) WCS is permitted to implement a wide range of services, subject to
FCC engineering requirements, including fixed, mobile, radio location,
and broadcasting-satellite (sound) service.

\(10\) Cellularvision, Inc. has been granted a pioneer preference for a
portion of the 1150 MHz New York BTA, of which 850 MHz was subsequently
sold to Winstar Communications, Inc.

\(11\) GWCS may provide any fixed or mobile communications service
except Broadcast services, Radiolocation services, and Satellite
services on their assigned frequency. These include but are not limited
to voice, video, and data transmission, private microwave, broadcast
auxiliary, and ground-to-air voice and video.

\(12\) The "Closed" Broadcast auctions included a number of different
licenses used for broadcast television and radio. The types of licenses
included: AM Broadcast (10 kHz per license), FM Broadcast (200 kHz per
license), FM Translator (200 kHz), TV Broadcast (6 MHz per license), Low
Power TV (6 MHz per license), and TV Translator (6 MHz per license).

\(13\) Mobile communications are subject to the development of
inter-licensee and inter-service interference criteria.

**Table 1B: FCC Auctions Summary**

**Auction Results**

+---+--------------------+----------+---------+----+----+----+------+
| * |                    | **Total  | **Bid   | *  |    |    | **Nu |
| * |                    | Winning  | Price   | *A |    |    | mber |
| A |                    | Bids     | (       | uc |    |    | of   |
| u |                    | (1)**    | dollars | ti |    |    | Win  |
| c |                    |          | per     | on |    |    | ning |
| t |                    |          | person  | Du |    |    | B    |
| i |                    |          | per     | ra |    |    | idde |
| o |                    |          | MHz)**  | ti |    |    | rs** |
| n |                    |          |         | on |    |    |      |
| N |                    |          |         | ** |    |    |      |
| u |                    |          |         |    |    |    |      |
| m |                    |          |         |    |    |    |      |
| b |                    |          |         |    |    |    |      |
| e |                    |          |         |    |    |    |      |
| r |                    |          |         |    |    |    |      |
| ( |                    |          |         |    |    |    |      |
| s |                    |          |         |    |    |    |      |
| ) |                    |          |         |    |    |    |      |
| a |                    |          |         |    |    |    |      |
| n |                    |          |         |    |    |    |      |
| d |                    |          |         |    |    |    |      |
| N |                    |          |         |    |    |    |      |
| a |                    |          |         |    |    |    |      |
| m |                    |          |         |    |    |    |      |
| e |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
|   |                    |          |         | *  | *  | ** |      |
|   |                    |          |         | *B | *E | \# |      |
|   |                    |          |         | eg | nd | Ro |      |
|   |                    |          |         | an | ed | un |      |
|   |                    |          |         | ** | ** | ds |      |
|   |                    |          |         |    |    | ** |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Nationwide       | \$650    | \$3.10  | 7  | 7  | 47 | 6    |
| * | Narrowband PCS**   | ,306,674 |         | /2 | /2 |    |      |
| 1 |                    |          |         | 5/ | 9/ |    |      |
| * |                    |          |         | 94 | 94 |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Interactive      | \$213    | \$0.85  | 7  | 7  | Or | 178  |
| * | Video and Data     | ,892,375 |         | /2 | /2 | al |      |
| 2 | Service**          |          |         | 8/ | 9/ |    |      |
| * |                    |          |         | 94 | 94 | Ou |      |
| * |                    |          |         |    |    | tc |      |
|   |                    |          |         |    |    | ry |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Regional         | \$392    | \$3.46  | 10 | 1  | 1  | 9    |
| * | Narrowband PCS**   | ,706,797 |         | /2 | 1/ | 05 |      |
| 3 |                    |          |         | 6/ | 8/ |    |      |
| * |                    |          |         | 94 | 94 |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **A & B block      | \$7,721  | \$0.52  | 1  | 3  | 1  | 18   |
| * | Broadband PCS**    | ,184,171 |         | 2/ | /1 | 12 |      |
| 4 |                    |          |         | 5/ | 3/ |    |      |
| * |                    |          |         | 94 | 95 |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **C block          | \$1      | \$1.33  | 12 | 5/ | 1  | 89   |
| * | Broadband PCS      | 0,071,70 |         | /1 | 6/ | 84 |      |
| 5 | (2)**              | 8,841.50 | \$1.94  | 8/ | 96 |    | 7    |
| / |                    |          |         | 95 |    | 25 |      |
| * |                    | \$904,60 | \$0.15  |    | 7  |    | 57   |
| * |                    | 7,466.75 |         | 7/ | /1 | 78 |      |
|   |                    |          |         | 3/ | 6/ |    |      |
| * |                    | \$409,93 |         | 96 | 96 |    |      |
| * |                    | 6,425.00 |         |    |    |    |      |
| 1 |                    |          |         | 3  | 4  |    |      |
| 0 |                    |          |         | /2 | /1 |    |      |
| / |                    |          |         | 3/ | 5/ |    |      |
| * |                    |          |         | 99 | 99 |    |      |
| * |                    |          |         |    |    |    |      |
|   |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| 2 |                    |          |         |    |    |    |      |
| 2 |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Multichannel     | \$216    | \$0.067 | 11 | 3  | 1  | 67   |
| * | Distribution       | ,239,603 | (3)     | /1 | /2 | 81 |      |
| 6 | Service**          |          |         | 3/ | 8/ |    |      |
| * |                    |          |         | 95 | 96 |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **900 MHz          | \$204    | \$0.24  | 1  | 4  | 1  | 80   |
| * | Specialized Mobile | ,267,144 | (3)     | 2/ | /1 | 68 |      |
| 7 | Radio**            |          |         | 5/ | 5/ |    |      |
| * |                    |          |         | 95 | 96 |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Digital          | \$682    | \       | 1  | 1  | 19 | 1    |
| * | Broadcast          | ,500,000 | $0.0062 | /2 | /2 |    |      |
| 8 | Service**          |          |         | 4/ | 5/ |    |      |
| * |                    |          |         | 96 | 96 |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Digital          | \$52     | \       | 1  | 1  | 25 | 1    |
| * | Broadcast          | ,295,000 | $0.0006 | /2 | /2 |    |      |
| 9 | Service**          |          |         | 5/ | 6/ |    |      |
| * |                    |          |         | 96 | 96 |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **D, E, & F block  | \$2,517  | \$0.33  | 8  | 1  | 2  | 125  |
| * | Broadband PCS      | ,439,565 |         | /2 | /1 | 76 |      |
| 1 | (4)**              |          | \$0.10  | 6/ | 4/ |    | 6    |
| 1 |                    | \$2      |         | 96 | 97 | 78 |      |
| / |                    | ,904,520 |         |    |    |    |      |
| * |                    |          |         | 3  | 4  |    |      |
| * |                    |          |         | /2 | /1 |    |      |
|   |                    |          |         | 3/ | 5/ |    |      |
| * |                    |          |         | 99 | 99 |    |      |
| * |                    |          |         |    |    |    |      |
| 2 |                    |          |         |    |    |    |      |
| 2 |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Cellular         | \$1      | n/a     | 1  | 1  | 36 | 10   |
| * | Unserved**         | ,842,533 |         | /1 | /2 |    |      |
| 1 |                    |          |         | 3/ | 1/ |    |      |
| 2 |                    |          |         | 97 | 97 |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Interactive      | \(5\)    | \(5\)   | \  | \  | \  | \    |
| * | Video and Data     |          |         | (5 | (5 | (5 | (5\) |
| 1 | Service**          |          |         | \) | \) | \) |      |
| 3 |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Wireless         | \$13     | \       | 4  | 4  | 29 | 17   |
| * | Communications     | ,638,940 | $0.0018 | /1 | /2 |    |      |
| 1 | Service**          |          |         | 5/ | 5/ |    |      |
| 4 |                    |          |         | 97 | 97 |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Digital Audio    | \$173    | \       | 4/ | 4/ | 25 | 2    |
| * | Radio Service**    | ,234,888 | $0.0274 | 1/ | 2/ |    |      |
| 1 |                    |          |         | 97 | 97 |    |      |
| 5 |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Upper 800 MHz    | \$96     | \$0.04  | 10 | 1  | 2  | 14   |
| * | Specialized Mobile | ,232,060 |         | /2 | 2/ | 35 |      |
| 1 | Radio**            |          |         | 8/ | 8/ |    |      |
| 6 |                    |          |         | 97 | 98 |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Local Multipoint | \$578    | \       | 2  | 3  | 1  | 104  |
| * | Distribution       | ,663,029 | $0.0018 | /1 | /2 | 27 |      |
| 1 | Service**          |          |         | 8/ | 5/ |    | 40   |
| 7 |                    | \$45     |         | 98 | 98 | 43 |      |
| / |                    | ,064,450 |         |    |    |    |      |
| * |                    |          |         | 4  | 5  |    |      |
| * |                    |          |         | /2 | /1 |    |      |
|   |                    |          |         | 7/ | 2/ |    |      |
| * |                    |          |         | 99 | 99 |    |      |
| * |                    |          |         |    |    |    |      |
| 2 |                    |          |         |    |    |    |      |
| 3 |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **220 MHz**        | \$21     | \$0.06  | 9  | 10 | 1  | 44   |
| * |                    | ,650,301 |         | /1 | /2 | 73 |      |
| 1 |                    |          |         | 5/ | 2/ |    | 16   |
| 8 |                    | \$1      |         | 98 | 98 | 71 |      |
| / |                    | ,924,950 |         |    |    |    |      |
| * |                    |          |         | 6/ | 6  |    |      |
| * |                    |          |         | 8/ | /3 |    |      |
|   |                    |          |         | 99 | 0/ |    |      |
| * |                    |          |         |    | 99 |    |      |
| * |                    |          |         |    |    |    |      |
| 2 |                    |          |         |    |    |    |      |
| 4 |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **General Wireless | \(6\)    | \(6\)   | \  | \  | \  | \    |
| * | Communications     |          |         | (6 | (6 | (6 | (6\) |
| 1 | Service**          |          |         | \) | \) | \) |      |
| 9 |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **VHF Public       | \$7      | \$0.06  | 1  | 12 | 44 | 4    |
| * | Coast**            | ,459,200 | to      | 2/ | /1 |    |      |
| 2 |                    |          | \$0.08  | 3/ | 4/ |    |      |
| 0 |                    |          |         | 98 | 98 |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **Location and     | \$3      | \$0.001 | 2  | 3/ | 54 | 4    |
| * | Monitoring         | ,438,294 |         | /2 | 5/ |    |      |
| 2 | Service**          |          |         | 3/ | 99 |    |      |
| 1 |                    |          |         | 99 |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **"Closed"         | \$57     | \(7\)   | 9  | 1  | 35 | 91   |
| * | Broadcast          | ,820,350 |         | /2 | 0/ |    |      |
| 2 | Auction**          |          |         | 8/ | 8/ | 15 | 1    |
| 5 |                    | \        |         | 99 | 99 |    |      |
| / |                    | $172,250 |         |    |    | 26 | 2    |
| * |                    |          |         | 1  | 1  |    |      |
| * |                    | \$1      |         | 0/ | 0/ |    |      |
|   |                    | ,210,000 |         | 6/ | 8/ |    |      |
| * |                    |          |         | 99 | 99 |    |      |
| * |                    |          |         |    |    |    |      |
| 2 |                    |          |         | 3  | 3  |    |      |
| 7 |                    |          |         | /2 | /2 |    |      |
| / |                    |          |         | 1/ | 4/ |    |      |
| * |                    |          |         | 00 | 00 |    |      |
| * |                    |          |         |    |    |    |      |
|   |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| 2 |                    |          |         |    |    |    |      |
| 8 |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **929 and 931 MHz  | \$4      | \(8\)   | 2  | 3/ | 28 | 78   |
| * | Paging Service**   | ,122,500 |         | /2 | 2/ |    |      |
| 2 |                    |          |         | 4/ | 00 |    |      |
| 6 |                    |          |         | 00 |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+
| * | **39 GHz**         | \$410    | \$.0011 | 4  | 5/ | 73 | 29   |
| * |                    | ,649,085 | (9)     | /1 | 8/ |    |      |
| 3 |                    |          |         | 2/ | 00 |    |      |
| 0 |                    |          |         | 00 |    |    |      |
| * |                    |          |         |    |    |    |      |
| * |                    |          |         |    |    |    |      |
+---+--------------------+----------+---------+----+----+----+------+

Source: Federal Communications Commission

Notes:

\(1\) Total Winning Bids includes high bids from the auction (net of any
bidding credits) plus the price paid for any pioneer preference
licenses.

\(2\) C block broadband PCS was auctioned in three auctions. Please note
that because licenses are in more than one auction, simply summing
together the figures for Total Winning Bids, Bid Price, and Number of
Winning Bidders will result in over counting.

\(3\) Estimated to adjust for encumbered spectrum.

\(4\) DEF block broadband PCS was auctioned in two auctions. Please note
that because licenses are in more than one auction, simply summing
together the figures for Total Winning Bids, Bid Price, and Number of
Winning Bidders will result in over counting.

\(5\) The second IVDS auction was postponed on January 29, 1997.

\(6\) The General Wireless Communications auction was postponed on April
24, 1998.

\(7\) Given the site-by-site nature of the broadcast licenses,
calculations using POPs figures were not made.

\(8\) Given the highly encumbered nature of these licenses, calculations
using POPs figures were not made.

\(9\) Using a 1999 US population estimate of 270 million. All others use
1990 population (253 million).

**Table 2: "Closed" Broadcast Auction #25 Results**

  -------------------------------------- --------- --------- --------------
  Bidder Name                            Total     POPs      Net High Bids
                                         High Bids           (1)

  3 Angels Broadcasting Network, Inc.    2         n/a       \$115,700

  Abundant Life, Inc.                    1         n/a       \$571,350

  American Media Investments, Inc.       1         n/a       \$195,000

  Amy M. Coco                            1         n/a       \$65,000

  Anchor Broadcasting Limited            1         n/a       \$136,500
  Partnership                                                

  Arizona Lotus Corp.                    1         n/a       \$5,055,000

  Ashtabula B/Casting Corp., Inc.        1         n/a       \$25,000

  Atlantic Broadcasting Co., Inc.        1         n/a       \$16,000

  Betty Lutz                             1         n/a       \$269,100

  Burbach Broadcasting Company           1         n/a       \$143,000

  C.D. Broadcasting, Inc.                1         n/a       \$165,000

  Catherine Joanna Flinn                 1         n/a       \$602,550

  Channel 24 Corp.                       1         n/a       \$2,073,750

  Chattahoochee Broadcast Associates     1         n/a       \$15,600

  Combined Communications Inc.           1         n/a       \$488,000

  Communications Systems, Inc.           1         n/a       \$248,950

  D/B/A Karnes City Airwave Company      1         n/a       \$298,500

  Danbeth Communications, Inc.           1         n/a       \$2,842,450

  David & Lynn Magnumfe                  1         n/a       \$162,000

  David A. Rawley, Jr.                   1         n/a       \$118,500

  DBM Entertainment Enterprises, Inc.    1         n/a       \$115,050

  Delta Blues Broadcasting               1         n/a       \$68,250

  Delta Radio, Inc.                      2         n/a       \$481,000

  Diane C. Thoma                         1         n/a       \$133,250

  Fairview Radio, Inc.                   1         n/a       \$2,110,550

  FCC Held                               3         n/a       \$0

  Frank K. Spain                         1         n/a       \$306,000

  GALLATIN VALLEY WITNESS, INC.          1         n/a       \$400,000

  George S. Flinn, Jr.                   6         n/a       \$1,049,000

  GREGORY D. GENTLING, JR.               1         n/a       \$1,045,000

  Harold J. Haley, Jr.                   1         n/a       \$154,700

  Hubert N. Hoffman, Jr.                 1         n/a       \$656,000

  Intermart Broadcasting Pocatello, Inc. 1         n/a       \$955,000

  Intermart Broadcasting Twin Falls,     1         n/a       \$838,000
  Inc.                                                       

  J. K. Whittimore                       1         n/a       \$121,000

  Jon A. Le Duc                          1         n/a       \$190,450

  Joseph W. & Donna M. Bollinger         1         n/a       \$233,250

  Kingfisher County Broadcasting, Inc.   1         n/a       \$144,300

  Klamath Basin Broadcasting             1         n/a       \$84,500

  KM Communications, Inc.                3         n/a       \$821,000

  KOB-TV, L.L.C.                         1         n/a       \$320,000

  Lawrence A. Busse                      1         n/a       \$379,600

  Liberty Productions, A Limited         1         n/a       \$1,518,400
  Partnership                                                

  Lynn C Ketelsen                        1         n/a       \$42,750

  Marc Scott Communications, Inc.        1         n/a       \$253,500

  Marcia T. Turner dba Turner            1         n/a       \$490,500
  Enterprises                                                

  Margaret L Grap                        1         n/a       \$150,000

  MAS Communications, Inc.               1         n/a       \$10,400

  Meredith Communications, L.C.          1         n/a       \$750,000

  Michael D. Law                         1         n/a       \$100,750

  Michael F. and Bridget T. Andlaer      1         n/a       \$115,050

  Midwestern Broadcasting Company, Inc.  1         n/a       \$864,000

  Minnesota Christian Broadcasters, Inc. 1         n/a       \$138,450

  Mitchell Broadcasting Fremont, Inc.    1         n/a       \$530,000

  Mount Rushmore Broadcasting, Inc.      2         n/a       \$511,000

  MTD, Inc.                              3         n/a       \$585,000

  Nancy L. Foster                        1         n/a       \$85,000

  New Mexico Roswell 21, LLC             1         n/a       \$495,300

  Bidder Name                            Total     POPs      Net High Bids
                                         High Bids           (1)

  Newman Communications Inc.             1         n/a       \$642,750

  Outlook Communications, Inc.           2         n/a       \$2,035,500

  Pacific Spanish Network, Inc.          1         n/a       \$240,000

  Pappas Telecasting of the Midlands,    1         n/a       \$118,000
  Inc.                                                       

  Paxson Communications LPTV, Inc.       1         n/a       \$60,000

  R & J Broadcasting                     1         n/a       \$117,000

  Rainbow Radio of Livingston County     1         n/a       \$547,300

  Rapid Broadcasting Company             1         n/a       \$1,059,000

  Results Broadcasting of Shawano, Inc.  1         n/a       \$16,000

  Richard H. Heibel                      1         n/a       \$462,000

  Richmond Broadcasting, Inc.            1         n/a       \$1,189,500

  Rob Allen Hauser                       1         n/a       \$16,250

  Ronald K. Bishop                       1         n/a       \$1,021,800

  Simmons Family, Inc.                   2         n/a       \$1,878,000

  Southern Broadcasting Corporation      1         n/a       \$478,000

  Sun Valley Radio, Inc.                 1         n/a       \$63,000

  Sunbrook Communications Inc.           1         n/a       \$371,000

  Ted W. Austin, Jr.                     2         n/a       \$772,500

  Todd P. Robinson                       3         n/a       \$369,000

  Todd Stuart Noordyk                    1         n/a       \$196,000

  Trinity Broadcasting Network           2         n/a       \$589,000

  TSB II, Inc.                           1         n/a       \$1,561,000

  Twenty-One Sound Communications Inc.   1         n/a       \$105,750

  Univision Television Group, Inc.       2         n/a       \$381,000

  Warrior Broadcasting Inc.              1         n/a       \$138,450

  WBCM Radio, Inc.                       1         n/a       \$150,000

  Western Slope Communications LLC       1         n/a       \$72,000

  Wilber Johnson                         1         n/a       \$26,000

  William Konopnicki                     1         n/a       \$1,900

  William R. Reier, Jr.                  1         n/a       \$79,300

  Winstar Broadcasting Corp.             5         n/a       \$11,008,000

  WKOB Communications, Inc.              1         n/a       \$842,400

  WLV-TV Inc.                            2         n/a       \$143,250

  Woolstone Corporation                  1         n/a       \$216,750
  -------------------------------------- --------- --------- --------------

Source: Federal Communications Commission

Notes: (1) As of the close of the auction.

**Table 3: 929 and 931 MHz Paging Service Auction #26 Results**

  ----------------------------------- ------------ --------------- -----------
  Bidder Name                         Total High   POPs            Net High
                                      Bids                         Bids (1)

  Metrocall USA, Inc.                 145          1,175,537,620   \$681,800

  Vodafone AirTouch Licenses LLC      78           450,905,386     \$277,600

  WWC Paging Corporation              63           314,350,405     \$448,000

  MAP PAGING CO., INC.                53           562,119,338     \$355,100

  Trompex Corporation                 51           252,556,989     \$573,170

  Emmerson Enterprises Inc.           48           285,718,673     \$123,370

  Southwestern Bell Mobile Systems,   42           200,503,381     \$137,800
  Inc.                                                             

  Teletouch Licenses, Inc.            32           111,346,366     \$91,100

  Electronic Engineering Co.          28           136,470,121     \$91,500

  Mobile Radio Communications, Inc.   26           56,199,062      \$68,600

  Betapage Communications, LLC        24           223,459,334     \$77,220

  TeleBEEPER of New Mexico, Inc.      23           109,445,980     \$53,105

  Heartland Communications            20           94,372,653      \$60,900

  Morris Communications, Inc.         18           77,229,654      \$47,700

  Golden Arrow Paging, Inc.           16           140,602,761     \$80,250

  Clear Paging, Inc.                  15           70,042,206      \$43,100

  Link Two Communications Inc.        14           77,605,613      \$79,300

  Network Services,LLC                14           99,931,512      \$44,400

  Aquis Wireless Communications, Inc. 13           113,352,205     \$59,300

  Indiana Paging Network, Inc.        11           58,948,937      \$26,325

  SelectPath Holding, Inc.            10           36,236,473      \$28,200

  Cook Telecom, Inc.                  9            34,281,567      \$19,500

  ProPage, Inc.                       9            38,005,629      \$34,200

  RCC, Inc. d/b/a Radio Comm Company  9            34,787,381      \$18,070

  Bidder Name                         Total High   POPs            Net High
                                      Bids                         Bids (1)

  Robert J. Fetterman d.b.a. R.F.     9            71,664,811      \$27,105
  Communications                                                   

  TeleMaxx Communications LLC         9            45,696,051      \$15,275

  ADVANCED PAGING, INC.               8            41,957,282      \$31,350

  Kelley\'s Tele-Communications, Inc. 8            24,427,022      \$15,000

  Pass Word, Inc                      8            22,325,400      \$15,525

  US Paging of Corpus                 8            38,484,068      \$21,710

  Universal Talkware Corporation      8            42,511,917      \$16,120

  Sims Company, Inc.                  7            19,880,946      \$12,415

  ADS Partners                        6            18,655,230      \$10,140

  BCO, Incorporated                   6            28,571,679      \$17,475

  L.P. Ganacias Enterprises, Inc.     6            3,669,538       \$9,750

  National Network Communications,    6            36,152,890      \$14,495
  Inc.                                                             

  Paging Systems, Inc.                6            69,497,276      \$37,600

  Priority Communications, Inc.       6            30,618,707      \$12,600

  Robert F. Ryder d/b/a Radio Paging  6            14,666,724      \$10,010
  Service                                                          

  TELEPHONE & TWO-WAY INC.            6            23,758,702      \$9,750

  Arthur Patrick                      5            9,262,108       \$13,000

  Mobile Phone of Texas, Inc.         5            47,878,810      \$18,975

  Range Corporation                   5            31,345,501      \$10,400

  Satellite Paging, Inc.              5            41,739,168      \$17,290

  1001 Lockwood, Inc.                 4            17,923,822      \$6,890

  A. V. LAUTTAMUS COMMUNICATIONS,     4            16,593,492      \$6,500
  INC.                                                             

  Beeper Systems, Inc.                4            31,671,970      \$19,175

  IT&E Overseas, Inc.                 4            705,988         \$10,000

  Nationwide Paging, Inc.             4            45,584,942      \$19,275

  Paging Dimensions, Inc.             4            38,207,573      \$14,235

  Pioneer Telephone Cooperative, Inc. 4            6,358,676       \$10,000

  Snider Communications Corporation   4            12,320,408      \$7,500

  Stephen P. Shirk                    4            23,998,921      \$15,300

  ATS MOBILE TELEPHONE,INC.           3            6,010,265       \$7,500

  Alpha Display Paging, Inc.          3            8,599,872       \$4,875

  Robert R. Rule d/b/a Rule           3            11,856,348      \$4,875
  Communications                                                   

  TSR Wireless LLC                    3            21,228,060      \$13,900

  Ameritel Paging, Inc.               2            9,268,022       \$3,250

  Bestcomm,LLC                        2            14,683,862      \$6,300

  Charles P Oden Sr.                  2            4,371,825       \$4,290

  Communications Properties, Inc.     2            6,160,204       \$3,750

  DAJ-JAJ-LLC                         2            5,679,832       \$3,250

  EXPRESS MESSAGE CORPORATION         2            9,823,878       \$3,445

  General Telcourier, Inc.            2            3,552,683       \$4,550

  Micron Technology, Inc.             2            4,888,908       \$5,000

  Page Plus, Inc.                     2            2,955,208       \$3,750

  Paging Source USA, Inc.             2            10,554,369      \$3,975

  Paging Systems Management, Inc.     2            4,447,402       \$6,800

  winsome paging inc.                 2            36,969,336      \$12,350

  \(800\) Page-USA, Inc.              1            5,025,606       \$2,175

  DATAPAGE, INC.                      1            8,672,944       \$2,795

  Gabriel Wireless, L.L.C.            1            9,575,762       \$4,550

  Omnicom Paging Plus, LLC            1            1,727,716       \$1,625

  Paul L. Valois                      1            29,027,017      \$11,700

  Satellink Paging, LLC               1            2,002,283       \$2,500

  Telebeep, Inc.                      1            1,638,440       \$1,875

  Texas Instruments Incorporated      1            9,575,762       \$37,000

  Two-Way Radio Co., Inc.             1            6,018,051       \$1,950
  ----------------------------------- ------------ --------------- -----------

Source: Federal Communications Commission

Notes: (1) As of the close of the auction.

**Table 4: "Closed" Broadcast Auction #27 Results**

  --------------------------------- ----------- ----------- ---------------
  Bidder Name                       Total High  POPs        Net High Bids
                                    Bids                    (1)

  Ramona Lee Hayes-Bell             1           n/a         \$172.250
  --------------------------------- ----------- ----------- ---------------

Source: Federal Communications Commission

Notes: (1) As of the close of the auction.

**Table 5: Broadcast Auction #28 Results**

  ---------------------------- ---------------- ------------- ------------
  Bidder Name                  Total High Bids  POPs          Net High
                                                              Bids (1)

  KM Communications, Inc.      \$316,000        n/a           \$316,000

  Valley Public Television,    \$894,000        n/a           \$894,000
  Inc.                                                        
  ---------------------------- ---------------- ------------- ------------

Source: Federal Communications Commission

Notes: (1) As of the close of the auction.

**Table 6: 39 GHz Auction #30 Results**

  ----------------------------- --------------- --------------- ---------------
  Bidder Name                   Total High Bids POPs            Net High Bids
                                                                (1)

  WinStar Wireless Fiber Corp.  931             1,584,330,876   \$161,423,900

  Advanced Radio Telecom Corp.  352             766,888,483     \$76,968,450

  Hyperion Communications Long  177             260,962,368     \$77,604,600
  Haul, L.P.                                                    

  ZEPHYR WIRELESS, L.L.C.       140             96,244,310      \$12,367,575

  Atlantis Bidding Corp.        130             144,380,077     \$21,803,775

  Milkyway Multipoint, LLC      113             80,099,574      \$1,518,270

  TRW Inc.                      100             35,617,649      \$2,445,400

  GigaTel Wireless, L.L.C.      60              61,446,401      \$3,230,000

  CT Communications, Inc        23              16,473,109      \$852,500

  PTPMS Communications, LLC     22              37,399,146      \$1,461,330

  Bachow 39 GHz, Inc.           21              21,436,414      \$1,159,500

  North Dakota Network Co.      11              1,613,494       \$45,300

  DCT Spirit, L.L.C.            11              14,719,224      \$1,814,345

  AT&T Wireless PCS, LLC        11              28,329,431      \$9,861,000

  Bala Equity IV, Inc.          10              27,043,965      \$1,627,575

  PVT Networks, Inc.            10              3,096,026       \$56,940

  NEXTBAND Communications,      10              31,036,304      \$30,207,000
  L.L.C.                                                        

  C & W Systems, Ltd.           8               6,067,210       \$81,900

  Switch 2000 L.L.C.            7               7,121,555       \$354,900

  Pinpoint Wireless, Inc.       7               1,636,759       \$26,910

  Tooker Fiber, LLC             4               6,752,355       \$149,500

  Valley Wireless, LP           4               1,528,380       \$19,760

  Cable & Communications        3               697,050         \$12,150
  Corporation                                                   

  Roseville PCS, Inc.           2               3,870,974       \$4,624,000

  Morgan Stanley Capital Group  2               2,316,124       \$62,000
  Inc.                                                          

  Sycamore Telephone Company    1               1,278,722       \$20,150

  Northern Arapaho Business     1               382,095         \$5,655
  Council                                                       

  David E Beyerle               1               798,826         \$11,700

  Telefonica Data Licensing,    1               3,623,846       \$833,000
  Inc.                                                          
  ----------------------------- --------------- --------------- ---------------

Source: Federal Communications Commission

Notes: (1) As of the close of the auction.

**APPENDIX B:**

**MOBILE TELEPHONY**

**[Table of Contents]{.underline}**

Table 1: CTIA's Semi-Annual Mobile Telephone Industry Survey B-2

Tables 2A-2D: Mobile Telephone Industry Non-Cellular Carrier Rollout
Summary B-3

Table 3: Top 25 Mobile Telephone Operators by Subscribers B-5

Table 4: Foreign Holdings of U.S. Mobile Telephone Operators B-6

Table 5: Estimated U.S Digital Mobile Telephone Subscribers B-8

Table 6: Quarterly Mobile Telephone Subscriber Growth B-9

Table 7: Mobile Telephone Digital Coverage B-10

Table 8: Broadband PCS Industry Growth B-11

Tables 9A-9G: Broadband PCS Rollout Summary B-13

Table 10: Broadband PCS Spectrum Usage B-15

Table 11: Top 20 Mobile Telephone Resellers: 1998 and 1999 B-16

**Table 1: CTIA's Semi-Annual Mobile Telephone Industry Survey**

  ------- ------------- -------------- ------------- -------- ----------- -------------- ---------
  Date    Estimated     Total          Roamer        Cell     Employees   Cumulative     Average
          Subscribers   Six-Month      Services      Sites                Capital        Local
                        Service        Revenues                           Investment     Monthly
                        Revenues                                          (000s)         Bill
                        (000s)                                                           

  Jan 85  91,600        \$178,085                    346      1,404       \$354,760      

  June 85 203,600       \$176,231                    599      1,697       \$588,751      

  Dec 85  340,213       \$306,197                    913      2,727       \$911,167      

  June 86 500,000       \$360,585                    1,194    3,556       \$1,140,163    

  Dec 86  681,825       \$462,467                    1,531    4,334       \$1,436,753    

  June 87 883,778       \$479,514                    1,732    5,656       \$1,724,348    

  Dec 87  1,230,855     \$672,005                    2,305    7,147       \$2,234,635    \$96.83

  June 88 1,608,697     \$886,075                    2,789    9,154       \$2,589,589    \$95.00

  Dec 88  2,069,441     \$1,073,473    \$89,331      3,209    11,400      \$3,274,105    \$98.02

  June 89 2,691,793     \$1,406,463    \$121,368     3,577    13,719      \$3,675,473    \$85.52

  Dec 89  3,508,944     \$1,934,132    \$173,199     4,169    15,927      \$4,480,141    \$83.94

  June 90 4,368,686     \$2,126,362    \$192,350     4,768    18,973      \$5,211,765    \$83.94

  Dec 90  5,283,055     \$2,422,458    \$263,660     5,616    21,382      \$6,281,596    \$80.90

  June 91 6,380,053     \$2,653,505    \$302,329     6,685    25,545      \$7,429,739    \$74.56

  Dec 91  7,557,148     \$3,055,017    \$401,325     7,847    26,327      \$8,671,544    \$72.74

  June 92 8,892,535     \$3,633,285    \$436,725     8,901    30,595      \$9,276,139    \$68.51

  Dec 92  11,032,753    \$4,189,441    \$537,146     10,307   34,348      \$11,262,070   \$68.68

  June 93 13,067,318    \$4,819,259    \$587,347     11,551   36,501      \$12,775,967   \$67.31

  Dec 93  16,009,461    \$6,072,906    \$774,266     12,805   39,775      \$13,946,406   \$61.48

  June 94 19,283,306    \$6,519,030    \$778,116     14,740   45,606      \$16,107,920   \$58.65

  Dec 94  24,134,421    \$7,710,890    \$1,052,666   17,920   53,902      \$18,938,677   \$56.21

  June 95 28,154,415    \$8,740,352    \$1,120,337   19,833   60,624      \$21,709,286   \$52.45

  Dec 95  33,785,661    \$10,331,614   \$1,422,233   22,663   68,165      \$24,080,466   \$51.00

  June 96 38,195,466    \$11,194,247   \$1,314,943   24,802   73,365      \$26,707,046   \$48.84

  Dec 96  44,042,992    \$12,440,724   \$1,465,992   30,045   84,161      \$32,573,522   \$47.70

  June 97 48,705,553    \$13,134,551   \$1,392,440   38,650   97,039      \$37,454,294   \$43.86

  Dec 97  55,312,293    \$14,351,082   \$1,581,765   51,600   109,387     \$46,057,911   \$42.78

  June 98 60,831,431    \$15,286,660   \$1,584,891   57,674   113,111     \$50,178,812   \$39.88

  Dec 98  69,209,321    \$17,846,515   \$1,915,578   65,887   134,754     \$60,542,774   \$39.43

  June 99 76,284,753    \$19,368,304   \$1,922,416   74,157   141,929     \$66,782,827   \$40.24

  Dec 99  86,047,003    \$20,650,185   \$2,163,001   81,698   155,817     \$71,264,865   \$41.24
  ------- ------------- -------------- ------------- -------- ----------- -------------- ---------

Source**:** Cellular Telecommunications Industry Association,
*Semi-Annual Mobile Telephone Industry Survey*
\<.http://www.wow-com.com/wirelesssurvey/\>.

**Tables 2A - 2C: Mobile Telephone Industry Rollout Summary**

**Table 2A: Estimated Mobile Telephone Rollouts**

**by Number of Launches by County**

+-----------+------------+-------------+--------+-----------+--------+
| Total     | Number of  | POPs        | \% of  | Square    | \% of  |
| Number of | No         | Contained   | Total  | Miles     | Total  |
| Providers | n-Cellular | in Those    | US     | Contained | US     |
| in a      | Providers  | Counties    | POPs   | in Those  | Square |
| County    | (1)        | (2)         |        | Counties  | Miles  |
|           |            |             |        |           |        |
|           | in a       |             |        |           |        |
|           | County     |             |        |           |        |
+-----------+------------+-------------+--------+-----------+--------+
| 3 or More | 1 or More  | 222.2       | 87.8%  | 1,268,000 | 35.2%  |
|           |            | million     |        |           |        |
+-----------+------------+-------------+--------+-----------+--------+
| 4 or More | 2 or More  | 202.0       | 79.8%  | 808,412   | 22.5%  |
|           |            | million     |        |           |        |
+-----------+------------+-------------+--------+-----------+--------+
| 5 or More | 3 or More  | 173.3       | 68.5%  | 506,024   | 14.1%  |
|           |            | million     |        |           |        |
+-----------+------------+-------------+--------+-----------+--------+
| 6 or More | 4 or More  | 87.4        | 34.6%  | 216,312   | 6.0%   |
|           |            | million     |        |           |        |
+-----------+------------+-------------+--------+-----------+--------+
| 7         | 5          | 11.1        | 4.4%   | 47,663    | 1.3%   |
|           |            | million     |        |           |        |
+-----------+------------+-------------+--------+-----------+--------+

**Table 2B: Estimated Mobile Telephone Rollouts**

**by Number of Launches by BTA**

+-------------+--------------+------------+---------------+------------+
| Total       | Number of    | Number of  | POPs          | \% of      |
| Number of   | Non-Cellular | BTAs       | Contained in  | Total US   |
| Providers   | Providers    |            | Those BTAs    | POPs       |
|             | (1)          |            | (2)           |            |
| in a BTA    |              |            |               |            |
|             | in a BTA     |            |               |            |
+-------------+--------------+------------+---------------+------------+
| 3 or More   | 1 or More    | 374        | 238.0 million | 94.1%      |
+-------------+--------------+------------+---------------+------------+
| 4 or More   | 2 or More    | 267        | 225.6 million | 89.2%      |
+-------------+--------------+------------+---------------+------------+
| 5 or More   | 3 or More    | 166        | 195.9 million | 77.4%      |
+-------------+--------------+------------+---------------+------------+
| 6 or More   | 4 or More    | 94         | 104.2 million | 41.2%      |
+-------------+--------------+------------+---------------+------------+
| 7 or More   | 5 or More    | 15         | 14.1 million  | 5.6%       |
+-------------+--------------+------------+---------------+------------+

**Table 2C: County Quartiles with Estimated Rollout by at least 3 Mobile
Telephone Providers**

  ------------ ---------- ------------ -------------- ------------- -------------
  County       Total      Number of    Percent of     POPs in Those Percent of
  Quartile     Number of  Counties     Counties in    Counties (2)  Quartile POPs
  Based on     Counties   with at      Quartile with                with at least
  Population              least 3      at least 3                   3 Providers
  (2)                     Providers    Providers                    

  1st Quartile 808        724          89.6%          200,245,115   96.6%

  2nd Quartile 808        463          57.3%          16,505,721    58.7%

  3rd Quartile 808        297          36.8%          4,945,232     38.6%

  4th Quartile 809        104          12.9%          782,806       16.3%
  ------------ ---------- ------------ -------------- ------------- -------------

**Table 2D: BTA Quartiles with Estimated Rollout by at least 3 Mobile
Telephone Providers**

  ------------ -------- ------------- -------------- ------------- -------------
  BTA Quartile Total    Number of     Percent of     POPs in Those Percent of
  Based on     Number   BTAs with at  BTAs in        BTAs (2)      Quartile POPs
  Population   of BTAs  least 3       Quartile with                with at least
  (2)                   Providers     at least 3                   3 Providers
                                      Providers                    

  1st Quartile 123      121           98.4%          191,195,674   99.5%

  2nd Quartile 123      110           89.4%          29,957,146    89.7%

  3rd Quartile 123      80            65.0%          11,771,075    66.3%

  4th Quartile 124      63            50.8%          5,097,805     55.0%
  ------------ -------- ------------- -------------- ------------- -------------

Source: Federal Communications Commission estimates based on publicly
available information.

Notes:

\(1\) For the analysis, non-cellular providers are defined as broadband
PCS operators and Nextel Communications.

\(2\) POPs from the 1990 Census.

**Table 3: Top 25 Mobile Telephone Operators by Subscribers**

(in thousands)

  ---------- ------------- ------- ------- ------- ---------- --------------- ------- ------- -------- ---------- --------------- -------- ------- --------
  Year-End                                         Year-End                                            *Pro                                        
  1998                                             1999                                                Forma*                                      
                                                                                                       Year-End                                    
                                                                                                       1999                                        

             Operator      Cell.   PCS     Total              Operator        Cell.   PCS     Total               Operator        Cell.    PCS     Total

  1          AirTouch      7,915   0       7,915              SBC             9,651   1,500   11,151              Verizon         24,390   1,400   25,790
                                                                                                                  Wireless                         

  2          AT&T Wireless 6,635   563     7,198              AT&T Wireless   8,200   1,400   9,600               SBC-BellSouth   14,988   1,500   16,488
                                                                                                                  (3)                              

  3          SBC           5,924   846     6,770              Vodafone-AirT   9,133   0       9,133               AT&T Wireless   8,587    1,400   9,987

  4          Bell Atlantic 6,201   0       6,201              Bell Atlantic   7,688   0       7,688               Sprint PCS      0        5,727   5,727

  5          BellSouth     4,575   326     4,901              GTE             7,146   \(1\)   7,146               ALLTEL          5,019    \(1\)   5,019

  6          GTE           4,817   \(1\)   4,817              Sprint PCS      0       5,727   5,727               Nextel          0        0       4,516

  7          ALLTEL        4,009   \(1\)   4,009              BellSouth       5,337   \(1\)   5,337               US Cellular     2,602    0       2,602

  8          Ameritech     3,577   \(1\)   3,577              ALLTEL          5,019   \(1\)   5,019               VoiceStream     0        2,204   2,204

  9          Nextel        0       0       2,790              Nextel          0       0       4,516               Western         835      0       835
                                                                                                                  Wireless                         

  10         Sprint PCS    0       2,590   2,590              US Cellular     2,602   0       2,602               CenturyTel      707      \(1\)   707

  11         US Cellular   2,183   0       2,183              PrimeCo         0       1,400   1,400               Dobson Comm.    660      0       660

  12         Western       660     322     983                Omnipoint       0       935     935                 Powertel        0        546     546
             Wirlss                                                                                                                                

  13         PrimeCo       0       902     902                VoiceStream     0       846     846                 Centennial      341      162     503

  14         Comcast       815     0       815                Western Wirlss  835     0       835                 US West         0        466     466

  15         Vanguard      664     0       664                CenturyTel      707     \(1\)   707                 Rural Cellular  452      14      466

  16         CenturyTel.   624     0       624                Powertel        0       546     546                 Price Comm.     454      0       454

  17         Centennial    286     99      385                Centennial      341     162     503                 PR Tel. Co. (2) 254      0       254

  18         Price Comm.   382     0       382                US West         0       466     466                 Triton PCS      0        195     195

  19         Omnipoint     0       376     376                Dobson Comm.    445     0       445                 Cincinnati Bell 0        162     162

  20         CommNet       359     0       359                American        431     0       431                 Midwest         150      0       150
                                                                                                                  Wireless                         

  21         Dobson Comm.  347     0       347                Price Comm.     454     0       454                 Telecorp        0        142     142

  22         American      334     0       334                Aerial          0       423     423                 Cellcom (NE     130      0       130
                                                                                                                  Comm. of WI.)                    

  23         Powertel      29      295     324                CommNet         423     0       423                 US Unwired      59       34      93

  24         Aerial Comm.  0       312     312                PR Tel. Co. (2) 254     0       254                 Bluegrass       75       0       75
                                                                                                                  Cellular                         

  25         Aliant Comm.  303     0       303                Rural Cellular  228     14      242                 PCS One (4)     0        50      50
  ---------- ------------- ------- ------- ------- ---------- --------------- ------- ------- -------- ---------- --------------- -------- ------- --------

Sources: Except for Cellcom, Midwest Wireless, and Bluegrass Cellular,
publicly available company documents such as operators' news releases
and filings made with the Securities and Exchange Commission. Cellcom:
Stefanie Scott, *Cell Phone Use Continues to Grow*, [KRTBN Knight-Ridder
Tribune Business News: The Post-Crescent - Appleton,
Wisconsin]{.smallcaps}, Aug. 1, 1999 *available at* 1999 WL 22002935.
Bluegrass: *PageMart Wireless and Bluegrass Cellular Join Forces to
Expand Wireless Messaging Services to Central Kentucky*, News Release,
PageMart Wireless, Inc., Oct. 6, 1997 (Bluegrass was reported as having
50,000 cellular customers in the fall of 1997, that figure was inflated
by 50% to account for two years growth). Midwest Wireless: *Midwest
Wireless Completes Acquisition in Iowa*, News Release, Midwest Wireless,
Mar. 2, 2000.

Notes:

(1) Indicates that the operator has broadband PCS based systems but does
    not report those subscribers separately.

(2) Puerto Rico Telephone Co. Inc.'s subscribers are as of June 30,
    1999.

(3) In the *Pro-Forma* columns, BellSouth's PCS customers are included
    with SBC-BellSouth's cellular customers, as BellSouth no longer
    reports its PCS customers separately.

(4) PCS One is a joint venture between a subsidiary of VoiceStream and
    D&E Communications, Inc.

**Table 4: Foreign Holdings of U.S. Mobile Telephone Operators**

  -------------- ------------- --------------- --------------------- --------------
  **Operator**   **Country**   **Subscribers   **Venture**           **Ownership
                               (Brand name)                          (%)**
                               (1)**                                 

  SBC            France        6.4 million     Cegetel (owns 80% of  15 (through JV
                                               cellular company      with Vivendi)
                                               Societe Francaise de  
                                               Radiotelephone)       

                 Denmark       1.1 million     Tele Danmark          41.6

                 Norway        720,000         NetCom                19.6 (controls
                                                                     27.9% through
                                                                     investment in
                                                                     Tele Danmark)

                 Belgium       1.9 million     Belgacom              17.5 (controls
                                                                     24.4% through
                                                                     investment in
                                                                     Tele Danmark,
                                                                     which owns
                                                                     16.5% of
                                                                     Belgacom)

                 Switzerland   413,000         DiAx                  40

                 Hungary       867,000         MATAV                 29.8

                 South Africa  2.1 million     Telkom SA(owns 50% of 18
                               (Vodacom)       Vodacom)              

                 Canada        1.9 million     Bell Canada           20
                               (Bell Mobility)                       

                 Mexico        4.1 million     Telmex                9

                 Taiwan        478,000         TransAsia             19.4
                                               Tele-communications   

                 Brazil        900,000         Algar Telecom Leste   50 (stake is
                                               SA (ATL)              jointly owned
                                                                     with Telmex
                                                                     and can be
                                                                     increased to
                                                                     50% in 2004)

  AT&T           Canada        2.6 million     Rogers Cantel         17

                 Colombia      466,000         Celumovil             14

                 India         90,000          Birla Communications  49
                                               Ltd.                  

                 Taiwan        1.425 million   FarEasTone            14

                 Japan         8.1 million     Japan Telecom         15
                               (J-Phone)                             

                 Czech         645,000         EuroTel Praha         24.5
                 Republic                                            

                 Slovakia      208,000         EuroTel Bratislava    24.5

                 India         267,000 (BPL    BPL Cellular          49
                               Mobile)                               

                 Malaysia      630,000 (Maxis  Maxis Communications  19
                               Mobile)                               

  Verizon        Italy         6.2 million     Omnitel Pronto Italia 23.1

                 Mexico        843,000         Iusacell              40.2

                 Czech         645,000         EuroTel Praha         24.5
                 Republic                                            

                 Slovakia      208,000         EuroTel Bratislava    24.5

                 Greece        797,000         STET Hellas           20

                 Indonesia     213,000         Excelcomindo          23.1

                 Japan         3,137,800       Tu-Ka                 0.8

                 New Zealand   608,900         Telecom New Zealand   24.9

                 Philippines   138,000         BayanTel (owns 46.6%  20
                               (Extelcom)      stake in wireless     
                                               provider Extelcom)    

                 Argentina     809,000         CTI Holdings          58

                 Argentina     Expected to     GTE PCS               100
                               launch in 2000                        

                 Canada        1.1 million     TELUS                 26.7
                 (British                                            
                 Columbia and                                        
                 Alberta)                                            

                 Canada        37,000          Quebec Telephone      50.2
                 (Quebec)                                            

                 Venezuela     1.2 million     CANTV                 26.4

                 Taiwan        3.1 million     Taiwan Cellular       13.5
                                               Corporation           

                 Dominican     244,000         CODETEL               100
                 Republic                                            
  -------------- ------------- --------------- --------------------- --------------

+------------+------------+------------+---------------+-------------+
| **         | *          | **S        | **Venture**   | **Ownership |
| Operator** | *Country** | ubscribers |               | (%)**       |
|            |            | (Brand     |               |             |
|            |            | name)      |               |             |
|            |            | (1)**      |               |             |
+------------+------------+------------+---------------+-------------+
| BellSouth  | Uruguay    | 141,314    | Abiatar       | 46          |
+------------+------------+------------+---------------+-------------+
|            | Guatemala  | Launch     | BellSouth     | 60          |
|            |            | mid-2000   | Guatemala     |             |
+------------+------------+------------+---------------+-------------+
|            | Nicaragua  | 51,022     | Nicacell      | 49          |
+------------+------------+------------+---------------+-------------+
|            | Ecuador    | 203,425    | Otecel        | 89.4        |
+------------+------------+------------+---------------+-------------+
|            | Panama     | 140,977    | BellSouth     | 43.7        |
|            |            |            | Panama        |             |
+------------+------------+------------+---------------+-------------+
|            | Brazil     | 1,971,282  | BCP           | 44.5        |
|            | (Sao       |            |               |             |
|            | Paulo)     |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | Brazil     |            |               | 46.8        |
|            | (          |            |               |             |
|            | northeast) |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | Brazil     | 1 million  | Tele Centro   | 16.5        |
|            | (central   |            | Oeste Celular |             |
|            | western &  |            |               |             |
|            | northern   |            |               |             |
|            | regions)   |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | Venezuela  | 2,833,667  | Telcel        | 78.2        |
+------------+------------+------------+---------------+-------------+
|            | Argentina  | 1,285,522  | Movicom/      | 65          |
|            |            |            |               |             |
|            |            |            | BellSouth     |             |
+------------+------------+------------+---------------+-------------+
|            | Chile      | 403,119    | BellSouth     | 100         |
|            |            |            | Chile         |             |
+------------+------------+------------+---------------+-------------+
|            | Columbia   | 466,000    | Celumovil     | 33.8        |
+------------+------------+------------+---------------+-------------+
|            | Peru       | 318,953    | Tele 2000     | 96.8        |
+------------+------------+------------+---------------+-------------+
|            | Germany    | 4,089,294  | E-Plus        | 22.5        |
|            |            |            |               | (shares     |
|            |            |            |               | equal       |
|            |            |            |               | control of  |
|            |            |            |               | E-Plus with |
|            |            |            |               | KPN through |
|            |            |            |               | ownership   |
|            |            |            |               | in          |
|            |            |            |               | BellSouth   |
|            |            |            |               | GmbH)       |
+------------+------------+------------+---------------+-------------+
|            | Denmark    | 827,992    | SONOFON       | 46.5        |
+------------+------------+------------+---------------+-------------+
|            | Israel     | 1,513,081  | Cellcom       | 34.7        |
+------------+------------+------------+---------------+-------------+
|            | India      | 24,664     | SkyCell       | 24.5        |
|            |            |            | C             |             |
|            |            |            | ommunications |             |
+------------+------------+------------+---------------+-------------+
| Nextel     | Argentina  | 1.2456     | Ownership     |             |
|            |            | million    | interests in  |             |
|            |            | (includes  | international |             |
|            |            | all        | wireless      |             |
|            |            | int        | companies are |             |
|            |            | ernational | held through  |             |
|            |            | su         | Nextel's      |             |
|            |            | bsidiaries | substantially |             |
|            |            | and        | wholly owned  |             |
|            |            | a          | subsidiary,   |             |
|            |            | ffiliates) | Nextel        |             |
|            |            |            | I             |             |
|            |            |            | nternational, |             |
|            |            |            | Inc.          |             |
+------------+------------+------------+---------------+-------------+
|            | Brazil     |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | Canada     |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | Japan      |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | Mexico     |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | Peru       |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | P          |            |               |             |
|            | hilippines |            |               |             |
+------------+------------+------------+---------------+-------------+
|            | Shanghai,  |            |               |             |
|            | PRC        |            |               |             |
+------------+------------+------------+---------------+-------------+

Sources: Publicly available company documents such as operators' news
releases, Web sites, and filings made with the Securities and Exchange
Commission; *DLJ Report*, at 76; and the following news articles: Doris
Benavides, *Telmex Makes Analysts' Q1 Forecast*,
[InfoWorld]{.smallcaps}, May 15, 2000; *Canada: Rogers Units to Open
Customer Center in Ottawa*, [Reuters English News Service]{.smallcaps},
May 11, 2000; *J-Phone Biz to Boost Japan Telecom Group Earnings in FY
2000*, [Jiji Press English News Service]{.smallcaps}, May 18, 2000;
*BellSouth Buys Brazil Celco Stake*, [Reuters]{.smallcaps}, May 29,
2000; *Cellular Phone Carriers TCO, NBT Reach 1 Million Clients*,
[Brazilian Financial Wire]{.smallcaps}, Apr. 5, 2000.

Notes:

\(1\) In most cases the data provided in the table reflect the number of
subscribers as of year-end 1999, but some data are from earlier in 1999
while other data are more recent than year-end 1999.

**Table 5: Estimated U.S Digital Mobile Telephone Subscribers**

+------------------+--------+--------+------+--------+-----+---------+
| Technology       | 1997   | 1998   | 9    | 1999   | 98  | Percent |
|                  | Subsc  | Subsc  | 7/98 | Subsc  | /99 | of      |
|                  | ribers | ribers |      | ribers |     | Total   |
|                  |        |        | Per  |        | P   | Digital |
|                  |        |        | cent |        | erc | Subs    |
|                  |        |        | Ch   |        | ent |         |
|                  |        |        | ange |        | Cha |         |
|                  |        |        |      |        | nge |         |
+------------------+--------+--------+------+--------+-----+---------+
| GSM Subs         | 1,2    | 2,7    | 125% | 5,4    | 1   | 12%     |
|                  | 00,000 | 00,000 |      | 00,000 | 00% |         |
+------------------+--------+--------+------+--------+-----+---------+
| TDMA Subs        | 3,8    | 8,7    | 129% | 18,3   | 1   | 41%     |
|                  | 00,000 | 00,000 |      | 00,000 | 10% |         |
+------------------+--------+--------+------+--------+-----+---------+
| CDMA Subs        | 1,4    | 6,4    | 357% | 15,8   | 1   | 36%     |
|                  | 00,000 | 00,000 |      | 00,000 | 47% |         |
+------------------+--------+--------+------+--------+-----+---------+
| iDEN Subs        | 1,3    | 2,9    | 123% | 4,8    | 65% | 11%     |
|                  | 00,000 | 00,000 |      | 00,000 |     |         |
+------------------+--------+--------+------+--------+-----+---------+
| Total Digital    | 7,7    | 20,7   | 169% | 44,3   | 1   |         |
| Subs             | 00,000 | 00,000 |      | 00,000 | 14% |         |
+------------------+--------+--------+------+--------+-----+---------+
| Percent of Total | 14%    | 30%    | 115% | 52%    | 73% |         |
+------------------+--------+--------+------+--------+-----+---------+
| Analog Cellular  | 47,6   | 48,5   | 2%   | 41,7   | -   |         |
| Subs             | 00,000 | 00,000 |      | 00,000 | 14% |         |
+------------------+--------+--------+------+--------+-----+---------+
| Percent of Total | 86%    | 70%    | -19% | 48%    | -   |         |
|                  |        |        |      |        | 31% |         |
+------------------+--------+--------+------+--------+-----+---------+
| Total Mobile     | 55,3   | 69,2   | 25%  | 86,0   | 24% |         |
| Phone Subs (1)   | 00,000 | 00,000 |      | 00,000 |     |         |
+------------------+--------+--------+------+--------+-----+---------+

Sources:

CDMA: 1997 and 1998 -- Fourth Report, 14 FCC Rcd at 10223. 1999 - CDMA
Development Group, *CDMA World Subscribers* (visited Feb. 14, 2000) \<
http://www.cdg.org/world/cdma_world_subscriber.html\>. All of the
figures were reported for North America as a whole and were adjusted for
the United States by removing the CDMA subscriber totals of BCE Mobile
Communications, Inc. and Clearnet Communications, Inc.

TDMA: 1997 and 1998 -- Fourth Report, 14 FCC Rcd at 10223. 1999 - AT&T
Corp., Form S-3, Feb. 2, 2000, at 68. The figures for all years were
reported for North America as a whole and were adjusted for the United
States by removing the TDMA subscriber totals of Rogers Cantel Mobile
Communications, Inc.

GSM: 1997 and 1998 -- Fourth Report, 14 FCC Rcd at 10223. *1999 --
World's Fastest-Growing Wireless Digital Standard Provides North
American GSM Customers Access to Global Network*, News Release, North
American GSM Alliance, Mar. 31, 2000*.* The figures for all years were
reported for North America as a whole and were adjusted for the United
States by removing the GSM subscriber totals of Microcell
Telecommunications, Inc.

iDEN: 1997 and 1998 -- Fourth Report, 14 FCC Rcd at 10223. 1999 - The
iDEN figures are the combined digital SMR subscriber totals for Nextel,
Nextel Partners and Southern Company ("Southern"). The Southern figure
is as of September 1999. Nextel: *Nextel Reports 1999 Results*, News
Release, Nextel Communications, Inc., Feb. 22, 2000. Nextel Partners:
Nextel Partners, Form S-1/A, Feb. 7, 2000, at 5. Southern: *Southern
LINC Reaches 150,000 Customers*, News Release, Southern LINC, Sep. 7.
1999.

Notes:

(1) Total Mobile Phone Subs: Appendix B, Table 1, p. B-2.

**Table 6: Quarterly Mobile Telephone Subscriber Growth**

**(in thousands)**

  -------------- -------- -------- -------- -------- -------- -------- -------- -------- -------- -------- -------- -------- --------
                 96Q4     97Q1     97Q2     97Q3     97Q4     98Q1     98Q2     98Q3     98Q4     99Q1     99Q2     99Q3     99Q4

  **Cellular**                                                                                                               

  SBC            4,398    4,623    4,781    4,890    5,068    5,090    5,188    5,234    5,924    6,142    6,275    7,210    9,651

  Vodafone       3,403    3,550    3,745    3,901    4,309    4,560    7,290    7,461    7,915    8,174    8,388    8,551    9,133
  Airtouch                                                                                                                   

  AT&T (1)       5,204    5,325    5,539    5,739    5,959    5,969    6,164    6,359    6,598    6,777    7,782    7,982    8,200

  Bell Atlantic  4,410    4,634    4,875    5,064    5,356    5,483    5,707    5,914    6,201    6,391    6,606    6,873    7,688

  GTE            3,749    4,009    4,151    4,286    4,487    4,545    4,631    4,685    4,817    4,892    5,027    5,196    7,146

  ALLTEL         795      844      890      921      941      977      1,010    3,863    4,009    4,183    4,296    4,858    5,019

  BellSouth      3,581    3,715    3,836    3,890    4,017    4,125    4,271    4,384    4,374    4,739    4,840    4,770    4,889

  US Cellular    1,073    1,164    1,263    1,357    1,710    1,817    1,922    2,018    2,183    2,270    2,364    2,453    2,602

  Western        324      351      390      426      520      547      583      620      660      696      738      774      835
  Wireless                                                                                                                   

  CenturyTel     368      380      398      430      570      576      584      592      624      639      641      651      707

  Price Comm.    280      311      326      337      310      327      347      364      382      389      418      434      454

  Dobson Comm.   34       79       96       85       100      110      151      163      347      382      402      424      445

  American       140      169      191      214      244      264      286      305      335      352      375      398      431
  Cellular                                                                                                                   

  Commnet        230      244      257      275      290      307      320      336      359      373      388      403      423

  Centennial     160      177      187      199      218      238      253      268      286      309      321      321      341

  Rural Cellular 45       48       77       80       85       87       92       176      187      200      209      218      228

  Ameritech      2,512    2,709    2,856    2,970    3,177    3,345    3,462    3,515    3,600    3,674    3,725    3,795    0

  CCPR           159      167      176      182      196      212      234      265      302      333      362      375      0

  Comcast        762      766      768      766      783      790      799      810      815      836      850      0        0

  Vanguard       513      540      580      615      645      667      692      678      664      700      0        0        0

  Aliant Comm.   147      154      161      170      183      271      281      290      303      308      316      0        0

  Sygnet         107      114      121      130      143      148      157      167      0        0        0        0        0
  Wireless                                                                                                                   

  360 Comm.      2,156    2,281    2,379    2,450    2,583    2,644    2,733    0        0        0        0        0        0

  US West MG     1,873    1,984    2,073    2,200    2,374    2,424    0        0        0        0        0        0        0

                 36,423   38,337   40,117   41,577   44,267   45,523   47,158   48,466   50,884   52,758   54,321   55,685   58,192

                 3,203    1,914    1,780    1,460    2,603    1,256    1,635    1,266    2,147    1,874    1,438    1,174    2,507

  **Broadband                                                                                                                
  PCS**                                                                                                                      

  Sprint PCS (2) 1        192      347      570      887      1,114    1,370    1,750    2,586    3,350    3,967    4,687    5,727

  SBC Comm.      10       27       137      287      365      446      568      670      846      1,008    1,180    1,300    1,500

  PrimeCo        37       114      195      260      388      508      598      707      902      1,105    1,208    1,260    1,400

  AT&T (1)                         4        30       60       190      320      450      600      800      1,000    1,200    1,400

  Omnipoint               16       42       80       141      190      255      274      376      478      594      698      935

  VoiceStream    36       49       74       101      129      165      213      265      322      417      553      676      846

  Powertel       15       35       45       66       119      157      181      229      295      338      382      438      546

  US West                                            15       28       54       104      185      220      284      344      466

  BellSouth (3)  31       49       65       77       88       105      129      158      211      266      315      365      448

  Aerial Comm.                     28       65       125      165      204      231      312      332      347      363      423

  Triton PCS                                                                                      44       78       130      195

  Centennial              7        17       33       51       61       70       86       99       117      134      145      162

  Cincinnati                                                           14       25       56       70       88       112      162
  Bell                                                                                                                       

  Telecorp                                                                                        9        31       76       142

  PCS One (4)                                                                            16       24       30       34       50

  Intelos                                                                       7        12       19       24       31       43

  Alamosa PCS                                                                                                       10       32

  Tritel                                                                                                                     25

  Chase                                                                                  4        5        9        12       16
  Telecomm.                                                                                                                  

  Rural Cellular                                              0        1        2        5        8        9        11       14

  Conestoga                                                                                       4        6        7        10

  APC/Sprint (2) 158      0        0        0        0        0        0        0        0        0        0        0        0

  Total          288      488      955      1,569    2,367    3,128    3,977    4,957    6,826    8,613    10,239   11,899   14,542

  Net Adds       145      200      466      614      798      761      848      980      1,870    1,753    1,626    1,660    2,643

                                                                                                                             

  Nextel Subs    300      423      624      947      1,271    1,642    2,042    2,417    2,790    3,153    3,593    4,051    4,516

  Nextel Net     72       123      202      322      324      371      401      375      373      420      449      467      474
  Adds                                                                                                                       

                                                                                                                             

  Tot Net Adds   3,420    2,237    2,448    2,397    3,725    2,388    2,884    2,622    4,390    4,047    3,513    3,300    5,150

  PCS/Nextel %   6.4%     14.4%    27.3%    39.1%    30.1%    47.4%    43.3%    51.7%    51.1%    53.7%    59.1%    64.4%    51.3%

  Cellular %     93.6%    85.6%    72.7%    60.9%    69.9%    52.6%    56.7%    48.3%    48.9%    46.3%    40.9%    35.6%    48.6%
  -------------- -------- -------- -------- -------- -------- -------- -------- -------- -------- -------- -------- -------- --------

Sources: Except as noted, publicly available company documents such as
news releases and filings made with the Securities and Exchange
Commission.

Notes:

(1) AT&T's has reported broadband PCS subscriber totals for 97Q4, 98Q3,
    98Q4, 99Q3, and 99Q4. The figures for AT&T's broadband PCS in the
    remaining quarters were estimated assuming average growth between
    the known data points, which were then netted against AT&T's
    reported total mobile telephone subscriber figures.

(2) APC/Sprint and Sprint PCS subscriber totals for 96Q4 are based on
    the average of estimates made by: Salomon Smith Barney, Paul Kagan
    Associates, Inc., and Merrill Lynch.

(3) BellSouth stopped reporting separate figures for its broadband PCS
    properties. The 1999 figures used here were estimated based on the
    average growth of the other broadband PCS operators on this list.

(4) PCS One is a joint venture between a subsidiary of VoiceStream and
    D&E Communications, Inc.

**Table 7: Mobile Telephone Digital Coverage**

  ------------ ------------------ ------------ --------- ----------- ---------
  Technology   Band               POPs in      \% of     Square      \% of
                                  Those Areas  Total     Miles       Total
                                  (3)          POPs      Contained   Square
                                                         in Those    Miles
                                                         Counties    

  CDMA         Broadband PCS (1)  191.4        75.7%     786,000     21.8%
                                  million                            

               Digital Cellular   158.7        62.8%     626,000     17.4%
               (2)                million                            

               Combined Total     204.3        80.8%     1,045,000   29.0%
                                  million                            

  TDMA         Broadband PCS (1)  81.3 million 32.1%     298,000     8.3%

               Digital Cellular   175.7        69.5%     1,346,000   37.4%
               (2)                million                            

               Combined Total     206.5        81.6%     1,492,000   41.4%
                                  million                            

  GSM          Broadband PCS (1)  165.3        65.3%     790,000     21.9%
                                  million                            

  iDEN         Digital SMR (1)    185.4        73.3%     730,000     20.3%
                                  million                            
  ------------ ------------------ ------------ --------- ----------- ---------

Source: Federal Communications Commission estimates based on publicly
available information.

Notes:

(1) The areas used for broadband PCS and digital SMR are counties.

(2) The license areas used for digital cellular are MSAs and RSAs.

(3) The POPs are from the 1990 census.

**Table 8: Broadband PCS Industry Growth**

+--------------------+-------+-----+------+------+------+------+------+
| Operator           | Techn | Lau | Sub  | Sub  | Sub  | Sub  | Sub  |
|                    | ology | nch | scri | scri | scri | scri | scri |
|                    | C     | D   | bers | bers | bers | bers | bers |
|                    | hoice | ate |      |      |      |      |      |
|                    |       |     | 12/3 | 12/3 | 12/3 | 12/3 | 12/3 |
|                    |       |     | 1/95 | 1/96 | 1/97 | 1/98 | 1/99 |
+--------------------+-------+-----+------+------+------+------+------+
| APC/Sprint (1)     | GSM   | 11  | 31   | 158  | \-   | \-   | \-   |
|                    |       | /15 | ,667 | ,333 |      |      |      |
|                    |       | /95 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| VoiceStream        | GSM   | 2   |      | 35   | 128  | 322  | 845  |
| (formerly West.    |       | /28 |      | ,500 | ,600 | ,400 | ,700 |
| Wrlss)             |       | /96 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| BellSouth          | GSM\  | 7   |      | 51   | 141  | 326  | N/A  |
|                    | \TDMA | /18 |      | ,000 | ,000 | ,000 |      |
|                    |       | /96 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Powertel           | GSM   | 10  |      | 14   | 118  | 295  | 546  |
|                    |       | /15 |      | ,892 | ,757 | ,295 | ,364 |
|                    |       | /96 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| SBC Communications | GSM\  | 10  |      | 10   | 365  | 846  | 1    |
| (2)                | \TDMA | /29 |      | ,000 | ,000 | ,000 | ,500 |
|                    |       | /96 |      |      |      |      | ,000 |
+--------------------+-------+-----+------+------+------+------+------+
| PrimeCo            | CDMA  | 11  |      | 38   | 387  | 902  | 1    |
|                    |       | /13 |      | ,000 | ,000 | ,000 | ,400 |
|                    |       | /96 |      |      |      |      | ,000 |
+--------------------+-------+-----+------+------+------+------+------+
| Omnipoint          | GSM   | 11  |      | N/A  | 141  | 375  | 935  |
|                    |       | /14 |      |      | ,000 | ,500 | ,000 |
|                    |       | /96 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Centennial         | CDMA  | 12  |      | 16   | 50   | 98   | 161  |
| Cellular (3)       |       | /12 |      | ,900 | ,700 | ,700 | ,800 |
|                    |       | /96 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Sprint PCS (1) (4) | CDMA  | 12  |      | 1    | 887  | 2    | 5    |
|                    |       | /16 |      | ,333 | ,000 | ,586 | ,727 |
|                    |       | /96 |      |      |      | ,000 | ,000 |
+--------------------+-------+-----+------+------+------+------+------+
| GTE (5)            | CDMA  | 2   |      |      | N/A  | N/A  | N/A  |
|                    |       | /18 |      |      |      |      |      |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Aerial             | GSM   | 3   |      |      | 125  | 311  | 423  |
| Communications     |       | /27 |      |      | ,000 | ,900 | ,000 |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Airadigm           | GSM   | 5/3 |      |      | N/A  | N/A  | N/A  |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| AT&T               | TDMA  | 6/5 |      |      | 60   | 600  | 1    |
|                    |       | /97 |      |      | ,000 | ,000 | ,400 |
|                    |       |     |      |      |      |      | ,000 |
+--------------------+-------+-----+------+------+------+------+------+
| Horizon PCS (7)    | CDMA  | 8   |      |      | N/A  | N/A  | N/A  |
|                    |       | /29 |      |      |      |      |      |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| US West            | CDMA  | 9   |      |      | 15   | 185  | 466  |
| Communications     |       | /23 |      |      | ,000 | ,000 | ,000 |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| WirelessNorth      | CDMA  | 1   |      |      | N/A  | N/A  | N/A  |
|                    |       | 0/1 |      |      |      |      |      |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Third Kentucky     | GSM   | 1   |      |      | N/A  | N/A  | N/A  |
| Cellular (8)       |       | 0/7 |      |      |      |      |      |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Intelos            | CDMA  | 1   |      |      | N/A  | 13   | 43   |
|                    |       | 0/9 |      |      |      | ,400 | ,300 |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| NPI Wireless       | GSM   | 10  |      |      | N/A  | N/A  | N/A  |
|                    |       | /13 |      |      |      |      |      |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| US Unwired (7)     | CDMA  | Nov |      |      | N/A  | 5    | 33   |
|                    |       | -97 |      |      |      | ,698 | ,690 |
+--------------------+-------+-----+------+------+------+------+------+
| PCS One (9)        | GSM   | 11  |      |      | N/A  | 16   | 50   |
|                    |       | /17 |      |      |      | ,000 | ,000 |
|                    |       | /97 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| DIGIPH PCS         | GSM   | 1   |      |      |      | N/A  | N/A  |
|                    |       | /22 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Poka Lambro        | CDMA  | Jan |      |      |      | N/A  | N/A  |
|                    |       | -98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Southeast          | GSM   | 2/8 |      |      |      | N/A  | N/A  |
| Telephone          |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| ALLTEL             | CDMA  | 2   |      |      |      | N/A  | N/A  |
|                    |       | /23 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| 3 Rivers Wireless  | CDMA  | 3   |      |      |      | N/A  | N/A  |
|                    |       | /30 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Hargrey Wireless   | CDMA  | 4/1 |      |      |      | N/A  | N/A  |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Blackfoot          | CDMA  | 4/8 |      |      |      | N/A  | N/A  |
| Communications     |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Rural Cellular     | GSM   | 4   |      |      |      | 5    | 14   |
| (10)               |       | /21 |      |      |      | ,129 | ,198 |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Conestoga          | GSM   | 5/1 |      |      |      | N/A  | 9    |
| Enterprises        |       | /98 |      |      |      |      | ,800 |
+--------------------+-------+-----+------+------+------+------+------+
| Cincinnati Bell    | TDMA  | 5/5 |      |      |      | 56   | 162  |
| (11)               |       | /98 |      |      |      | ,000 | ,466 |
+--------------------+-------+-----+------+------+------+------+------+
| Via Wireless (7)   | CDMA  | 7   |      |      |      | N/A  | N/A  |
|                    |       | /15 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Ameritech (5)      | CDMA  | 7   |      |      |      | N/A  | N/A  |
|                    |       | /21 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Lifecom            | CDMA  | 8   |      |      |      | N/A  | N/A  |
|                    |       | /10 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Century Telephone  | TDMA  | 8   |      |      |      | N/A  | N/A  |
| Enterprises        |       | /12 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Panhandle          | GSM   | 9   |      |      |      | N/A  | N/A  |
| Telecomm. Systems  |       | /22 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Chase              | CDMA  | 9   |      |      |      | 3    | 22   |
| Telecommunications |       | /23 |      |      |      | ,500 | ,000 |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Alaska Digitel     | CDMA  | 10  |      |      |      | N/A  | N/A  |
|                    |       | /26 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Iowa Wireless      | GSM   | 1   |      |      |      | N/A  | N/A  |
| Services (12)      |       | 1/6 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Amica Wireless     | CDMA  | 12  |      |      |      | N/A  | N/A  |
|                    |       | /14 |      |      |      |      |      |
|                    |       | /98 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Cellular South     | TDMA  | 1   |      |      |      |      | N/A  |
|                    |       | /20 |      |      |      |      |      |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Triton PCS (11)    | TDMA  | 1   |      |      |      |      | 195  |
|                    |       | /26 |      |      |      |      | ,204 |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Telecorp (11)      | TDMA  | 2/4 |      |      |      |      | 142  |
|                    |       | /99 |      |      |      |      | ,231 |
+--------------------+-------+-----+------+------+------+------+------+
| Southwest PCS (7)  | CDMA  | 3   |      |      |      |      | N/A  |
|                    |       | /22 |      |      |      |      |      |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Industar (6)       | TDMA  | 4/1 |      |      |      |      | N/A  |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| South Central      | CDMA  | 4/1 |      |      |      |      | N/A  |
| (Utah) Comm.       |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| PinPoint           | GSM   | 2   |      |      |      |      | N/A  |
| Communications     |       | Q99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Pyxis              | CDMA  | Ap  |      |      |      |      | N/A  |
| Communications     |       | ril |      |      |      |      |      |
|                    |       | 99  |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Roseville          | CDMA  | 6   |      |      |      |      | N/A  |
| Communications     |       | /11 |      |      |      |      |      |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| ALAMOSA PCS (7)    | CDMA  | 6   |      |      |      |      | 31   |
|                    |       | /22 |      |      |      |      | ,850 |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| SOL Communications | GSM   | 7   |      |      |      |      | N/A  |
| (12)               |       | /19 |      |      |      |      |      |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| UBTA               | CDMA  | 9   |      |      |      |      | N/A  |
| Communications     |       | /16 |      |      |      |      |      |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Souris River       | CDMA  | 9   |      |      |      |      | N/A  |
| Telecommunications |       | /20 |      |      |      |      |      |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Clearcomm          | CDMA  | 9   |      |      |      |      | N/A  |
|                    |       | /23 |      |      |      |      |      |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Tritel (11)        | TDMA  | 9   |      |      |      |      | 24   |
|                    |       | /27 |      |      |      |      | ,600 |
|                    |       | /99 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+
| Airgate PCS (7)    | CDMA  | 1/3 |      |      |      |      | \-   |
|                    |       | /00 |      |      |      |      |      |
+--------------------+-------+-----+------+------+------+------+------+

Sources: Except as noted below, all subscriber figures come from
operators' news releases and filings made with the Securities and
Exchange Commission.

Notes:

(1) APC/Sprint and Sprint PCS subscriber totals prior to 1998 are based
    on the average of estimates made by: Salomon Smith Barney, Paul
    Kagan Associates, Inc., and Merrill Lynch.

(2) SBC Communication's information includes the PCS operations added
    with the acquisition of Pacific Telesis. SBC launched its lone
    existing broadband PCS license in Tulsa on 5/22/97.

(3) Centennial Cellular's subscriber figures are as of November 30 of
    each year.

(4) Sprint PCS acquired APC/Sprint Spectrum on January 6, 1998.
    APC/Sprint Spectrum's 4th quarter 1997 subscribers are included with
    Sprint PCS.

(5) GTE and Ameritech reported their broadband PCS subscribers with
    their existing cellular operations.

(6) Due to technical problems with its original network, Industar shut
    down its original network and is working on deploying a newer, more
    robust network.

(7) Entered in affiliation agreements with Sprint PCS.

(8) Operates under the name Wireless 2000.

(9) PCS One is a joint venture between D&E Communications and a
    subsidiary of VoiceStream.

(10) Rural Cellular controls 51% of Wireless Alliance LLC, a joint
     venture between it and VoiceStream (formerly Aerial
     Communications).

(11) Joint Venture with AT&T.

(12) Joint Venture with VoiceStream.

**Tables 9A - 9G: Broadband PCS Rollout Summary**

**Table 9A: Estimated Broadband PCS Rollouts by Number of Providers in a
County**

  ---------------- --------------- ------------ -------------- -----------
  Number of PCS    POPs in Those   \% of Total  Square Miles   \% of Total
  Providers in a   Counties (1)    US POPs      in Those       US Counties
  County                                        Counties       

  1 or More        217.3 million   85.9%        1,167,000      32.4%

  2 or More        186.9 million   73.9%        641,000        17.8%

  3 or More        95.3 million    37.7%        257,000        7.1%

  4                11.9 million    4.7%         51,000         1.4%
  ---------------- --------------- ------------ -------------- -----------

**Table 9B: Estimated Broadband PCS Rollouts by Number of Providers in a
BTA**

  ------------------- -------------- ---------------------- --------------
  Number of PCS       Number of BTAs POPs in Those BTAs (1) \% of Total US
  Providers in a BTA                                        POPs

  1 or More           352            234.3 million          92.7%

  2 or More           245            210.4 million          83.2%

  3 or More           109            114.4 million          45.2%

  4                   18             15.8 million           6.2%
  ------------------- -------------- ---------------------- --------------

**Table 9C: Estimated Broadband PCS Rollouts by Technology by County**

  ----------------- ---------------- ------------ ------------ ------------
  Technology        POPs in Those    \% of Total  Square Miles \% of Total
                    Counties (1)     US POPs      in Those     US Counties
                                                  Counties     

  CDMA (2)          191.4 million    75.7%        786,000      21.8%

  GSM               165.3 million    65.3%        790,000      21.9%

  TDMA              81.3 million     32.1%        298,000      8.3%
  ----------------- ---------------- ------------ ------------ ------------

**Table 9D: Estimated Broadband PCS Rollouts by Technology by BTA**

  -------------------- ---------------- ------------------- --------------
  Technology           Number of BTAs   POPs in Those BTAs  \% of Total US
                                        (1)                 POPs

  CDMA (2)             257              211,984,215         83.9%

  GSM                  250              180,888,064         71.6%

  TDMA                 126              97,511,255          38.6%
  -------------------- ---------------- ------------------- --------------

**Table 9E: Estimated Broadband PCS Rollouts by Service Block by
County**

  ----------- ------------------- ------------- ------------- -------------
  Service     POPs in Those       \% of Total   Square Miles  \% of Total
  Block       Counties (1)        US POPs       in Those      US Counties
                                                Counties      

  A           181.1 million       71.6%         676,000       18.8%

  B           189.4 million       74.9%         714,000       19.8%

  C (4)       36.5 million        14.4%         200,000       5.6%

  D           95.9 million        37.9%         340,000       9.4%

  E           61.2 million        24.2%         308,000       8.6%

  F           39.3 million        15.5%         223,000       6.2%
  ----------- ------------------- ------------- ------------- -------------

**Table 9F: Estimated Broadband PCS Rollouts by Service Block by BTA**

  ------------- ----------------- ---------------------- ----------------
  Service Block Number of BTAs    POPs in Those BTAs (1) \% of Total US
                (3)                                      POPs

  A             210               198,472,177            78.6%

  B             250               209,357,087            82.9%

  C (4)         83                37,926,975             15.0%

  D             132               108,837,628            43.1%

  E             96                68,165,625             27.0%

  F             63                43,968,412             17.4%
  ------------- ----------------- ---------------------- ----------------

**Table 9G: Estimated Broadband PCS Rollout by County Quartile**

  ------------ ---------- ---------- -------------- ------------- ------------
  County       Number of  Number of  Percent of     POPs in       Percent of
  Quartile     Counties   Counties   Counties in    Counties (1)  Quartile
  Based on     in         with PCS   Quartile with  with PCS      POPs with
  Population   Quartile   Rollout    PCS Rollout    Rollout       PCS Rollout

  1st Quartile 808        693        85.8%          197,166,387   95.1%

  2nd Quartile 808        424        52.5%          15,097,410    53.7%

  3rd Quartile 808        270        33.4%          4,472,002     34.9%

  4th Quartile 809        97         12.0%          732,061       15.2%
  ------------ ---------- ---------- -------------- ------------- ------------

**Table 9H: Estimated Broadband PCS Rollout by BTA Quartile**

  ------------ ---------- ---------- -------------- ------------- ------------
  BTA Quartile Number of  Number of  Percent of     POPs in BTAs  Percent of
  Based on     BTAs in    BTAs with  BTAs in        (1) with PCS  Quartile
  Population   Quartile   PCS        Quartile with  Rollout       POPs with
                          Rollout    PCS Rollout                  PCS Rollout

  1st Quartile 123        120        97.6%          190,662,794   99.2%

  2nd Quartile 123        105        85.4%          28,635,344    85.8%

  3rd Quartile 123        72         58.5%          10,561,590    59.5%

  4th Quartile 124        55         44.4%          4,419,770     47.7%
  ------------ ---------- ---------- -------------- ------------- ------------

Notes:

(1) POPs from 1990 Census.

(2) The CDMA coverage includes Sprint PCS' CDMA overlay in the
    Washington, DC and Baltimore, MD BTAs of the APC/Sprint Spectrum
    GSM-based network.

(3) There are several BTAs where a single operator controls multiple
    license blocks. This analysis assumes that they are all in use
    (except for AT&T's DEF block licenses). This was not done in the
    *Third Report*, making the numbers from Table 13C not comparable
    with the equivalent table in the *Third Report*.

(4) A number of licensee returned their C block licenses as a part of
    the June 1998 elections and switched to using licenses owned by
    Sprint PCS in the A or B blocks.

**Table 10: Broadband PCS Spectrum Usage**

+---------------------+---------------------------+-------------------+
| Spectrum            | POPs in                   | Percent of Total  |
|                     |                           | POPs              |
| Used (MHz)          | Those                     |                   |
|                     |                           |                   |
|                     | Counties                  |                   |
+---------------------+---------------------------+-------------------+
| 120                 | 0                         | 0.0%              |
+---------------------+---------------------------+-------------------+
| 110                 | 4,590,000                 | 1.81%             |
+---------------------+---------------------------+-------------------+
| 100                 | 1,258,000                 | 0.50%             |
+---------------------+---------------------------+-------------------+
| 95                  | 1,193,000                 | 0.47%             |
+---------------------+---------------------------+-------------------+
| 90                  | 3,689,000                 | 1.46%             |
+---------------------+---------------------------+-------------------+
| 85                  | 201,000                   | 0.08%             |
+---------------------+---------------------------+-------------------+
| 80                  | 34,327,000                | 13.57%            |
+---------------------+---------------------------+-------------------+
| 75                  | 7,464,000                 | 2.95%             |
+---------------------+---------------------------+-------------------+
| 70                  | 56,972,000                | 22.52%            |
+---------------------+---------------------------+-------------------+
| 65                  | 373,000                   | 0.15%             |
+---------------------+---------------------------+-------------------+
| 60                  | 53,923,000                | 21.31%            |
+---------------------+---------------------------+-------------------+
| 55                  | 649,000                   | 0.26%             |
+---------------------+---------------------------+-------------------+
| 50                  | 8,037,000                 | 3.18%             |
+---------------------+---------------------------+-------------------+
| 45                  | 3,203,000                 | 1.27%             |
+---------------------+---------------------------+-------------------+
| 40                  | 13,063,000                | 5.16%             |
+---------------------+---------------------------+-------------------+
| 35                  | 973,000                   | 0.38%             |
+---------------------+---------------------------+-------------------+
| 30                  | 19,480,000                | 7.70%             |
+---------------------+---------------------------+-------------------+
| 25                  | 777,000                   | 0.31%             |
+---------------------+---------------------------+-------------------+
| 20                  | 3,392,000                 | 1.34%             |
+---------------------+---------------------------+-------------------+
| 15                  | 439,000                   | 0.17%             |
+---------------------+---------------------------+-------------------+
| 10                  | 3,462,000                 | 1.37%             |
+---------------------+---------------------------+-------------------+
| 0                   | 35,523,000                | 14.04%            |
+---------------------+---------------------------+-------------------+

**Table 11: Top 20 Mobile Telephone Resellers: 1998 and 1999**

  ------------------------ --------------- ------------------------ ---------------
  **1998**                                 **1999**                 

  **Operator**             **Resale        **Operator**             **Resale
                           Subscribers**                            Subscribers**

  MCI Worldcom             565,000         MCI Worldcom             950,000

  Progressive Concepts     76,000          Progressive Concepts     77,500

  Prime Matrix Wireless    72,000          CellNet Communications   55,000

  Connecticut Telephone    70,000          Discount Cellular Inc.   46,079

  CellNet Communications   65,000          Prime Matrix Wireless    46,000

  Select Wireless          40,000          DCN Wireless/Robo        41,896
                                           Wireless                 

  DCN Wireless/Robo        39,414          Select Wireless          40,000
  Wireless                                                          

  Discount Cellular Inc.   24,831          Anything Wireless        28,000

  Cellular Plus Systems    22,000          Fox Communications       26,000

  Marathon Communications  21,000          Cellular Plus Systems    23,000

  Phase 2 Cellular         20,000          Marathon Communications  20,000

  Cellnet of Ohio Inc.     17,500          Cellnet of Ohio Inc.     17,650

  SkyNet                   15,677          SkyNet                   17,609

  CoreComm                 15,031          Car Phones Express       14,863

  The Mobile Phone Co.     13,000          The Mobile Phone Co.     11,500

  One Source               11,500          Pacific Cellular         10,500
  Communications                                                    

  Pacific Cellular         10,200          San Diego Wireless       10,162

  Cellular Dynamics        10,000          Apex Wireless            8,500

  Car Phones Express       10,000          Personal Cellular        3,700
                                           Service                  

  San Diego Wireless Comm. 8,100           Phase 2 Cellular         3,500

  **Total**                1,126,253                                1,451,459

  MCI WorldCom's           50.2%                                    65.5%
  Percentage of top 20                                              
  ------------------------ --------------- ------------------------ ---------------

Sources:

1998: *RCR Top 20 Wireless Resellers*, RCR RADIO COMMUNICATIONS, Jan.
11, 1999, at 16.

1999: *RCR Top 20 Resellers*, RCR RADIO COMMUNICATIONS, Jan. 10, 2000,
at 16.

Notes:

America One Communications, Inc. does not publicly report its resale
subscribers.

**APPENDIX C:**

**MOBILE DATA**

**[Table of Contents]{.underline}**

Table 1: Mobile Data Forecasts C-2

Table 2: 3G Spectrum Allocation Plans of European Countries C-3

Table 3: Contracts C-4

Table 4: Trials/Tests C-5

Table 5: Smartphones C-8

Table 6: WAP-enabled Handsets C-9

Table 7: Internet Access Services Provided by Mobile Telephone Operators
C-10

Table 8: Wireless Internet Portals C-11

Table 9: 1996 -- 1999 Paging/Messaging Industry Numbers C-13

Table 10: 1996 -- 1999 Number of Paging/Messaging Units by Publicly-Held
Company C-14

Table 11: 1996 -- 1999 Revenues by Publicly-Held Company C-15

Table 12: 1996 -- 1999 EBITDA/Operating Cash Flow by Publicly-Held
Company C-16

Table 13: 1996 -- 1999 EBITDA Margin/Operating Cash Flow Margin C-17

Table 14: Advanced Messaging Services C-18

Table 15: Handheld Devices C-19

Table 16: Telemetry Services C-20

**Table 1: Mobile Data Forecasts**

+----------------------+-----------------------------------------------+
| #                    | **[Forecast]{.underline}**                    |
| [Source]{.underline} |                                               |
+----------------------+-----------------------------------------------+
| Allied Business      | 600 million WAP-enabled handsets shipped      |
| Intelligence         | between now and 2005, accounting for 1/3 of   |
|                      | all handsets.                                 |
+----------------------+-----------------------------------------------+
| Cahners In-Stat      | 784,000 wireless data business customers in   |
| Group                | 1999, 9 million by 2003, and in the overall   |
|                      | market, 1.7 million subscribers in 1999 to 24 |
|                      | million by 2003.                              |
+----------------------+-----------------------------------------------+
| Datacomm Research    | 350 million smart phones and PDAs shipped by  |
| Inc.                 | 2003.                                         |
+----------------------+-----------------------------------------------+
| Dataquest            | By 2003, 66.7 percent of all wireless data    |
|                      | subscribers will use SMS and 19 percent of    |
|                      | wireless data subscribers will be made up of  |
|                      | two-way paging.                               |
+----------------------+-----------------------------------------------+
| Dataquest            | 3 million U.S. wireless data users in 1999    |
|                      | and 36 million by 2003 (includes paging).     |
+----------------------+-----------------------------------------------+
| Dataquest            | 1.4 million wireless data subscribers in      |
|                      | 1998. Expected to double by 1999 and 36       |
|                      | million by 2003, including more than \$3      |
|                      | billion in revenue.                           |
+----------------------+-----------------------------------------------+
| Frost & Sullivan     | \$56.3 million in smart phone revenues in     |
|                      | 1998 and will reach \$1.84 billion in 2005.   |
+----------------------+-----------------------------------------------+
| Gartner Group        | 40 percent of e-commerce transactions outside |
|                      | the U.S. will be done via mobile devices.     |
+----------------------+-----------------------------------------------+
| Gartner Group        | More than 95 percent of mobile phones shipped |
|                      | in 2004 will be WAP-enabled.                  |
+----------------------+-----------------------------------------------+
| Gartner Group        | More than 75 percent of new handsets shipped  |
|                      | in 2004 will be Bluetooth enabled.            |
+----------------------+-----------------------------------------------+
| IDC                  | By year end 1999, SMS achieved 11 percent     |
|                      | penetration in Western Europe.                |
+----------------------+-----------------------------------------------+
| IDC                  | 9 million U.S. subscribers capable of         |
|                      | receiving SMS in 1998, by 2003, more than 68  |
|                      | million.                                      |
+----------------------+-----------------------------------------------+
| Jupiter              | 1.1 million users of browser-enabled mobile   |
| Communications       | phones this year to 79.4 million in 2003.     |
+----------------------+-----------------------------------------------+
| Killen & Associates  | \$37.5 billion in revenues for wireless       |
|                      | Internet applications by 2002.                |
+----------------------+-----------------------------------------------+
| Ovum                 | 21 million smart phones worldwide by end of   |
|                      | 2000, 48 million by 2002 and 204 million by   |
|                      | 2005.                                         |
+----------------------+-----------------------------------------------+
| Ovum                 | By 2004, smart phones and data-centric        |
|                      | devices will comprise two-thirds of the       |
|                      | estimated worldwide handset market.           |
+----------------------+-----------------------------------------------+
| Phone.com            | By 2003, more than one-half of world's        |
|                      | estimated one billion mobile phone            |
|                      | subscribers will be connected to the          |
|                      | Internet.                                     |
+----------------------+-----------------------------------------------+
| Strategy Analytics   | 95 percent of smart phones shipped to U.S.    |
|                      | and Europe in 2003 will be WAP enabled and 70 |
|                      | percent will have Bluetooth technology.       |
+----------------------+-----------------------------------------------+
| Strategy Analytics   | 750 million wireless data users worldwide by  |
|                      | 2010 -- 75 percent penetration for U.S. and   |
|                      | Western Europe.                               |
+----------------------+-----------------------------------------------+
| The Strategis Group, | 14.3 million wireless data users by 2003 with |
| Inc.                 | revenues of \$3.8 million.                    |
+----------------------+-----------------------------------------------+
| The Strategis Group, | \$8 billion in U.S. by 2004 and \$33.5        |
| Inc.                 | billion globally by 2004 (equipment and       |
|                      | services). Subscriber revenue of \$4.8        |
|                      | billion in 2003 and \$5.8 billion in 2004.    |
+----------------------+-----------------------------------------------+
| Yankee Group         | 21.3 million mobile data users by the end of  |
|                      | 2001 and 28 million by 2002, about 75 percent |
|                      | for e-mail.                                   |
+----------------------+-----------------------------------------------+
| Yankee Group         | 3 million wireless Internet users in 1999, by |
|                      | 2004 more than 50 million.                    |
+----------------------+-----------------------------------------------+

Sources: Brad Smith, *Wireless Data Markets Poised To Explode*,
[Wireless Week]{.smallcaps}, Sept. 13, 1999, at 38-39; *Spyglass Inside
Mobile Data -- Market Statistics* (visited June 21, 2000)
\<http://webnotes.ostrech.com/mdexpert/stats.html\>; Brad Smith, *How
Steep Is Data Growth? Try A Hockey Stick Analogy*, [Wireless
Week]{.smallcaps}, Nov. 1, 1999, at 26; Ed Lopez, *Wireless Data: Sell
It Or Lose All*, [Wireless Week]{.smallcaps}, Dec. 13, 1999, at 12; Paul
A. Greenberg, *Why Is Wireless Taking So Long?*, [E-Commerce
Times]{.smallcaps}, Dec. 1, 1999,
\<wysiwyg://7/http://www.ecommercetimes.com/news/articles/991201-2.shtml\>;
Charles Mason, *What Have We Wrought?*, [America's Network]{.smallcaps},
July 1, 1999, *available in* 1999 WL 11825376; *Data-Enabled Wireless
Handsets To Gain Huge Market Share, Research Group Ovum Says*, [PCS
Week]{.smallcaps}, July 21, 1999, *available in* 1999 WL 7870989.

**Table 2: 3G Spectrum Allocation Plans of European Countries**

+-----------+-----------+-----------+------------+---------+-----------+
| **[Coun   | **        | **[Number | **[Assig   | #       |           |
| try]{.und | [Spectrum | of        | nment]{.un | ## [Sch |           |
| erline}** | Alloca    | Licen     | derline}** | edule]{ |           |
|           | ted]{.und | ses]{.und |            | .underl |           |
|           | erline}** | erline}** | **[M       | ine} {# |           |
|           |           |           | ethod]{.un | schedul |           |
|           | **[(M     |           | derline}** | e .unnu |           |
|           | Hz)]{.und |           |            | mbered} |           |
|           | erline}** |           |            |         |           |
+-----------+-----------+-----------+------------+---------+-----------+
|           |           |           |            | **[Au   | **[Award  |
|           |           |           |            | ction/] | of]{.und  |
|           |           |           |            | {.under | erline}** |
|           |           |           |            | line}** |           |
|           |           |           |            |         | **[Licen  |
|           |           |           |            | **[     | ses]{.und |
|           |           |           |            | Tender] | erline}** |
|           |           |           |            | {.under |           |
|           |           |           |            | line}** |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Austria   | 145       | 4-6       | Auction    | Nov. -- | Q4 2000/  |
|           |           |           |            | Dec.    |           |
|           |           |           | (with      | 2000    | Q1 2001   |
|           |           |           | pre-qua    |         |           |
|           |           |           | lification | (ass    | (14 days  |
|           |           |           | based on   | essment | after     |
|           |           |           | assessment | from    | auction   |
|           |           |           | of         | July to | ends)     |
|           |           |           | technical  | Sept.   |           |
|           |           |           | & economic | 2000)   |           |
|           |           |           | abilities) |         |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Belgium   | NA        | 4         | Undecided  | Sept.   | Dec. 2000 |
|           |           |           | but        | 2000    |           |
|           |           |           | leaning    |         |           |
|           |           |           | toward     |         |           |
|           |           |           | auction    |         |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Denmark   | 155       | 5         | Auction    | NA      | NA        |
+-----------+-----------+-----------+------------+---------+-----------+
| Finland   | 140       | 4         | Beauty     | Ja      | March     |
|           |           |           | contest    | n.-Feb. | 1999      |
|           |           |           |            |         |           |
|           |           |           |            | 1999    |           |
+-----------+-----------+-----------+------------+---------+-----------+
| France    | 140       | 4         | Beauty     | Nov. or | 1^st^     |
|           |           |           | contest    | Dec.    | half of   |
|           |           |           | with       | 2000    | 2001      |
|           |           |           | entrance   |         |           |
|           |           |           | fee        |         |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Germany   | 145       | 4-6       | Auction    | July-   |           |
|           |           |           |            | Aug.    |           |
|           |           |           |            | 2000    |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Italy     | 125       | 5         | C          | Jun     | Nov. 2000 |
|           |           |           | ombination | e-Sept. |           |
|           |           |           | (prequa    |         |           |
|           |           |           | lification | 2000    |           |
|           |           |           | beauty     |         |           |
|           |           |           | contest    |         |           |
|           |           |           | followed   |         |           |
|           |           |           | by         |         |           |
|           |           |           | c          |         |           |
|           |           |           | ompetitive |         |           |
|           |           |           | bids)      |         |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Ireland   | 140       | 4         | Beauty     |         | Apr.-May  |
|           |           |           | contest    |         | 2001      |
+-----------+-----------+-----------+------------+---------+-----------+
| Ne        | 145       | 5         | Auction    | July    | Q3 2000   |
| therlands |           |           |            | 2000    |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Norway    | 140       | 4         | Beauty     | Q3 2000 | Oct./Nov. |
|           |           |           | contest    |         |           |
|           |           |           |            |         | 2000      |
+-----------+-----------+-----------+------------+---------+-----------+
| Portugal  | 140       | 4         | Beauty     | Q3 2000 | Q1 2001   |
|           |           |           | contest    |         |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Spain     | 120       | 4         | Beauty     |         | March     |
|           |           |           | contest    |         | 2000      |
+-----------+-----------+-----------+------------+---------+-----------+
| Sweden    | 140       | 4         | Beauty     | Sept.   | Nov. 2000 |
|           |           |           | contest    | 2000    |           |
+-----------+-----------+-----------+------------+---------+-----------+
| Sw        | 95        | 4         | Auction    | Nov.    |           |
| itzerland | (1/1/02)  |           |            | 2000    |           |
|           |           |           |            |         |           |
|           | 14        |           |            |         |           |
|           | 0(1/1/06) |           |            |         |           |
+-----------+-----------+-----------+------------+---------+-----------+
| UK        | 140       | 5         | Auction    | Ma      | May 2000  |
|           |           |           |            | r.-Apr. |           |
|           |           |           |            |         |           |
|           |           |           |            | 2000    |           |
+-----------+-----------+-----------+------------+---------+-----------+

Sources: Publicly available information such as Web sites of national
regulatory authorities and the following publications: Dennis H.
Leibowitz, *The Global Wireless Communications Industry*, Donaldson,
Lufkin & Jenrette, Summer 2000, at 65; Maija Pesola, *3G Auctions:
Country-By-Country Guide*, FINANCIAL TIMES, July 5, 2000.

# Table 3: Contracts {#table-3-contracts .unnumbered}

+-------+---------+--------+--------+------+--------------------------+
| *     | **[C    | **[Ann | **[G   | #    | *                        |
| *[Har | arrier] | ouncem | eograp | [Val | *[Summary]{.underline}** |
| dware | {.under | ent]{. | hic]{. | ue]{ |                          |
| ]{.un | line}** | underl | underl | .und |                          |
| derli |         | ine}** | ine}** | erli |                          |
| ne}** | **[C    |        |        | ne}  |                          |
|       | ompany] |        | **     | {#va |                          |
| **[Co | {.under |        | [Locat | lue  |                          |
| mpany | line}** |        | ion]{. | .unn |                          |
| ]{.un |         |        | underl | umbe |                          |
| derli |         |        | ine}** | red} |                          |
| ne}** |         |        |        |      |                          |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | Be      | June   | United | \    | Ericsson is replacing    |
| csson | llSouth | 1999   | States | $750 | BellSouth's TDMA         |
|       | M       |        |        | Mil  | infrastructure in order  |
|       | obility |        |        | lion | to facilitate migration  |
|       |         |        |        |      | to 3G EDGE technology.   |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | Rogers  | O      | Canada | \    | The contract             |
| csson | Cantel  | ctober |        | $340 | concentrates on evolving |
|       |         | 1999   |        | Mil  | Cantel's 2G TDMA network |
|       |         |        |        | lion | into a 3G                |
|       |         |        |        |      | infrastructure.          |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | NTT     | O      | Japan  | N/A  | Ericsson was selected to |
| csson | Mobile  | ctober |        |      | provide WCDMA mobile     |
|       | Communi | 1999   |        |      | phones and base stations |
|       | cations |        |        |      | to NTT DoCoMo.           |
|       | Network |        |        |      |                          |
|       | Inc.    |        |        |      |                          |
+-------+---------+--------+--------+------+--------------------------+
| Nokia | Tel     | No     | Spain  | N/A  | The companies have       |
|       | efonica | vember |        |      | signed an agreement in   |
|       | Moviles | 1999   |        |      | which Nokia will provide |
|       |         |        |        |      | the core network         |
|       |         |        |        |      | architecture based on    |
|       |         |        |        |      | GPRS technology.         |
+-------+---------+--------+--------+------+--------------------------+
| Si    | N/A     | No     | G      | \$10 | The companies have       |
| emens |         | vember | ermany | Mil  | formed a joint venture   |
| AG &  |         | 1999   | &      | lion | to address the market    |
| NEC   |         |        | Japan  |      | for radio infrastructure |
| Corp. |         |        |        |      | equipment for 3G mobile  |
|       |         |        |        |      | communications.          |
+-------+---------+--------+--------+------+--------------------------+
| Nokia | Smart   | No     | Phili  | \    | Nokia will supply and    |
|       | Communi | vember | ppines | $150 | install base stations,   |
|       | cations | 1999   |        | Mil  | switches and related     |
|       |         |        |        | lion | equipment, including a   |
|       |         |        |        |      | WAP platform and GPRS    |
|       |         |        |        |      | nodes.                   |
+-------+---------+--------+--------+------+--------------------------+
| Nokia | Globe   | No     | Phili  | \$30 | Nokia will supply and    |
|       | Telecom | vember | ppines | Mil  | install base stations,   |
|       | GMCR    | 1999   |        | lion | switches and related     |
|       | Inc.    |        |        |      | equipment, including a   |
|       |         |        |        |      | WAP platform and GPRS    |
|       |         |        |        |      | nodes.                   |
+-------+---------+--------+--------+------+--------------------------+
| QUA   | Korea   | No     | South  | \    | QUALCOMM has agreed to   |
| LCOMM | Telecom | vember |        | $200 | invest in KT Freetel     |
|       | Freetel | 1999   | Korea  | Mil  | upon successful          |
|       |         |        |        | lion | completion of technical  |
|       |         |        |        |      | and marketing trials of  |
|       |         |        |        |      | HDR.                     |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | Royal   | No     | United | N/A  | KPN has awarded Ericsson |
| csson | KPN NV  | vember | K      |      | an order for the         |
|       |         | 1999   | ingdom |      | delivery of a test       |
|       |         |        |        |      | network for the          |
|       |         |        |        |      | deployment of GPRS       |
|       |         |        |        |      | technology on its        |
|       |         |        |        |      | existing GSM system.     |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | V       | De     | United | N/A  | Vodafone has appointed   |
| csson | odafone | cember | Ki     |      | Ericsson as its supplier |
|       | A       | 1999   | ngdom, |      | for GPRS technology.     |
|       | irTouch |        | G      |      | Commercial availability  |
|       |         |        | reece, |      | is anticipated in Fall   |
|       |         |        | &      |      | of 2000.                 |
|       |         |        | Nethe  |      |                          |
|       |         |        | rlands |      |                          |
+-------+---------+--------+--------+------+--------------------------+
| Nokia | KG      | De     | Taiwan | \    | Nokia has been an        |
|       | Telecom | cember |        | $250 | awarded to evolve KG     |
|       |         | 1999   |        | Mil  | Telecom's existing       |
|       |         |        |        | lion | infrastructure to a GPRS |
|       |         |        |        |      | network solution.        |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | Far     | De     | Taiwan | N/A  | Ericsson will provide    |
| csson | EasTone | cember |        |      | the first commercial     |
|       | Tele    | 1999   |        |      | roll-out of GPRS in      |
|       | communi |        |        |      | Taiwan and its           |
|       | cations |        |        |      | surrounding islands.     |
+-------+---------+--------+--------+------+--------------------------+
| Al    | Vodacom | J      | South  | N/A  | Alcatel will provide an  |
| catel |         | anuary | Africa |      | end-to-end GPRS system   |
|       |         | 2000   |        |      | providing data and IP    |
|       |         |        |        |      | services.                |
+-------+---------+--------+--------+------+--------------------------+
| Mot   | T-Mobil | J      | G      | M    | T-Mobil has chosen       |
| orola |         | anuary | ermany | ulit | Motorola's GPRS core     |
|       |         | 2000   |        | -Mil | network system solution  |
|       |         |        |        | lion | for implementation on a  |
|       |         |        |        |      | countrywide GSM          |
|       |         |        |        |      | communications network.  |
+-------+---------+--------+--------+------+--------------------------+
| Mot   | Telsim  | Fe     | Turkey | \    | Telsim has selected      |
| orola |         | bruary |        | ~1.5 | Motorola to expand its   |
|       |         | 2000   |        | Bil  | current GSM system and   |
|       |         |        |        | lion | implement a full trial   |
|       |         |        |        |      | overlay of GPRS          |
|       |         |        |        | (    | technology.              |
|       |         |        |        | over |                          |
|       |         |        |        | 3    |                          |
|       |         |        |        | yrs) |                          |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | Pacific | Fe     | United | M    | Pacific Bell has         |
| csson | Bell    | bruary | States | ulti | selected Ericsson to     |
|       | W       | 2000   |        | -Mil | provide GPRS technology  |
|       | ireless |        |        | lion | on its existing network. |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | Finnish | Fe     | F      | N/A  | First-ever agreement for |
| csson | 2G Ltd. | bruary | inland |      | a commercial end-to-end  |
|       |         | 2000   |        |      | 3G system has been       |
|       |         |        |        |      | awarded to Ericsson by   |
|       |         |        |        |      | 2G ltd. Ericsson will    |
|       |         |        |        |      | integrate 2G's existing  |
|       |         |        |        |      | GSM network with 3G      |
|       |         |        |        |      | cpabiities.              |
+-------+---------+--------+--------+------+--------------------------+
| 3Com  | N/A     | Fe     | N/A    | N/A  | The companies have       |
| C     |         | bruary |        |      | agreed to jointly        |
| orpor |         | 2000   |        |      | deliver CDMA2000         |
| ation |         |        |        |      | high-speed wireless      |
| &     |         |        |        |      | networks to service      |
| Sa    |         |        |        |      | providers worldwide.     |
| msung |         |        |        |      |                          |
| E     |         |        |        |      |                          |
| lectr |         |        |        |      |                          |
| onics |         |        |        |      |                          |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | Alands  | March  | F      | N/A  | Ericsson has been        |
| csson | Mobile  | 2000   | inland |      | selected as the sole     |
|       | telefon |        |        |      | supplier of a fully      |
|       | Ab      |        |        |      | integrated 3G system and |
|       |         |        |        |      | GSM system based on GPRS |
|       |         |        |        |      | technology.              |
+-------+---------+--------+--------+------+--------------------------+
| Eri   | Orange  | March  | United | \$58 | Orange has selected      |
| csson |         | 2000   | K      | Mil  | Ericsson to provide a    |
|       |         |        | ingdom | lion | GPRS system including    |
|       |         |        |        |      | the IP-based core        |
|       |         |        |        |      | network infrastructure   |
|       |         |        |        |      | and new terminal         |
|       |         |        |        |      | devices.                 |
+-------+---------+--------+--------+------+--------------------------+
| Al    | N/A     | May    | Europe | N/A  | The companies have       |
| catel |         | 2000   | &      |      | entered into a joint     |
| &     |         |        | Japan  |      | venture to develop and   |
| Fu    |         |        |        |      | manufacture              |
| jitsu |         |        |        |      | next-generation mobile   |
|       |         |        |        |      | communications network   |
|       |         |        |        |      | equipment.               |
+-------+---------+--------+--------+------+--------------------------+

Source: The information provided above is illustrative of technology
contracts and should not be considered an exhaustive list. Information
is based on publicly available documents such as news releases and
newspaper and periodical articles.

**Table 4: Tests/Trials**

+---------+---------+----------+-------+------------------------------+
| **[Ha   | **[C    | **[Ann   | **[   | **[Summary]{.underline}**    |
| rdware] | arrier] | ouncemen | Geogr |                              |
| {.under | {.under | t]{.unde | aphic |                              |
| line}** | line}** | rline}** | ]{.un |                              |
|         |         |          | derli |                              |
| **[C    | **[C    |          | ne}** |                              |
| ompany] | ompany] |          |       |                              |
| {.under | {.under |          | *     |                              |
| line}** | line}** |          | *[Loc |                              |
|         |         |          | ation |                              |
|         |         |          | ]{.un |                              |
|         |         |          | derli |                              |
|         |         |          | ne}** |                              |
+---------+---------+----------+-------+------------------------------+
| M       | M       | April    | South | CDMA Development Group, Bell |
| ultiple | ultiple | 2000     |       | Mobility, Nortel Networks,   |
|         |         |          | Korea | QUALCOMM, Samsung, and       |
|         |         |          |       | Sprint PCS announced they    |
|         |         |          |       | will bring deployment of     |
|         |         |          |       | CDMA 1x technology to Korea  |
|         |         |          |       | in late 2000.                |
+---------+---------+----------+-------+------------------------------+
| N/A     | E-Plus  | February | Ge    | The company has begun        |
|         |         | 2000     | rmany | testing of GPRS technology   |
|         |         |          |       | on its network to support    |
|         |         |          |       | connectivity with its        |
|         |         |          |       | cellular Internet service    |
|         |         |          |       | provider operation.          |
+---------+---------+----------+-------+------------------------------+
| E       | AT&T    | October  | U     | Ericsson is beginning trials |
| ricsson |         | 1998     | nited | of 3G technologies using     |
|         |         |          | S     | spectrum provided by AT&T    |
|         |         |          | tates | Wireless Services.           |
+---------+---------+----------+-------+------------------------------+
|         | Om      | February | U     | Ericsson and Omnipoint       |
|         | nipoint | 1999     | nited | Communication Services have  |
|         | Communi |          | S     | signed the first agreement   |
|         | cations |          | tates | to provided GPRS in the      |
|         | (merged |          |       | United States. The companies |
|         | with    |          |       | agreed to conduct field      |
|         | Voice   |          |       | trials of several GPRS       |
|         | Stream) |          |       | applications in the          |
|         |         |          |       | Omnipoint PCS 1900 MHz       |
|         |         |          |       | network commencing in        |
|         |         |          |       | December, 1999.              |
+---------+---------+----------+-------+------------------------------+
|         | Telia   | S        | S     | The companies have           |
|         |         | eptember | weden | demonstrated live roaming    |
|         |         | 1999     |       | between a commercially       |
|         |         |          |       | deployed GSM network and a   |
|         |         |          |       | 3G system.                   |
+---------+---------+----------+-------+------------------------------+
|         | N/A     | October  | G     | The company announced it     |
|         |         | 1999     | lobal | will deliver GPRS systems to |
|         |         |          |       | more than 45 operators in    |
|         |         |          |       | the Americas, Asia-Pacific,  |
|         |         |          |       | and Europe for GPRS field    |
|         |         |          |       | trials.                      |
+---------+---------+----------+-------+------------------------------+
|         | Telexis | November | C     | Ericsson and Telexis have    |
|         | Corp    | 1999     | anada | signed an agreement to test  |
|         | oration |          |       | and demonstrate a Telexis    |
|         |         |          |       | wireless video monitoring    |
|         |         |          |       | application using WCDMA      |
|         |         |          |       | technology.                  |
+---------+---------+----------+-------+------------------------------+
|         | Mi      | December | C     | The companies announced that |
|         | crocell | 1999     | anada | they have begun testing 3G   |
|         | Con     |          |       |                              |
|         | nexions |          |       |                              |
+---------+---------+----------+-------+------------------------------+
|         | Tel     | April    | B     | The companies performed the  |
|         | esystem | 2000     | razil | first 3G call in Brazil,     |
|         | Intern  |          |       | utilizing EDGE, a technology |
|         | ational |          |       | designed for migration of    |
|         | W       |          |       | existing TDMA and GSM        |
|         | ireless |          |       | networks.                    |
+---------+---------+----------+-------+------------------------------+
|         | ATL     | April    | B     | The companies announced an   |
|         |         | 2000     | razil | agreement to evaluate        |
|         |         |          |       | migration of existing        |
|         |         |          |       | infrastructure to 3G         |
|         |         |          |       | wireless technologies. The   |
|         |         |          |       | agreement encompasses early  |
|         |         |          |       | studies of end-user behavior |
|         |         |          |       | and usage, new business      |
|         |         |          |       | logic as well as technical   |
|         |         |          |       | requirements.                |
+---------+---------+----------+-------+------------------------------+
| Lucent  | AT&T    | April    | U     | The companies have agreed to |
| Techn   |         | 1999     | nited | test 3G technologies such as |
| ologies |         |          | S     | EDGE and GPRS for future     |
|         |         |          | tates | network evolutions.          |
+---------+---------+----------+-------+------------------------------+
|         | T       | May 1999 | Aust  | The companies announced that |
|         | elestra |          | ralia | they will collaborate to     |
|         |         |          |       | assess the market for 3G     |
|         |         |          |       | wireless network             |
|         |         |          |       | architecture and the         |
|         |         |          |       | associated services through  |
|         |         |          |       | trials with selected         |
|         |         |          |       | customers. Trials are        |
|         |         |          |       | anticipated in June 2000 on  |
|         |         |          |       | CDMA 1XRTT technology.       |
+---------+---------+----------+-------+------------------------------+
|         | N/A     | October  | U     | The company announced the    |
|         |         | 1999     | nited | successful completion of the |
|         |         |          | S     | first call on a prototype    |
|         |         |          | tates | wideband radio platform      |
|         |         |          |       | designed to help network     |
|         |         |          |       | operators dramatically       |
|         |         |          |       | increase the calling         |
|         |         |          |       | capacity and data speeds     |
|         |         |          |       | utilizing TDMA technology.   |
|         |         |          |       | This achievement will allow  |
|         |         |          |       | for graceful evolution to 3G |
|         |         |          |       | systems.                     |
+---------+---------+----------+-------+------------------------------+
|         | Sprint  | October  | U     | Sprint and Lucent announced  |
|         | PCS     | 1999     | nited | they will conduct a          |
|         |         |          | S     | technology trial of 3G CDMA  |
|         |         |          | tates | technology in the first half |
|         |         |          |       | of 2000. The trial will      |
|         |         |          |       | focus on verifying the       |
|         |         |          |       | performance of the 3G 1X     |
|         |         |          |       | Radio Transmission           |
|         |         |          |       | Technology (RTT).            |
+---------+---------+----------+-------+------------------------------+
|         | Sprint  | June     | U     | Will test 1x Evolution       |
|         | PCS     | 2000     | nited | (1xEV) technology which is   |
|         |         |          | S     | based on HDR and             |
|         |         |          | tates | incorporates 1xRTT.          |
+---------+---------+----------+-------+------------------------------+
|         | S       | January  | U     | Symmetry and Lucent have     |
|         | ymmetry | 2000     | nited | agreed to collaborate on     |
|         | Communi |          | S     | interoperability testing of  |
|         | cations |          | tates | 2.5G wireless network        |
|         | Systems |          |       | elements.                    |
+---------+---------+----------+-------+------------------------------+
| **[Ha   | **[C    | **[Ann   | **[   | **[Summary]{.underline}**    |
| rdware] | arrier] | ouncemen | Geogr |                              |
| {.under | {.under | t]{.unde | aphic |                              |
| line}** | line}** | rline}** | ]{.un |                              |
|         |         |          | derli |                              |
| **[C    | **[C    |          | ne}** |                              |
| ompany] | ompany] |          |       |                              |
| {.under | {.under |          | *     |                              |
| line}** | line}** |          | *[Loc |                              |
|         |         |          | ation |                              |
|         |         |          | ]{.un |                              |
|         |         |          | derli |                              |
|         |         |          | ne}** |                              |
+---------+---------+----------+-------+------------------------------+
| Lucent  | Radio   | April    | S     | The companies have announced |
| Techn   | Design  | 2000     | weden | plans to cooperatively       |
| ologies | AB      |          |       | support the introduction of  |
|         |         |          |       | 3G CDMA mobile networks to   |
|         |         |          |       | the Nordic Mobile Telephone  |
|         |         |          |       | 450 Market.                  |
+---------+---------+----------+-------+------------------------------+
|         | Q       | April    | U     | The companies have           |
|         | UALCOMM | 2000     | nited | collaborated on 3G wireless  |
|         |         |          | S     | data technology, resulting   |
|         |         |          | tates | in the first live            |
|         |         |          |       | transmissions of             |
|         |         |          |       | over-the-air data using      |
|         |         |          |       | cdma2000-1x technology.      |
+---------+---------+----------+-------+------------------------------+
| M       | BT      | November | U     | The companies announced the  |
| otorola | Cellnet | 1999     | nited | successful completion of the |
|         |         |          | Ki    | first live GPRS data         |
|         |         |          | ngdom | transfer call over a live    |
|         |         |          |       | GSM network.                 |
+---------+---------+----------+-------+------------------------------+
|         | N/A     | February | U     | The company announced the    |
|         |         | 2000     | nited | successful completion of a   |
|         |         |          | S     | voice over Internet protocol |
|         |         |          | tates | (VoIP) call on top of a 3G   |
|         |         |          |       | high-speed packet data call  |
|         |         |          |       | at 384 Kbps.                 |
+---------+---------+----------+-------+------------------------------+
| M       | M       | November | South | SK Telecom, LG Information & |
| ultiple | ultiple | 1999     |       | Communication, Daewoo        |
|         |         |          | Korea | Telecom, Hyundai Electronics |
|         |         |          |       | and 49 smaller firms in      |
|         |         |          |       | South Korea agreed to work   |
|         |         |          |       | together to develop a WCDMA  |
|         |         |          |       | system, with a trial system  |
|         |         |          |       | to be completed for IMT-2000 |
|         |         |          |       | service in December 2000.    |
+---------+---------+----------+-------+------------------------------+
| Nokia   | Cable & | February | China | The companies have completed |
|         | W       | 2000     | (Hong | the first phase of trials on |
|         | ireless |          | Kong) | 3G mobile phone technology   |
|         | HKT     |          |       | in Hong Kong. The trials are |
|         | Mobile  |          |       | leading to commercial        |
|         | S       |          |       | release late in 2001 or      |
|         | ervices |          |       | early in 2002.               |
+---------+---------+----------+-------+------------------------------+
|         | V       | February | New   | The companies have agreed to |
|         | odafone | 2000     | Ze    | conduct a trial of GPRS and  |
|         | New     |          | aland | Wireless Application         |
|         | Zealand |          |       | Protocol (WAP) systems.      |
+---------+---------+----------+-------+------------------------------+
| Nortel  | British | January  | U     | The companies announced the  |
| N       | Tele    | 1999     | nited | trial of a prototype         |
| etworks | communi |          | Ki    | 3G/Universal Mobile          |
|         | cations |          | ngdom | Telecommunications System    |
|         | plc     |          |       | equipment and terminals with |
|         |         |          |       | the purpose of further       |
|         |         |          |       | understanding the market and |
|         |         |          |       | technology drivers for       |
|         |         |          |       | future mobile IP and voice   |
|         |         |          |       | services.                    |
+---------+---------+----------+-------+------------------------------+
|         | N/A     | February | F     | The company announced the    |
|         |         | 1999     | rance | successful completion of     |
|         |         |          |       | packet-switched, mobile      |
|         |         |          |       | video conference calls and   |
|         |         |          |       | high speed Web browsing at   |
|         |         |          |       | transmission rates up to 384 |
|         |         |          |       | kilobits per second using    |
|         |         |          |       | WCDMA 3G radio technology.   |
+---------+---------+----------+-------+------------------------------+
|         | Sprint  | April    | U     | The companies recently       |
|         |         | 1999     | nited | demonstrated high-speed      |
|         |         |          | S     | data, voice and video        |
|         |         |          | tates | applications using cdma2000  |
|         |         |          |       | 3G radio technology.         |
+---------+---------+----------+-------+------------------------------+
|         | France  | June     | F     | The companies announced      |
|         | Telecom | 1999     | rance | France's first trial of a 3G |
|         |         |          |       | UMTS mobile communications   |
|         |         |          |       | network.                     |
+---------+---------+----------+-------+------------------------------+
|         | Bell    | December | U     | The companies announced      |
|         | M       | 1999     | nited | plans for conducting trials  |
|         | obility |          | S     | of cdma2000 technology.      |
|         |         |          | tates |                              |
+---------+---------+----------+-------+------------------------------+
|         | V       | December | U     | The companies announced they |
|         | odafone | 1999     | nited | are planning a trial in      |
|         | UK      |          | Ki    | London, during early 2000,   |
|         |         |          | ngdom | of WCDMA wireless radio and  |
|         |         |          |       | Internet Protocol networking |
|         |         |          |       | technologies.                |
+---------+---------+----------+-------+------------------------------+
|         | N/A     | March    | C     | The company announced the    |
|         |         | 2000     | anada | completion of a series of 3G |
|         |         |          |       | wireless calls, claiming the |
|         |         |          |       | industry's first wireless    |
|         |         |          |       | packet data sessions using   |
|         |         |          |       | CDMA2000 1xRTT.              |
+---------+---------+----------+-------+------------------------------+
| Q       | US West | February | U     | The companies announced that |
| UALCOMM | & Cisco | 1999     | nited | they would conduct trials of |
|         | Systems |          |       | High Data Rate (HDR)         |
|         |         |          | S     | technology in order to       |
|         |         |          | tates | deliver very high-speed Code |
|         |         |          |       | Division Multiple Access     |
|         |         |          |       | (CDMA) wireless Internet     |
|         |         |          |       | access.                      |
+---------+---------+----------+-------+------------------------------+
|         | Korea   | January  | South | The carrier is planning to   |
|         | Telecom | 2000     |       | launch a trial network of    |
|         | Freetel |          | Korea | the 3G mobile communication  |
|         |         |          |       | service using CDMA2000. The  |
|         |         |          |       | network is planned for       |
|         |         |          |       | release in 2000 and will     |
|         |         |          |       | include a trial service of   |
|         |         |          |       | HDR packet data service      |
|         |         |          |       | developed by QUALCOMM.       |
+---------+---------+----------+-------+------------------------------+
| **[Ha   | **[C    | **[Ann   | **[   | **[Summary]{.underline}**    |
| rdware] | arrier] | ouncemen | Geogr |                              |
| {.under | {.under | t]{.unde | aphic |                              |
| line}** | line}** | rline}** | ]{.un |                              |
|         |         |          | derli |                              |
| **[C    | **[C    |          | ne}** |                              |
| ompany] | ompany] |          |       |                              |
| {.under | {.under |          | *     |                              |
| line}** | line}** |          | *[Loc |                              |
|         |         |          | ation |                              |
|         |         |          | ]{.un |                              |
|         |         |          | derli |                              |
|         |         |          | ne}** |                              |
+---------+---------+----------+-------+------------------------------+
| Q       | Sprint  | March    | U     | The companies announced that |
| UALCOMM | PCS &   | 2000     | nited | they have successfully       |
|         | Samsung |          | S     | completed the first voice    |
|         | Tele    |          | tates | call by a carrier using 3G   |
|         | communi |          |       | CDMA 1x technology in North  |
|         | cations |          |       | America.                     |
|         | America |          |       |                              |
+---------+---------+----------+-------+------------------------------+
|         | Sprint  | May 2000 | U     | The companies announced U.S. |
|         | PCS     |          | nited | trials of a 3G CDMA 1x       |
|         |         |          | S     | Multi-Carrier (MC) voice and |
|         |         |          | tates | data solutions began in      |
|         |         |          |       | April 2000.                  |
+---------+---------+----------+-------+------------------------------+

Sources: The information provided above is illustrative of tests and
trials and should not be considered an exhaustive list. Information is
based on publicly available documents such as news releases and
newspaper and periodical articles.

**Table 5: Smartphones**

  ---------------------------- -------------------------------- ------------------------- ---------------------------- -------------------------
  **[Smart                     **[Manufacturer]{.underline}**   **[Price]{.underline}**   **[Features]{.underline}**   **[Notes]{.underline}**
  Phone/Model]{.underline}**                                                                                           

  NeoPoint 1000                NeoPoint                         \$300.00                  Web Browser; PDA functions;  Available through Sprint
                                                                                          sync hardware and software;  
                                                                                          voice activated dialing; FAX 
                                                                                          capabilities.                

  NeoPoint 1600                NeoPoint                         N/A                       Same as above. This is the   Available later this year
                                                                                          dual band version.           

  Nokia 8860                   Nokia                            \$700.00                  PDA functions (alarm,        Available through AT&T
                                                                                          calendar, calculator,        
                                                                                          scheduler), dual band.       

  Nokia 8890                   Nokia                            N/A                       Same as above. Also includes Available later this year
                                                                                          three language predictive    
                                                                                          text (for text messaging);   
                                                                                          photo messaging (incl        
                                                                                          downloading photos);         
                                                                                          currency converter, fax      
                                                                                          capable.                     

  Nokia 7100                   Nokia                            N/A                       WAP-compliant microbrowser,  Available later this year
                                                                                          appointment calendar.        

  Nokia 8260                   Nokia                            N/A                       Email and text messaging,    Available later this year
                                                                                          appointment book with        
                                                                                          predictive text input.       

  MobileAccessT250             Mitsubishi                       \$199.99                  Web Browser; PDA functions;  Available through AT&T
                                                                                          FAX capabilities.            

  Ericsson R320                Ericsson                         \$99.99                   Web browser, predictive text Available through AT&T
                                                                                          features.                    

  QCP-2760                     Qualcomm                         \$129.99                  Mini-browser, dual band.     Available through Sprint

  pdQ Smartphone               Qualcomm                         \$799.99                  Mini-browser, PDA functions, Available through Sprint
                                                                                          digital band only.           

  i500plus                     Motorola                         \$99.00                   Smartphone, Web minibrowser, Available through Nextel
                                                                                          two-way radio technology.    

  i700plus                     Motorola                         \$149.00                  Smartphone, Web minibrowser, Available through Nextel
                                                                                          two-way radio technology.    

  i1000plus                    Motorola                         \$199.00                  Smartphone, Web minibrowser, Available through Nextel
                                                                                          two-way radio technology.    

  Timeport P8167               Motorola                         \$299.99                  WAP-compliant microbrowser,  Available through Sprint
                                                                                          FAX capabilities.            

  StarTAC ST7867W              Motorola                         \$229.99                  PDA functions, Web           Available through Sprint
                                                                                          minibrowser.                 

  StarTAC ST7868W              Motorola                         \$249.99                  PDA functions, Web           Available through Verizon
                                                                                          minibrowser.                 Wireless

  Talkabout T8167              Motorola                         \$249.99                  WAP-compliant microbrowser,  Available through Sprint
                                                                                          FAX capabilities.            

  CDM9000                      Audiovox                         \$199.00                  Web browser, dual band.      Available through Verizon
                                                                                                                       Wireless
  ---------------------------- -------------------------------- ------------------------- ---------------------------- -------------------------

Sources: The information provided above is illustrative of the
smartphones available and should not be considered an exhaustive list.
Information is based on publicly available documents such as news
releases, company Web sites, and newspaper and periodical articles.

**Table 6: WAP-Enabled Handsets**

  ------------------------------- -------------------------------- ------------------------- ---------------------------- --------------------------------
  **[Phone/Model]{.underline}**   **[Manufacturer]{.underline}**   **[Price]{.underline}**   **[Features]{.underline}**   **[Availability]{.underline}**

  Nokia 7110                      Nokia                            N/A                       WAP-compliant browser, PDA   Available in Europe, Asia and
                                                                                             functions                    Africa

  Nokia 6210                      Nokia                            N/A                       WAP-compliant browser, PDA   Available in Europe, Asia and
                                                                                             functions                    Africa

  Nokia 9110I                     Nokia                            N/A                       WAP-compliant browser,       Available in Europe, Asia and
                                                                                             keyboard, PDA functions,     Africa
                                                                                             digital camera connectivity  

  VIEW db @                       Alcatel                          \$231.00                  WAP-compliant browser        Targeted at European markets,
                                                                                                                          launched March 2000

  MobileAccessT250                Mitsubishi                       \$199.99                  WAP-compliant browser; PDA   Available through AT&T
                                                                                             functions; FAX capabilities  

  Ericsson R320                   Ericsson                         \$99.99                   WAP-compliant browser,       Available through AT&T
                                                                                             predictive text features     

  Ericsson MC218                  Ericsson                         N/A                       WAP-compliant browser,       Targeted at European markets
                                                                                             predictive text features     

  Neopoint 1000                   Neopoint                         \$299.99                  WAP-compliant browser, PDA   Available through Sprint PCS
                                                                                             functions                    

  QCP-2760                        Qualcomm                         \$129.99                  WAP-compliant browser, FAX   Available through Sprint PCS
                                                                                             capabilities                 

  QCP-3035                        Qualcomm                         N/A                       WAP-compliant browser, PDA   Launched March 2000
                                                                                             functions                    

  PdQ                             Qualcomm                         \$799.99                  WAP-compliant browser, PDA   Available through Sprint PCS
                                                                                             functions                    

  i500plus                        Motorola                         \$99.00                   WAP-compliant browser,       Available through Nextel
                                                                                             two-way radio technology.    

  i700plus                        Motorola                         \$149.00                  WAP-compliant browser,       Available through Nextel
                                                                                             two-way radio technology.    

  i1000plus                       Motorola                         \$199.00                  WAP-compliant browser,       Available through Nextel
                                                                                             two-way radio technology.    

  Timeport P8167                  Motorola                         \$299.99                  WAP-compliant microbrowser,  Available through Sprint PCS
                                                                                             FAX capabilities.            

  StarTAC ST7867W                 Motorola                         \$229.99                  WAP-compliant microbrowser,  Available through Sprint PCS
                                                                                             FAX capabilities.            

  Talkabout T8167                 Motorola                         \$249.99                  WAP-compliant microbrowser,  Available through Sprint PCS
                                                                                             FAX capabilities.            

  SGH-A110                        Samsung                          N/A                       WAP-compliant browser        Available in Europe, being
                                                                                                                          introduced in Asia now.

  SCP-4000                        Sanyo                            \$149.99                  WAP-compliant browser        Available through Sprint PCS
  ------------------------------- -------------------------------- ------------------------- ---------------------------- --------------------------------

Sources: The information provided above is illustrative of the
WAP-enabled handsets and should not be considered an exhaustive list.
Information is based on publicly available company documents such as
news releases, company Web sites, and newspaper and periodical articles.

**Table 7: Internet Access Services Provided by Mobile Telephone
Operators**

+--------------+----------------+--------------------------------------+
| **[ISP]{.    | **[Cost per    | **[Notes]{.underline}**              |
| underline}** | month]         |                                      |
|              | {.underline}** |                                      |
+--------------+----------------+--------------------------------------+
| AT&T         | Free --        | Targeted for business and their      |
| PocketNet    | existing       | mobile professionals.                |
|              | customers      |                                      |
|              | (access to \~  |                                      |
|              | 40 Web sites)  |                                      |
|              |                |                                      |
|              | \$6.99 to      |                                      |
|              | \$14.99 for    |                                      |
|              | additional     |                                      |
|              | services       |                                      |
+--------------+----------------+--------------------------------------+
| GoAmerica    | \$9.95 for 25k | Available to RIM, Novatel Wireless   |
|              |                | Minstrel II, Sierra Wireless AirCard |
|              | \$59.95        | 300, and RIM Wireless PC card (and   |
|              | unlimited      | recently to Handspring Visor).       |
+--------------+----------------+--------------------------------------+
| MobileLogic  | \$70.00        | Consists of a complete solution for  |
| Web          |                | wireless Web access - software,      |
|              |                | wireless Internet airtime, wireless  |
|              |                | data modem, and technical support.   |
|              |                | MobileLogic.Web software compresses  |
|              |                | and optimizes the Web page to        |
|              |                | deliver a faster transmission over   |
|              |                | the wireless link.                   |
+--------------+----------------+--------------------------------------+
| Nextel       | From \$14.95   | Partnered w/ MSN Mobile. Allows      |
| Online       |                | Internet access via Nextel phone or  |
|              |                | utilize phone as a modem for full    |
|              |                | Web access.                          |
+--------------+----------------+--------------------------------------+
| OmniSky      | \$39.95        | Currently only available for the     |
|              | unlimited      | Palm V-series, but will be extended  |
|              |                | for Windows CE/Pocket PC, pagers,    |
|              |                | and WAP phones.                      |
+--------------+----------------+--------------------------------------+
| Palm.Net     | From \$9.99    | Available only to the Palm VII.      |
|              | limited vol.   | Limited to e-mail and Web-clipping.  |
|              |                |                                      |
|              | \$44.99        |                                      |
|              | unlimited      |                                      |
+--------------+----------------+--------------------------------------+
| Ricochet     | \$29.00        | Utilizes Microcell Radios and Wired  |
|              |                | Access Points in coverage areas (San |
|              |                | Francisco Bay Area, Seattle,         |
|              |                | Washington D.C., major airports and  |
|              |                | selected corporate campuses across   |
|              |                | the United States). Requires use of  |
|              |                | a Metricom Mobile Modem.             |
+--------------+----------------+--------------------------------------+
| Sprint PCS   | From \$9.95    | Calling plan minutes can be used for |
| Wireless Web | with Sprint    | either calls or Internet.            |
|              | PCS plan       |                                      |
+--------------+----------------+--------------------------------------+
| Verizon      | \$6.95         | Allows users to customize either the |
| Wireless     |                | handset or through MyVWZ.com,        |
|              |                | Verizon's portal.                    |
+--------------+----------------+--------------------------------------+
| VoiceStream  | \$4.99         | Allows limited Internet e-mail       |
|              |                | capacity and basic Web info in the   |
|              |                | form of text messages for stock      |
|              |                | quotes, sports scores, etc. Powered  |
|              |                | by InfoStream (Infospace).           |
+--------------+----------------+--------------------------------------+

Sources: The information provided above is illustrative of Internet
access services provided by mobile telephone operators and should not be
considered an exhaustive list. Information is based on publicly
available company documents such as news releases, company Web sites,
and newspaper and periodical articles.

**Table 8: Wireless Portals Providers**

+------------+----------------------------------------+---------------+
| **[P       | **[Services]{.underline}**             | **[Comments]{ |
| ortal]{.un |                                        | .underline}** |
| derline}** |                                        |               |
+------------+----------------------------------------+---------------+
| Ai         | Offers location-specific information   | Combination   |
| rFlash.com | (current location pinpointed by        | of AirFlash   |
|            | wireless service provider) to          | and Inktomi.  |
|            | consumers such as restaurants and      | Alliance with |
|            | stores. Also provides ability to       | Excite@Home.  |
|            | conduct transactions (m-commerce).     |               |
|            | Transactions billed straight to the    |               |
|            | phone bill. Access through SMS, WAP,   |               |
|            | or automated, voice-based system.      |               |
+------------+----------------------------------------+---------------+
| Amazon.com | Offers access to Amazon.com shopping   | Partnered     |
| Anywhere   | and search for entire product lines.   | with Sprint   |
| (amazon.   | Also provides product details, product | PCS           |
| com/phone) | reviews, and order information         |               |
|            | (supports international addresses).    |               |
|            | Provides a \"gift click\" feature that |               |
|            | allows customers to easily select and  |               |
|            | send a gift by providing the           |               |
|            | recipient\'s e-mail address.           |               |
+------------+----------------------------------------+---------------+
| AOL        | Using popular AOL content, brands and  | In            |
| Anywhere   | services, consumers will be able to    | development   |
| (aol.com)  | use various wireless platforms to      | and roll-out. |
|            | access AOL Mobile Messenger and        | AOL has       |
|            | Digital City Wireless.                 | partnered     |
|            |                                        | with Sprint   |
|            |                                        | PCS, Nokia,   |
|            |                                        | Motorola,     |
|            |                                        | Research in   |
|            |                                        | Motion,       |
|            |                                        | BellSouth and |
|            |                                        | Arch          |
|            |                                        | Co            |
|            |                                        | mmunications. |
+------------+----------------------------------------+---------------+
| A          | Offers a free interactive service      | Available for |
| vantGo.com | aimed at providing personalized        | handhelds,    |
|            | content and access to Internet         | and rolling   |
|            | channels. AvantGo users can access the | out for WAP   |
|            | entire Web directly from their mobile  | in the coming |
|            | devices or they can select from over   | months.       |
|            | 350 content channels that have been    |               |
|            | optimized for the small screen.        |               |
+------------+----------------------------------------+---------------+
| Ba         | This is a portal that provides         | N/A           |
| rPoint.com | barcode-based information to           |               |
|            | consumers. Offers UPC-based searches   |               |
|            | for books and audio books, DVDs and    |               |
|            | videos, music, and computer hardware   |               |
|            | and software. Also includes e-mail     |               |
|            | alerts for specials and news releases, |               |
|            | as well as a Web Clipping Application  |               |
|            | for handhelds.                         |               |
+------------+----------------------------------------+---------------+
| Bolt.com   | Bolt targets 15 to 20 year olds, and   | Has deals     |
|            | its services are free to end users.    | with AOL,     |
|            | Its \"BoltEverywhere\" service bottles | Lycos,        |
|            | its messaging applications (branded as | Hotmail and   |
|            | BoltNotes, Bolt Tagbooks and           | Yahoo!        |
|            | BoltPolls) with personalized content   |               |
|            | such as horoscopes.                    |               |
+------------+----------------------------------------+---------------+
| BrowseNow  | Subscription cost of \$9.95. Offers    | Owned by US   |
| (u         | personalized content and bookmarks for | WEST and is   |
| swest.net) | subscribers through MyUSWEST, offers   | primarily a   |
| (uswestwir | email, and provides account management | value-added   |
| eless.com) | self-service through MyDesk. Also      | feature for   |
|            | includes a directory Yellow Pages and  | US WEST       |
|            | driving directions through USWESTDex.  | Wireless ISP  |
|            |                                        | customers.    |
+------------+----------------------------------------+---------------+
| E          | Services include access to             | Currently     |
| xcite@Home | personalized applications and content, | available to  |
| Wireless   | including Excite Planner and Excite    | Palm VII      |
| (www       | Inbox.                                 | users. In     |
| .home.net) |                                        | conjunction   |
|            |                                        | with          |
|            |                                        | Airflash.com  |
|            |                                        | and AT&T      |
|            |                                        | PocketNet. In |
|            |                                        | development.  |
+------------+----------------------------------------+---------------+
| Inf        | Offers a Personal Desktop Portal which | This is the   |
| oSpace.com | includes Instant Messaging,            | platform used |
|            | Multi-Party private text chat and      | by many other |
|            | Buddy Lists that work with MSN         | pure wireless |
|            | Messenger Service and the user\'s      | portals.      |
|            | personal address book.                 | InfoSpace.com |
|            |                                        | is a true     |
|            |                                        | portal geared |
|            |                                        | for the       |
|            |                                        | desktop, but  |
|            |                                        | it does offer |
|            |                                        | wireless      |
|            |                                        | capabilities. |
+------------+----------------------------------------+---------------+
| Iobox.com  | Offers mobile content and services     | Targeted      |
|            | such as Mobile Messaging, Mobile       | primarily at  |
|            | Organizer, Mobile Fun, Mobile news and | European      |
|            | Information, and m-Commerce.           | market.       |
|            |                                        | Utilizes      |
|            |                                        | Ztango.com    |
|            |                                        | platform.     |
+------------+----------------------------------------+---------------+
| I          | Offers a Universal Shopping Portal     | N/A           |
| Qorder.com | that provides access to the Internet   |               |
|            | to compare products and prices, locate |               |
|            | the nearest store, and even place an   |               |
|            | order. Additional information includes |               |
|            | manufacturer\'s part numbers, brief    |               |
|            | product descriptions, pricing and      |               |
|            | shipping, and availability.            |               |
+------------+----------------------------------------+---------------+
| Mo         | Provides a personalized wireless       | N/A           |
| bileID.com | portal where the user is able to set   |               |
|            | up the exact content they wish to      |               |
|            | receive and how it will look on cell   |               |
|            | phones/PDAs supporting WAP. Each       |               |
|            | mobileID user receives a personalized  |               |
|            | Web address                            |               |
|            | (Wap.username.mobileid.com/) and can   |               |
|            | direct access any POP3 e-mail account. |               |
+------------+----------------------------------------+---------------+
| MSN Mobile | Offers consumers customized services   | May be        |
| (mobil     | through Mobile Alerts and Mobile Web.  | currently     |
| e.msn.com) | Mobile Web users can customize their   | limited to    |
|            | accounts to better serve their         | Web-enabled   |
|            | individual needs either by accessing   | phones from   |
|            | MSN Mobile via a wireless device or by | Nextel or     |
|            | visiting the MSN Mobile Web site.      | AirTouch.     |
|            | Using the Web site, users can          |               |
|            | customize what kind of information     |               |
|            | they wish to receive, as well as when  |               |
|            | they want to receive that information. |               |
+------------+----------------------------------------+---------------+
| My.Ai      | As part of AirTouch\'s Mobile Web,     | Owned by      |
| rTouch.net | this portal provides customers with a  | Vodaphone     |
|            | free, personal home page with an       | (Verizon      |
|            | e-mail account. Users are able to      | Wireless) and |
|            | customize their preferences and        | powered by    |
|            | content.                               | InfoSpace.com |
+------------+----------------------------------------+---------------+
| My.U       | This portal offers news, weather,      | Requires use  |
| SWEST..net | information and much more,             | of US WEST    |
|            | personalized and available from a PC   | BrowseNow     |
|            | and/or a PCS phone.                    | software/m    |
|            |                                        | icro-browser. |
|            |                                        | US WEST..net  |
|            |                                        | ISP customers |
|            |                                        | cost is only  |
|            |                                        | \$9.95/mo,    |
|            |                                        | all others    |
|            |                                        | \$14.95/mo.   |
+------------+----------------------------------------+---------------+
| MyA        | Offers location-specific information   | Created by    |
| laddin.com | (utilizing GPS chip/battery) to        | NeoPoint,     |
|            | consumers such as driving direction,   | Inc.          |
|            | restaurants and stores. Utilizes       |               |
|            | intelligent agent technology to        |               |
|            | provide the most appropriate data and  |               |
|            | to update the user\'s profile. Also    |               |
|            | capable of push-based content such as  |               |
|            | flight information. Includes           |               |
|            | over-the-air wireless synchronization  |               |
|            | with both office databases and         |               |
|            | Internet content, as well as reverse   |               |
|            | look-up of incoming calls.             |               |
+------------+----------------------------------------+---------------+
| **[P       | **[Services]{.underline}**             | **[Comments]{ |
| ortal]{.un |                                        | .underline}** |
| derline}** |                                        |               |
+------------+----------------------------------------+---------------+
| M          | Allows the user to customize the       | A service of  |
| yGoWeb.net | content that is accessed by Go.Web as  | the GoAmerica |
|            | well as target URL addresses. Users    | wISP for      |
|            | may also access their e-mail accounts. | Bl            |
|            |                                        | ackberry/RIM, |
|            |                                        | and Palm      |
|            |                                        | users.        |
+------------+----------------------------------------+---------------+
| MySAP.com  | Provides a Marketplace for an open     | Currently     |
|            | electronic hub that creates seamless   | working with  |
|            | inter-company relationships for        | Nokia\'s WAP  |
|            | buying, selling and collaborating      | server        |
|            | within and across industries. It       | technology    |
|            | provides infrastructure, security,     | for mobile    |
|            | applications and personalized format,  | access.       |
|            | as well as added features such as      |               |
|            | delivery of news, content and          |               |
|            | directories.                           |               |
+------------+----------------------------------------+---------------+
| MyTi       | Service offered on Motorola            | Owned by      |
| meport.com | Web-enabled phones. Offers users       | Motorola.     |
|            | online customer support, a personal    |               |
|            | organizer, bookmarked Internet sites,  |               |
|            | and e-mail.                            |               |
+------------+----------------------------------------+---------------+
| MyVoice    | Basic Web info and notification such   | Offered on    |
| Stream.com | as stock quotes and sports scores.     | VoiceStream   |
|            | Allows access to the user\'s           | services.     |
|            | individual mobile phone account.       |               |
|            | Powered by InfoSpace.                  |               |
+------------+----------------------------------------+---------------+
| MyVZW.com  | By customizing the information desired | Offered on    |
|            | via MyVZW.com, users can receive       | Verizon       |
|            | updates on stock portfolios,           | Wireless      |
|            | comparison shop, book flights, and     | services.     |
|            | make restaurant reservations.          |               |
+------------+----------------------------------------+---------------+
| MyWay.com  | Provides a highly personalized Web     | Owned by      |
|            | portal with a wide variety of Internet | CMGI, Inc and |
|            | content. Aggregates content and        | partnered     |
|            | applications from more than 65 leading | with          |
|            | information partners. Also features    | Phone.com,    |
|            | best-of-breed applications from CMGI   | Inc.          |
|            | operating companies, including         |               |
|            | AltaVista Search, Engage, Tribal       |               |
|            | Voice, Vicinity, and KOZ.              |               |
+------------+----------------------------------------+---------------+
| Oracle     | Offers personalization features such   | N/A           |
| Mobile.com | as quick alerts, service presets and   |               |
|            | location-based services. Oracle\'s     |               |
|            | portal will add services that allow    |               |
|            | callers to talk directly to the page   |               |
|            | and have the Web content read to them. |               |
|            | Current portal includes news, stocks   |               |
|            | and entertainment information, as a    |               |
|            | free service over the wireless Web.    |               |
+------------+----------------------------------------+---------------+
| Uk.        | The service allows users to surf the   | N/A           |
| Orange.net | Internet over a wireless connection or |               |
|            | receive information services such as a |               |
|            | news feed over their phones; It also   |               |
|            | includes a personal organizer,         |               |
|            | Internet searching and online billing. |               |
+------------+----------------------------------------+---------------+
| Pawgo.com  | Basic portal for WAP devices that      | Content       |
|            | provides access to news, weather,      | targeted at   |
|            | sports, entertainment and technology   | European      |
|            | news, phone directories, maps and      | market, but   |
|            | travel information. PAW stands for     | is adding     |
|            | Personal Anywhere Web.                 | more North    |
|            |                                        | American      |
|            |                                        | content.      |
+------------+----------------------------------------+---------------+
| Sm         | Offers mobile content and services     | Partnered     |
| artRay.com | such as news and stock quotes. Offers  | with          |
|            | a lifetime email account               | FlyteComm     |
|            | (username@smartray.com) and an event   | Corp          |
|            | reminder service to assist with        | (realtime     |
|            | scheduling. Also provides a device     | flight data)  |
|            | manager application that allows        |               |
|            | account management across a spectrum   |               |
|            | of device types and for multiple       |               |
|            | devices by a single user. E-mail and   |               |
|            | portal content are user-centric and    |               |
|            | portable across devices.               |               |
+------------+----------------------------------------+---------------+
| Zed        | Offers communication & time            | Owned by      |
|            | management, mobile commerce, Internet  | Sonera and    |
| (so        | content, and access to corporate       | mainly        |
| nera.fi/en | applications and intranet content.     | targeted      |
| glish/mobi | Also includes access to travel and     | toward the    |
| leportal/) | directory services.                    | Finnish area, |
|            |                                        | but also      |
|            |                                        | covers major  |
|            |                                        | EU countries. |
+------------+----------------------------------------+---------------+
| St         | Allows customers to view and receive   | Owned by      |
| rategy.com | personalized information about         | MicroStrategy |
|            | finance, news, sports, weather, and    | Inc.          |
|            | entertainment. Subscribers create a    |               |
|            | \"favorites\" folder for quick         |               |
|            | retrieval of important information.    |               |
|            | Also offers alerts.                    |               |
+------------+----------------------------------------+---------------+
| MyDOF      | MyDOF is a GSM subscription that is    | Swedish       |
|            | integrated with the Internet, and is   | market.       |
| (          | aimed at people who want to use their  | Platform      |
| Telia.com) | mobile phones for more than just       | provided by   |
|            | making phone calls. Telia\'s WAP       | Oracle and    |
|            | portal MyDOF offers some of the most   | Nokia. May    |
|            | popular information and transaction    | still be in   |
|            | services from the Internet, adapted    | pilot and     |
|            | for WAP telephones.                    | testing       |
|            |                                        | stage.        |
+------------+----------------------------------------+---------------+
| Think      | Provides a news and information portal | Somewhat      |
| mobile.com | for mobile computing and technology    | limited and   |
|            | interests. WAP access capable.         | not able to   |
|            |                                        | be            |
|            |                                        | personalized. |
+------------+----------------------------------------+---------------+
| W          | Allows users to receive scheduled and  | Member of     |
| eb2PCS.com | customized information on their WAP    | Phone.com     |
|            | enabled and SMS enabled PCS phone.     | Alliance      |
|            | Services include Entertainment, Quick  | program.      |
|            | Message, Email2PCS, PCS Alerts, Info   |               |
|            | Now and Wireless Instant Messaging.    |               |
|            | Future products such as Wireless       |               |
|            | Games, Wireless Calendar               |               |
|            | Synchronization and a WAP Search       |               |
|            | Engine will be released in 2000.       |               |
+------------+----------------------------------------+---------------+
| Wireles    | Primarily offers a portal for games    | N/A           |
| sgames.com | ranging from simple quiz and puzzle    |               |
|            | games, to more elaborate multi-user    |               |
|            | games. Will also eventually offer news |               |
|            | and other information services         |               |
+------------+----------------------------------------+---------------+
| Yahoo!     | Based upon the main Yahoo! Portal and  | Also          |
| Mobile     | offers customized Yahoo! To Go for     | partnered     |
| (mobile.   | content and services, including e-mail | with Sprint   |
| yahoo.com) | and mobile alerts. Also provides for   | PCS as their  |
|            | mobile shopping and a free software    | default       |
|            | library for PDA downloads.             | \"portal.\"   |
+------------+----------------------------------------+---------------+
| Yodlee.com | Yodlee delivers true anytime, anywhere | N/A           |
|            | access to personal account             |               |
|            | information. With Yodlee2Go, users can |               |
|            | securely access real-time personal     |               |
|            | account information on their PDA or    |               |
|            | Web-enabled phone. Users can log in to |               |
|            | Yodlee from a PDA or mobile phone and  |               |
|            | review investments, confirm a hotel    |               |
|            | address, check flight reservations,    |               |
|            | and retrieve email subjects.           |               |
+------------+----------------------------------------+---------------+

Sources: The information provided above is illustrative of wireless
portals and should not be considered an exhaustive list. Information is
based on publicly available company documents such as news releases,
company Web sites, and newspaper and periodical articles.

**Table 9: 1996 -- 1999 Paging/Messaging Industry Numbers**

  --------- ---------------------- ----------------------- ---------------------------- ----------------------- ---------------------
            **[Paging/ Messaging   **[Percent              **[Revenues]{.underline}**   **[Percent              **[Average Monthly
            Units]{.underline}**   Growth]{.underline}**                                Growth]{.underline}**   Revenue Per
                                                                                                                Unit]{.underline}**

  1996      38,500,000             19.94%                  \$4,360,000,000              13.57%                  \$9.48

  1997      43,200,000             12.21%                  \$4,531,000,000              3.92%                   \$8.85

  1998      45,100,000             4.40%                   \$4,457,000,000              -1.63%                  \$8.41

  1999      45,800,000             1.55%                   \$4,426,000,000              -0.70%                  \$8.12
  --------- ---------------------- ----------------------- ---------------------------- ----------------------- ---------------------

Sources: [The Strategis Group, Inc., The State of the US Paging
Industry: 1999 (1999)]{.smallcaps}.

Table 10: 1996 -- 1999 Number of Paging/Messaging Units by Publicly-Held
Company

  --------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------
  **[Company]{.underline}**   **[1996]{.underline}**   **[growth]{.underline}**   **[1997]{.underline}**   **[growth]{.underline}**   **[1998]{.underline}**   **[growth]{.underline}**   **[1999]{.underline}**

  PageNet                     8,551,574                19.33%                     10,204,743               -3.33%                     9,864,908                -8.86%                     8,991,000

  Arch (1)                    7,695,000                -5.26%                     7,290,000                1.18%                      7,376,000                -6.45%                     6,900,000

  Metrocall (2)               4,576,148                16.50%                     5,331,177                6.16%                      5,659,550                4.74%                      5,927,939

  Vodafone AirTouch (3)       2,850,000                8.81%                      3,101,000                10.35%                     3,422,000                n/a                        n/a

  WebLink Wireless            1,851,445                35.75%                     2,513,337                4.19%                      2,618,527                1.70%                      2,662,995

  Ameritech (4)               1,140,000                31.58%                     1,500,000                2.80%                      1,542,000                n/a                        n/a

  SkyTel (5)                  907,300                  20.90%                     1,096,900                29.62%                     1,421,800                n/a                        n/a

  American Paging (6)         777,400                  4.33%                      811,100                  n/a                        n/a                      n/a                        n/a

  Preferred Networks          362,481                  25.47%                     454,795                  15.50%                     525,274                  0.07%                      525,622

  Teletouch                   195,500                  64.25%                     321,100                  8.91%                      349,700                  12.73%                     394,200

  Paging Partners (7)         83,000                   81.93%                     151,000                  19.87%                     181,000                  n/a                        n/a

  Aquis Communications        n/a                      n/a                        n/a                      n/a                        n/a                      n/a                        375,000
  --------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------

Sources: Information is based on publicly available company information
such as news releases and filings made with the Securities and Exchange
Commission.

Notes:

(1) In June 1999, Arch completed its acquisition of MobileMedia. The
    Arch figures for 1996, 1997, and 1998 include MobileMedia
    subscribers.

(2) On December 30, 1997, Metrocall completed its acquisition of ProNet.
    The Metrocall figures for 1996 include ProNet subscribers. On
    October 2, 1998, Metrocall completed its acquisition of AT&T.
    Metrocall's figures for 1996 and 1997 include the AT&T subscribers.

(3) Vodafone AirTouch does not report paging subscribers.

(4) Ameritech was acquired by SBC in 1999, which does not report paging
    subscribers.

(5) SkyTel was acquired by Worldcom, Inc. which does not report paging
    subscribers.

(6) American Paging was acquired by TSR Wireless, LLC, a privately held
    company in 1998.

(7) Paging Partners was acquired by Aquis Communications on March 31,
    1999.

# Table 11: 1996 -- 1999 Revenues by Publicly-Held Company {#table-11-1996-1999-revenues-by-publicly-held-company .unnumbered}

  --------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------
  **[Company]{.underline}**   **[1996]{.underline}**   **[growth]{.underline}**   **[1997]{.underline}**   **[growth]{.underline}**   **[1998]{.underline}**   **[Growth]{.underline}**   **[1999]{.underline}**

  PageNet                     \$822,487                16.84%                     \$960,976                8.85%                      \$1,046,027              n/a                        \$989,723

  Arch (1)                    \$972,080                -4.92%                     \$924,233                -6.59%                     \$863,316                -25.66%                    \$641,824

  Metrocall (2)               \$247,101                17.10%                     \$289,364                60.60%                     \$464,724                31.30%                     \$610,187

  Vodafone AirTouch (3)       \$343,000                7.58%                      \$369,000                13.55%                     \$419,000                n/a                        n/a

  Weblink Wireless            \$221,592                25.36%                     \$277,778                12.19%                     \$311,652                4.34%                      \$325,165

  SkyTel (4)                  \$330,239                14.27%                     \$377,366                28.87%                     \$486,304                n/a                        n/a

  American Paging (5)         \$104,187                -9.38%                     \$94,413                 n/a                        n/a                      n/a                        n/a

  Preferred Networks          \$11,734                 52.67%                     \$17,914                 9.23%                      \$19,567                 n/a                        \$17,033

  Teletouch                   \$31,725                 30.46%                     \$41,389                 9.11%                      \$45,159                 13.24%                     \$51,138

  Paging Partners (6)         \$6,910                  31.24%                     \$9,069                  n/a                        \$9,902                  n/a                        n/a

  Aquis Communications        n/a                      n/a                        n/a                      n/a                        n/a                      n/a                        \$31,159
  --------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------

Sources: Information based on publicly available company documents such
as news releases and filings made with the Securities and Exchange
Commission.

Notes:

(1) The Arch figures are pro forma figures estimated to include
    MobileMedia's operations.

(2) The Metrocall figures are pro forma figures estimated to include
    ProNet's operations. AT&T did not separately report paging figures.

(3) Vodafone AirTouch does not report paging figures.

(4) SkyTel was acquired by Worldcom, Inc. which does not report paging
    figures.

(5) American Paging was acquired by TSR Wireless, LLC, a privately held
    company in 1998.

(6) Paging Partners was acquired by Aquis Communications on March 31,
    1999.

    Table 12: 1996 -- 1999 EBITDA/Operating Cash Flow by Publicly-Held
    Company

  --------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------
  **[Company]{.underline}**   **[1996]{.underline}**   **[growth]{.underline}**   **[1997]{.underline}**   **[growth]{.underline}**   **[1998]{.underline}**   **[growth]{.underline}**   **[1999]{.underline}**

  PageNet                     \$256,837                20.52%                     \$309,550                7.56%                      \$332,939                n/a                        \$205,980

  Arch (1)                    \$210,187                -0.02%                     \$210,148                21.46%                     \$255,245                4.33%                      \$266,300

  Metrocall (2)               \$52,561                 19.11%                     \$62,607                 95.36%                     \$122,311                27.96%                     \$156,513

  Vodafone AirTouch (3)       \$87,800                 23.01%                     \$108,000                13.89%                     \$123,000                n/a                        n/a

  Weblink Wireless            \$8,623                  216.14%                    \$27,261                 68.26%                     \$45,870                 n/a                        \$45,387

  SkyTel (4)                  \$12,780                 447.93%                    \$70,026                 85.96%                     \$130,218                n/a                        n/a

  American Paging (5)         (\$2,849)                n/a                        (\$3,267)                n/a                        n/a                      n/a                        n/a

  Preferred Networks          (\$8,688)                n/a                        (\$11,346)               n/a                        (\$5,109)                n/a                        (\$3,481)

  Teletouch                   \$9,337                  32.83%                     \$12,402                 15.43%                     \$14,316                 8.33%                      \$15,508

  Paging Partners (6)         (\$1,500)                n/a                        (\$47)                   n/a                        \$578                    n/a                        n/a

  Aquis Communications        n/a                      n/a                        n/a                      n/a                        n/a                      n/a                        \$2,974
  --------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------

Sources: Information based on publicly available company documents such
as news releases and filings made with the Securities and Exchange
Commission.

Notes:

(1) The Arch figures are pro forma figures estimated to include
    MobileMedia's operations.

(2) The Metrocall figures are pro forma figures estimated to include
    ProNet's operations. AT&T did not separately report paging figures.

(3) Vodafone AirTouch does not report paging figures.

(4) SkyTel was acquired by Worldcom, Inc. which does not report paging
    figures.

(5) American Paging was acquired by TSR Wireless, LLC, a privately held
    company in 1998.

(6) Paging Partners was acquired by Aquis Communications on March 31,
    1999.

# Table 13: 1996 -- 1999 EBITDA Margin/Operating Cash Flow Margin {#table-13-1996-1999-ebitda-marginoperating-cash-flow-margin .unnumbered}

  --------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------
  **[Company]{.underline}**   **[1996]{.underline}**   **[growth]{.underline}**   **[1997]{.underline}**   **[growth]{.underline}**   **[1998]{.underline}**   **[growth]{.underline}**   **[1999]{.underline}**

  PageNet                     31.23%                   3.15%                      32.21%                   -1.19%                     31.83%                   -34.61%                    20.81%

  Arch                        21.62%                   5.16%                      22.74%                   30.03%                     29.57%                   40.34%                     41.49%

  Metrocall                   21.27%                   1.72%                      21.64%                   21.64%                     26.32%                   -2.54%                     25.65%

  Vodafone AirTouch           25.60%                   14.34%                     29.27%                   0.30%                      29.36%                   n/a                        n/a

  Weblink Wireless            3.89%                    152.20%                    9.81%                    49.97%                     14.72%                   -5.16%                     13.96%

  SkyTel                      3.87%                    379.51%                    18.56%                   44.30%                     26.78%                   n/a                        n/a

  American Paging             -2.73%                   n/a                        -3.46%                   n/a                        n/a                      n/a                        n/a

  Preferred Networks          -74.04%                  n/a                        -63.34%                  n/a                        -26.11%                  n/a                        -20.44%

  Teletouch                   29.43%                   1.81%                      29.96%                   5.80%                      31.70%                   -4.34%                     30.33%

  Paging Partners             -21.71%                  n/a                        -0.52%                   n/a                        n/a                      n/a                        n/a

  Aquis Communications        n/a                      n/a                        n/a                      n/a                        n/a                      n/a                        9.54%
  --------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------ -------------------------- ------------------------

Notes: EBITDA margin, or cash flow margin, equals the company's EBITDA
divided by its total revenue. It is used as a measure of a company's
efficiency and profitability.

# Table 14: Advanced Messaging Services {#table-14-advanced-messaging-services .unnumbered}

<table style="width:100%;">
<colgroup>
<col style="width: 11%" />
<col style="width: 0%" />
<col style="width: 0%" />
<col style="width: 46%" />
<col style="width: 0%" />
<col style="width: 0%" />
<col style="width: 15%" />
<col style="width: 0%" />
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</colgroup>
<tbody>
<tr class="odd">
<td><strong>ISP</strong></td>
<td colspan="3"><strong>Notes</strong></td>
<td colspan="3"><strong>Device</strong></td>
<td colspan="3"><strong>Cost</strong></td>
<td colspan="3"><strong>Monthly Cost</strong></td>
</tr>
<tr class="even">
<td>BSWD</td>
<td colspan="3">Offers quick response time, interactive messaging.
Ability to "chat" close to realtime with other system users. Special
confirmation feature indicates messages are "delivered" and "read." Able
to send and receive e-mail messages to and from the Internet.</td>
<td colspan="3">RIM 950 Wireless Handheld<sup>TM</sup></td>
<td colspan="3">$369.00</td>
<td colspan="3">$9.95 to $69.95</td>
</tr>
<tr class="odd">
<td><p>AirTouch</p>
<p>(Verizon)</p></td>
<td colspan="3">Receive news, weather, stock reports, sports updates and
more. Verizon Wireless Messaging Services allows dispatch of alpha
messages for the user.</td>
<td colspan="3">Motorola PF1500, ADVISOR Elite™; NEC MessageMaker
Vue</td>
<td colspan="3">$159.95; $79.95; $39.95</td>
<td colspan="3">$9.95 to $24.95</td>
</tr>
<tr class="even">
<td>PageNet</td>
<td colspan="3">Offers mobile e-mail, customized profile to personalize
messages, test messages up to 5,000 characters, and assured delivery
where messages are stored when the unit is turned off or outside
coverage areas.</td>
<td colspan="3">Motorola PF1500, PageWriter 2000X; RIM 950</td>
<td colspan="3">$185; $399.99; $399.99</td>
<td colspan="3">from $23.00</td>
</tr>
<tr class="odd">
<td>SkyTel</td>
<td colspan="3">Ability to send and receive complete e-mail messages of
2,000 characters. Offers guaranteed delivery for storage up to 72 hours
and nationwide coverage.</td>
<td colspan="3">Glenayre AccessMate; Motorola PageFinder; PF1500</td>
<td colspan="3"><p>$150; $150; $135</p>
<p>(w/ 1yr plan)</p></td>
<td colspan="3"><p>SkyWord Plus</p>
<p>$24.95</p></td>
</tr>
<tr class="even">
<td colspan="2"></td>
<td colspan="3"></td>
<td colspan="3">Glenayre AccessLink II; Motorola PageWriter 2000,
2000X</td>
<td colspan="3">$195; $360; $395 (w/ 1 yr plan)</td>
<td colspan="2"><p>SkyWriter</p>
<p>$24.95</p></td>
</tr>
<tr class="odd">
<td colspan="3"></td>
<td colspan="3"></td>
<td colspan="3">RIM 850</td>
<td colspan="3">$395 (w/ 1 yr plan)</td>
<td><p>eLink</p>
<p>$59.95</p></td>
</tr>
<tr class="even">
<td>WebLink</td>
<td colspan="3">With WebLink Wireless service, users are able to send
instant messages to other wireless devices or to send e-mail to any
Internet address.</td>
<td colspan="3">Motorola T900, 2000X, PF1500; Glenayre AccessLink
II™</td>
<td colspan="3">$179.95; $399.95</td>
<td colspan="3">$9.95 to $19.95</td>
</tr>
<tr class="odd">
<td>Motient</td>
<td colspan="3">Offers ability to keep users connected to the office,
desktop, family, and coworkers: eLink wireless email service. eLink lets
users send and receive real-time email messages from virtually anywhere
in the United States. It also acts as an inbox, information manager,
pager, and calendar.</td>
<td colspan="3">RIM 850</td>
<td colspan="3">$359.00</td>
<td colspan="3">$24.95 to $59.95</td>
</tr>
<tr class="even">
<td><p>TSR</p>
<p>Wireless</p></td>
<td colspan="3">Offers capability to receive Web-based information and
email. Every word message pager purchased at TSR Wireless comes equipped
with it's own e-mail address to which the user can forward e-mail from a
primary e-mail address, receive sports and weather updates, real-time
stock quotes and other information feeds provided by TSR
InfoBlasts.</td>
<td colspan="3">Motorola Wordline, Advisor Elite, CP1250</td>
<td colspan="3">$89.99; $110.95; $159.95</td>
<td colspan="3"><p>$151.00</p>
<p>(unlimited internet)</p></td>
</tr>
</tbody>
</table>

Sources: Information based on publicly available company documents such
as news releases, company Web sites, and newspaper and periodical
articles.

**Table 15: Handheld Devices**

+--------------------+-------------+----------------------+----------+
| **[Handheld/       | **[Manuf    | **[                  | **[Pric  |
| PDA]{.underline}** | acturer]{.u | Modem]{.underline}** | e]{.unde |
|                    | nderline}** |                      | rline}** |
+--------------------+-------------+----------------------+----------+
| Palm VII           | 3COM        | Integrated Wireless  | \$412    |
+--------------------+-------------+----------------------+----------+
| Palm III, V        | 3COM        | Snap-on Module       | \$130 -  |
| -series            |             |                      | \$417    |
+--------------------+-------------+----------------------+----------+
| Cassiopeia -series | Casio       | Compactflash Type II | \$189 -  |
|                    |             |                      | \$589    |
+--------------------+-------------+----------------------+----------+
| *IPAQ* Pocket PC   | Compaq      | PC Card Type II      | \$181 -  |
| 3600               |             |                      | \$833    |
|                    |             | Compactflash Type II |          |
| *Aero* 1500, 2100, |             |                      |          |
| 8000               |             |                      |          |
+--------------------+-------------+----------------------+----------+
| Visor              | Handspring  | Springboard Snap-on  | \$149 -  |
|                    |             | Modem Module         | \$249    |
+--------------------+-------------+----------------------+----------+
| EPlate (HPW-600ET) | Hitachi     | PC Card Type II      | \$684    |
+--------------------+-------------+----------------------+----------+
| Jornada -series    | HP          | PC Card Type II      | \$385 -  |
|                    |             |                      | \$694    |
|                    |             | Compactflash Type II |          |
+--------------------+-------------+----------------------+----------+
| Workpad -series    | IBM         | Snap-on Module       | \$279 -  |
|                    |             |                      | \$398    |
|                    |             | (Z50 has PC Card II) |          |
+--------------------+-------------+----------------------+----------+
| MobilePro -series  | NEC         | PC Card Type II      | \$668 -  |
|                    |             |                      | \$897    |
+--------------------+-------------+----------------------+----------+
| Nino -series       | Philips     | Snap-on Module       | \$149 -  |
|                    |             |                      | \$428    |
| Velo -series       |             | (PC Card Type II)    |          |
+--------------------+-------------+----------------------+----------+
| Psion -series      | Psion       | PC Card Type II      | \$360 -  |
|                    |             |                      | \$489    |
|                    |             | (external USB        |          |
|                    |             | adapter)             |          |
+--------------------+-------------+----------------------+----------+
| RIM 850/950/957    | Research In | Integrated Wireless  | \$399    |
| (marketed by RIM   | Motion      |                      |          |
| as Blackberry)     | (RIM)       |                      |          |
+--------------------+-------------+----------------------+----------+
| Mobilon -series    | Sharp       | PC Card Type II      | \$599 -  |
|                    |             |                      | \$799    |
+--------------------+-------------+----------------------+----------+
| Clio               | Vadem       | PC Card Type II      | \$866    |
+--------------------+-------------+----------------------+----------+

  -----------------------------------------------------------------------
  **CompactFlash** is the world\'s smallest removable mass storage
  device. First introduced in 1994 by SanDisk Corporation, CF^TM^ cards
  weigh a half ounce and are the size of a matchbook. They provide
  complete PCMCIA-ATA functionality and compatibility. At 43mm (1.7\") x
  36mm (1.4\") x 3.3mm (0.13\"), the device\'s thickness is less than
  one-half of a current PCMCIA Type II card (PC Card). It is actually
  one-fourth the volume of a PCMCIA card. Compared to a 68-pin PCMCIA
  card, a CF card has 50 pins but still conforms to ATA specs. It can be
  easily slipped into a passive 68-pin Type II adapter card that fully
  meets PCMCIA electrical and mechanical interface specifications.

  -----------------------------------------------------------------------

  -----------------------------------------------------------------------
  **PC Card Type II:** aka ***P**ersonal **C**omputer **M**emory **C**ard
  **I**nternational **A**ssociation,* and pronounced as separate letters,
  PCMCIA is an organization consisting of some 500 companies that has
  developed a standard for small, credit card-sized devices, called PC
  Cards. Originally designed for adding memory to portable computers, the
  PCMCIA standard has been expanded several times and is now suitable for
  many types of devices. There are in fact three types of PCMCIA cards.
  All three have the same rectangular size (85.6 by 54 millimeters), but
  different widths. Type II cards can be up to 5.5 mm thick. These cards
  are often used for modem and fax modem cards.

  -----------------------------------------------------------------------

Sources: Company information is based on publicly available company
documents such as news releases, company Web sites, and newspaper and
periodical articles.

**Table 16: Telemetry Services**

  --------------------------- ------------------------------------------------------
  **[Company]{.underline}**   **[Status]{.underline}**

  CellNet Data Systems, Inc.  3 million units in service; 7.7 million meters under
                              long term contract; signed agreements with PECO
                              Energy(1), Northern States Power(2), Puget Sound
                              Energy(3), and Cuivre River Electric Cooperative and
                              Boone Electric Cooperative(4); also provides remote
                              monitoring for photocopiers, vending machines, parking
                              meters, and home security systems

  Itron                       offers AMR exclusively; had shipped 15.4 million AMR
                              units at YE 1999 (14 percent increase from YE 1998) to
                              over 500 utilities

  Whisper Communications,     has agreements with Portland General Electric to
  Inc.                        connect 15,000 commercial and 20,000 residential
                              meters, with Silicon Valley Power to connect 1,000
                              meters, and with Illinois Power to connect 1.1 million
                              meters

  WebLink Wireless Inc.       uses its narrowband PCS licenses for telemetry; plans
                              to begin offering commercial services in Second
                              Quarter 2000; has contracts to deploy environmental
                              control, photocopier, and home security systems.

  American Mobile Satellite   has agreement to provide AMR service to at least
  Corp.                       55,000 of Enron's electric and gas meters by July
                              2001; developing other products including vending
                              machine, traffic light, and ATM monitoring.

  Omnipoint                   Developing wireless AMR systems for GSM technology;
                              created telemetry system for KeySpan Energy

  Metricom                    Offers AMR service called UtiliNet to utilities such
                              as Southern California Edison

  BellSouth Wireless Data     resells network to telemetry providers, such as alarm,
                              billboard sign, and vending machine monitoring
                              companies

  GTE Wireless                resells network to telemetry providers; Global Data
                              Wireless offers AMR services over GTE's network to
                              Wisconsin Public Service, FirstEnergy, and Carolina
                              Power & Light

  Aeris's MicroBurst          leases the control channel of cellular networks from
                              cellular carriers covering 98 percent of U.S.; 10,000
                              users; products include AMR, security system
                              monitoring, equipment monitoring, vehicle location,
                              and asset tracking.
  --------------------------- ------------------------------------------------------

Sources: Publicly available company documents such as news releases,
company Web sites, and filings with the Securities and Exchange
Commission. *PECO Energy and Schlumberger RMS Execute Agreement to
Provide Metering Data Management Services Using a CellNet Data Systems
Network*, [PR Newswire]{.smallcaps}, Oct. 13, 1999; *CellNet Data
Systems to Expand Northern States Power Network by Approximately 800,000
Meters*, [PR Newswire]{.smallcaps}, Sept. 28, 1999; *1.3 Million Puget
Sound Area Gas & Electric Meters to Go High-tech as Puget Sound Energy
and CellNet Data Systems Extend Wireless Network*, [PR
Newswire]{.smallcaps}, Sep. 21, 1999; *Network Meter Reading Not Just
for Big Urban Utilities Anymore*, [PR Newswire]{.smallcaps}, Sep. 9,
1999; *WebLink Wireless Letter to Investors on Strategic Repositioning,
Opportunities, Risks*, [PR Newswire]{.smallcaps}, Dec. 23, 1999; Tony
Kontzer, *Electricity Meter Reading Joins Digital Era*, [Investor's
Business Daily]{.smallcaps}, Jul. 6, 1998; *American Mobile to Deliver
Wireless Telemetry Applications through Partnerships with CA and cStar
Technologies*, [Business Wire]{.smallcaps}, July 19, 1999; *TransData
and Omnipoint Technologies, Inc. to Develop and Market GSM-Based
Wireless AMR and Telemetry Solutions for the Utility Industry,* [PR
Newswire]{.smallcaps}, Sep. 27, 1999; Nancy Gohring, *Easy Money:
Wireless Operators Take Another Look at Telemetry*,
[Telephony]{.smallcaps}, Sep. 13, 1999; *GTE and Global Data Wireless
Help Utilities Compete through New Wireless Technologies the Remotely
Read Meters across U.S. and Canada*, [PR Newswire]{.smallcaps}, Sep. 20,
1999; *Global Data Wireless Announces Contract with Wisconsin Public
Service*, [Canada NewsWire]{.smallcaps}, Nov. 10, 1999; *Global Data
Wireless Announces Contract with FirstEnergy*, [Canada
NewsWire]{.smallcaps}, Dec. 22, 1999. *Global Data Wireless Announces
Contract with Carolina Power and Light*, [Canada NewsWire]{.smallcaps},
Jan. 10, 2000; Antony Bruno, *Aeris Broadens Business Plans to Include
Internet Apps*, [RCR Radio Communications Report]{.smallcaps}, Sep. 20,
1999; *Aeris.net Strengthens Wireless Data Messaging Coverage Areas with
Illinois Valley Cellular and Rural Cellular Corp. Agreements*, [PR
Newswire]{.smallcaps}, Nov. 2, 1999; Antony Bruno, *Aeris Broadens
Business Plans to Include Internet Apps*, [RCR Radio Communications
Report]{.smallcaps}, Sep. 20, 1999; *Aeris Communications Completes \$29
Million Private Equity Investment; Changes Name to Aeris.net*, [Canada
NewsWire]{.smallcaps}, Sep. 23, 1999.

Notes:

(1) The 15-year contract is for 2 million gas and electric meters, and
    CellNet plans to connect the first 5,000 meters by April 2000.

(2) This agreement, which covers residential and business electric and
    gas customers, expands a 1996 contract with Northern States Power
    from 1.2 million meters in Minneapolis-St. Paul, MN to 2 million
    meters across Minnesota, North Dakota, South Dakota, Wisconsin and
    Michigan.

(3) This agreement is also an expansion of an existing contract. Puget
    will expand CellNet's AMR service from 800,000 customers (500,000
    have already been connected) in Seattle and Tacoma to 1.3 million
    customers in more rural areas across 95 percent of Puget's 11-county
    service territory.

(4) Cuivre River, which serves rural eastern Missouri, expanded its
    agreement with CellNet from 5,000 to 11,000 meters. Boone serves
    rural areas in the central part of the state and signed an agreement
    for 6,000-12,000 meters. Because rural utilities serve more
    dispersed customers over wider geographic areas, they have higher
    meter reading costs and greater cost savings from AMR.

    **APPENDIX D:**

    **DISPATCH SERVICES**

    **[Table of Contents]{.underline}**

Table 1: Major SMR Operators D-2

Table 2: Analog Dispatch Average Revenue Per Unit D-3

Table 3: Analog Dispatch Subscriber Growth, by Band D-3

**Table 1: Major SMR Operators**

  ------ ------------------- ------------- ------------ ------------- ------------------
  Rank   SMR Provider        1998                       1999          
                             Subscribers                Subscribers   

                             Total         Analog       Total         Analog

  1      Nextel              3,143,900 (2) 354,000(2)   4,515,700     292,000(1Q99)(6)
                                                        (digital      
                                                        only) (5)     

  2      Southern LINC       100,000 (1)   N/A          200,000 (8)   0

  3      Mobex               50,000 (1)    N/A          65,000 (7)    N/A

  N/A    Chadmoore Wireless  23,321 (3)    23,321 (3)   37,475 (3)    37,475 (3)
         Group, Inc.                                                  

  N/A    Securicor Wireless  11,400 (4)    N/A          N/A           N/A
         (formerly Intek                                              
         Global Corp. )                                               
  ------ ------------------- ------------- ------------ ------------- ------------------

\(1\) Jeffrey Silva, *Nextel Sues To Lift Decree; Bankruptcy Judge
Approves Geotek Spectrum Sale*, RCR, Feb. 22, 1999.

\(2\) Nextel Communications, Inc., Form 10-K, Dec. 31, 1998, at 1.

\(3\) Chadmoore Wireless Group, Inc*.*, *Item 6: Management\'s
Discussion And Analysis Of Financial Condition And Results Of
Operation*, Form 10-KSB, Dec. 31, 1999.

\(4\) Intek Global Corp., 10‑Q, Feb. 12, 1999.

\(5\) Nextel, 4Q1999.

\(6\) Nextel, 1Q1999. Nextel has stopped reporting its analog
subscribers

\(7\) *Dataradio Corporation and MOBEX Communications, Inc. Form
Strategic Partnership*, Press Release, Oct. 20, 1999

\(8\) Southern Company, 1999 Annual Report.

**Table 2: Analog Dispatch Average Revenue Per Unit**

  -------------- --------------------------- -----------------------------
                 Non-Trunked Dispatch -      Trunked Dispatch - Analog
                 Analog                      

  1996           \$16.10                     \$49.40

  1997           \$16.30                     \$40.50

  1998           \$16.40                     \$38.70

  1999           \$16.90                     \$37.10
  -------------- --------------------------- -----------------------------

Sources:

\- The Strategis Group, Inc., \"Dispatch Service in a Competitive
Market,\" Presentation at AMTEX\'98 Conference & Exposition, Nov. 13,
1998; The Strategis Group, Inc., "US Dispatch Markets," January, 2000.

**Table 3: Analog Dispatch Subscriber Growth,**

**By Band**

+-------------------------+-----------+--------+-------------+--------+
| Band                    | Su        | Growth | Subscribers | Growth |
|                         | bscribers | over   | YE 1999     |        |
|                         | YE 1998   | 1997   |             | Over   |
|                         |           |        |             | 1998   |
+-------------------------+-----------+--------+-------------+--------+
| 800 MHz                 | 1,453,020 | -6%    | 1,402,164   | -4%    |
+-------------------------+-----------+--------+-------------+--------+
| 900 MHz                 | 147,750   | 2%     | 153,515     | 4%     |
+-------------------------+-----------+--------+-------------+--------+
| 450 MHz                 | 22,000    | 273%   | 30,625      | 39%    |
+-------------------------+-----------+--------+-------------+--------+
| 220 MHz                 | 30,000    | 43%    | 40,500      | 35%    |
+-------------------------+-----------+--------+-------------+--------+
| **All Analog bands**    | **1,      |        | **          | *      |
|                         | 652,770** |        | 1,626,804** | *-2%** |
+-------------------------+-----------+--------+-------------+--------+

Sources:

\- The Strategis Group, Inc., \"Dispatch Service in a Competitive
Market,\" Presentation at AMTEX\'98 Conference & Exposition, Nov. 13,
1998; The Strategis Group, Inc., "US Dispatch Markets," January, 2000.

**APPENDIX E:**

**FIXED VOICE AND DATA SERVICES**

As Congress and the Commission have looked for new ways to promote
competition in the telecommunications industry, it has become clear that
wireless licensees providing fixed wireless services have the potential
to create facilities-based competition in numerous industries beyond the
traditional mobile markets. While spectrum classified as CMRS is being
utilized in this manner,[^582] non-CMRS spectrum, including Multipoint
Multichannel Distribution Service ("MMDS"), 24 GHz, Local Multipoint
Distribution Service ("LMDS"), and 39 GHz, are also being used.

In this section, the Commission reviews the state of competition
provided by fixed wireless operators for voice and data services in both
residential and business markets. For discussion purposes, operators are
trifurcated by spectrum bands - cellular/broadband PCS, 2 GHz to 4 GHz,
and Upperband spectrum.

## Fixed Wireless Access 

In a fixed wireless access system, a provider attaches a radio
transmitter to a customer\'s premises that communicates with a central
antenna site. This antenna site acts as the gateway into the PSTN or the
Internet. This technology functions as a replacement for the "last mile"
of copper wire that has traditionally provided individual customers with
telecommunications services, thus allowing a wireless provider to
compete with a traditional wireline service provider. The "last mile" is
also referred to as the "local loop"; thus, fixed wireless access is
often referred to as "Wireless Local Loop," or "WLL" for short.

WLLs afford new entrants direct access to an individual customer\'s
building, lessening the reliance on LECs. In addition to providing new
competition in existing markets, fixed wireless systems have the
potential to provide new services and expand capacity into areas
considered too expensive to enter using available wireline technologies.

*Lower Network Deployment Costs* - Fixed wireless operators claim that
their networks have a significantly lower cost structure than wireline
systems for two primary reasons.[^583] First, wireless networks are free
of the installation and maintenance costs incurred with wires. Second,
unlike a wireline network in which an entire market must be wired before
initiating service, the capital expenditures of a wireless network can
be incrementally incurred as more customers are added. Because of this
lower cost structure, operators have been able to charge significantly
lower prices than wireline competitors for business services. Teligent,
for example, offers its subscribers a flat monthly rate that is up to a
30 percent discount compared to wireline providers.[^584]

*Underserved Markets* - There are a number of market segments with low
penetration by existing wireline systems. For example, only a small
percentage of office buildings have wireline broadband access.[^585]
Fixed wireless operators can act as strategic partners with wireline
CLECs that wish to extend their fiber networks more cheaply to such
buildings. Many small and medium sized businesses, with volume too low
for expensive fiber connections, are also potential customers.[^586] In
addition, wireless access has the potential to improve competition and
broadband services for residential customers in both urban and rural
markets.[^587]

## Broadband Access through Fixed Wireless

One of the great advantages of fixed wireless is its ability to provide
broadband, or high-speed, services relatively cheaply and quickly in
comparison with wireline technologies. While the term "broadband" has
numerous meanings in common usage, the Commission has defined broadband
as two-way speeds of 200 kbps and above.[^588] Many fixed wireless
operators provide such services, although such operators vary greatly,
both in terms of technical capabilities and target markets.

![](media/image2.wmf)

## Service Providers

### Cellular (800 MHz) / Broadband PCS (1900 MHz)

In the United States, the current WLL in these bands is still in an
early stage of development, is currently targeted at low-use/residential
subscribers, and is secondary to the mobile products of service
providers. A number of cellular and broadband PCS operators have
considered the possibility of using their licenses to provide WLL
services, but few operators have taken major steps to provide fixed
services, and even fewer offer broadband services. The primary exception
is AT&T's Project Angel, discussed below. The other operators are simply
using their existing cellular or PCS infrastructure to offer Plain Old
Telephone Service ("POTS"), but no service at higher speeds.[^589]

a\. [AT&T Digital Broadband]{.underline} -- After years of
development,[^590] AT&T has committed itself to widespread deployment of
its fixed wireless access system, originally dubbed "Project Angel."
AT&T says it will use its fixed wireless system to reach homes and small
businesses in markets not covered by its "broadband properties,"[^591]
namely its cable systems or arrangements with cable operators, which
cover about 50 percent of U.S. markets.[^592] Estimated to cost about
\$750 per customer (and expected to drop to \$500 in five years), the
system uses broadband PCS spectrum[^593] to transmit signals between an
antenna at customers' premises and AT&T's network.[^594] The system
permits four voice channels, data rates up to 512 kbps, and "always-on"
Internet access.[^595] The service is expected to be capable of speeds
of one Mbps by the end of 2000.[^596]

In early 2000, AT&T was serving 200 customers with a Digital Broadband
trial system in Dallas, TX.[^597] In March 2000, AT&T began offering
service commercially to residential customers in Fort Worth, TX.[^598]
By mid-July 2000, AT&T was serving approximately 2,800 customers using
6,000 lines in the Dallas-Fort Worth area.[^599] The company has
announced plans to rollout service in four additional cities, starting
with San Diego, and claims to be on track to have 1.5 million fixed
wireless subscribers by year-end 2000.[^600]

b\. [Cellular ETC Efforts]{.underline} - Wireline local exchange
carriers offer residential service discounted by the receipt of
universal service funds.[^601] In order to receive funding, a fixed
wireless operator, like all carriers, has to be designated an "Eligible
Telecommunications Carrier" ("ETC") by the state in which it plans to
operate.[^602] A few mobile telephony operators have been granted ETC
status and have become eligible for universal service funds, including
Sprint PCS in California and Arkansas, United States Cellular Corp. in
Washington, and Centennial Communications in Puerto Rico.[^603]

### 2 GHz to 4 GHz

Commercial and trial services in these bands, primarily by wireless
cable licensees, target both business and residential customers.

#### Wireless Cable

##### Overview

MMDS, also called wireless cable,[^604] has become a new vehicle for
offering high-speed Internet access and broadband services to
residential and small office/home office ("SOHO") customers. Most
notably, during the past year WorldCom and Sprint acquired MMDS licenses
covering 60 million households and began rolling out MMDS high-speed
Internet access in six cities.[^605] As of May 2000, the companies were
planning to offer the service in 100 markets by the end of 2001.[^606]
In addition to WorldCom and Sprint, nine independent wireless cable
companies currently offer high-speed Internet access via MMDS in 11
markets.[^607] These markets include rural areas, such as Sioux Falls,
SD and Cache Valley, UT. In at least five of those markets, the service
is being offered on a two-way basis. One analyst estimated there were
12,000 MMDS Internet access subscribers at the end of 1999,[^608] and
the market for this service is expected to grow substantially over the
next 3 to 5 years.[^609]

MMDS companies were originally licensed to provide analog television
programming to homes using the 2 GHz spectrum band. However, many
wireless cable operators had difficulty competing with wireline cable
and direct-to-home satellite companies, which had significantly higher
channel capacities. Therefore, in 1997 and 1998, wireless cable
companies began refocusing their business operations on offering
high-speed Internet access instead of television programming. In
September 1998, the Commission issued an order authorizing the use of
MMDS spectrum for two-way services.[^610]

##### Major Operators

*[WorldCom]{.underline}*. At the writing of the *Fourth Report*,
WorldCom had acquired CAI Wireless Systems, Inc. and CS Wireless
Systems, Inc.[^611] Since then, WorldCom has acquired two additional
companies, Wireless One[^612] and PrimeOne Tele-TV.[^613] WorldCom's
MMDS licenses cover 45 million households in 78 markets.

WorldCom began implementing its plans to offer fixed wireless high-speed
Internet access and other broadband services to residential and SOHO
customers, particularly customers that are beyond the reach of wireline
DSL, during the spring of 2000.[^614] As of May 2000, WorldCom was
running trials in Baton Rouge, LA; Jackson, MS; and Memphis, TN.[^615]
WorldCom is charging its residential trial customers \$39.95 per month
for two-way speeds of 310 kbps and businesses \$300-\$600 per month for
speeds of 128 kbps to 8 Mbps.[^616] WorldCom has also announced it will
run MMDS trials in Boston and Dallas during the summer of 2000.[^617] In
addition to its commercial rollout plans, WorldCom announced in April
2000 that it would begin using MMDS to deliver high-speed Internet
access to schools, libraries, and community centers in four rural
communities -- Raleigh, NC; Houma, LA; Dothan, AL; and Hattiesburg, MS
-- by August 2000.[^618] WorldCom and Sprint announced plans to merge
with each other in October 1999, but called off the merger in July 2000
after the U.S. Department of Justice filed a suit to block it.[^619]

*[Sprint]{.underline}*. In 1999, Sprint acquired People's Choice TV and
American Telecasting.[^620] Since then, Sprint has acquired WBS America
LLC,[^621] Transworld Telecommunications Inc., Videotron USA,[^622]
Wireless Cable of Florida, Inc., and Nashville Wireless Cable JV.[^623]
Sprint's MMDS licenses cover over 30 million households in 83 markets.

As of May 2000, Sprint had launched commercial MMDS Internet service in
Phoenix[^624] and was running trials in Detroit, MI and San Francisco,
CA.[^625] Sprint's residential service in Phoenix costs \$39.95 per
month for speeds of 1 to 2 Mbps and covers 85 percent of area
households.[^626] Sprint has stated that it plans to launch MMDS in
10-20 markets by the end of 2000 and to incorporate the technology into
its existing ION service.[^627]

*[Nucentrix]{.underline}*. Nucentrix Broadband Services, Inc.
("Nucentrix," formerly Heartland Wireless Systems, Inc.) is the only
large wireless cable company that has not been acquired by WorldCom or
Sprint. Nucentrix emerged from bankruptcy in April 1999 with a business
plan focused on offering high-speed Internet access instead of
furthering its television programming operations.[^628] Nucentrix
currently offers two-way Internet access service in Austin and
Sherman-Denison, TX,[^629] and plans to launch the service in up to 40
markets by the end of 2001.[^630] Nucentrix holds licenses that cover 87
small and medium markets in the central United States.[^631]

*[Other Operators]{.underline}*. In addition to the three companies
discussed above, several small independent MMDS licensees have also
turned to offering high-speed Internet access in the markets they serve.
For example, Wireless First, Inc., an MMDS operator in Traverse City,
MI, offers high-speed Internet access to homes and SOHOs in five
counties on the Upper Peninsula of Michigan.[^632] And Alaska Wireless
Cable offers the service on two-way basis in Fairbanks, Alaska.[^633]
Worldwide Wireless Systems, Inc., a wholly-owned subsidiary of New
England Wireless, Inc. located in Bellows Falls, VT, plans to rollout
two-way service there and in 12 other markets.[^634]

At least four Internet access companies, including IJNT.net, SkyLynx,
AirNet, and US Interactive, offer high-speed Internet access using owned
or leased MMDS spectrum in at least six markets. Both IJNT.net and
SkyLynx use MMDS in conjunction with unlicensed spectrum[^635] and offer
traditional dial-up Internet access as well high-speed service.[^636]

##### Technology

As noted earlier, wireless cable or MMDS spectrum includes 33 different
6-MHz channels on the 2 GHz band. However, wireless cable operators
control different amounts of spectrum in different markets, and many
lease unused channels from ITFS operators for both video programming and
broadband services. The downstream Internet speeds reported by MMDS
operators range from 750 kbps to 11 Mbps, and MMDS Internet systems can
be designed in point-to-point or point-to-multipoint configurations.

Wireless cable transmissions have a greater radius than upperband fixed
wireless service, generally 35 miles versus three to five miles for
upperband services. This is partly due to the fact that MMDS signals are
less attenuated by rain and other severe weather conditions.[^637]
MMDS's larger radius makes the service well-suited for not only
residential customers, but customers in rural, underserved, and unserved
areas as well. One drawback of MMDS has been that it requires a direct
line of sight from the transmitter to the receiver at the customer's
end. Recent technological developments, discussed below, may help to
overcome this restriction, however.

While different providers use different types of equipment, the
following is a general description of how MMDS operators provide two-way
broadband services. First, data from the Internet is sent to an MMDS
operator's point of presence, where it travels through a downstream
router and then to a transmitter on a microwave tower or the roof of a
tall building, where it is broadcast to subscribers in the service
area.[^638] Each subscriber has a rooftop antenna that receives and
sends data and a transverter that converts data into a useable format.
The transverter feeds downstream data through inside wiring to a cable
modem and then to the user's PC, with an Ethernet connection between the
cable modem and the PC. The upstream connection sends data through the
reverse path.[^639]

In the past year, MMDS has emerged as another vehicle, in addition to
cable and DSL, for providing high-speed Internet access to residential
customers. As MMDS carriers have shifted their focus from television
programming to two-way high-speed Internet access, equipment vendors
have begun to do the same. Many have begun to devote more of their
resources to producing MMDS Internet systems, and have begun vying for
contracts with WorldCom and Sprint in response to their rollouts and
trials of MMDS.[^640] WorldCom announced in March 2000 that it would
test equipment made by ADC Telecommunications Inc., Cisco Systems
("Cisco"), Motorola, Nortel Networks Corp., and Lucent Technologies,
Inc. in its five MMDS trials.[^641] Sprint completed a significant
investment in the leading manufacturer of wireless cable modems, Hybrid
Networks, Inc. ("Hybrid") in August 1999. As part of the deal, Sprint
agreed to purchase \$10 million worth of equipment from the company for
use in its MMDS network.[^642] Hybrid's equipment is deployed in over 44
North American markets.[^643] In April 2000, Verizon Communications,
Inc. ("Verizon," formerly Bell Atlantic Corp.) also made a significant
investment in Radix Wireless, Inc., a fixed wireless equipment company.
Verizon plans to use fixed wireless technology designed by Radix to
rollout high-speed Internet access at DSL speeds.[^644]

During the past year, both entrepreneurs and established companies have
made technological breakthroughs that allow two-way Internet access to
be offered via MMDS and that overcome some of the problems associated
with that offering. For example, in December 1999, Cisco released a
cellularization technology for MMDS and unlicensed spectrum called VOFDM
(Vector Orthogonal Frequency Division Multiplexing).[^645] VOFDM
captures signals as they bounce off buildings and other objects and
redirects them to end-user transceivers, therefore eliminating the need
for a fixed line-of-sight between a transmitter and a receiver.[^646] In
February 2000, Nucentrix announced that it would run field trials of
Cisco's VOFDM equipment in Austin and Amarillo, TX during 2000 and that
it plans to deploy the technology in at least 20 markets by the end of
2001.[^647] WorldCom will also test VOFDM in its Dallas trial.[^648]
Sprint believes VOFDM will be used in combination with other
technologies and in niche markets with line-of-sight problems.[^649]

Other technological developments include an antenna technology released
by Wireless Online that enhances the coverage, quality, and capacity of
MMDS networks.[^650] A start-up called NextNet, Inc. has also developed
an end-to-end MMDS system with a desktop CPE unit that requires no
rooftop antenna and no inside wiring connections.[^651]

####  Unlicensed Spectrum (2 and 5 GHz)

A handful of companies across the United States use unlicensed spectrum
in the 2 GHz and 5 GHz spread spectrum bands to offer high-speed
Internet access and other broadband services. According to one analyst,
the maximum downstream speed of unlicensed spectrum is approximately 25
Mbps,[^652] while the speeds reported by operators range from 500 kbps
to as high as 100 Mbps.

As of April 2000, at least 11 companies were providing these services in
23 markets.[^653] Two of these companies, SkyLynx and IJNT.net, use
unlicensed spectrum in conjunction with MMDS spectrum. Many of the
unlicensed operators are small start-ups, and some are traditional ISPs
that have added fixed wireless service for customers who demand
high-speed access. For example, PSINet, a leading wireline business ISP,
launched a high-speed fixed wireless service called InterSky in six
cities during 1999.[^654] Two established CMRS companies, US WEST, Inc.
("US WEST,"which was acquired by Qwest Communications International,
Inc. on June 30, 2000) and Metricom, entered the unlicensed fixed
wireless market during the past year. US WEST announced in 1999 that it
planned to run a trial of fixed wireless broadband service in Denver
using equipment made by Adaptive Broadband.[^655] And Metricom, which
received a significant investment from WorldCom during 1999, will begin
marketing its wireless modem to home PC users for fixed, in addition to
mobile use.[^656] One analyst predicts the company will have three
million home PC subscribers by 2007.[^657]

Other companies, such as BreezeCOM and RadioLAN,[^658] use unlicensed
spectrum to offer wireless WAN/LAN and wireless PBX services to
businesses, schools, and hospitals.

#### WCS (2.3 GHz)

In addition to AT&T's use of WCS spectrum in its Project Angel,
mentioned above, several other operators have begun to use WCS for
Internet access. WorldCom is using WCS spectrum that it acquired from
wireless cable companies (in conjunction with MMDS spectrum) to test
fixed wireless high-speed Internet access in Baton Rouge, LA; Jackson,
MS; Memphis, TN; and Dallas, TX.[^659] BellSouth will also begin testing
one-way high-speed Internet access using its WCS spectrum in Houma, LA
in 2000 at a downstream speed of 1.5 Mbps.[^660] If trials are
successful, BellSouth reports it will upgrade the system to two-way
service.[^661]

### Upperbands (24 to 39 GHz)

The largest commercial deployment of fixed wireless systems has occurred
in the "upperbands" of the spectrum, in the 24 GHz, 28 GHz (LMDS), and
39 GHz ranges.[^662] The most significant operators in these bands,
Teligent, Inc. ("Teligent") and WinStar Communications, Inc.
("WinStar"), are concentrating on business customers. These operators
are either capable now or planning to offer subscribers a variety of
one- and two-way broadband services, such as video programming
distribution, video teleconferencing, and wireless local loop telephony,
as well as Internet access and other high-speed data transmission
services.

#### Recent Developments

##### Auctions

On May 12, 1999, the second auction of LMDS licenses closed, raising
\$45 million (in net high bids): the Commission sold 121 A Block (1150
MHz ) and 40 B Block (150 MHz) licenses.[^663]

On May 8, 2000, the Federal Communications Commission completed the
auction of 2,450 licenses for services in the 39 GHz band, raising (in
net high bids) a total of \$410,649,085 for the U.S. Treasury.[^664] In
this auction, 29 winning bidders won a total of 2,173 licenses.[^665] A
number of existing upperband licensees won licenses in the auction,
including Winstar, Advanced Radio Telecom, Inc. ("ART"), and NEXTLINK
Communications, Inc. ("Nextlink").[^666] Licensees in the 39 GHz band
may provide fixed communications including point-to-point and
point-to-multipoint communications. Mobile communications are subject to
the development of inter-licensee and inter-service interference
criteria.[^667]

The Commission also has issued proposed rules for the auctioning of
spectrum at 24 GHz.[^668]

##### Investments

Upperband operators have received significant investments over the past
year.[^669] In September 1999, Qwest and a group of technology
investment funds finalized a \$251 million equity investment in
ART.[^670] In November 1999, Teligent announced that it raised \$500
million in new capital from an investment group led by Microsoft
Corporation and Hicks, Muse, Tate & Furst Inc., enabling Teligent to
finance its core operations into 2001 and begin an international
expansion.[^671] In December 1999, Winstar Communications received a
\$900 million investment from Microsoft and several investment firms to
expand its network, products and services.[^672] Also in December 1999,
investment firm Forstmann Little & Co. agreed to invest \$850 million in
Nextlink giving the firm an 8% diluted stake in the company. Nextlink
said it would use the funds to expand networks and services, to
introduce new technologies and to fund its business plan.[^673]

#### Major Operators

Teligent and WinStar are in a more advanced stage of deployment than the
other upperband operators, most of which appear not to have moved beyond
the development and pilot testing stage as of the end of 1999.
Accordingly, significant data on deployment (subscribers, lines
installed, revenue) is available primarily for Teligent and Winstar.

*[Teligent]{.underline}*. Teligent provides a bundle of broadband fixed
wireless telecommunication services to small and medium sized businesses
using its 24 GHz licenses. Teligent offers local, long distance, and
Internet access and data speeds ranging from 64 kbps to 155 Mbps
(OC-3).[^674] Over the past year, Teligent completed its plan to rollout
service in 40 US markets, [^675] covering more than 100 million
people.[^676] Teligent\'s licenses cover 74 markets nationwide and the
company plans to enter all these markets by the end of 2001.[^677] At
year end 1999, Teligent's customer base had grown to more than 15,000,
up more than 12 fold from the 1,176 customers installed at the end of
1998.[^678] In the fourth quarter of 1999, Teligent installed nearly
90,000 lines, [^679] bringing its total installed lines to
166,000.[^680] Teligent has access to more than 7,500 buildings through
leases and options, and 2,500 of those are "on-net"(*i.e.*, have been
connected to Teligent's network).[^681] Of the 2500 on-net, 1000 had
fixed wireless installations.[^682]

In February 2000, Teligent and wireline CLEC ICG Communications, Inc.
("ICG") announced a swap stock valued at \$81 million. According to a
Teligent spokesperson, the agreement provided an opportunity for the
companies to examine the synergies between wireline and wireless
operations, with ICG having the ability to provide Teligent with
wireline network capacity for backhaul operations and wiring
buildings.[^683]

*[WinStar]{.underline}*. WinStar uses its 28 GHz and 39 GHz licenses to
provide a package of WLL services, which it collectively calls "Wireless
Fiber." WinStar sells local, long distance, high-speed data, Internet
access, and information services to business customers and resells its
networks to other telecommunications carriers using both its wireless
and extensive fiber networks.[^684] WinStar offers customers speeds up
to 155 Mbps using its wireless spectrum.[^685] WinStar's wireless
network expanded to 60 domestic markets in 1999, up from 30 at the end
of 1998.[^686] WinStar finished the year with 23,000 "Core Customers,"
618,000 access lines, and access rights to more than 8,000
buildings.[^687] Over 34 percent of those lines are "on-net."[^688] For
lines added in the fourth quarter, 57 percent were on-net.[^689] In
February 2000, WinStar sold its 12 percent stake in ART.[^690]

WinStar won the most licenses (931) in the 39 GHz auction and spent the
most money, \$161 million, almost 40 percent of the total.[^691]

*[Nextlink]{.underline}*. Nextlink is an LMDS licensee and CLEC
currently operating 32 facilities-based networks providing local and
long distance services in 49 markets across the United States.[^692] In
1999, Nextlink expanded its LMDS holdings by buying out Nextel\'s
interest in jointly-held Nextband Communications, LLC ("Nextband")[^693]
and by acquiring WNP Communications, Inc. ("WNP").[^694] The company
plans to use the spectrum as a complement to its fiber networks.[^695]
In December 1999, Nextlink completed its first generation broadband
wireless field tests and announced the availability of wireless
commercial services to a limited group of customers in Los Angeles, CA
and Dallas, TX.[^696] In July 2000, Nextlink announcing that commercial
broadband service was now available in Chicago, Philadelphia, Newark,
Los Angeles and Dallas.[^697] The company plans to have service
available in Boston, St. Louis, Washington D.C., San Francisco,
Cleveland, Sacramento, Seattle and Memphis by the end of the third
quarter 2000 and fully expects to reach its goal of serving 25 markets
via broadband wireless by year-end.[^698]

In June 1999, Nextlink agreed to purchase two million shares of
SPEEDUS.COM, Inc. ("SPEEDUS.COM") and to pay \$20 million for 150 MHz of
its LMDS spectrum in New York City.[^699] SPEEDUS.COM, the first
operational LMDS provider,[^700] offers high-speed Internet access, up
to 48 Mbps downstream, to business and residential users in Manhattan,
Brooklyn, and Queens, NY. In November 1999, Nextlink also bought a 15
percent stake in LMDS license holder HighSpeed.Com L.L.C.
("HighSpeed.Com") and 300 MHz of HighSpeed.Com's LMDS spectrum in
Denver, CO for \$18.7 million.[^701]

*[Touch America]{.underline}*. Touch America is the wholly owned
telecommunications subsidiary of Montana Power Company, and provides
both wireline and wireless voice and data services to other carriers, as
well as directly to its own customers. In 1998, Touch America acquired
24 LMDS licenses that cover significant portions of the inland Pacific
Northwest, northern and central Rocky Mountain regions and the northern
Plains states. In February 1999, Touch America announced that it would
build a high-speed broadband wireless telecommunications network
directly linking large data customers in 30 cities to Touch America's
fiber optic network.[^702]

By late 1999, Touch America had successfully tested its high-speed LMDS
network in Billings and Butte, MT and had launched commercial operation
in both cities.[^703] Touch America offers voice and data services on
its LMDS network with speeds up to 10 Mbps, and is targeting the service
at business and government customers. Major customers include the
Billings and Butte public school districts. Touch America anticipates
spending \$15 million to build its initial LMDS footprint in 25
cities.[^704]

In March 2000, Montana Power announced that it would divest its energy
businesses and focus exclusively on telecommunications.[^705] In June
2000, Touch America completed the acquisition of Qwest Communication's
long-distance business in the 14-state territory of US WEST.[^706]

*[HighSpeed.Com]{.underline}*. Privately-held Highspeed.Com was the
successful bidder on 28 LMDS licenses in the western United States. The
licenses, covering 12 million Pops, include much of the states of
Washington, Oregon, Idaho, Hawaii, Colorado and Nevada as well as a
large part of the Central Valley of California.[^707] HighSpeed.Com has
begun offering service using its LMDS licenses in Walla Walla, WA; Bend,
OR; Bakersfield, CA and Boise, ID.[^708]

*[ART]{.underline}*. ART holds over 350 39 GHz licenses. These licenses
cover 210 U.S. markets, with a population of over 186 million, allowing
the company to provide between 100 and 500 MHz of transmission capacity
in 90 of the top 100 U.S. markets.[^709] First a "wholesale carriers\'
carrier," then an ISP to "end-user customers,"[^710] ART has since
modified its business strategy to provide "high speed broadband IP
services to businesses."[^711] ART provides access for businesses to its
wide area network at 10 Mbps and 100 Mbps speeds.[^712] The company also
provides 155 Mbps speeds for data center and other high capacity
bandwidth applications.[^713]

In September 1999, ART began offering "100 Mbps Internet access service"
to businesses in the San Jose area.[^714] Since then, ART has launched
networks in Los Angeles, Washington, D.C., Houston, Seattle, and
Phoenix, and plans to deploy service in Boston, Dallas, New York, and
San Diego by the end of 2000.[^715] ART has plans to rollout a total of
40 markets over the next few years.[^716]

ART has signed a number of master leases and individual building license
agreements that give the company access to more than 4,400 commercial
buildings in the United States.[^717] In June 1999, Qwest Communications
International Inc. ("Qwest") purchased a 19 percent stake in ART. Qwest
plans to use ART's broadband metropolitan networks as part of its local
broadband access strategy to extend its high-speed Internet network to
the end user.[^718]

In March 2000, ART entered into a binding letter of intent to acquire
366 39 GHz licenses from Broadstream Communications Corporation and its
affiliates ("Broadstream") and also entered into agreements to acquire
all 14 of the 39 GHz licenses of Bachow Communications Incorporated
("Bachow").[^719]

*[AT&T]{.underline}*. AT&T has 39 GHz licenses in 156 geographic areas
covering a total population of approximately 220 million, including more
than 80 of the largest 100 metropolitan markets.[^720] AT&T obtained the
licenses through its acquisition of Teleport Communications Group, Inc.
("TCG"), completed in July 1998.[^721] AT&T has released little public
information concerning how the company is currently using its
licenses,[^722] and how, or if, it plans to use them for its fixed
wireless system.[^723] AT&T also owns 22 LMDS licenses that it obtained
through the acquisition of Vanguard Cellular Systems, Inc., in May
1999.[^724]

#### Technology

All wireless services that operate above 10 GHz face significant signal
losses from atmospheric gasses, most notably from precipitation (*i.e.*,
rain, snow, fog). However, by adjusting factors such as cell size and
transmission power, the networks can be engineered to the standard level
of reliability in telecommunications network, 99.999 percent.[^725]
Because of this atmospheric degradation, the range of individual
transmitters above 10 MHz is limited compared to wireless systems at
lower frequencies. The maximum range most often cited by operators is
approximately 3 to 5 miles. Moreover, since they behave much more like
visible light than cellular or PCS signals when obstacles such as
terrain, buildings, and vegetation are encountered, upperband signals
also require a clear line-of-sight between transmitters and receivers.

Upperband operators currently use a mix of point-to-point (PTP) and
point-to-multipoint (PTMP) transmission technologies to link their
customers to their central hubs. In a PTP network, at the hub, there is
a single transmitting dish for each building or customer on the network.
In a PTMP network, multiple buildings or customers can be serviced by a
single special transmitter at the hub.

PTMP has a number of advantages over PTP.[^726] PTMP allows for the cost
of the hub site antenna to be allocated over numerous customer building
sites, rather than just one, and reduces the capital expenditures
necessary to bring service to a particular building.[^727] In addition,
the use of PTMP allows fixed wireless operators to allocate and share
network capacity on an as-needed basis and supply customers with
bandwidth-on-demand to address their dynamic capacity needs.[^728]

The incumbent 39 GHz licensees, which were the first to be operating in
the upperband, have traditionally used PTP systems, but are currently
beginning to test and deploy PTMP systems as well. WinStar, for example,
deployed PTMP technologies in six U.S. markets in 1999, with plans
further deployment throughout 2000.[^729] The company is integrating
Siemens/P-Com and Hughes PMP equipment into its network.[^730] Other
operators are trying to implement PTMP. Nextlink has had success with
its PTMP technical trials, but believes that equipment costs may be too
high at present to justify a significant deployment of PTMP equipment
until more cost-effective, 2^nd^ generation equipment becomes
commercially available over the next 12 months.[^731] Nextlink expects
to be using PTMP commercially by early 2001.[^732] The company with the
most extensive PTMP network is probably Teligent, with 25 percent of its
fixed wireless traffic transmitted using PTMP.[^733]

Table E-1: MMDS Internet Access Offerings

+-----------------+-----------------+-----------------+-----------------+
| **Company**     | **Location**    | **Direction**   | **Maximum       |
|                 |                 |                 | Downstream      |
|                 |                 |                 | Speed**         |
+-----------------+-----------------+-----------------+-----------------+
| Alaska Wireless | Fairbanks, AK   | Two-way         | N/A             |
| Cable           |                 |                 |                 |
+-----------------+-----------------+-----------------+-----------------+
| Cache Valley    | Cache Valley,   | Two-way         | 5 Mbps          |
| AIRNET          | UT              |                 |                 |
+-----------------+-----------------+-----------------+-----------------+
| IJNT.net, Inc.  | Salt Lake City, | One-way         | 10 Mbps         |
|                 | UT              |                 |                 |
|                 |                 |                 |                 |
|                 | Beaumont, TX    |                 |                 |
+-----------------+-----------------+-----------------+-----------------+
| Nucentrix       | Austin, TX      | Two-way         | 1.54 Mbps       |
| Broadband       |                 |                 |                 |
| Networks, Inc.  | Sherman, TX     |                 |                 |
+-----------------+-----------------+-----------------+-----------------+
| Sioux Valley    | Sioux Falls, SD | Two-way         | 4 Mbps          |
| Wireless        |                 |                 |                 |
+-----------------+-----------------+-----------------+-----------------+
| SkyLynx         | Fresno, CA      | Two-way (in     | 11 Mbps         |
| Communications  |                 | conjunction     |                 |
|                 | Sarasota, FL    | with            |                 |
|                 |                 | unlicensed)     |                 |
+-----------------+-----------------+-----------------+-----------------+
| Sprint          | Phoenix, AZ     | Two-way         | 2 Mbps          |
+-----------------+-----------------+-----------------+-----------------+
|                 | Detroit, MI     | Two-way (trial) | 2 Mbps          |
|                 |                 |                 |                 |
|                 | San Francisco,  |                 |                 |
|                 | CA              |                 |                 |
+-----------------+-----------------+-----------------+-----------------+
| U.S.            | Houston, TX     | One-way         | 10 Mbps         |
| Interactive dba |                 |                 |                 |
| AccelerNet      |                 |                 |                 |
+-----------------+-----------------+-----------------+-----------------+
| Wireless First  | Traverse City,  | Two-way         | N/A             |
|                 | MI              |                 |                 |
+-----------------+-----------------+-----------------+-----------------+
| WorldCom        | Baton Rouge, LA | Two-way (trial) | 310 kbps        |
|                 |                 |                 | (residential)   |
|                 | Jackson, MI     |                 |                 |
|                 |                 |                 | 8 Mbps          |
|                 | Memphis, TN     |                 | (business)      |
+-----------------+-----------------+-----------------+-----------------+

Table E-2: LMDS Launches

  ----------------- ------------------- ------------------ ------------------
  **Carrier**       **Service           **Equipment        **Type of
                    Location**          Vendor**           Service**

  NextLink          Dallas, Los Angeles Ericsson           Launched
                                        (Mini-Link Broad   commercial service
                                        Access system),    after field tests
                                        SpectraPoint       
                                        Wireless,          
                                        Wavetrace, Digital 
                                        Microwave          

  Winstar           Holds 9 LMDS        Wavetrace          LMDS service
                    A-block licenses,                      rollout scheduled
                    including the San                      for 2000.
                    Francisco-Oakland                      
                    BTA                                    

  South Central     Medicine Lodge, KS  Newbridge Networks Telemedicine,
  Telecom                                                  distance learning,
                                                           and leased line
                                                           services

  Formus            Denver              Wavetrace          Testing LMDS
  Communications                                           equipment for
                                                           deployment in
                                                           Europe, Latin
                                                           America, New
                                                           Zealand

  Virginia Tech     Blacksburg,VA       Wavetrace          Acquired 4 LMDS
  University                                               licenses at
                                                           auction. Use LMDS
                                                           to provide two-way
                                                           high-speed data,
                                                           voice, and video
                                                           from an on-campus
                                                           to three
                                                           off-campus office
                                                           buildings

  Touch America     Billings, Butte, MT Nortel Networks    Full voice and
  (telecom                                                 data service to
  subsidiary of                                            business and
  Montana Power)                                           government

  SpeedUS.com       New York metro      SpeedUS.com        Facilities-based
  (formerly                             developed its LMDS high-speed
  CellularVision)                       network from       Internet service
                                        CellularVision's   
                                        patented           
                                        technology         

  Central Texas     San Angelo,         Newbridge Networks LMDS system is
  Communications    Brownwood,                             functioning, but
                    Goldthwaite, TX                        has no customers.
                                                           Scheduled to
                                                           launch service by
                                                           year-end 2000

  PVT Networks,     Artesia, N.M.                          Testing LMDS.
  subsidiary of                                            Scheduled to
  Penasco Valley                                           launch commercial
  Telephone                                                service by end of
                                                           second quarter
                                                           2000

  US Unwired        Lake Charles, LA    SpectraPoint       LMDS voice and
                                        Wireless           data trials

  Liberty Cellular  Salinas, KS                            Trial service
                                                           started in
                                                           mid-1999.

  Home Telephone,   Charleston, SC      Newbridge Networks LMDS trials
  Inc.                                                     

  HighSpeed.Com     Walla Walla, WA     Spectrapoint       CLEC voice and
                                        Wireless           data

  Prime             New Castle, PA      Alcatel USA        Market test

  Frazier/King      Irving, TX          Spectrapoint       LMDS demonstration
  Media                                 Wireless           to deliver voice,
                                                           data, and video
                                                           services to
                                                           residences and
                                                           businesses
  ----------------- ------------------- ------------------ ------------------

Source: Rulemaking to Amend Parts 1, 2, 21, and 25 of the Commission's
Rules to Redesignate the 27.5-29.5 GHz Frequency Band, to Reallocate the
29.5-30.0 GHz Frequency Band, to Establish Rules and Policies for Local
Multipoint Distribution Serviceand for Fixed Satellite Services, *Third
Report and Order and Memorandum Opinion and Order*, FCC 00-223, Appendix
B, released June 27, 2000.

**APPENDIX F:**

**MAPS**

**[Table of Contents]{.underline}**

Map 1: Mobile Telephone Operator Coverage Estimated by County F-2

Map 2: Estimated Combined Coverage CDMA Technology on Broadband PCS and
Cellular Networks F-3

Map 3: Estimated Combined Coverage TDMA Technology on Broadband PCS and
Cellular Networks F-4

Map 4: Estimated Counties with GSM-Based Coverage F-5

Map 5: Estimated Counties with iDEN-Based Coverage F-6

Map 6: Broadband PCS Service Rollouts F-7

Map 7: Cities with Internet Access via Unlicensed Spectrum F-8

Map 8: Teligent License Areas and Rollout Status . F-9

Map 9: Nextlink Upperband Licenses and Rollout Status F-10

Map 10: Winstar's Upperband Licenses and Rollout Status F-11

Map 11: Advanced Radio Telecom's Upperband Licenses and Rollout Status
F-12

Map 12: AT&T's Upperband and WCS Licenses and Rollout Status F-13

**Map 1**

![](media/image3.png){width="7.197916666666667in"
height="9.205555555555556in"}

**Map 2**

![](media/image4.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 3**

![](media/image5.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 4**

![](media/image6.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 5**

![](media/image7.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 6**

![](media/image8.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 7**

![](media/image9.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 8**

![](media/image10.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 9**

![](media/image11.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 10**

![](media/image12.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 11**

![](media/image13.jpeg){width="6.49375in" height="8.403472222222222in"}

**Map 12**

![](media/image14.jpeg){width="6.49375in" height="8.403472222222222in"}

**APPENDIX G:**

**CELLULAR LICENSE OWNERSHIP**

Below are the cellular licenses owned by a selection of mobile telephone
operators. This information was gathered from either public sources,
such as filings with the Securities and

Exchange Commission and operators' Web sites, or through contacts with
the operators themselves. Some of this information may no longer be
accurate due to mergers, acquisitions, and exchanges, some of which are
noted. When available, the following information is provided for each
license:

**MSA/RSA Name**: The market name for a license.

**MSA/RSA Number**: The market's number. Markets 1 through 306 are
Metropolitan

Statistical Areas ("MSAs"). Markets 308 through 724 are Rural Service
Areas ("RSAs").

Market 307 is for the Gulf of Mexico.

**Frequency Block**: For each market, there are two 25 MHz licenses.
They are referred to as

A block (or non-wireline) and B block (or wireline).

**Submarket**: For various reasons, the licenses for some markets have
been further subdivided

(referred to as either Submarkets 1, 2, 3, etc. or A, B, C, etc).

**As of Date**: The date on which a license was owned by an operator.
Unless the operator provided a specific "as of date," the date was
assumed to be: the period for which a filing was made with the
Securities and Exchange Commission, the date a World Wide Web site was
visited, the date a list was provided by an operator, or the date an
acquisition or exchange was completed.

**% Owned**: Percentage of license the operator claimed to control.

**POPs**: The population covered by license as reported by the operator
based on 1998 POPs. Even in the cases where an RSA has been partitioned
into submarkets, the population of the entire RSA is listed.

**Net POPs**: Equals POPs multiplied by the percentage ownership.

**ALLTEL**

  -------------------------------------- --------- ------- -------- ----------- ---------- ----------- -----------
  MSA/RSA Name                           MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs   Net POPs
                                         Number    Block   Market                                      

  Chicago, IL                            3         B       1        5.0000%     12/31/98   7,766,679   388,334

  Houston, TX                            10        B       1        11.1100%    12/31/98   4,138,280   459,763

  St. Louis, MO-IL                       11        B       1        2.0000%     12/31/98   2,481,272   49,625

  Cleveland, OH                          16        B       1        100.0000%   4/3/00     1,837,282   1,837,282

  Tampa-St. Petersburg, FL               22        B       1        100.0000%   4/3/00     2,129,332   2,129,332

  Cincinnati, OH-KY-IN                   23        B       1        1.2016%     12/31/98   1,530,386   18,389

  Kansas City, MO-KS                     24        B       1        19.0000%    12/31/98   1,587,406   301,607

  Phoenix, AZ                            26        A       1        100.0000%   4/3/00     2,784,075   2,784,075

  Columbus, OH                           31        B       1        1.2016%     12/31/98   1,332,708   16,014

  Hartford-New Britain-Bristol, CT       32        B       1        0.1485%     12/31/98   1,110,065   1,648

  Dayton, OH                             40        B       1        1.2016%     12/31/98   846,407     10,170

  Bridgeport-Stamford-Norwalk-Danbury,   42        B       1        0.1485%     12/31/98   838,362     1,245
  CT                                                                                                   

  Norfolk-Virginia Beach-Portsmouth,     43        A       1        100.0000%   12/31/98   1,026,706   1,026,706
  VA/NC                                                                                                

  Greensboro-Winston-Salem-High Point,   47        B       1        80.5817%    12/31/98   1,016,137   818,820
  NC                                                                                                   

  Toledo, OH-MI                          48        B       1        85.1000%    12/31/98   794,417     676,049

  New Haven-West                         49        B       1        0.1485%     12/31/98   793,504     1,178
  Haven-Waterbury-Meriden, CT                                                                          

  Akron, OH                              52        B       1        100.0000%   4/3/00     688,952     688,952

  Gary-Hammond-East Chicago, IN          54        B       1        5.0000%     12/31/98   624,049     31,202

  Richmond, VA                           59        A       1        50.0620%    1/1/99     828,032     414,529

  Charlotte-Gastonia, NC                 61        B       1        100.0000%   12/31/98   925,112     925,112

  New Brunswick-Perth Amboy-Sayreville,  62        B       1        10.0000%    12/31/98   716,176     71,618
  NJ                                                                                                   

  Springfield-Chicopee-Holyoke, MA       63        B       1        0.1485%     12/31/98   588,993     875

  Omaha, NE-IA                           65        B       1        100.0000%   1/1/99     650,753     650,753

  Youngstown-Warren, OH                  66        B       1        96.8630%    12/31/98   480,231     465,166

  Greenville-Spartanburg, SC             67        B       1        100.0000%   4/3/00     708,390     708,390

  Long Branch-Asbury Park, NJ            70        B       1        10.0000%    12/31/98   603,434     60,343

  Raleigh-Durham, NC                     71        B       1        92.0228%    12/31/98   883,142     812,692

  Austin, TX                             75        B       1        0.8200%     12/31/98   1,023,072   8,389

  Tuscon, AZ                             77        A       1        100.0000%   4/3/00     790,755     790,755

  El Paso, TX                            81        A       1        100.0000%   4/3/00     703,127     703,127

  Mobile, AL                             83        B       1        100.0000%   4/3/00     532,257     532,257

  Johnson City-Kingsport-Bristol, TN-VA  85        B       1        100.0000%   12/31/98   462,345     462,345

  Albuquerque, NM                        86        A       1        100.0000%   4/3/00     614,007     614,007

  Canton, OH                             87        B       1        100.0000%   4/3/00     402,207     402,207

  Chattanooga, TN-GA                     88        B       1        8.1200%     12/31/98   460,650     37,405

  Wichita, KS                            89        B       1        40.0000%    12/31/98   509,982     203,993

  Charleston-North Charleston, SC        90        B       1        75.0000%    12/31/98   541,159     405,869

  Little Rock-North Little Rock, AR      92        B       1        64.0000%    12/31/98   556,295     356,029

  Columbia, SC                           95        B       1        53.6000%    12/31/98   512,316     274,601

  Beaumont-Port Arthur, TX               101       B       1        11.1100%    12/31/98   375,564     41,725

  Newport News-Hampton, VA               104       A       1        100.0000%   12/31/98   477,112     477,112

  Jackson, MS                            106       B       1        26.7460%    12/31/98   429,614     114,905

  Augusta, GA/SC                         108       B       1        100.0000%   12/31/98   438,268     438,268

  Huntington-Ashland, WV/KY/OH           110       B       1        100.0000%   12/31/98   313,922     313,922

  Lakeland-Winter Haven, FL              114       B       1        100.0000%   4/3/00     452,584     452,584

  Reading, PA                            118       B       1        10.0000%    12/31/98   355,956     35,596

  Pensacola, FL                          127       B       1        100.0000%   4/3/00     399,625     399,625

  Lorain-Elyria, OH                      136       B       1        100.0000%   4/3/00     282,149     282,149

  Melbourne-Titusville-Palm Bay, FL      137       B       1        25.0000%    12/31/98   466,093     116,523

  Montgomery, AL                         139       B       1        100.0000%   12/31/98   321,781     321,781

  Charleston, WV                         140       B       1        100.0000%   12/31/98   253,175     253,175

  Daytona Beach, FL                      146       B       1        25.0000%    12/31/98   423,409     105,852

  Fayetteville, NC                       149       B       1        92.0228%    12/31/98   284,629     261,924

  New London-Norwich, CT                 154       B       1        0.1485%     12/31/98   245,740     365

  Savannah, GA                           155       B       1        100.0000%   12/31/98   285,508     285,508

  Lima, OH                               158       B       1        85.1000%    12/31/98   219,697     186,962

  Killeen-Temple, TX                     160       B       1        100.0000%   12/31/98   301,449     301,449

  Springfield, MO                        163       B       1        100.0000%   12/31/98   275,755     275,755

  Fort Myers, FL Counties - Lee          164       B       1        100.0000%   4/3/00     392,895     392,895

  Fort Smith, AK-OK                      165       B       1        100.0000%   12/31/98   240,609     240,609

  Hickory, NC                            166       B       1        100.0000%   12/31/98   246,512     246,512

  Sarasota, FL                           167       B       1        100.0000%   4/3/00     303,400     303,400

  Tallahassee, FL                        168       B       1        100.0000%   12/31/98   279,673     279,673

  Galveston-Texas City, TX               170       B       1        11.1100%    12/31/98   245,556     27,281

  Lincoln, NE                            172       B       1        100.0000%   12/31/98   235,589     235,589

  Wheeling, WV-OH                        178       B       1        100.0000%   12/31/98   152,903     152,903

  Fayetteville-Springdale, AK            182       B       1        89.9000%    12/31/98   272,616     245,082

  Gainesville, FL                        192       B       1        100.0000%   12/31/98   223,439     223,439

  Waco, TX                               194       B       1        100.0000%   12/31/98   203,446     203,446

  Steubenville-Weirton, OH-WV            199       B       1        100.0000%   12/31/98   134,535     134,535

  Parkersburg-Marietta, OH-WV            200       B       1        100.0000%   12/31/98   155,850     155,850

  Lynchburg, VA                          203       B       1        100.0000%   12/31/98   158,984     158,984

  Longview-Marshall, TX                  206       B       1        60.0000%    12/31/98   173,103     103,862

  Bradenton, FL                          211       B       1        100.0000%   4/3/00     239,682     239,682

  Wilmington, NC                         218       B       1        100.0000%   12/31/98   218,248     218,248

  Anderson, SC                           227       B       1        100.0000%   4/3/00     160,791     160,791

  Mansfield, OH                          231       B       1        100.0000%   12/31/98   127,342     127,342

  Petersburg-Colonial Heights-Hopewell,  235       A       1        79.0783%    12/31/98   129,000     102,011
  VA                                                                                                   

  Tyler, TX                              237       B       1        60.0000%    12/31/98   168,783     101,270

  Ocala, FL                              245       B       1        100.0000%   12/31/98   241,513     241,513

  Dothan, AL                             246       B       1        100.0000%   4/1/99     134,749     134,749

  Charlottesville, VA                    256       B       1        100.0000%   12/31/98   149,190     149,190

  Jacksonville, NC                       258       B       1        100.0000%   12/31/98   142,358     142,358

  Albany, GA                             261       B       1        100.0000%   12/31/98   118,076     118,076

  Danville, VA                           262       B       1        100.0000%   12/31/98   108,252     108,252

  Florence, SC                           264       B       1        53.6000%    12/31/98   124,904     66,949

  Fort Walton Beach, FL                  265       B       1        100.0000%   12/31/98   169,289     169,289

  Kankakee, IL                           273       B       1        5.0000%     12/31/98   102,107     5,105

  St. Joseph, MO                         275       B       1        49.0000%    12/31/98   97,338      47,696

  Burlington, NC                         280       B       1        92.0228%    12/31/98   119,397     109,872

  Panama City, FL                        283       B       1        100.0000%   12/31/98   146,999     146,999

  Las Cruces, NM                         285       A       1        76.3000%    4/3/00     169,165     129,073

  Lawrence, KS                           301       B       1        19.0000%    12/31/98   93,137      17,696

  Aurora-Elgin, IL                       303       B       1        5.0000%     12/31/98   51,817      2,591

  Joliet, IL                             304       B       1        5.0000%     12/31/98   36,686      1,834

  Alabama 4 -- Bibb                      310       B       1        100.0000%   12/31/98   141,731     141,731

  Alabama 5 -- Cleburne                  311       B       2        100.0000%   12/31/98   213,811     213,811

  Alabama 6 -- Washington                312       B       1        100.0000%   12/31/98   120,857     120,857

  Alabama 7 -- Butler                    313       B       1        100.0000%   12/31/98   168,759     168,759

  Alabama 8 -- Lee                       314       B       1        100.0000%   12/31/98   177,437     177,437

  Arizona 2 -- Coconino                  319       A       1        100.0000%   4/3/00     262,682     262,682

  Arizona 5 -- Gila                      322       A       1        100.0000%   4/3/00     195,903     195,903

  Arkansas 1 -- Madison                  324       B       1        51.0000%    12/31/98   75,810      38,663

  Arkansas 1 -- Madison                  324       B       2        51.0000%    12/31/98   75,810      38,663

  Arkansas 2 -- Marion                   325       B       2        51.0000%    12/31/98   94,229      48,057

  Arkansas 4 -- Clay                     327       B       1        55.4500%    12/31/98   206,300     114,393

  Arkansas 5 -- Cross                    328       B       1        55.4500%    12/31/98   118,482     65,698

  Arkansas 6 -- Cleburne                 329       B       1        55.4500%    12/31/98   105,747     58,637

  Arkansas 7 -- Pope                     330       B       1        55.4500%    12/31/98   116,279     64,477

  Arkansas 8 -- Franklin                 331       B       1        51.0000%    12/31/98   70,194      35,799

  Arkansas 9 -- Polk                     332       B       1        100.0000%   12/31/98   67,256      67,256

  Arkansas 10 -- Garland                 333       B       1        55.4500%    12/31/98   159,901     88,665

  California 2 -- Modoc                  337       B       1        25.0000%    12/31/98   63,053      15,763

  Colorado 6 - San Miguel                353       A       1        100.0000%   3/31/99    74,717      74,717

  Connecticut 1 -- Litchfield            357       B       1        0.1485%     12/31/98   181,277     269

  Connecticut 2 -- Windham               358       B       1        0.1485%     12/31/98   105,121     156

  Florida 1 -- Collier                   360       B       1        61.6000%    4/3/00     228,793     140,936

  Florida 2 -- Glades                    361       B       1        100.0000%   4/3/00     214,011     214,011

  Florida 3 -- Hardee                    362       B       1        100.0000%   4/3/00     180,765     180,765

  Florida 4 -- Citrus                    363       B       1        100.0000%   4/3/00     483,928     483,928

  Florida 4 -- Citrus                    363       B       2        25.0000%    12/31/98   483,928     120,982

  Florida 4 -- Citrus                    363       B       3        100.0000%   12/31/98   483,928     483,928

  Florida 5 -- Putnam                    364       B       1        25.0000%    12/31/98   117,874     29,469

  Florida 5 -- Putnam                    364       B       2        100.0000%   12/31/98   117,874     117,874

  Florida 6 -- Dixie                     365       B       1        100.0000%   12/31/98   58,546      58,546

  Florida 7 -- Hamilton                  366       B       1        100.0000%   12/31/98   110,695     110,695

  Florida 8 -- Jefferson                 367       B       1        100.0000%   12/31/98   55,778      55,778

  Florida 8 -- Jefferson                 367       B       2        100.0000%   12/31/98   55,778      55,778

  Florida 9 -- Calhoun                   368       B       1        51.0000%    12/31/98   42,734      21,794

  Florida 10 -- Walton                   369       B       1        100.0000%   12/31/98   121,984     121,984

  Florida 11 -- Monroe                   370       B       2        100.0000%   4/3/00     81,203      81,203

  Georgia 1 -- Whitfield                 371       B       1        25.5400%    12/31/98   237,794     60,733

  Georgia 2 -- Dawson                    372       B       1        38.7000%    12/31/98   313,406     121,288

  Georgia 2 -- Dawson                    372       B       2        35.0000%    12/31/98   313,406     109,692

  Georgia 4 -- Jasper                    374       B       3        35.0000%    12/31/98   129,794     45,428

  Georgia 7 -- Hancock                   377       B       2        100.0000%   12/31/98   134,061     134,061

  Georgia 8 -- Warren                    378       B       1        33.3300%    12/31/98   158,788     52,924

  Georgia 9 -- Marion                    379       B       2        100.0000%              118,965     118,965

  Georgia 9 -- Marion                    379       B       3        100.0000%   12/31/98   118,965     118,965

  Georgia 10 -- Bleckley                 380       B       1        100.0000%   12/31/98   151,920     151,920

  Georgia 10 -- Bleckley                 380       B       2        100.0000%              151,920     151,920

  Georgia 11 -- Toombs                   381       B       1        100.0000%   12/31/98   155,791     155,791

  Georgia 12 -- Liberty                  382       B       1        41.6660%    12/31/98   217,965     90,817

  Georgia 13 -- Early                    383       B                100.0000%   12/31/98   149,785     149,785

  Georgia 14 -- Worth                    384       B       1        100.0000%              255,094     255,094

  Illinois 2 -- Bureau                   395       B       2        40.0000%    12/31/98   255,746     102,298

  Iowa 1 -- Mills                        412       B       1                               62,907      

  Iowa 1 -- Mills                        412       B       1        9.2000%     12/31/98   62,907      5,787

  Iowa 14 -- Kossuth                     425       B       1        5.5600%     12/31/98   106,514     5,922

  Iowa 15 -- Dickinson                   426       B       1        6.6700%     12/31/98   82,903      5,530

  Iowa 16 -- Lyon                        427       B       1        8.3300%     12/31/98   103,198     8,596

  Kansas 1 -- Cheyenne                   428       B       1        3.0700%     9/1/99     27,044      830

  Kansas 2 -- Norton                     429       B       1        3.0700%     9/1/99     29,996      921

  Kansas 3 -- Jewell                     430       B       1        3.0700%     9/1/99     51,813      1,591

  Kansas 4 -- Marshall                   431       B       1        3.0700%     9/1/99     128,814     3,955

  Kansas 5 -- Brown                      432       B       1        3.0700%     9/1/99     119,263     3,661

  Kansas 6 -- Wallace                    433       B       1        3.0700%     9/1/99     19,472      598

  Kansas 7 -- Trego                      434       B       1        3.0700%     9/1/99     79,248      2,433

  Kansas 8 -- Ellsworth                  435       B       1        3.0700%     9/1/99     130,227     3,998

  Kansas 9 -- Morris                     436       B       1        3.0700%     9/1/99     57,829      1,775

  Kansas 10 -- Franklin                  437       B       1        3.0700%     9/1/99     111,078     3,410

  Kansas 11 -- Hamilton                  438       B       1        3.0700%     9/1/99     86,082      2,643

  Kansas 12 -- Hodgeman                  439       B       1        3.0700%     9/1/99     43,971      1,350

  Kansas 13 -- Edwards                   440       B       1        3.0700%     9/1/99     28,836      885

  Kansas 14 -- Reno                      441       B       1        3.0700%     9/1/99     175,907     5,400

  Kansas 15 -- Elk                       442       A       1        3.0700%     9/1/99     153,720     4,719

  Massachusetts 1 - Franklin             470       B       1        0.1485%     12/31/98   70,597      105

  Mississippi 3 -- Bolivar               495       B       2        26.7460%    12/31/98   158,256     42,327

  Mississippi 4 -- Yalobusha             496       B       2        26.7460%    12/31/98   127,528     34,109

  Mississippi 5 -- Washington            497       B       2        26.7460%    12/31/98   159,801     42,740

  Mississippi 6 -- Montgomery            498       B       1        26.7460%    12/31/98   183,013     48,949

  Mississippi 7 -- Leake                 499       B       1        26.7460%    12/31/98   180,260     48,212

  Mississippi 8 -- Claiborne             500       B       2        26.7460%    12/31/98   155,250     41,523

  Mississippi 9 -- Copiah                501       B       1        26.7460%    12/31/98   121,950     32,617

  Mississippi 10 -- Smith                502       B       2        26.7460%    12/31/98   152,830     40,876

  Missouri 1 -- Atchison                 504       B       1        31.2200%    12/31/98   42,563      13,288

  Missouri 2 -- Harrison                 505       B       1        50.0000%    12/31/98   34,620      17,310

  Missouri 3 -- Schuyler                 506       B       1        100.0000%   12/31/98   55,564      55,564

  Missouri 4 - De Kalb                   507       B       1        47.5000%    12/31/98   71,247      33,842

  Missouri 8 -- Callaway                 511       B       1        30.0000%    12/31/98   110,667     33,200

  Missouri 9 -- Bates                    512       B       1        19.6000%    12/31/98   78,733      15,432

  Missouri 9 -- Bates                    512       B       2        100.0000%   12/31/98   78,733      78,733

  Missouri 10 -- Benton                  513       B       1        100.0000%   12/31/98   100,384     100,384

  Missouri 13 -- Washington              516       B       1        2.0000%     12/31/98   95,986      1,920

  Missouri 14 -- Barton                  517       B       1        85.7000%    12/31/98   106,099     90,927

  Missouri 15 -- Stone                   518       B       1        71.0000%    12/31/98   119,406     84,778

  Missouri 16 -- Laclede                 519       B       1        100.0000%   12/31/98   102,072     102,072

  Missouri 18 -- Perry                   521       B       1        2.0000%     12/31/98   119,777     2,396

  Missouri 19 -- Stoddard                522       B       1        2.0000%     12/31/98   198,427     3,969

  Nebraska 1 -- Sioux                    533       B       1        100.0000%   12/31/98   89,918      89,918

  Nebraska 2 -- Cherry                   534       B       1        100.0000%   12/31/98   30,165      30,165

  Nebraska 3 -- Knox                     535       B       1        100.0000%   12/31/98   115,633     115,633

  Nebraska 4 -- Grant                    536       B       1        100.0000%   12/31/98   34,745      34,745

  Nebraska 5 -- Boone                    537       B       1        100.0000%   12/31/98   147,531     147,531

  Nebraska 6 -- Keith                    538       B       1        100.0000%   12/31/98   109,130     109,130

  Nebraska 7 -- Hall                     539       B       1        100.0000%   12/31/98   92,133      92,133

  Nebraska 8 -- Chase                    540       B       1        100.0000%   12/31/98   57,347      57,347

  Nebraska 9 -- Adams                    541       B       1        100.0000%   12/31/98   80,406      80,406

  Nebraska 10 -- Cass                    542       B       1        100.0000%   12/31/98   86,751      86,751

  New Mexico 1 -- San Juan               553       A       1        100.0000%   12/31/98   264,430     264,430

  New Mexico 2 -- Colfax                 554       A       1        100.0000%   12/31/98   23,342      23,342

  New Mexico 4 -- Santa Fe               556       A       1        100.0000%   12/31/98   266,097     266,097

  New Mexico 5 -- Grant                  557       A       1        100.0000%   12/31/98   61,892      61,892

  North Carolina 2 -- Yancey             566       B       2        100.0000%   12/31/98   164,241     164,241

  North Carolina 4 -- Henderson          568       B       2        50.0000%    12/31/98   349,393     174,697

  North Carolina 4 -- Henderson          568       B       3        100.0000%   12/31/98   349,393     349,393

  North Carolina 5 -- Anson              569       B       1        50.0000%    12/31/98   130,457     65,229

  North Carolina 5 -- Anson              569       B       2        100.0000%   12/31/98   130,457     130,457

  North Carolina 6 -- Chatham            570       B       1        100.0000%   12/31/98   166,128     166,128

  North Carolina 7 -- Rockingham         571       B       1        100.0000%   12/31/98   294,004     294,004

  North Carolina 7 -- Rockingham         571       B       2        100.0000%   12/31/98   294,004     294,004

  North Carolina 8 -- Northampton        572       B       1        100.0000%   12/31/98   291,972     291,972

  North Carolina 9 -- Camden             573       B       1        100.0000%   12/31/98   120,643     120,643

  North Carolina 10 -- Harnett           574       B       1        100.0000%   12/31/98   301,200     301,200

  North Carolina 11 -- Hoke              575       B       1        100.0000%   12/31/98   229,364     229,364

  North Carolina 12 -- Sampson           576       B       1        100.0000%   12/31/98   134,941     134,941

  North Carolina 13 -- Greene            577       B       1        100.0000%   12/31/98   247,338     247,338

  North Carolina 14 -- Pitt              578       B       1        100.0000%   12/31/98   249,266     249,266

  North Carolina 15 -- Cabarrus          579       B       1        100.0000%   12/31/98   446,987     446,987

  North Carolina 15 -- Cabarrus          579       B       2        50.0000%    12/31/98   446,987     223,494

  Ohio 1 -- Williams                     585       B       1        100.0000%   12/31/98   127,826     127,826

  Ohio 2 -- Sandusky                     586       B       1        67.4710%    12/31/98   260,887     176,023

  Ohio 2 -- Sandusky                     586       B       2        100.0000%   4/3/00     260,887     260,887

  Ohio 3 -- Ashtabula                    587       B       1        50.0000%    4/3/00     103,300     51,650

  Ohio 5 -- Hancock                      589       B       1        68.3491%    12/31/98   235,464     160,938

  Ohio 6 -- Morrow                       590       B                82.4742%    12/31/98   457,990     377,724

  Ohio 7 -- Tuscarawas                   591       B       2        100.0000%   12/31/98   257,869     257,869

  Ohio 10 -- Perry                       594       B       2        100.0000%   12/31/98   175,484     175,484

  Ohio 11 -- Columbiana                  595       B       1        100.0000%   12/31/98   111,521     111,521

  Oklahoma 4 -- Nowata                   599       B       1        77.7800%    12/31/98   196,523     152,856

  South Carolina 1 -- Oconee             625       B       1        100.0000%   12/31/98   64,059      64,059

  South Carolina 2 -- Laurens            626       B       1        50.0000%    12/31/98   232,539     116,270

  South Carolina 3 -- Cherokee           627       B       1        50.0000%    12/31/98   136,460     68,230

  South Carolina 4 -- Chesterfield       628       B       1        50.0000%    12/31/98   215,375     107,688

  South Carolina 5 -- Georgetown         629       B       1        50.0000%    12/31/98   263,099     131,550

  South Carolina 6 -- Clarendon          630       B       1        50.0000%    12/31/98   195,461     97,731

  South Carolina 7 -- Calhoun            631       B       1        50.0000%    12/31/98   151,640     75,820

  South Carolina 8 -- Hampton            632       B       1        50.0000%    12/31/98   182,518     91,259

  South Carolina 9 -- Lancaster          633       B       1        50.0000%    12/31/98   213,200     106,600

  Tennessee 4 -- Hamblen                 646       B       1        100.0000%   12/31/98   274,517     274,517

  Tennessee 8 -- Johnson                 650       B       1        100.0000%   12/31/98   16,755      16,755

  Texas 7 -- Fanni                       658       B       1        25.0000%    12/31/98   374,211     93,553

  Texas 7 -- Fanni                       658       B       2        97.5000%    12/31/98   374,211     364,856

  Texas 8 -- Gaines                      659       B       1        14.2860%    12/31/98   136,170     19,453

  Texas 8 -- Gaines                      659       B       2        14.2860%    12/31/98   136,170     19,453

  Texas 9 -- Runnels                     660       B       1        15.3800%    12/31/98   186,658     28,708

  Texas 9 -- Runnels                     660       B       3        100.0000%   12/31/98   186,658     186,658

  Texas 9 -- Runnels                     660       B       4        15.3800%    12/31/98   186,658     28,708

  Texas 10 -- Navarro                    661       B       1        25.0000%    12/31/98   317,225     79,306

  Texas 10 -- Navarro                    661       B       2        100.0000%   12/31/98   317,225     317,225

  Texas 10 -- Navarro                    661       B       3        25.0000%    12/31/98   317,225     79,306

  Texas 10 -- Navarro                    661       B       4        100.0000%   12/31/98   317,225     317,225

  Texas 11 -- Cherokee                   662       B       1        18.0000%    12/31/98   286,850     51,633

  Texas 11 -- Cherokee                   662       B       2        46.0000%    12/31/98   286,850     131,951

  Texas 15 -- Concho                     666       B       1        100.0000%   12/31/98   184,002     184,002

  Texas 16 -- Burleson                   667       B       1        9.6000%     12/31/98   334,553     32,117

  Texas 17 -- Newton                     668       B       1        17.0210%    12/31/98   264,833     45,077

  Utah 6 -- Piute                        678       B       1        20.0000%    12/31/98   27,964      5,593

  Virginia 1 -- Lee                      681       B       1        100.0000%   12/31/98   141,441     141,441

  Virginia 2 -- Tazewell                 682       B       1        71.2600%    12/31/98   135,521     96,572

  Virginia 4 -- Bedford                  684       B       2        100.0000%   12/31/98   178,022     178,022

  Virginia 6 -- Highland                 686       B       2        100.0000%   12/31/98   216,746     216,746

  Virginia 7 -- Buckingham               687       B       2        100.0000%   12/31/98   90,640      90,640

  Virginia 8 -- Amelia                   688       A       1        100.0000%   12/31/98   85,172      85,172

  Virginia 9 -- Greensville              689       A       1        100.0000%   12/31/98   88,538      88,538

  Virginia 10 -- Frederick               690       B       2        33.0000%    12/31/98   239,823     79,142

  Virginia 11 -- Madison                 691       B       2        100.0000%   12/31/98   288,296     288,296

  West Virginia 6 -- Lincoln             706       B       1        100.0000%   12/31/98   178,612     178,612
  -------------------------------------- --------- ------- -------- ----------- ---------- ----------- -----------

**AT&T Wireless**

  ----------------------------- --------- ------- -------- ----------- ---------- ------------ ------------
  MSA/RSA Name                  MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs    Net POPs
                                Number    Block   Market                                       

  New York,                     1         A       1        98.3350%    11/22/99   15,261,373   15,007,271
  NY-NJ/Nassau-Suffolk,                                                                        
  NY/Newark, Jersey City and                                                                   
  Paterson-Clifton-Passaic, NJ                                                                 

  Los Angeles-Long              2         A       1        55.6150%    11/22/99   15,049,306   8,369,672
  Beach/Anaheim-Santa                                                                          
  Ana-Garden                                                                                   
  Grove/Riverside-San                                                                          
  Bernardino-Ontario, CA                                                                       

  San Francisco-Oakland, CA     7         A       1        97.0000%    11/22/99   4,001,831    3,881,776

  Dallas-Forth Worth, TX        9         A       1        100.0000%   11/22/99   4,706,948    4,706,948

  Houston, TX                   10        A       1        55.6150%    11/22/99   4,138,280    2,301,504

  Miami-Fort                    12        A       1        100.0000%   11/22/99   3,655,844    3,655,844
  Lauderdale-Hollywood, FL                                                                     

  Pittsburgh, PA                13        A       1        82.1500%    11/22/99   2,030,521    1,668,073

  Minneapolis-St. Paul, MN-WI   15        A       1        100.0000%   11/22/99   2,705,116    2,705,116

  San Diego, CA                 18        A       1        100.0000%   12/31/98   2,780,592    2,780,592

  Denver-Boulder, CO            19        A       1        100.0000%   11/22/99   2,210,104    2,210,104

  Seattle-Everett, WA           20        A       1        100.0000%   11/22/99   2,242,659    2,242,659

  Tampa-St. Petersburg, FL      22        A       1        100.0000%   11/22/99   2,129,332    2,129,332

  San Jose, CA                  27        A       1        50.0000%    11/22/99   1,641,215    820,608

  Portland, OR-WA               30        A       1        100.0000%   11/22/99   1,692,454    1,692,454

  San Antonio, TX               33        A       1        100.0000%   11/22/99   1,506,915    1,506,915

  Sacramento, CA                35        A       1        100.0000%   11/22/99   1,527,310    1,527,310

  Salt Lake City-Ogden, UT      39        A       1        100.0000%   11/22/99   1,301,096    1,301,096

  Oklahoma City, OK             45        A       1        100.0000%   11/22/99   1,008,029    1,008,029

  Honolulu, HI                  50        A       1        100.0000%   11/22/99   872,478      872,478

  Jacksonville, FL              51        A       1        100.0000%   11/22/99   1,065,787    1,065,787

  Northeast Pennsylvania, PA    56        A       1        100.0000%   11/22/99   647,805      647,805

  Tulsa, OK                     57        A       1        100.0000%   11/22/99   814,544      814,544

  Allentown-Bethlehem-Easton,   58        A       1        100.0000%   11/22/99   715,477      715,477
  PA-NJ                                                                                        

  Orlando, FL                   60        A       1        100.0000%   11/22/99   1,302,362    1,302,362

  West Palm Beach-Boca Raton,   72        A       1        100.0000%   11/22/99   1,032,625    1,032,625
  FL                                                                                           

  Oxnard-Simi Valley-Ventura,   73        A       1        100.0000%   11/22/99   731,967      731,967
  CA                                                                                           

  Fresno, CA                    74        A       1        100.0000%   11/22/99   755,730      755,730

  Austin, TX                    75        A       1        100.0000%   11/22/99   1,023,072    1,023,072

  Tacoma, WA                    82        A       1        100.0000%   11/22/99   676,505      676,505

  Harrisburg, PA                84        A       1        100.0000%   11/22/99   498,597      498,597

  Las Vegas, NV                 93        A       1        100.0000%   11/22/99   1,162,129    1,162,129

  Bakersfield, CA               97        A       1        100.0000%   11/22/99   631,459      631,459

  York, PA                      99        A       1        100.0000%   11/22/99   459,792      459,792

  Shreveport, Louisiana         100       A       1        100.0000%   11/22/99   378,641      378,641

  Lancaster, PA                 105       A       1        100.0000%   11/22/99   456,414      456,414

  Stockton, CA                  107       A       1        100.0000%   11/22/99   550,445      550,445

  Spokane, WA                   109       A       1        100.0000%   11/22/99   408,669      408,669

  Huntington-Ashland, WV/KY/OH  110       A       1        100.0000%   11/22/99   313,922      313,922

  Vallejo-Fairfield-Napa, CA    111       A       1        50.0000%    11/22/99   496,703      248,352

  Lakeland-Winter Haven, FL     114       A       1        100.0000%   11/22/99   452,584      452,584

  Colorado Springs, CO          117       A       1        100.0000%   11/22/99   510,984      510,984

  Reading, PA                   118       A       1        100.0000%   11/22/99   355,956      355,956

  Binghamton, NY                122       A       1        100.0000%   11/22/99   291,166      291,166

  Santa Rosa-Petaluma, CA       123       A       1        52.0800%    11/22/99   433,304      225,665

  Santa Barbara-Santa           124       A       1        93.0000%    11/22/99   389,502      362,237
  Maria-Lompoc, CA                                                                             

  Salinas-Seaside-Monterey, CA  126       A       1        53.0800%    11/22/99   365,605      194,063

  Manchester-Nashua, NH         133       A       1        2.4800%     11/22/99   363,031      9,003

  Eugene-Springfield, OR        135       A       1        100.0000%   11/22/99   314,068      314,068

  Melbourne-Titusville-Palm     137       A       1        94.7500%    11/22/99   466,093      441,623
  Bay, FL                                                                                      

  Charleston, WV                140       A       1        100.0000%   11/22/99   253,175      253,175

  Duluth, MN-WI                 141       A       1        50.0000%    12/31/98   236,464      118,232

  Modesto, CA                   142       A       1        100.0000%   11/22/99   426,460      426,460

  Johnstown, PA                 143       A       1        100.0000%   11/22/99   236,347      236,347

  Orange County, NY             144       A       1        50.0000%               329,220      164,610

  Daytona Beach, FL             146       A       1        100.0000%   11/22/99   423,409      423,409

  Salem, OR                     148       A       1        95.8900%    11/22/99   330,101      316,534

  Visalia-Tulare-Porterville,   150       A       1        96.1100%    11/22/99   355,240      341,421
  CA                                                                                           

  Poughkeepsie, NY              151       A       1        50.0000%    12/31/98   265,317      132,659

  Portland, ME                  152       A       1        100.0000%   11/22/99   289,361      289,361

  Portsmouth-Dover-Rochester,   156       A       1        100.0000%   11/22/99   283,815      283,815
  NH-ME                                                                                        

  Provo-Orem, UT                159       A       1        95.6300%    11/22/99   335,635      320,968

  Killeen-Temple, TX            160       A       1        100.0000%   11/22/99   301,449      301,449

  Springfield, MO               163       A       1        100.0000%   11/22/99   275,755      275,755

  Sarasota, FL                  167       A       1        94.6900%    11/22/99   303,400      287,289

  Galveston-Texas City, TX      170       A       1        49.6800%    11/22/99   245,556      121,992

  Reno, NV                      171       A       1        93.0800%    11/22/99   313,660      291,955

  Santa Cruz, CA                175       A       1        11.6400%    11/22/99   242,994      28,285

  Wheeling, WV-OH               178       A       1        96.5400%    11/22/99   152,903      147,613

  Topeka, KS                    179       A       1        10.7800%    11/22/99   200,730      21,639

  Muskegon, MI                  181       A       1        7.9100%     11/22/99   191,581      15,154

  Terre Haute, IN               185       A       1        0.4500%     11/22/99   167,898      756

  Anchorage, AK                 187       A       1        93.5700%    11/22/99   254,982      238,587

  Racine, WI                    189       A       1        3.4000%     11/22/99   186,119      6,328

  Boise City, ID                190       A       1        99.0600%    11/22/99   275,687      273,096

  Yakima, WA                    191       A       1        96.1300%    11/22/99   218,062      209,623

  Waco, TX                      194       A       1        100.0000%   11/22/99   203,446      203,446

  St. Cloud, MN                 198       A       1        77.9500%    11/22/99   222,613      173,527

  Steubenville-Weirton, OH-WV   199       A       1        100.0000%   11/22/99   134,535      134,535

  Parkersburg-Marietta, OH-WV   200       A       1        100.0000%   11/22/99   155,850      155,850

  Longview-Marshall, TX         206       A       1        100.0000%   11/22/99   173,103      173,103

  Fort Pierce, FL               208       A       1        100.0000%   11/22/99   295,118      295,118

  Fort Collins-Loveland, CO     210       A       1        96.2500%    11/22/99   231,221      222,550

  Bradenton, FL                 211       A       1        95.2400%    11/22/99   239,682      228,273

  Bremerton, WA                 212       A       1        98.3500%    11/22/99   232,623      228,785

  Pittsfield, MA                213       A       1        23.7500%    11/22/99   133,038      31,597

  Richland-Kennewick-Pasco, WA  214       A       1        100.0000%   11/22/99   182,709      182,709

  Chico                         215       A       1        100.0000%   11/22/99   194,597      194,597

  Monroe, LA                    219       A       1        100.0000%   11/22/99   146,979      146,979

  Elkhart-Goshen, IN            223       A       1        0.3300%     11/22/99   172,310      569

  Bangor, ME                    224       A       1        5.3100%     11/22/99   142,323      7,557

  Altoona, PA                   225       A       1        100.0000%   11/22/99   130,615      130,615

  Medford, OR                   229       A       1        95.5600%    11/22/99   173,123      165,436

  Eau Claire, WI                232       A       1        50.0000%    12/31/98   143,861      71,931

  Wichita Falls, TX             233       A       1        100.0000%   11/22/99   139,471      139,471

  Athens, GA                    234       A       1        7.1400%     11/22/99   176,320      12,589

  Petersburg-Colonial           235       A       1        12.4400%    11/22/99   129,000      16,048
  Heights-Hopewell, VA                                                                         

  Muncie, IN                    236       A       1        0.3700%     11/22/99   116,828      432

  Tyler, TX                     237       A       1        100.0000%   11/22/99   168,783      168,783

  Joplin, MO                    239       A       1        100.0000%   11/22/99   148,684      148,684

  Texarkana, TX -- Texarkana,   240       A       1        94.2000%    11/22/99   136,572      128,651
  AR                                                                                           

  Olympia, WA                   242       A       1        94.1500%    11/22/99   202,255      190,423

  Greeley, CO                   243       A       1        95.1900%    11/22/99   159,429      151,760

  Ocala, FL                     245       A       1        92.0700%    11/22/99   241,513      222,361

  Williamsport, PA              251       A       1        100.0000%   11/22/99   117,308      117,308

  Pascagoula, MS                252       A       1        4.0000%                130,910      5,236

  Redding, CA                   254       A       1        94.1900%    11/22/99   164,349      154,800

  State College, PA             259       A       1        100.0000%   11/22/99   132,700      132,700

  Lawton, OK                    260       A       1        100.0000%   11/22/99   113,508      113,508

  Wausau, WI                    263       A       1        50.0000%    12/31/98   123,223      61,612

  Bellingham, WA                270       A       1        96.1800%    11/22/99   156,830      150,839

  Yuba City, CA                 274       A       1        96.5000%    11/22/99   137,043      132,246

  St. Joseph, MO                275       A       1        10.9900%               97,338       10,697

  Sheboygan, WI                 277       A       1        1.2400%     11/22/99   110,170      1,366

  Lewiston-Auburn, ME           279       A       1        4.8300%     11/22/99   101,280      4,892

  Bloomington, IN               282       A       1        1.3200%     11/22/99   115,130      1,520

  Elmira, NY                    284       A       1        100.0000%   11/22/99   92,021       92,021

  Dubuque, IA                   286       A       1        2.0600%     11/22/99   87,806       1,809

  Rochester, MN                 288       A       1        94.8800%    11/22/99   116,702      110,727

  La Crosse, WI                 290       A       1        1.4100%     11/22/99   102,565      1,446

  Pine Bluff, AK                291       A       1        47.9000%    11/22/99   81,556       39,065

  Sherman-Denison, TX           292       A       1        100.0000%   11/22/99   102,815      102,815

  Alton-Granite City, IL        305       A       1        50.0000%               21,373       10,687

  Alaska 2 -- Bethel            316       A       1        100.0000%   11/22/99   158,753      158,753

  Arkansas 1 -- Madison         324       A       1        50.0000%    11/22/99   75,810       37,905

  Arkansas 2 -- Marion          325       A       1        50.0000%    11/22/99   94,229       47,115

  Arkansas 3 -- Sharp           326       A       1        50.0000%    11/22/99   102,936      51,468

  Arkansas 4 -- Clay            327       A       1        50.0000%    11/22/99   206,300      103,150

  Arkansas 5 -- Cross           328       A       1        50.0000%    11/22/99   118,482      59,241

  Arkansas 6 -- Cleburne        329       A       1        50.0000%    11/22/99   105,747      52,874

  Arkansas 7 -- Pope            330       A       1        50.0000%    11/22/99   116,279      58,140

  Arkansas 8 -- Franklin        331       A       1        50.0000%    11/22/99   70,194       35,097

  Arkansas 10 -- Garland        333       A       1        50.0000%    11/22/99   159,901      79,951

  Arkansas 12 -- Ouachita       335       A       1        50.0000%    11/22/99   185,087      92,544

  California 3 -- Alpine        338       A       1        100.0000%   11/22/99   143,498      143,498

  California 8 -- Tehama        343       A       1        100.0000%   11/22/99   98,879       98,879

  California 10 -- Sierra       345       A       1        100.0000%   11/22/99   94,714       94,714

  California 11 - El Dorado     346       A       1        100.0000%   11/22/99   158,502      158,502

  California 12 -- Kings        347       A       1        100.0000%   11/22/99   118,866      118,866

  Colorado 3 -- Garfield        350       A       1        100.0000%   11/22/99   296,742      296,742

  Connecticut 1 -- Litchfield   357       A       1        100.0000%   11/22/99   181,277      181,277

  Florida 2 -- Glades           361       A       2        100.0000%   11/22/99   214,011      214,011

  Florida 4 -- Citrus           363       A       1        85.0000%    11/22/99   483,928      411,339

  Florida 5 -- Putnam           364       A       2        100.0000%   11/22/99   117,874      117,874

  Hawaii 2 -- Maui              386       A       1        100.0000%   11/22/99   120,785      120,785

  Hawaii 3 -- Hawaii            387       A       1        100.0000%   12/31/98   143,135      143,135

  Idaho 1 -- Boundary           388       A       1        100.0000%   11/22/99   251,625      251,625

  Idaho 4 -- Elmore             391       A       1        100.0000%   11/22/99   155,716      155,716

  Kentucky 4 -- Spencer         446       A       1        50.0000%    12/31/98   250,884      125,442

  Kentucky 5 -- Barren          447       A       1        50.0000%    12/31/98   159,099      79,550

  Kentucky 6 -- Madison         448       A       1        50.0000%    12/31/98   267,723      133,862

  Kentucky 8 -- Mason           450       A       1        50.0000%    12/31/98   121,142      60,571

  Louisiana 1 -- Claiborne      454       A       1        100.0000%   11/22/99   111,848      111,848

  Louisiana 2 -- Morehouse      455       A       1        100.0000%   11/22/99   115,219      115,219

  Louisiana 3 - De Soto         456       A       2        100.0000%   11/22/99   146,932      146,932

  Maine 4 -- Washington         466       A       1        100.0000%   11/22/99   85,434       85,434

  Michigan 1 -- Gogebic         472       A       1        50.0000%    12/31/98   197,174      98,587

  Minnesota 2 - Lake of the     483       A       2        50.0000%    12/31/98   64,189       32,095
  Woods                                                                                        

  Minnesota 3 -- Koochiching    484       A       1        50.0000%    12/31/98   59,395       29,698

  Minnesota 4 -- Lake           485       A       1        50.0000%    12/31/98   15,358       7,679

  Minnesota 5 -- Wilkin         486       A       1        50.0000%    12/31/98   207,720      103,860

  Minnesota 6 -- Hubbard        487       A       1        50.0000%    12/31/98   259,847      129,924

  Minnesota 6 -- Hubbard        487       A       2        100.0000%   11/22/99   259,847      259,847

  Minnesota 11 -- Goodhue       492       A       1        100.0000%              206,468      206,468

  Missouri 14 -- Barton         517       A       1        100.0000%   11/22/99   106,099      106,099

  Nevada 3 -- Storey            545       A       1        100.0000%   11/22/99   119,477      119,477

  New Jersey 1 -- Hunterdon     550       A       1        100.0000%   11/22/99   122,428      122,428

  New York 5 -- Otsego          563       A       1        50.0000%    12/31/98   374,774      187,387

  New York 6 -- Columbia        564       A       1        50.0000%    12/31/98   111,028      55,514

  Ohio 7 -- Tuscarawas          591       A       1        50.0000%    12/31/98   257,869      128,935

  Ohio 9 -- Ross                593       A       1        100.0000%   11/22/99   249,588      249,588

  Ohio 10 -- Perry              594       A       1        50.0000%    11/22/99   175,484      87,742

  Oklahoma 3 -- Grant           598       A       1        100.0000%   11/22/99   207,339      207,339

  Oklahoma 4 -- Nowata          599       A       1        100.0000%              196,523      196,523

  Oklahoma 5 -- Roger Mills     600       A       1        100.0000%   11/22/99   58,042       58,042

  Oregon 1 -- Clatsop           606       A       1        100.0000%   11/22/99   186,281      186,281

  Oregon 2 -- Hood River        607       A       1        92.3200%    11/22/99   74,602       68,873

  Pennsylvania 5 -- Wayne       616       A       1        100.0000%   11/22/99   85,398       85,398

  Pennsylvania 8 -- Union       619       A       1        100.0000%   11/22/99   403,256      403,256

  Pennsylvania 9 -- Greene      620       A       1        50.0000%    12/31/98   185,589      92,795

  Pennsylvania 10 -- Bedford    621       A       2        100.0000%   11/22/99   191,873      191,873

  Pennsylvania 11 -- Huntingdon 622       A       1        100.0000%   11/22/99   113,661      113,661

  Pennsylvania 12 -- Lebanon    623       A       1        100.0000%   11/22/99   117,434      117,434

  Tennessee 4 -- Hamblen        646       A       1        50.0000%    12/31/98   274,517      137,259

  Texas 6 -- Jack               657       A       1        100.0000%   11/22/99   84,562       84,562

  Texas 11 -- Cherokee          662       A       1        100.0000%   11/22/99   286,850      286,850

  Utah 1 -- Box Elder           673       A       1        100.0000%   11/22/99   130,732      130,732

  Utah 2 -- Morgan              674       A       1        100.0000%   11/22/99   47,035       47,035

  Washington 1 -- Clallam       693       A       1        100.0000%   11/22/99   272,570      272,570

  Washington 5 -- Kittitas      697       A       1        100.0000%   11/22/99   127,317      127,317

  Washington 6 -- Pacific       698       A       1        100.0000%   11/22/99   184,396      184,396

  Washington 7 -- Skamania      699       A       1        92.3200%    11/22/99   29,100       26,865

  West Virginia 1 -- Mason      701       A       1        100.0000%   11/22/99   77,123       77,123

  West Virginia 2 -- Wetzel     702       A       1        50.0000%    12/31/98   77,979       38,990

  West Virginia 3 -- Monongalia 703       A       1        50.0000%    12/31/98   266,003      133,002

  West Virginia 6 -- Lincoln    706       A       1        100.0000%   11/22/99   178,612      178,612

  Wisconsin 1 -- Burnett        708       A       1        50.0000%    12/31/98   112,725      56,363

  Wisconsin 2 -- Bayfield       709       A       2        50.0000%    12/31/98   85,150       42,575

  Wisconsin 3 -- Vilas          710       A       1        50.0000%    12/31/98   141,299      70,650

  Wisconsin 4 -- Marinette      711       A       1        50.0000%    12/31/98   120,582      60,291

  Wisconsin 5 -- Pierce         712       A       1        50.0000%    12/31/98   95,999       48,000

  Wisconsin 6 -- Trempealeau    713       A       2        50.0000%    12/31/98   116,883      58,442
  ----------------------------- --------- ------- -------- ----------- ---------- ------------ ------------

**BellSouth**

  --------------------------- --------- ------- -------- ----------- ---------- ------------ -----------
  MSA/RSA Name                MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs    Net POPs
                              Number    Block   Market                                       

  Los Angeles-Long            2         A       1        44.3850%    12/31/98   15,049,306   6,679,634
  Beach/Anaheim-Santa                                                                        
  Ana-Garden                                                                                 
  Grove/Riverside-San                                                                        
  Bernardino-Ontario, CA                                                                     

  Houston, TX                 10        A       1        44.3850%    12/31/98   4,138,280    1,836,776

  Miami-Fort                  12        B       1        100.0000%   12/31/98   3,655,844    3,655,844
  Lauderdale-Hollywood, FL                                                                   

  Pittsburgh, PA              13        B       1        3.6000%     12/31/98   2,030,521    73,099

  Atlanta, GA                 17        B       1        100.0000%   12/31/98   3,406,269    3,406,269

  Indianapolis, IN            28        A       1        100.0000%   12/31/98   1,387,834    1,387,834

  New Orleans, LA             29        B       1        100.0000%   12/31/98   1,171,481    1,171,481

  Memphis, TN-AR-MS           36        B       1        93.8600%    12/31/98   1,062,970    997,704

  Louisville, KY-IN           37        B       1        100.0000%   12/31/98   941,598      941,598

  Birmingham, AL              41        B       1        100.0000%   12/31/98   933,269      933,269

  Nashville-Davidson, TN      46        B       1        100.0000%   12/31/98   1,156,225    1,156,225

  Jacksonville, FL            51        B       1        85.7600%    12/31/98   1,065,787    914,019

  Gary-Hammond-East Chicago,  54        A       1        33.3300%    12/31/98   624,049      207,996
  IN                                                                                         

  Richmond, VA                59        A       1        49.9000%    1/1/99     828,032      413,188

  Orlando, FL                 60        B       1        75.4600%    12/31/98   1,302,362    982,762

  West Palm Beach-Boca Raton, 72        B       1        100.0000%   12/31/98   1,032,625    1,032,625
  FL                                                                                         

  Baton Rouge, LA             80        B       1        100.0000%   12/31/98   575,129      575,129

  Mobile, AL                  83        A       1        100.0000%   7/31/99    532,257      532,257

  Chattanooga, TN-GA          88        B       1        62.7000%    12/31/98   460,650      288,828

  Columbia, SC                95        B       1        46.4200%    12/31/98   512,316      237,817

  Shreveport, Louisiana       100       B       1        9.0000%     12/31/98   378,641      34,078

  Jackson, MS                 106       B       1        73.2600%    12/31/98   429,614      314,735

  Lexington-Fayette, KY       116       B       1        100.0000%   12/31/98   383,143      383,143

  Evansville, IN/KY           119       A       1        100.0000%   12/31/98   322,906      322,906

  Huntsville, AL              120       B       1        100.0000%   12/31/98   420,774      420,774

  Melbourne-Titusville-Palm   137       B       1        75.4600%    12/31/98   466,093      351,714
  Bay, FL                                                                                    

  Macon-Warner Robins, GA     138       B       1        100.0000%   12/31/98   319,502      319,502

  Daytona Beach, FL           146       B       1        75.4600%    12/31/98   423,409      319,504

  Galveston-Texas City, TX    170       A       1        38.7700%    6/1/99     245,556      95,202

  Lafayette, LA               174       B       1        51.0000%    12/31/98   234,181      119,432

  Terre Haute, IN             185       A       1        92.8500%    12/31/98   167,898      155,893

  Clarksville-Hopkinsville,   209       B       1        100.0000%   12/31/98   199,758      199,758
  TN/KY                                                                                      

  Anderson, IN                217       A       1        100.0000%   12/31/98   131,360      131,360

  Monroe, LA                  219       B       1        9.0000%     12/31/98   146,979      13,228

  Tuscaloosa, AL              222       B       1        100.0000%   12/31/98   160,768      160,768

  Florence, AL                226       B       1        100.0000%   12/31/98   137,271      137,271

  Athens, GA                  234       B       1        100.0000%   12/31/98   176,320      176,320

  Muncie, IN                  236       A       1        93.1000%    12/31/98   116,828      108,767

  Lafayette, IN               247       A       1        100.0000%   12/31/98   139,005      139,005

  Anniston, AL                249       B       1        100.0000%   12/31/98   117,018      117,018

  Florence, SC                264       B       1        46.4200%    12/31/98   124,904      57,980

  Kokomo, IN                  271       A       1        9.0400%     12/31/98   100,176      9,056

  Gadsden, AL                 272       B       1        100.0000%   12/31/98   103,975      103,975

  Bloomington, IN             282       A       1        94.1800%    12/31/98   115,130      108,429

  Bryan-College Station, TX   287       A       1        100.0000%   4/1/99     133,407      133,407

  Owensboro, KY               293       A       1        100.0000%   12/31/98   91,139       91,139

  Alabama 1 -- Franklin       307       B       1        100.0000%   12/31/98   348,901      348,901

  Alabama 1 -- Franklin       307       B       2        80.0000%    12/31/98   348,901      279,121

  Alabama 1 -- Franklin       307       B       5        100.0000%   12/31/98   348,901      348,901

  Alabama 2 -- Jackson        308       B       1        100.0000%   12/31/98   131,616      131,616

  Alabama 3 -- Lamar          309       B       1        100.0000%   12/31/98   136,638      136,638

  Alabama 5 -- Cleburne       311       B       1        100.0000%   12/31/98   213,811      213,811

  Alabama 6 -- Washington     312       A       1        100.0000%   12/31/98   120,857      120,857

  Florida 1 -- Collier        360       B       2        100.0000%   12/31/98   228,793      228,793

  Florida 2 -- Glades         361       B       2        71.5000%    12/31/98   214,011      153,018

  Florida 2 -- Glades         361       B       3        100.0000%   12/31/98   214,011      214,011

  Florida 4 -- Citrus         363       B       2        75.4600%    12/31/98   483,928      365,172

  Florida 5 -- Putnam         364       B       1        75.4600%    12/31/98   117,874      88,948

  Florida 5 -- Putnam         364       B       3        85.7600%    12/31/98   117,874      101,089

  Florida 11 -- Monroe        370       B       1        100.0000%   12/31/98   81,203       81,203

  Georgia 1 -- Whitfield      371       B       1        74.4600%    12/31/98   237,794      177,061

  Georgia 2 -- Dawson         372       B       1        61.2300%    12/31/98   313,406      191,898

  Georgia 2 -- Dawson         372       B       2        35.0000%    12/31/98   313,406      109,692

  Georgia 2 -- Dawson         372       B       3        100.0000%   12/31/98   313,406      313,406

  Georgia 3 -- Chattooga      373       B       1        75.0000%    12/31/98   216,235      162,176

  Georgia 4 -- Jasper         374       B       1        100.0000%   12/31/98   129,794      129,794

  Georgia 4 -- Jasper         374       B       3        35.0000%    12/31/98   129,794      45,428

  Georgia 5 -- Haralson       375       B       1        100.0000%   12/31/98   261,567      261,567

  Georgia 6 -- Spalding       376       B       5        100.0000%   12/31/98   203,032      203,032

  Georgia 6 -- Spalding       376       B       4        100.0000%   12/31/98   203,032      203,032

  Georgia 7 -- Hancock        377       B       1        100.0000%   12/31/98   134,061      134,061

  Indiana 5 -- Warren         407       A       1        100.0000%   12/31/98   123,849      123,849

  Indiana 7 -- Owen           409       A       1        100.0000%   12/31/98   225,643      225,643

  Indiana 8 -- Brown          410       A       1        100.0000%              264,986      264,986

  Indiana 9 -- Decatur        411       A       1        100.0000%   12/31/98   149,277      149,277

  Kentucky 1 -- Fulton        443       A       1        100.0000%   12/31/98   190,694      190,694

  Kentucky 2 -- Union         444       A       1        100.0000%   12/31/98   129,194      129,194

  Kentucky 3 -- Meade         445       A       1        100.0000%   12/31/98   323,926      323,926

  Kentucky 6 -- Madison       448       B       2        100.0000%   12/31/98   267,723      267,723

  Kentucky 7 -- Trimble       449       B       1        100.0000%   12/31/98   177,071      177,071

  Kentucky 7 -- Trimble       449       B       3        100.0000%   12/31/98   177,071      177,071

  Kentucky 8 -- Mason         450       B       1        100.0000%   12/31/98   121,142      121,142

  Kentucky 9 -- Elliott       451       A       1        100.0000%   12/31/98   201,249      201,249

  Kentucky 10 -- Powell       452       A       1        100.0000%   12/31/98   153,141      153,141

  Kentucky 11 -- Clay         453       A       1        100.0000%   12/31/98   168,292      168,292

  Louisiana 1 -- Claiborne    454       B       1        9.0000%     12/31/98   111,848      10,066

  Louisiana 2 -- Morehouse    455       B       1        9.0000%     12/31/98   115,219      10,370

  Louisiana 3 - De Soto       456       B       2        9.0000%     12/31/98   146,932      13,224

  Louisiana 5 -- Beauregard   458       B       2        35.0000%    12/31/98   388,669      136,034

  Louisiana 6 -- Iberville    459       B       2        51.0000%    12/31/98   184,516      94,103

  Louisiana 6 -- Iberville    459       B       1        35.0000%    12/31/98   184,516      64,581

  Louisiana 7 -- West         460       B       1        66.7000%    12/31/98   183,915      122,671
  Feliciana                                                                                  

  Louisiana 8 -- St. James    461       B       1        50.0000%    12/31/98   111,671      55,836

  Louisiana 9 -- Plaquemines  462       B       1        100.0000%   12/31/98   26,293       26,293

  Mississippi 1 -- Tunica     493       B       1        93.8700%    12/31/98   173,216      162,598

  Mississippi 2 -- Benton     494       B       1        100.0000%   12/31/98   249,770      249,770

  Mississippi 3 -- Bolivar    495       B       2        73.2600%    12/31/98   158,256      115,938

  Mississippi 4 -- Yalobusha  496       B       2        73.2600%    12/31/98   127,528      93,427

  Mississippi 4 -- Yalobusha  496       B       1        100.0000%   12/31/98   127,528      127,528

  Mississippi 5 -- Washington 497       B       2        73.2600%    12/31/98   159,801      117,070

  Mississippi 6 -- Montgomery 498       B       1        73.2600%    12/31/98   183,013      134,075

  Mississippi 7 -- Leake      499       B       1        73.2600%    12/31/98   180,260      132,058

  Mississippi 8 -- Claiborne  500       B       2        73.2600%    12/31/98   155,250      113,736

  Mississippi 9 -- Copiah     501       B       1        73.2600%    12/31/98   121,950      89,341

  Mississippi 10 -- Smith     502       B       2        73.2600%    12/31/98   152,830      111,963

  Tennessee 1 -- Lake         643       B       4        100.0000%   12/31/98   308,431      308,431

  Tennessee 1 -- Lake         643       B       1        93.8700%    12/31/98   308,431      289,524

  Tennessee 5 -- Fayette      647       B       2        100.0000%   12/31/98   354,553      354,553

  Tennessee 5 -- Fayette      647       B       3        100.0000%   12/31/98   354,553      354,553

  Tennessee 5 -- Fayette      647       B       1        93.8700%    12/31/98   354,553      332,819

  Tennessee 6 -- Giles        648       B       1        100.0000%   12/31/98   162,182      162,182

  Tennessee 7 -- Bledsoe      649       B       1        100.0000%   12/31/98   266,926      266,926

  Tennessee 7 -- Bledsoe      649       B       2        100.0000%   12/31/98   266,926      266,926

  Tennessee 9 -- Maury        651       B       1        100.0000%   12/31/98   69,633       69,633

  Texas 17 -- Newton          668       A       1        100.0000%   4/1/99     264,833      264,833

  Texas 21 -- Chambers        672       A       1        38.7700%    6/1/99     23,743       9,205
  --------------------------- --------- ------- -------- ----------- ---------- ------------ -----------

Note: BellSouth and SBC have announced a merger of their wireless
assets.

**Centennial Cellular**

  --------------------------- --------- ------- -------- ----------- ---------- ----------- ---------
  MSA/RSA Name                MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs   Net POPs
                              Number    Block   Market                                      

  San Francisco-Oakland, CA   7         B       1        2.8700%     7/31/99    4,001,831   114,853

  San Jose, CA                27        B       1        2.8700%     7/31/99    1,641,215   47,103

  Sacramento, CA              35        B       1        23.4700%    7/31/99    1,527,310   358,460

  Fort Wayne, IN              96        A       1        100.0000%   7/31/99    443,932     443,932

  Beaumont-Port Arthur, TX    101       A       1        100.0000%   7/31/99    375,564     375,564

  Stockton, CA                107       B       1        23.4700%    7/31/99    550,445     129,189

  Vallejo-Fairfield-Napa, CA  111       B       1        2.8700%     7/31/99    496,703     14,255

  Santa Rosa-Petaluma, CA     123       B       1        2.8700%     7/31/99    433,304     12,436

  Salinas-Seaside-Monterey,   126       B       1        2.8700%     7/31/99    365,605     10,493
  CA                                                                                        

  South Bend-Mishawaka, IN    129       A       1        100.0000%   7/31/99    303,532     303,532

  Kalamazoo, MI               132       A       1        100.0000%   7/31/99    305,326     305,326

  Modesto, CA                 142       B       1        23.4700%    7/31/99    426,460     100,090

  Reno, NV                    171       B       1        23.4700%    7/31/99    313,660     73,616

  Lafayette, LA               174       A       1        94.5000%    7/31/99    234,181     221,301

  Santa Cruz, CA              175       B       1        2.8700%     7/31/99    242,994     6,974

  Battle Creek, MI            177       A       1        100.0000%   7/31/99    195,540     195,540

  Benton Harbor, MI           193       A       1        100.0000%   7/31/99    160,245     160,245

  Lake Charles, LA            197       A       1        100.0000%   7/31/99    180,330     180,330

  Alexandria, LA              205       A       1        93.2000%    7/31/99    145,753     135,842

  Jackson, MI                 207       A       1        100.0000%   7/31/99    156,157     156,157

  Chico                       215       B       1        23.4700%    7/31/99    194,597     45,672

  Elkhart-Goshen, IN          223       A       1        91.7000%    7/31/99    172,310     158,008

  Redding, CA                 254       B       1        23.4700%    7/31/99    164,349     38,573

  Kokomo, IN                  271       A       1                               100,176     

  Yuba City, CA               274       B       1        23.4700%    7/31/99    137,043     32,164

  Arizona 4 -- Yuma           321       A       1        100.0000%   7/31/99    147,139     147,139

  California 1 - Del Norte    336       B       1        6.8800%     7/31/99    206,423     14,202

  California 2 -- Modoc       337       B       1        25.0000%    7/31/99    63,053      15,763

  California 7 -- Imperial    342       A       1        100.0000%   7/31/99    144,051     144,051

  California 8 -- Tehama      343       B       1        23.4700%    7/31/99    98,879      23,207

  California 10 -- Sierra     345       B       1        23.4700%    7/31/99    94,714      22,229

  Indiana 1 -- Newton         403       A       1        100.0000%   7/31/99    216,018     216,018

  Indiana 2 -- Kosciusko      404       A       1        100.0000%   7/31/99    178,767     178,767

  Indiana 3 -- Huntington     405       A       1        100.0000%   7/31/99    145,468     145,468

  Indiana 4 -- Miami          406       A       1        100.0000%   7/31/99    180,610     180,610

  Indiana 6 -- Randolph       408       A       1        100.0000%   7/31/99    221,073     221,073

  Louisiana 2 -- Morehouse    455       A       1        100.0000%   7/31/99    115,219     115,219

  Louisiana 3 -- De Soto      456       A       1        100.0000%   7/31/99    146,932     146,932

  Louisiana 4 -- Caldwell     457       A       1        100.0000%   7/31/99    73,552      73,552

  Louisiana 5 -- Beauregard   458       A       1        100.0000%   7/31/99    388,669     388,669

  Louisiana 6 -- Iberville    459       A       1        100.0000%   7/31/99    184,516     184,516

  Louisiana 7 -- West         460       A       1        100.0000%   7/31/99    183,915     183,915
  Feliciana                                                                                 

  Michigan 6 -- Roscommon     477       A       1        100.0000%   7/31/99    141,095     141,095

  Michigan 7 -- Newaygo       478       A       1        100.0000%   7/31/99    244,501     244,501

  Michigan 8 -- Allegan       479       A       1        100.0000%   11/23/99   101,662     101,662

  Michigan 9 -- Cass          480       A       1        100.0000%   7/31/99    299,579     299,579

  Mississippi 8 -- Claiborne  500       A       1        100.0000%   7/31/99    155,250     155,250

  Mississippi 9 -- Copiah     501       A       1        100.0000%   7/31/99    121,950     121,950

  Nevada 3 -- Storey          545       B       1        23.4700%    7/31/99    119,477     28,041

  Ohio 1 -- Williams          585       A       1        100.0000%   7/31/99    127,826     127,826

  Pennsylvania 6 -- Lawrence  617       B       2        14.2900%    7/31/99    380,694     54,401
  --------------------------- --------- ------- -------- ----------- ---------- ----------- ---------

**CenturyTel**

  ------------------------- --------- ------- -------- ----------- ---------- ----------- ---------
  MSA/RSA Name              MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs   Net POPs
                            Number    Block   Market                                      

  Detroit/Ann Arbor, MI     5         B       1        3.2000%     12/31/98   4,779,588   152,947

  Dallas-Forth Worth, TX    9         B       1        0.5000%     12/31/98   4,706,948   23,535

  Milwaukee, WI             21        B       1        17.9600%    12/31/98   1,459,805   262,181

  Grand Rapids, MI          64        B       1        97.0000%    12/31/98   769,523     746,437

  Flint, MI                 68        B       1        3.2000%     12/31/98   508,653     16,277

  Austin, TX                75        B       1        35.0000%    12/31/98   1,023,072   358,075

  Lansing-East Lansing, MI  78        B       1        97.0000%    12/31/98   511,383     496,042

  Little Rock-North Little  92        B       1        36.0000%    12/31/98   556,295     200,266
  Rock, AR                                                                                

  Saginaw-Bay City-Midland, 94        B       1        91.7000%    12/31/98   401,991     368,626
  MI                                                                                      

  Shreveport, Louisiana     100       B       1        87.0000%    12/31/98   378,641     329,418

  Jackson, MS               106       A       1        90.2200%    12/31/98   429,614     387,598

  Madison, WI               113       B       1        9.7800%     12/31/98   424,586     41,525

  Appleton-Oskosh-Neenah,   125       B       1        98.8500%    12/31/98   344,464     340,503
  WI                                                                                      

  Kalamazoo, MI             132       B       1        97.0000%    12/31/98   305,326     296,166

  Biloxi-Gulfport, MS       173       A       1        96.4500%    12/31/98   231,474     223,257

  Lafayette, LA             174       B       1        49.0000%    12/31/98   234,181     114,749

  Battle Creek, MI          177       B       1        97.0000%    12/31/98   195,540     189,674

  Muskegon, MI              181       B       1        97.0000%    12/31/98   191,581     185,834

  Benton Harbor, MI         193       B       1        97.0000%    12/31/98   160,245     155,438

  Alexandria, LA            205       B       1        100.0000%   12/31/98   145,753     145,753

  Jackson, MI               207       B       1        97.0000%    12/31/98   156,157     151,472

  Monroe, LA                219       B       1        87.0000%    12/31/98   146,979     127,872

  Eau Claire, WI            232       B       1        55.5000%    12/31/98   143,861     79,843

  Texarkana, TX --          240       B       1        89.0000%    12/31/98   136,572     121,549
  Texarkana, AR                                                                           

  Pascagoula, MS            252       A       1        89.2200%    12/31/98   130,910     116,798

  La Crosse, WI             290       B       1        95.0000%    12/31/98   102,565     97,437

  Pine Bluff, AK            291       B       1        100.0000%   12/31/98   81,556      81,556

  Sherman-Denison, TX       292       B       1        0.5000%     12/31/98   102,815     514

  Arkansas 2 -- Marion      325       B       1        82.0000%    12/31/98   94,229      77,268

  Arkansas 3 -- Sharp       326       B       1        82.0000%    12/31/98   102,936     84,408

  Arkansas 11 -- Hempstead  334       B       1        89.0000%    12/31/98   66,133      58,858

  Arkansas 12 -- Ouachita   335       B       1        80.0000%    12/31/98   185,087     148,070

  Louisiana 1 -- Claiborne  454       B       1        87.0000%    12/31/98   111,848     97,308

  Louisiana 2 -- Morehouse  455       B       1        87.0000%    12/31/98   115,219     100,241

  Louisiana 3 -- De Soto    456       B       2        87.0000%    12/31/98   146,932     127,831

  Louisiana 4 -- Caldwell   457       B       1        100.0000%   12/31/98   73,552      73,552

  Michigan 1 -- Gogebic     472       B       1        100.0000%   12/31/98   197,174     197,174

  Michigan 2 -- Alger       473       B       1        100.0000%   12/31/98   113,344     113,344

  Michigan 3 -- Emmet       474       B       1        42.8400%    12/31/98   164,337     70,402

  Michigan 4 -- Cheboygan   475       B       1        100.0000%   12/31/98   134,847     134,847

  Michigan 5 -- Manistee    476       B       1        42.8400%    12/31/98   160,758     68,869

  Michigan 6 -- Roscommon   477       B       1        98.0000%    12/31/98   141,095     138,273

  Michigan 7 -- Newaygo     478       B       1        56.0700%    12/31/98   244,501     137,092

  Michigan 8 -- Allegan     479       B       1        97.0000%    12/31/98   101,662     98,612

  Michigan 9 -- Cass        480       B       1        43.3800%    12/31/98   299,579     129,957

  Michigan 10 -- Tuscola    481       B       1        26.0000%    12/31/98   136,459     35,479

  Mississippi 2 -- Benton   494       A       1        100.0000%   12/31/98   249,770     249,770

  Mississippi 5 --          497       A       1        100.0000%              159,801     159,801
  Washington                                                                              

  Mississippi 6 --          498       A       1        100.0000%   12/31/98   183,013     183,013
  Montgomery                                                                              

  Mississippi 7 -- Leake    499       A       1        100.0000%   12/31/98   180,260     180,260

  Texas 7 -- Fanni          658       B       6        89.0000%    12/31/98   374,211     333,048

  Texas 16 -- Burleson      667       B       1        9.6000%     12/31/98   334,553     32,117

  Washington 5 -- Kittitas  697       B       1        8.4700%     12/31/98   127,317     10,784

  Washington 8 -- Whitman   700       B       1        7.3600%     12/31/98   120,939     8,901

  Wisconsin 1 -- Burnett    708       B       1        42.2100%    12/31/98   112,725     47,581

  Wisconsin 2 -- Bayfield   709       B       1        99.0000%    12/31/98   85,150      84,299

  Wisconsin 3 -- Vilas      710       B       1        42.8600%    12/31/98   141,299     60,561

  Wisconsin 4 -- Marinette  711       B       1        25.0000%    12/31/98   120,582     30,146

  Wisconsin 6 --            713       B       1        57.1400%    12/31/98   116,883     66,787
  Trempealeau                                                                             

  Wisconsin 7 -- Wood       714       B       1        22.7000%    12/31/98   289,795     65,783

  Wisconsin 8 -- Vernon     715       B       1        84.0000%    12/31/98   236,606     198,749

  Wisconsin 10 -- Door      717       B       1        22.5000%    12/31/98   129,245     29,080
  ------------------------- --------- ------- -------- ----------- ---------- ----------- ---------

**CFW Communications**

  ------------------------ --------- ------- -------- ---------- ---------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned   As of Date 1998 POPs Net POPs
                           Number    Block   Market                                   

  Virginia 5 -- Bath       685       B       1        21.9800%   12/31/98   61,441    13,505

  Virginia 6 -- Highland   686       B       1        84.1100%   12/31/98   216,746   182,305
  ------------------------ --------- ------- -------- ---------- ---------- --------- ---------

**Convergys**

  ------------------------ --------- ------- -------- ---------- ---------- ----------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned   As of Date 1998 POPs   Net POPs
                           Number    Block   Market                                     

  Cincinnati, OH-KY-IN     23        B       1        45.0000%   12/31/98   1,530,386   688,674

  Columbus, OH             31        B       1        45.0000%   12/31/98   1,332,708   599,719

  Dayton, OH               40        B       1        45.0000%   12/31/98   846,407     380,883

  Hamilton-Middletown, OH  145       B       1        45.0000%   12/31/98   330,428     148,693

  Springfield, OH          180       B       1        45.0000%   12/31/98   183,523     82,585

  Kentucky 7 -- Trimble    449       B       2        45.0000%   12/31/98   177,071     79,682

  Ohio 4 -- Mercer         588       B       1        45.0000%   12/31/98   228,533     102,840

  Ohio 7 -- Tuscarawas     591       B       1        45.0000%   12/31/98   257,869     116,041

  Ohio 8 -- Clinton        592       B       1        45.0000%   12/31/98   178,218     80,198

  Ohio 10 -- Perry         594       B       1        45.0000%   12/31/98   175,484     78,968
  ------------------------ --------- ------- -------- ---------- ---------- ----------- ---------

**Dobson Communications**

  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs Net POPs
                           Number    Block   Market                                    

  Eau Claire, WI           232       A       1        48.0000%               143,861   69,053

  Wausau, WI               263       A       1        47.9500%               123,223   59,085

  Youngstown-Warren, OH    66        A       1        100.0000%   6/30/99    480,231   480,231

  Erie, PA                 130       A       1        100.0000%   6/30/99    276,401   276,401

  Duluth, MN-WI            141       A       1        50.0000%               236,464   118,232

  Orange County, NY        144       A       1        50.0000%    12/31/98   329,220   164,610

  Poughkeepsie, NY         151       A       1        47.8000%               265,317   126,822

  Santa Cruz, CA           175       A       1        87.3000%    6/30/99    242,994   212,134

  Sharon, PA               238       A       1        100.0000%   6/30/99    121,938   121,938

  Hagerstown, MD           257       A       1        100.0000%   6/30/99    127,352   127,352

  Cumberland, MD-WV        269       A       1        100.0000%   6/30/99    98,070    98,070

  Enid, OK                 302       A       1        100.0000%   6/30/99    56,859    56,859

  Alton-Granite City, IL   305       A       1        43.5000%               21,373    9,297

  Alaska 1 - Wade Hampton  315       A       1        100.0000%   2/18/00    125,620   125,620

  Alaska 3 -- Haines       317       A       1                               71,886    

  Arizona 1 -- Mohave      318       A       1                               130,618   

  Arizona 5 -- Gila        322       B       1        75.0000%    6/30/99    195,903   146,927

  California 4 -- Madera   339       A       1        100.0000%   6/30/99    361,252   361,252

  California 7 -- Imperial 342       B       1        100.0000%   6/30/99    144,051   144,051

  Kansas 5 -- Brown        432       A       1        100.0000%   6/30/99    119,263   119,263

  Kentucky 4 -- Spencer    446       A       1        50.0000%               250,884   125,442

  Kentucky 5 -- Barren     447       A       1        50.0000%               159,099   79,550

  Kentucky 6 -- Madison    448       A       1        50.0000%               267,723   133,862

  Kentucky 8 -- Mason      450       A       1        50.0000%               121,142   60,571

  Maryland 1 -- Garrett    467       A       1        100.0000%   6/30/99    29,238    29,238

  Maryland 2 -- Kent       468       A       1        100.0000%   6/30/99    456,653   456,653

  Maryland 3 -- Frederick  469       A       1        100.0000%   6/30/99    186,777   186,777

  Michigan 1 -- Gogebic    472       A       1        50.0000%               197,174   98,587

  Michigan 3 -- Emmet      474       A       1        100.0000%              164,337   164,337

  Michigan 10 -- Tuscola   481       A       1        100.0000%   3/6/00     136,459   136,459

  Minnesota 2 -- Lake of   483       A       2        50.0000%               64,189    32,095
  the Woods                                                                            

  Minnesota 3 --           484       A       1        50.0000%               59,395    29,698
  Koochiching                                                                          

  Minnesota 4 -- Lake      485       A       1        50.0000%               15,358    7,679

  Minnesota 5 -- Wilkin    486       A       1        50.0000%               207,720   103,860

  Minnesota 6 -- Hubbard   487       A       1        50.0000%               259,847   129,924

  Missouri 1 -- Atchison   504       A       1        100.0000%   6/30/99    42,563    42,563

  Missouri 4 -- De Kalb    507       A       1        100.0000%   6/30/99    71,247    71,247

  Missouri 5 -- Linn       508       A       2        100.0000%   6/30/99    68,533    68,533

  New York 3 -- Chautauqua 561       A       1        100.0000%   6/30/99    476,839   476,839

  New York 5 -- Otsego     563       A       1        50.0000%               374,774   187,387

  New York 6 -- Columbia   564       A       1        50.0000%               111,028   55,514

  Ohio 2 -- Sandusky       586       A       1        100.0000%   6/30/99    260,887   260,887

  Ohio 7 -- Tuscarawas     591       A       1        50.0000%               257,869   128,935

  Ohio 10 -- Perry         594       A       1        50.0000%    12/31/98   175,484   87,742

  Ohio 11 -- Columbiana    595       A       1        100.0000%   6/30/99    111,521   111,521

  Oklahoma 2 -- Harper     597       A       1        100.0000%   6/30/99    48,679    48,679

  Oklahoma 3 -- Grant      598       B       1        5.0000%     12/31/98   207,339   10,367

  Oklahoma 5 -- Roger      600       B       1        64.4000%    6/30/99    58,042    37,379
  Mills                                                                                

  Oklahoma 7 -- Beckham    602       B       1        64.4000%    6/30/99    128,753   82,917

  Pennsylvania 1 --        612       A       1        100.0000%   6/30/99    196,171   196,171
  Crawford                                                                             

  Pennsylvania 2 -- McKean 613       A       2        100.0000%   6/30/99    86,660    86,660

  Pennsylvania 6 --        617       A       1        100.0000%   6/30/99    380,694   380,694
  Lawrence                                                                             

  Pennsylvania 7 --        618       A       1        100.0000%   6/30/99    215,569   215,569
  Jefferson                                                                            

  Pennsylvania 9 -- Greene 620       A       1        50.0000%               185,589   92,795

  Pennsylvania 10 --       621       A       1        100.0000%   6/30/99    191,873   191,873
  Bedford                                                                              

  Tennessee 4 -- Hamblen   646       A       1        50.0000%               274,517   137,259

  Texas 2 -- Hansford      653       B       1        61.0000%    6/30/99    90,557    55,240

  Texas 9 -- Runnels       660       A       1        100.0000%              186,658   186,658

  Texas 10 -- Navarro      661       A       1        100.0000%   6/30/99    317,225   317,225

  Texas 16 -- Burleson     667       A       1        100.0000%   6/30/99    334,553   334,553

  West Virginia 2 --       702       A       1        50.0000%               77,979    38,990
  Wetzel                                                                               

  West Virginia 3 --       703       A       1        50.0000%               266,003   133,002
  Monongalia                                                                           

  Wisconsin 1 -- Burnett   708       A       1        50.0000%               112,725   56,363

  Wisconsin 2 -- Bayfield  709       A       2        50.0000%               85,150    42,575

  Wisconsin 3 -- Vilas     710       A       1        50.0000%               141,299   70,650

  Wisconsin 4 -- Marinette 711       A       1        50.0000%               120,582   60,291

  Wisconsin 5 -- Pierce    712       A       1        50.0000%               95,999    48,000

  Wisconsin 6 --           713       A       2        50.0000%               116,883   58,442
  Trempealeau                                                                          
  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------

**Hickory Tech**

  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs Net POPs
                           Number    Block   Market                                    

  Minnesota 10 -- Le Sueur 491       A       1        100.0000%   12/31/98   230,935   230,935
  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------

**Midwest Wireless**

  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs Net POPs
                           Number    Block   Market                                    

  Rochester, MN            288       B       1        100.0000%   12/31/98   116,702   116,702

  Iowa 6 -- Iowa           417       B       1        100.0000%   3/2/00     156,100   156,100

  Iowa 13 -- Mitchell      424       B       1        50.0000%    3/2/00     66,188    33,094

  Iowa 14 -- Kossuth       425       B       1        13.2800%    3/2/00     106,514   14,145

  Iowa 15 -- Dickinson     426       B       1        49.1400%    3/2/00     82,903    40,739

  Iowa 16 -- Lyon          427       B       2                               103,198   

  Minnesota 7 -- Chippewa  488       B       1        100.0000%   12/31/98   170,987   170,987

  Minnesota 8 -- Lac qui   489       B       1        100.0000%   12/31/98   66,725    66,725
  Parle                                                                                

  Minnesota 9 -- Pipestone 490       B       1        100.0000%   12/31/98   132,729   132,729

  Minnesota 10 -- Le Sueur 491       B       1        100.0000%   12/31/98   230,935   230,935

  Minnesota 11 -- Goodhue  492       B       1        100.0000%   12/31/98   206,468   206,468

  Wisconsin 5 -- Pierce    712       B       1        100.0000%   3/17/00    95,999    95,999
  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------

**Northeast Communications of Wisconsin**

  ------------------------ --------- ------- -------- ---------- --------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned   As of     1998 POPs Net POPs
                           Number    Block   Market              Date                

  Green Bay, WI            186       B       1        67.0000%             215,373   144,300

  Wausau, WI               263       B       1        71.7600%   11/1/98   123,223   88,425

  Iowa 3 -- Monroe         414       B       1        55.0000%   5/5/99    90,478    49,763

  Iowa 11 -- Hardin        422       B       1        20.0000%             112,534   22,507

  Iowa 12 -- Winneshiek    423       B       1        90.0000%   5/5/99    115,174   103,657

  Wisconsin 4 -- Marinette 711       B       1        25.0000%   5/5/99    120,582   30,146

  Wisconsin 10 -- Door     717       B       1        54.3500%   5/5/99    129,245   70,245
  ------------------------ --------- ------- -------- ---------- --------- --------- ---------

**Price Communications**

  ------------------------ --------- ------- -------- ----------- --------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned    As of     1998 POPs Net POPs
                           Number    Block   Market               Date                

  Augusta, GA/SC           108       A       1        100.0000%   9/30/99   438,268   438,268

  Macon-Warner Robins, GA  138       A       1        99.6000%    9/30/99   319,502   318,224

  Montgomery, AL           139       A       1        94.6000%    9/30/99   321,781   304,405

  Columbus, GA-AL          153       A       1        99.1000%    9/30/99   249,818   247,570

  Savannah, GA             155       A       1        98.5000%    9/30/99   285,508   281,225

  Dothan, AL               246       A       1        95.0000%    9/30/99   134,749   128,012

  Albany, GA               261       A       1        96.8000%    9/30/99   118,076   114,298

  Panama City, FL          283       A       1        92.0000%    9/30/99   146,999   135,239

  Alabama 5 -- Cleburne    311       A       3        100.0000%             213,811   213,811

  Alabama 8 -- Lee         314       A       1        100.0000%   9/30/99   177,437   177,437

  Georgia 6 -- Spalding    376       A       1        96.5000%    9/30/99   203,032   195,926

  Georgia 7 -- Hancock     377       A       1        100.0000%   9/30/99   134,061   134,061

  Georgia 8 -- Warren      378       A       1        100.0000%   9/30/99   158,788   158,788

  Georgia 9 -- Marion      379       A       1        100.0000%   9/30/99   118,965   118,965

  Georgia 10 -- Bleckley   380       A       1        100.0000%   9/30/99   151,920   151,920

  Georgia 12 -- Liberty    382       A       1        100.0000%   9/30/99   217,965   217,965

  Georgia 13 -- Early      383       A       1        96.8000%    9/30/99   149,785   144,992
  ------------------------ --------- ------- -------- ----------- --------- --------- ---------

**Public Service Communications**

  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs Net POPs
                           Number    Block   Market                                    

  Columbus, GA-AL          153       B       1                               249,818   

  Alabama 5 -- Cleburne    311       B       3        100.0000%   12/31/98   213,811   213,811

  Alabama 8 -- Lee         314       B       2        100.0000%   12/31/98   177,437   177,437

  Georgia 5 -- Haralson    375       B       2        100.0000%   12/31/98   261,567   261,567

  Georgia 6 -- Spalding    376       B       1        100.0000%   12/31/98   203,032   203,032

  Georgia 6 -- Spalding    376       B       2        100.0000%   12/31/98   203,032   203,032

  Georgia 6 -- Spalding    376       B       3                               203,032   

  Georgia 9 -- Marion      379       B       1                               118,965   
  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------

**Roseville Communications**

  ------------------------ --------- ------- -------- ---------- ---------- ----------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned   As of Date 1998 POPs   Net POPs
                           Number    Block   Market                                     

  Sacramento, CA           35        B       1        23.5000%   12/31/98   1,527,310   358,918

  Stockton, CA             107       B       1        23.5000%   12/31/98   550,445     129,355

  Modesto, CA              142       B       1        23.5000%   12/31/98   426,460     100,218

  Reno, NV                 171       B       1        23.5000%   12/31/98   313,660     73,710

  Chico                    215       B       1        23.5000%   12/31/98   194,597     45,730

  Yuba City, CA            274       B       1        23.5000%   12/31/98   137,043     32,205

  California 8 -- Tehama   343       B       1        23.5000%   12/31/98   98,879      23,237

  California 10 -- Sierra  345       B       1        23.5000%   12/31/98   94,714      22,258

  Nevada 3 -- Storey       545       B       1        23.5000%   12/31/98   119,477     28,077
  ------------------------ --------- ------- -------- ---------- ---------- ----------- ---------

**Rural Cellular**

  ------------------------ --------- ------- -------- ----------- --------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned    As of     1998 POPs Net POPs
                           Number    Block   Market               Date                

  Bangor, ME               224       B       1        100.0000%   6/30/99   142,323   142,323

  Burlington, VT           248       A       1        100.0000%   6/30/99   148,878   148,878

  Alabama 3 -- Lamar       309       A       1        100.0000%   9/30/99   136,638   136,638

  Alabama 4 -- Bibb        310       A       1        100.0000%   9/30/99   141,731   141,731

  Alabama 7 -- Butler      313       A       2        100.0000%   9/30/99   168,759   168,759

  Kansas 1 -- Cheyenne     428       A       1        100.0000%   9/30/99   27,044    27,044

  Kansas 2 -- Norton       429       A       1        100.0000%   9/30/99   29,996    29,996

  Kansas 6 -- Wallace      433       A       1        100.0000%   9/30/99   19,472    19,472

  Kansas 7 -- Trego        434       A       1        100.0000%   9/30/99   79,248    79,248

  Kansas 11 -- Hamilton    438       A       1        100.0000%   9/30/99   86,082    86,082

  Kansas 12 -- Hodgeman    439       A       1        100.0000%   9/30/99   43,971    43,971

  Kansas 13 -- Edwards     440       A       1        100.0000%   9/30/99   28,836    28,836

  Maine 1 -- Oxford        463       B       1        100.0000%   6/30/99   82,606    82,606

  Maine 2 -- Somerset      464       B       1        100.0000%   6/30/99   146,747   146,747

  Maine 3 -- Kennebec      465       B       1        100.0000%   6/30/99   221,334   221,334

  Massachusetts 1 --       470       A       1        100.0000%   6/30/99   70,597    70,597
  Franklin                                                                            

  Minnesota 1 -- Kittson   482       B       1        100.0000%   6/30/99   49,587    49,587

  Minnesota 2 -- Lake of   483       B       1        100.0000%   6/30/99   64,189    64,189
  the Woods                                                                           

  Minnesota 3 --           484       B       1        100.0000%   6/30/99   59,395    59,395
  Koochiching                                                                         

  Minnesota 5 -- Wilkin    486       B       1        100.0000%   6/30/99   207,720   207,720

  Minnesota 6 -- Hubbard   487       B       1        100.0000%   6/30/99   259,847   259,847

  Mississippi 1 -- Tunica  493       A       1        100.0000%   9/30/99   173,216   173,216

  Mississippi 3 -- Bolivar 495       A       1        100.0000%   9/30/99   158,256   158,256

  Mississippi 4 --         496       A       1        100.0000%   9/30/99   127,528   127,528
  Yalobusha                                                                           

  New Hampshire 1 - Coos   548       A       1        100.0000%   6/30/99   223,007   223,007

  New York 2 -- Franklin   560       A       1        100.0000%   6/30/99   224,207   224,207

  Oregon 3 -- Umatilla     608       A       1        100.0000%   9/30/99   150,757   150,757

  Oregon 4 -- Lincoln      609       A       1        100.0000%   9/30/99   227,587   227,587

  Oregon 6 -- Crook        611       A       1        100.0000%   9/30/99   200,411   200,411

  South Dakota 4 --        637       B       1        100.0000%   6/30/99   68,452    68,452
  Marshall                                                                            

  Vermont 1 -- Franklin    679       A       1        100.0000%   6/30/99   210,251   210,251

  Vermont 2 -- Addison     680       A       1        100.0000%   6/30/99   231,754   231,754

  Washington 2 -- Okanogan 694       A       1        100.0000%   9/30/99   131,920   131,920

  Washington 3 -- Ferry    695       A       1        100.0000%   9/30/99   58,160    58,160

  Washington 8 -- Whitman  700       A       1        100.0000%   9/30/99   120,939   120,939
  ------------------------ --------- ------- -------- ----------- --------- --------- ---------

**SBC Communications**

  -------------------------------------------- --------- ------- -------- ----------- ---------- ----------- -----------
  MSA/RSA Name                                 MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs   Net POPs
                                               Number    Block   Market                                      

  Chicago, IL                                  3         A       1        100.0000%   12/31/98   7,766,679   7,766,679

  Philadelphia, PA                             4         A       1        100.0000%   12/31/98   4,881,650   4,881,650

  Detroit/Ann Arbor, MI                        5         B       1        95.4230%    12/31/98   4,779,588   4,560,826

  Boston-Lowell-Brockton-Lawrence-Haverhill,   6         A       1        100.0000%   12/31/98   4,146,082   4,146,082
  MA-NH                                                                                                      

  Washington, DC-MD-VA                         8         A       1        90.0000%    12/31/98   3,963,144   3,566,830

  Dallas-Forth Worth, TX                       9         B       1        82.5000%    12/31/98   4,706,948   3,883,232

  St. Louis, MO-IL                             11        B       1        98.0000%    12/31/98   2,481,272   2,431,647

  Baltimore, MD                                14        A       1        90.0000%    12/31/98   2,444,280   2,199,852

  Milwaukee, WI                                21        B       1        79.0750%    12/31/98   1,459,805   1,154,341

  Cincinnati, OH-KY-IN                         23        B       1        52.7930%    12/31/98   1,530,386   807,937

  Kansas City, MO-KS                           24        B       1        81.0000%    12/31/98   1,587,406   1,285,799

  Buffalo, NY                                  25        A       1        100.0000%   12/31/98   1,152,541   1,152,541

  New Orleans, LA                              29        A       1        100.0000%              1,171,481   1,171,481

  Columbus, OH                                 31        B       1        52.7930%    12/31/98   1,332,708   703,577

  Hartford-New Britain-Bristol, CT             32        B       1        99.5000%    12/31/98   1,110,065   1,104,515

  San Antonio, TX                              33        B       1        70.0000%    12/31/98   1,506,915   1,054,841

  Rochester, NY                                34        A       1        100.0000%   12/31/98   1,021,229   1,021,229

  Providence-Warwick-Pawtucket, RI             38        A       1        100.0000%   12/31/98   905,612     905,612

  Dayton, OH                                   40        B       1        52.7930%    12/31/98   846,407     446,844

  Bridgeport-Stamford-Norwalk-Danbury, CT      42        B       1        99.5000%    12/31/98   838,362     834,170

  Albany-Schenectady-Troy, NY                  44        A       1        100.0000%   12/31/98   839,166     839,166

  Oklahoma City, OK                            45        B       1        62.0000%    12/31/98   1,008,029   624,978

  New Haven-West Haven-Waterbury-Meriden, CT   49        B       1        99.5000%    12/31/98   793,504     789,536

  Syracuse, NY                                 53        A       1        100.0000%   12/31/98   653,376     653,376

  Gary-Hammond-East Chicago, IN                54        A       1        66.7000%    12/31/98   624,049     416,241

  Worchester-Fitchburg-Leominster, MA          55        A       1        95.3000%    12/31/98   731,881     697,483

  New Brunswick-Perth Amboy-Sayreville, NJ     62        A       1        100.0000%   12/31/98   716,176     716,176

  Springfield-Chicopee-Holyoke, MA             63        B       1        99.5000%    12/31/98   588,993     586,048

  Flint, MI                                    68        B       1        95.4230%    12/31/98   508,653     485,372

  Wilmington, DE-NJ-MD                         69        A       1        100.0000%   12/31/98   630,241     630,241

  Long Branch-Asbury Park, NJ                  70        A       1        100.0000%   12/31/98   603,434     603,434

  New Bedford-Fall River, MA                   76        A       1        100.0000%   12/31/98   517,543     517,543

  Baton Rouge, LA                              80        A       1        85.0000%               575,129     488,860

  Wichita, KS                                  89        B       1        60.0000%    12/31/98   509,982     305,989

  San Juan-Caguas, PR                          91        A       1        100.0000%   12/31/98   2,289,855   2,289,855

  Little Rock-North Little Rock, AR            92        A       1        100.0000%   12/31/98   556,295     556,295

  Corpus Christi, TX                           112       B       1        100.0000%   12/31/98   387,733     387,733

  Madison, WI                                  113       B       1        64.6810%    12/31/98   424,586     274,626

  Utica-Rome, NY                               115       A       1        100.0000%   12/31/98   294,677     294,677

  Trenton, NJ                                  121       A       1        87.2000%    12/31/98   331,629     289,180

  McAllen-Edinburg-Mission, TX                 128       B       1        77.5000%    12/31/98   522,204     404,708

  Atlantic City, NJ                            134       A       1        97.4000%    12/31/98   336,116     327,377

  Hamilton-Middletown, OH                      145       B       1        52.7930%    12/31/98   330,428     174,443

  Ponce, PR                                    147       A       1        100.0000%   12/31/98   281,886     281,886

  New London-Norwich, CT                       154       B       1        99.5000%    12/31/98   245,740     244,511

  Lubbock, TX Counties - Lubbock               161       B       1        71.0000%    12/31/98   229,475     162,927

  Brownsville-Harlingen, TX                    162       B       1        77.5000%    12/31/98   326,449     252,998

  Fort Smith, AK-OK                            165       A       1        100.0000%   12/31/98   240,609     240,609

  Mayaguez, PR                                 169       A       1        100.0000%   12/31/98   256,076     256,076

  Springfield, IL                              176       A       1        96.7000%    12/31/98   203,847     197,120

  Topeka, KS                                   179       B       1        77.0000%    12/31/98   200,730     154,562

  Springfield, OH                              180       B       1        52.7930%    12/31/98   183,523     96,887

  Fayetteville-Springdale, AK                  182       A       1        100.0000%   12/31/98   272,616     272,616

  Houma-Thibodaux, LA                          184       A       1        95.0000%               193,858     184,165

  Amarillo, TX                                 188       B       1        71.0000%    12/31/98   208,607     148,111

  Racine, WI                                   189       B       1        79.0750%    12/31/98   186,119     147,174

  Champaign-Urbana-Rantoul, IL                 196       A       1        98.3000%    12/31/98   167,788     164,936

  Arecibo, PR                                  202       A       1        100.0000%   12/31/98   188,384     188,384

  Aguadilla, PR                                204       A       1        99.0100%    12/31/98   173,903     172,181

  Pittsfield, MA                               213       B       1        99.5000%    12/31/98   133,038     132,373

  Janesville-Beloit, WI                        216       B       1        64.6810%    12/31/98   150,736     97,498

  Abilene, TX                                  220       B       1        71.0000%    12/31/98   153,481     108,972

  Vineland-Millville-Bridgeton, NJ             228       A       1        94.6000%    12/31/98   140,341     132,763

  Decatur, IL                                  230       A       1        99.0000%    12/31/98   113,772     112,634

  Kenosha, WI                                  244       B       1        79.0750%    12/31/98   144,339     114,136

  Bloomington-Normal, IL                       250       A       1        96.0000%    12/31/98   142,652     136,946

  Odessa, TX                                   255       B       1        71.0000%    12/31/98   125,729     89,268

  Glens Falls, NY                              266       A       1        100.0000%   12/31/98   121,742     121,742

  St. Joseph, MO                               275       B       1        51.0000%    12/31/98   97,338      49,642

  Sheboygan, WI                                277       B       1        79.0750%    12/31/98   110,170     87,117

  Columbia, MO                                 278       A       1        100.0000%   12/31/98   129,098     129,098

  Laredo, TX                                   281       B       1        55.5000%    12/31/98   188,166     104,432

  Pine Bluff, AK                               291       A       1        49.1300%    12/31/98   81,556      40,068

  Sherman-Denison, TX                          292       B       1        82.5000%    12/31/98   102,815     84,822

  Midland, TX                                  295       B       1        71.0000%    12/31/98   119,647     84,949

  Lawrence, KS                                 301       B       1        81.0000%    12/31/98   93,137      75,441

  Aurora-Elgin, IL                             303       A       1        83.4000%    12/31/98   51,817      43,215

  Joliet, IL                                   304       A       1        85.3000%    12/31/98   36,686      31,293

  Arkansas 1 -- Madison                        324       A       1        50.0000%    12/31/98   75,810      37,905

  Arkansas 2 -- Marion                         325       A       1        50.0000%    12/31/98   94,229      47,115

  Arkansas 3 -- Sharp                          326       A       1        50.0000%    12/31/98   102,936     51,468

  Arkansas 4 -- Clay                           327       A       1        50.0000%    12/31/98   206,300     103,150

  Arkansas 5 -- Cross                          328       A       1        50.0000%    12/31/98   118,482     59,241

  Arkansas 6 -- Cleburne                       329       A       1        50.0000%    12/31/98   105,747     52,874

  Arkansas 7 -- Pope                           330       A       1        50.0000%    12/31/98   116,279     58,140

  Arkansas 8 -- Franklin                       331       A       1        50.0000%    12/31/98   70,194      35,097

  Arkansas 10 -- Garland                       333       A       1        50.0000%    12/31/98   159,901     79,951

  Arkansas 12 -- Ouachita                      335       A       1        50.0000%    12/31/98   185,087     92,544

  Connecticut 1 -- Litchfield                  357       B       1        99.5000%    12/31/98   181,277     180,371

  Connecticut 2 -- Windham                     358       B       1        99.5000%    12/31/98   105,121     104,595

  Delaware 1 -- Kent                           359       A       1        50.0000%    12/31/98   260,796     130,398

  Hawaii 1 -- Kauai                            385       A       1        100.0000%   12/31/98   56,603      56,603

  Illinois 2 -- Bureau                         395       A       1        100.0000%   12/31/98   255,746     255,746

  Illinois 4 -- Adams                          397       A       1        55.5000%    12/31/98   214,892     119,265

  Illinois 5 -- Mason                          398       A       1        100.0000%   12/31/98   95,732      95,732

  Illinois 6 -- Montgomery                     399       A       1        55.5000%    12/31/98   201,881     112,044

  Kansas 5 -- Brown                            432       B       2        100.0000%   12/31/98   119,263     119,263

  Kentucky 7 -- Trimble                        449       B       2        52.7930%    12/31/98   177,071     93,481

  Massachusetts 1 -- Franklin                  470       B       1        99.5000%    12/31/98   70,597      70,244

  Massachusetts 2 -- Barnstable                471       A       1        100.0000%   12/31/98   230,150     230,150

  Michigan 5 -- Manistee                       476       B       1        11.1900%               160,758     17,989

  Missouri 7 -- Saline                         510       A       1        100.0000%   12/31/98   165,839     165,839

  Missouri 8 -- Callaway                       511       B       1        60.0000%    12/31/98   110,667     66,400

  Missouri 9 -- Bates                          512       B       1        50.4000%    12/31/98   78,733      39,681

  Missouri 10 -- Benton                        513       A       1        100.0000%   12/31/98   100,384     100,384

  Missouri 11 -- Moniteau                      514       B       1        50.0000%    12/31/98   150,741     75,371

  Missouri 12 -- Maries                        515       B       1        50.0000%    12/31/98   121,840     60,920

  Missouri 13 -- Washington                    516       B       1        98.0000%    12/31/98   95,986      94,066

  Missouri 17 -- Shannon                       520       B       1        98.0000%    12/31/98   56,370      55,243

  Missouri 18 -- Perry                         521       B       1        98.0000%    12/31/98   119,777     117,381

  Missouri 19 -- Stoddard                      522       B       1        98.0000%    12/31/98   198,427     194,458

  New Jersey 2 -- Ocean                        551       A       1        100.0000%   12/31/98   489,819     489,819

  New York 1 -- Jefferson                      559       A       1        100.0000%   12/31/98   252,232     252,232

  New York 4 -- Yates                          562       A       1        100.0000%   12/31/98   351,639     351,639

  Ohio 4 -- Mercer                             588       B       1        52.7930%    12/31/98   228,533     120,649

  Ohio 7 -- Tuscarawas                         591       B       1        52.7930%    12/31/98   257,869     136,137

  Ohio 8 -- Clinton                            592       B       1        52.7930%    12/31/98   178,218     94,087

  Ohio 10 -- Perry                             594       B       1        52.7930%    12/31/98   175,484     92,643

  Oklahoma 3 -- Grant                          598       B       1        74.0000%    12/31/98   207,339     153,431

  Oklahoma 9 -- Garvin                         604       B       1        60.0000%    12/31/98   203,617     122,170

  Rhode Island 1 -- Newport                    624       A       1        100.0000%   12/31/98   82,868      82,868

  Texas 6 -- Jack                              657       B       1        49.5000%    12/31/98   84,562      41,858

  Texas 7 -- Fanni                             658       B       1        50.0000%    12/31/98   374,211     187,106

  Texas 9 -- Runnels                           660       B       1        35.6000%    12/31/98   186,658     66,450

  Texas 9 -- Runnels                           660       B       4        84.6000%    12/31/98   186,658     157,913

  Texas 10 -- Navarro                          661       B       1        75.0000%    12/31/98   317,225     237,919

  Texas 18 -- Edwards                          669       B       1        34.0000%    12/31/98   224,996     76,499

  Texas 19 -- Atascosa                         670       B       1        33.3000%    12/31/98   232,216     77,328

  Texas 20 -- Wilson                           671       B       1        50.0000%    12/31/98   149,571     74,786

  Virginia 10 -- Frederick                     690       A       1        90.0000%    12/31/98   239,823     215,841

  Virginia 11 -- Madison                       691       A       1        90.0000%    12/31/98   288,296     259,466

  Virginia 12 -- Caroline                      692       A       1        90.0000%    12/31/98   179,203     161,283

  West Virginia 4 -- Grant                     704       A       1        90.0000%    12/31/98   176,008     158,407

  Wisconsin 9 -- Columbia                      716       B       1        71.8780%    12/31/98   388,006     278,891

  Wisconsin 9 -- Columbia                      716       B       2        71.8780%    12/31/98   388,006     278,891

  Puerto Rico 1 -- Rincon                      723       A       1        100.0000%   12/31/98   12,213      12,213

  Puerto Rico 2 -- Adjuntas                    724       A       1        100.0000%   12/31/98   269,059     269,059

  Puerto Rico 3 -- Ciales                      725       A       1        100.0000%   12/31/98   115,037     115,037

  Puerto Rico 4 -- Aibonito                    726       A       1        100.0000%   12/31/98   259,361     259,361

  Puerto Rico 6 -- Vieques                     728       A       1        100.0000%   12/31/98   8,602       8,602

  Puerto Rico 7 -- Culebra                     729       A       1        100.0000%   12/31/98   1,542       1,542

  Virgin Islands 1 -- St.Thomas Island         730       A       1        100.0000%   12/31/98   38,780      38,780

  Virgin Islands 2 -- St. Croix Island         731       A       1        100.0000%   12/31/98   63,220      63,220
  -------------------------------------------- --------- ------- -------- ----------- ---------- ----------- -----------

Note: BellSouth and SBC have announced a merger of their wireless
assets.

**Shenandoah Telecommunications**

  ------------------------ --------- ------- -------- ---------- ---------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned   As of Date 1998 POPs Net POPs
                           Number    Block   Market                                   

  Virginia 6 -- Highland   686       B       1        11.3700%   5/1/99     216,746   24,644

  Virginia 10 -- Frederick 690       B       2        66.0000%   12/31/98   239,823   158,283
  ------------------------ --------- ------- -------- ---------- ---------- --------- ---------

**Souris River Telecommunications Cooperative**

  ------------------------ --------- ------- -------- ---------- ------- --------- --------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned   As of   1998 POPs Net POPs
                           Number    Block   Market              Date              

  North Dakota 1 -- Divide 580       B       1        16.0840%           102,605   16,503

  North Dakota 2 --        581       B       1        31.5000%           59,186    18,644
  Bottineau                                                                        

  North Dakota 5 -- Kidder 584       B       1        19.3550%           47,492    9,192
  ------------------------ --------- ------- -------- ---------- ------- --------- --------

**Triton PCS**

  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs Net POPs
                           Number    Block   Market                                    

  South Carolina 5 --      629       A       1        100.0000%   12/31/98   263,099   263,099
  Georgetown                                                                           
  ------------------------ --------- ------- -------- ----------- ---------- --------- ---------

**US Cellular**

  ----------------------------- --------- ------- -------- ----------- ---------- ------------ -----------
  MSA/RSA Name                  MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs    Net POPs
                                Number    Block   Market                                       

  Los Angeles-Long              2         B       1        5.5000%     12/31/98   15,049,306   827,712
  Beach/Anaheim-Santa                                                                          
  Ana-Garden                                                                                   
  Grove/Riverside-San                                                                          
  Bernardino-Ontario, CA                                                                       

  Milwaukee, WI                 21        A       1        100.0000%   12/31/98   1,459,805    1,459,805

  Oklahoma City, OK             45        B       1        14.6000%    12/31/98   1,008,029    147,172

  Tulsa, OK                     57        B       1        55.0600%    12/31/98   814,544      448,488

  Allentown-Bethlehem-Easton,   58        B       1        8.1200%     12/31/98   715,477      58,097
  PA-NJ                                                                                        

  Oxnard-Simi Valley-Ventura,   73        B       1        5.5000%     12/31/98   731,967      40,258
  CA                                                                                           

  Knoxville, TN                 79        B       1        96.0300%    12/31/98   555,517      533,463

  Davenport-Rock Island-Moline, 98        A       1        97.3700%    12/31/98   357,813      348,403
  IA/IL                                                                                        

  Des Moines, IA                102       A       1        100.0000%   12/31/98   436,922      436,922

  Peoria, IL                    103       A       1        100.0000%   12/31/98   344,779      344,779

  Corpus Christi, TX            112       A       1        100.0000%   12/31/98   387,733      387,733

  Madison, WI                   113       A       1        92.5000%    12/31/98   424,586      392,742

  Appleton-Oskosh-Neenah, WI    125       A       1        100.0000%   12/31/98   344,464      344,464

  McAllen-Edinburg-Mission, TX  128       A       1        26.2000%    12/31/98   522,204      136,817

  Rockford, IL                  131       A       1        100.0000%   12/31/98   306,376      306,376

  Manchester-Nashua, NH         133       A       1        92.7000%    12/31/98   363,031      336,530

  Portsmouth-Dover-Rochester,   156       B       1        40.0000%    12/31/98   283,815      113,526
  NH-ME                                                                                        

  Roanoke, VA                   157       A       1        100.0000%   12/31/98   232,710      232,710

  Tallahassee, FL               168       A       1        100.0000%   12/31/98   279,673      279,673

  Asheville, NC                 183       B       1        100.0000%   12/31/98   213,629      213,629

  Green Bay, WI                 186       A       1        99.0100%    12/31/98   215,373      213,241

  Racine, WI                    189       A       1        89.8200%    12/31/98   186,119      167,172

  Yakima, WA                    191       B       1        58.5400%    12/31/98   218,062      127,653

  Gainesville, FL               192       A       1        100.0000%   12/31/98   223,439      223,439

  Cedar Rapids, IA              195       A       1        96.0000%    12/31/98   182,651      175,345

  Waterloo-Cedar Falls, IA      201       A       1        93.0300%    12/31/98   144,532      134,458

  Lynchburg, VA                 203       A       1        100.0000%   12/31/98   158,984      158,984

  Fort Pierce, FL               208       B       1        100.0000%   12/31/98   295,118      295,118

  Richland-Kennewick-Pasco, WA  214       B       1        100.0000%   12/31/98   182,709      182,709

  Janesville-Beloit, WI         216       A       1        92.4300%    12/31/98   150,736      139,325

  Wilmington, NC                218       A       1        96.5100%    12/31/98   218,248      210,631

  Bangor, ME                    224       A       1        91.8800%    12/31/98   142,323      130,766

  Medford, OR                   229       B       1        100.0000%   12/31/98   173,123      173,123

  Wichita Falls, TX             233       B       1        70.4500%    12/31/98   139,471      98,257

  Joplin, MO                    239       B       1        100.0000%   12/31/98   148,684      148,684

  Kenosha, WI                   244       A       1        99.3200%    12/31/98   144,339      143,357

  Charlottesville, VA           256       A       1        95.3700%    12/31/98   149,190      142,283

  Hagerstown, MD                257       B       1        100.0000%   12/31/98   127,352      127,352

  Jacksonville, NC              258       A       1        96.4800%    12/31/98   142,358      137,347

  Lawton, OK                    260       B       1        70.4500%    12/31/98   113,508      79,966

  Cumberland, MD-WV             269       B       1        100.0000%   12/31/98   98,070       98,070

  Sheboygan, WI                 277       A       1        86.7600%    12/31/98   110,170      95,583

  Columbia, MO                  278       B       1        100.0000%   12/31/98   129,098      129,098

  Lewiston-Auburn, ME           279       A       1        83.6300%    12/31/98   101,280      84,700

  Laredo, TX                    281       A       1        93.7400%    12/31/98   188,166      176,387

  Dubuque, IA                   286       A       1        95.5100%    12/31/98   87,806       83,864

  La Crosse, WI                 290       A       1        95.1100%    12/31/98   102,565      97,550

  Iowa City, IA                 296       A       1        100.0000%   12/31/98   102,724      102,724

  Victoria, TX                  300       A       1        100.0000%   12/31/98   82,650       82,650

  Alton-Granite City, IL        305       B       1        100.0000%   12/31/98   21,373       21,373

  California 1 -- Del Norte     336       A       1        100.0000%   12/31/98   206,423      206,423

  California 2 -- Modoc         337       A       1        100.0000%   12/31/98   63,053       63,053

  California 9 -- Mendocino     344       A       1        100.0000%   12/31/98   138,881      138,881

  Florida 5 -- Putnam           364       A       1        100.0000%   12/31/98   117,874      117,874

  Florida 6 -- Dixie            365       A       1        100.0000%   12/31/98   58,546       58,546

  Florida 8 -- Jefferson        367       A       1        100.0000%   12/31/98   55,778       55,778

  Florida 9 -- Calhoun          368       A       1        100.0000%   12/31/98   42,734       42,734

  Florida 10 -- Walton          369       A       1        100.0000%   12/31/98   121,984      121,984

  Georgia 11 -- Toombs          381       A       1        100.0000%   12/31/98   155,791      155,791

  Georgia 14 -- Worth           384       A       1        100.0000%   12/31/98   255,094      255,094

  Idaho 5 -- Butte              392       A       1        100.0000%   12/31/98   160,290      160,290

  Idaho 6 -- Clark              393       A       1        100.0000%   12/31/98   295,734      295,734

  Illinois 1 -- Jo Daviess      394       A       1        100.0000%   12/31/98   317,684      317,684

  Illinois 3 -- Mercer          396       A       1        100.0000%   12/31/98   201,974      201,974

  Illinois 4 -- Adams           397       B       2        100.0000%   12/31/98   214,892      214,892

  Indiana 4 -- Miami            406       B       1        28.5700%    12/31/98   180,610      51,600

  Indiana 5 -- Warren           407       B       1        33.3300%    12/31/98   123,849      41,279

  Iowa 1 -- Mills               412       A       1        100.0000%   12/31/98   62,907       62,907

  Iowa 2 -- Union               413       A       1        100.0000%   12/31/98   50,301       50,301

  Iowa 3 -- Monroe              414       A       1        49.0000%    12/31/98   90,478       44,334

  Iowa 4 -- Muscatine           415       A       1        100.0000%   12/31/98   153,462      153,462

  Iowa 5 -- Jackson             416       A       1        100.0000%   12/31/98   108,301      108,301

  Iowa 6 -- Iowa                417       A       1        100.0000%   12/31/98   156,100      156,100

  Iowa 7 -- Audubon             418       A       1        100.0000%   12/31/98   54,882       54,882

  Iowa 9 -- Ida                 420       B       1        16.6700%    12/31/98   62,992       10,501

  Iowa 10 -- Humbolt            421       A       1        100.0000%   12/31/98   180,543      180,543

  Iowa 11 -- Hardin             422       A       1        100.0000%   12/31/98   112,534      112,534

  Iowa 12 -- Winneshiek         423       A       1        24.5000%    12/31/98   115,174      28,218

  Iowa 13 -- Mitchell           424       A       1        100.0000%   12/31/98   66,188       66,188

  Iowa 14 -- Kossuth            425       A       1        100.0000%   12/31/98   106,514      106,514

  Iowa 16 -- Lyon               427       A       1        100.0000%   12/31/98   103,198      103,198

  Kansas 15 -- Elk              442       B       1        75.0000%    12/31/98   153,720      115,290

  Maine 1 -- Oxford             463       A       1        100.0000%   12/31/98   82,606       82,606

  Maine 2 -- Somerset           464       A       1        100.0000%   12/31/98   146,747      146,747

  Maine 3 -- Kennebec           465       A       1        100.0000%   12/31/98   221,334      221,334

  Maine 4 -- Washington         466       B       1        100.0000%   12/31/98   85,434       85,434

  Maryland 1 -- Garrett         467       B       1        100.0000%   12/31/98   29,238       29,238

  Missouri 3 -- Schuyler        506       A       1        100.0000%   12/31/98   55,564       55,564

  Missouri 5 -- Linn            508       A       1        100.0000%   12/31/98   68,533       68,533

  Missouri 6 -- Marion          509       B       1        100.0000%   12/31/98   85,525       85,525

  Missouri 11 -- Moniteau       514       A       1        100.0000%   12/31/98   150,741      150,741

  Missouri 13 -- Washington     516       A       1        100.0000%   12/31/98   95,986       95,986

  Missouri 15 -- Stone          518       A       1        100.0000%   12/31/98   119,406      119,406

  Missouri 16 -- Laclede        519       A       1        100.0000%   12/31/98   102,072      102,072

  Missouri 17 -- Shannon        520       A       1        100.0000%   12/31/98   56,370       56,370

  New Hampshire 1 -- Coos       548       B       1        100.0000%   12/31/98   223,007      223,007

  New Hampshire 2 -- Carroll    549       A       1        100.0000%   12/31/98   219,208      219,208

  New York 1 -- Jefferson       559       B       1        60.0000%    12/31/98   252,232      151,339

  North Carolina 2 -- Yancey    566       B       3        100.0000%   12/31/98   164,241      164,241

  North Carolina 3 -- Ashe      567       A       1        100.0000%   12/31/98   163,756      163,756

  North Carolina 4 -- Henderson 568       B       1        100.0000%   12/31/98   349,393      349,393

  North Carolina 6 -- Chatham   570       A       1        81.2000%    12/31/98   166,128      134,896

  North Carolina 7 --           571       A       1        100.0000%   12/31/98   294,004      294,004
  Rockingham                                                                                   

  North Carolina 8 --           572       A       1        100.0000%   12/31/98   291,972      291,972
  Northampton                                                                                  

  North Carolina 9 -- Camden    573       A       1        100.0000%   12/31/98   120,643      120,643

  North Carolina 10 -- Harnett  574       A       1        100.0000%   12/31/98   301,200      301,200

  North Carolina 11 -- Hoke     575       A       1        100.0000%   12/31/98   229,364      229,364

  North Carolina 12 -- Sampson  576       A       1        100.0000%   12/31/98   134,941      134,941

  North Carolina 13 -- Greene   577       A       1        100.0000%   12/31/98   247,338      247,338

  North Carolina 14 -- Pitt     578       A       1        100.0000%   12/31/98   249,266      249,266

  Ohio 9 -- Ross                593       B       1        49.0000%    12/31/98   249,588      122,298

  Oklahoma 4 -- Nowata          599       B       2        55.0600%    12/31/98   196,523      108,206

  Oklahoma 6 -- Seminole        601       A       1        55.0600%    12/31/98   220,965      121,663

  Oklahoma 7 -- Beckham         602       B       2        70.4500%    12/31/98   128,753      90,706

  Oklahoma 8 -- Jackson         603       B       1        70.4500%    12/31/98   94,972       66,908

  Oklahoma 9 -- Garvin          604       A       1        100.0000%   12/31/98   203,617      203,617

  Oklahoma 10 -- Haskell        605       A       1        100.0000%   12/31/98   83,133       83,133

  Oregon 2 - Hood River         607       B       1        65.5500%    12/31/98   74,602       48,902

  Oregon 3 -- Umatilla          608       B       1        76.3900%    12/31/98   150,757      115,163

  Oregon 5 -- Coos              610       A       1        100.0000%   12/31/98   259,533      259,533

  Oregon 6 -- Crook             611       B       1        100.0000%   12/31/98   200,411      200,411

  Pennsylvania 10 -- Bedford    621       B       2        100.0000%   12/31/98   191,873      191,873

  South Carolina 4 --           628       A       1        100.0000%   12/31/98   215,375      215,375
  Chesterfield                                                                                 

  Tennessee 3 -- Macon          645       B       1        16.6700%    12/31/98   349,106      58,196

  Tennessee 4 -- Hamblen        646       B       2        100.0000%   12/31/98   274,517      274,517

  Tennessee 7 -- Bledsoe        649       B       3        96.0300%    12/31/98   266,926      256,329

  Texas 4 -- Briscoe            655       B       2        70.4500%    12/31/98   41,573       29,288

  Texas 5 -- Hardeman           656       B       1        70.4500%    12/31/98   75,434       53,143

  Texas 18 -- Edwards           669       A       1        100.0000%   12/31/98   224,996      224,996

  Texas 19 -- Atascosa          670       A       1        100.0000%   12/31/98   232,216      232,216

  Texas 20 -- Wilson            671       A       1        100.0000%   12/31/98   149,571      149,571

  Vermont 2 -- Addison          680       B       2        100.0000%   12/31/98   231,754      231,754

  Virginia 2 -- Tazewell        682       A       1        100.0000%   12/31/98   135,521      135,521

  Virginia 3 -- Giles           683       A       1        100.0000%   12/31/98   201,798      201,798

  Virginia 4 -- Bedford         684       A       1        100.0000%   12/31/98   178,022      178,022

  Virginia 5 -- Bath            685       A       1        100.0000%   12/31/98   61,441       61,441

  Virginia 7 -- Buckingham      687       A       1        100.0000%   12/31/98   90,640       90,640

  Washington 4 -- Grays Harbor  696       A       1        100.0000%   12/31/98   117,606      117,606

  Washington 5 -- Kittitas      697       B       1        85.2000%    12/31/98   127,317      108,474

  Washington 6 -- Pacific       698       B       1        100.0000%   12/31/98   184,396      184,396

  Washington 7 -- Skamania      699       B       1        65.5500%    12/31/98   29,100       19,075

  West Virginia 3 -- Monongalia 703       B       1        100.0000%   12/31/98   266,003      266,003

  West Virginia 4 -- Grant      704       B       1        100.0000%   12/31/98   176,008      176,008

  West Virginia 5 -- Tucker     705       B       1        100.0000%   12/31/98   130,623      130,623

  West Virginia 7 -- Raleigh    707       B       1        100.0000%   12/31/98   252,524      252,524

  Wisconsin 5 -- Pierce         712       A       2        100.0000%   12/31/98   95,999       95,999

  Wisconsin 6 -- Trempealeau    713       A       1        100.0000%   12/31/98   116,883      116,883

  Wisconsin 7 -- Wood           714       A       1        100.0000%   12/31/98   289,795      289,795

  Wisconsin 8 -- Vernon         715       A       1        100.0000%   12/31/98   236,606      236,606

  Wisconsin 9 -- Columbia       716       A       1        100.0000%   12/31/98   388,006      388,006

  Wisconsin 10 -- Door          717       A       1        100.0000%   12/31/98   129,245      129,245
  ----------------------------- --------- ------- -------- ----------- ---------- ------------ -----------

**US Unwired**

  ------------------------ --------- ------- -------- ----------- --------- --------- ---------
  MSA/RSA Name             MSA/RSA   Freq.   Sub      \% Owned    As of     1998 POPs Net POPs
                           Number    Block   Market               Date                

  Lake Charles, LA         197       B       1        100.0000%   12/7/99   180,330   180,330

  Louisiana 3 -- De Soto   456       B       1        100.0000%   12/7/99   146,932   146,932

  Louisiana 5 --           458       B       1        100.0000%   12/7/99   388,669   388,669
  Beauregard                                                                          

  Texas 21 -- Chambers     672       B       1        25.0000%    12/7/99   23,743    5,936
  ------------------------ --------- ------- -------- ----------- --------- --------- ---------

**Verizon Wireless**

  -------------------------------------------- --------- ------- -------- ----------- ---------- ------------ ------------
  MSA/RSA Name                                 MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs    Net POPs
                                               Number    Block   Market                                       

  New York, NY-NJ/Nassau-Suffolk, NY/Newark,   1         B       1        100.0000%   4/3/00     15,261,373   15,261,373
  Jersey City and Paterson-Clifton-Passaic, NJ                                                                

  Los Angeles-Long Beach/Anaheim-Santa         2         B       1        94.5000%    6/30/99    15,049,306   14,221,594
  Ana-Garden Grove/Riverside-San                                                                              
  Bernardino-Ontario, CA                                                                                      

  Chicago, IL                                  3         B       1        95.0000%    10/8/99    7,766,679    7,378,345

  Philadelphia, PA                             4         B       1        100.0000%   6/30/99    4,881,650    4,881,650

  Detroit/Ann Arbor, MI                        5         A       1        100.0000%   6/30/99    4,779,588    4,779,588

  Boston-Lowell-Brockton-Lawrence-Haverhill,   6         B       1        100.0000%   6/30/99    4,146,082    4,146,082
  MA-NH                                                                                                       

  San Francisco-Oakland, CA                    7         B       1        97.1300%    12/31/98   4,001,831    3,886,978

  Washington, DC-MD-VA                         8         B       1        100.0000%   6/30/99    3,963,144    3,963,144

  Houston, TX                                  10        B       1        83.5700%    12/31/98   4,138,280    3,458,361

  St. Louis, MO-IL                             11        A       1        85.0000%    10/8/99    2,481,272    2,109,081

  Pittsburgh, PA                               13        B       1        92.8000%    4/3/00     2,030,521    1,884,323

  Baltimore, MD                                14        B       1        100.0000%   6/30/99    2,444,280    2,444,280

  Minneapolis-St. Paul, MN-WI                  15        B       1        100.0000%   4/3/00     2,705,116    2,705,116

  Cleveland, OH                                16        A       1        100.0000%   4/3/00     1,837,282    1,837,282

  Atlanta, GA                                  17        A       1        100.0000%   4/3/00     3,406,269    3,406,269

  San Diego, CA                                18        B       1        100.0000%   4/3/00     2,780,592    2,780,592

  Denver-Boulder, CO                           19        B       1        100.0000%   4/3/00     2,210,104    2,210,104

  Seattle-Everett, WA                          20        B       1        100.0000%   4/3/00     2,242,659    2,242,659

  Cincinnati, OH-KY-IN                         23        A       1        100.0000%   6/30/99    1,530,386    1,530,386

  Kansas City, MO-KS                           24        A       1        100.0000%   4/3/00     1,587,406    1,587,406

  Buffalo, NY                                  25        B       1        100.0000%   6/30/99    1,152,541    1,152,541

  Phoenix, AZ                                  26        B       1        100.0000%   4/3/00     2,784,075    2,784,075

  San Jose, CA                                 27        B       1        97.1000%    12/31/98   1,641,215    1,593,620

  Indianapolis, IN                             28        B       1        94.8400%    12/31/98   1,387,834    1,316,222

  Portland, OR-WA                              30        B       1        100.0000%   4/3/00     1,692,454    1,692,454

  Columbus, OH                                 31        A       1        100.0000%   6/30/98    1,332,708    1,332,708

  Hartford-New Britain-Bristol, CT             32        A       1        100.0000%   6/30/99    1,110,065    1,110,065

  Rochester, NY                                34        B       1        100.0000%   4/3/00     1,021,229    1,021,229

  Sacramento, CA                               35        B       1        50.8600%    4/3/00     1,527,310    776,790

  Memphis, TN-AR-MS                            36        A       1        100.0000%   12/31/98   1,062,970    1,062,970

  Louisville, KY-IN                            37        A       1        100.0000%   12/31/98   941,598      941,598

  Providence-Warwick-Pawtucket, RI             38        B       1        100.0000%   6/30/99    905,612      905,612

  Salt Lake City-Ogden, UT                     39        B       1        100.0000%   4/3/00     1,301,096    1,301,096

  Dayton, OH                                   40        A       1        100.0000%   6/30/98    846,407      846,407

  Birmingham, AL                               41        A       1        100.0000%   12/31/98   933,269      933,269

  Bridgeport-Stamford-Norwalk-Danbury, CT      42        A       1        100.0000%   6/30/99    838,362      838,362

  Norfolk-Virginia Beach-Portsmouth, VA/NC     43        B       1        100.0000%   12/31/98   1,026,706    1,026,706

  Albany-Schenectady-Troy, NY                  44        B       1        100.0000%   6/30/99    839,166      839,166

  Nashville-Davidson, TN                       46        A       1        100.0000%   12/31/98   1,156,225    1,156,225

  Greensboro-Winston-Salem-High Point, NC      47        A       1        100.0000%   12/31/98   1,016,137    1,016,137

  Toledo, OH-MI                                48        A       1        100.0000%   6/30/98    794,417      794,417

  New Haven-West Haven-Waterbury-Meriden, CT   49        A       1        100.0000%   6/30/99    793,504      793,504

  Honolulu, HI                                 50        B       1        100.0000%   12/31/98   872,478      872,478

  Akron, OH                                    52        A       1        100.0000%   6/30/98    688,952      688,952

  Syracuse, NY                                 53        B       1        100.0000%   4/3/00     653,376      653,376

  Gary-Hammond-East Chicago, IN                54        B       1        95.0000%    10/8/99    624,049      592,847

  Worchester-Fitchburg-Leominster, MA          55        B       1        100.0000%   6/30/99    731,881      731,881

  Northeast Pennsylvania, PA                   56        B       1        83.9700%    4/3/00     647,805      543,962

  Allentown-Bethlehem-Easton, PA-NJ            58        B       1        73.8800%    4/3/00     715,477      528,594

  Richmond, VA                                 59        B       1        100.0000%   12/31/98   828,032      828,032

  Charlotte-Gastonia, NC                       61        A       1        100.0000%   6/30/99    925,112      925,112

  New Brunswick-Perth Amboy-Sayreville, NJ     62        B       1        90.0000%    6/30/99    716,176      644,558

  Springfield-Chicopee-Holyoke, MA             63        A       1        100.0000%   6/30/99    588,993      588,993

  Grand Rapids, MI                             64        A       1        100.0000%   6/30/98    769,523      769,523

  Omaha, NE-IA                                 65        A       1        93.7500%    4/3/00     650,753      610,081

  Greenville-Spartanburg, SC                   67        A       1        100.0000%   6/30/99    708,390      708,390

  Flint, MI                                    68        A       1        100.0000%   6/30/98    508,653      508,653

  Wilmington, DE-NJ-MD                         69        B       1        100.0000%   6/30/99    630,241      630,241

  Long Branch-Asbury Park, NJ                  70        B       1        90.0000%    6/30/99    603,434      543,091

  Raleigh-Durham, NC                           71        A       1        100.0000%   12/31/98   883,142      883,142

  Oxnard-Simi Valley-Ventura, CA               73        B       1        94.5000%    4/3/00     731,967      691,709

  Fresno, CA                                   74        B       1        98.1000%    6/30/98    755,730      741,371

  New Bedford-Fall River, MA                   76        B       1        100.0000%   6/30/99    517,543      517,543

  Tuscon, AZ                                   77        B       1        100.0000%   4/3/00     790,755      790,755

  Lansing-East Lansing, MI                     78        A       1        100.0000%   6/30/98    511,383      511,383

  Knoxville, TN                                79        A       1        94.1200%    12/31/98   555,517      522,853

  El Paso, TX                                  81        B       1        100.0000%   12/31/98   703,127      703,127

  Tacoma, WA                                   82        B       1        100.0000%   6/30/98    676,505      676,505

  Harrisburg, PA                               84        B       1        100.0000%   4/3/00     498,597      498,597

  Johnson City-Kingsport-Bristol, TN-VA        85        A       1        100.0000%   12/31/98   462,345      462,345

  Albuquerque, NM                              86        B       1        100.0000%   4/3/00     614,007      614,007

  Canton, OH                                   87        A       1        100.0000%   6/30/98    402,207      402,207

  Chattanooga, TN-GA                           88        A       1        100.0000%   12/31/98   460,650      460,650

  Wichita, KS                                  89        A       1        100.0000%   4/3/00     509,982      509,982

  Charleston-North Charleston, SC              90        A       1        100.0000%   12/31/98   541,159      541,159

  San Juan-Caguas, PR                          91        B       1        40.0000%               2,289,855    915,942

  Las Vegas, NV                                93        B       1        100.0000%   4/3/00     1,162,129    1,162,129

  Saginaw-Bay City-Midland, MI                 94        A       1        100.0000%   6/30/98    401,991      401,991

  Columbia, SC                                 95        A       1        100.0000%   6/30/99    512,316      512,316

  Fort Wayne, IN                               96        B       1        90.0000%    4/3/00     443,932      399,539

  Bakersfield, CA                              97        B       1        98.1000%    12/31/98   631,459      619,461

  Davenport-Rock Island-Moline, IA/IL          98        B       1        100.0000%   12/31/98   357,813      357,813

  York, PA                                     99        B       1        100.0000%   4/3/00     459,792      459,792

  Beaumont-Port Arthur, TX                     101       B       1        83.5700%    12/31/98   375,564      313,859

  Des Moines, IA                               102       B       1        80.0000%    4/3/00     436,922      349,538

  Peoria, IL                                   103       B       1        100.0000%   4/3/00     344,779      344,779

  Newport News-Hampton, VA                     104       B       1        100.0000%   12/31/98   477,112      477,112

  Lancaster, PA                                105       B       1        100.0000%   4/3/00     456,414      456,414

  Stockton, CA                                 107       B       1        50.8600%    6/30/98    550,445      279,956

  Spokane, WA                                  109       B       1        100.0000%   4/3/00     408,669      408,669

  Vallejo-Fairfield-Napa, CA                   111       B       1        97.1300%    12/31/98   496,703      482,448

  Utica-Rome, NY                               115       B       1        100.0000%   6/30/99    294,677      294,677

  Lexington-Fayette, KY                        116       A       1        100.0000%   12/31/98   383,143      383,143

  Colorado Springs, CO                         117       B       1        100.0000%   4/3/00     510,984      510,984

  Reading, PA                                  118       B       1        90.0000%    6/30/99    355,956      320,360

  Evansville, IN/KY                            119       B       1        100.0000%   12/31/98   322,906      322,906

  Huntsville, AL                               120       A       1        100.0000%   12/31/98   420,774      420,774

  Trenton, NJ                                  121       B       1        100.0000%   6/30/99    331,629      331,629

  Binghamton, NY                               122       B       1        100.0000%   6/30/99    291,166      291,166

  Santa Rosa-Petaluma, CA                      123       B       1        97.1000%    12/31/98   433,304      420,738

  Santa Barbara-Santa Maria-Lompoc, CA         124       B       1        100.0000%   6/30/98    389,502      389,502

  Salinas-Seaside-Monterey, CA                 126       B       1        97.1300%    12/31/98   365,605      355,112

  South Bend-Mishawaka, IN                     129       B       1        100.0000%   4/3/00     303,532      303,532

  Erie, PA                                     130       B       1        96.5000%    4/3/00     276,401      266,727

  Rockford, IL                                 131       B       1        59.6000%    12/31/98   306,376      182,600

  Manchester-Nashua, NH                        133       B       1        100.0000%   6/30/99    363,031      363,031

  Atlantic City, NJ                            134       B       1        100.0000%   6/30/99    336,116      336,116

  Eugene-Springfield, OR                       135       B       1        100.0000%   4/3/00     314,068      314,068

  Lorain-Elyria, OH                            136       A       1        100.0000%   6/30/98    282,149      282,149

  Duluth, MN-WI                                141       B       1        100.0000%   4/3/00     236,464      236,464

  Modesto, CA                                  142       B       1        50.8600%    6/30/98    426,460      216,898

  Johnstown, PA                                143       B       1        100.0000%   4/3/00     236,347      236,347

  Orange County, NY                            144       B       1        85.0000%    6/30/99    329,220      279,837

  Hamilton-Middletown, OH                      145       A       1        99.6000%    4/3/00     330,428      329,106

  Ponce, PR                                    147       B       1        40.0000%               281,886      112,754

  Salem, OR                                    148       B       1        100.0000%   4/3/00     330,101      330,101

  Fayetteville, NC                             149       A       1        99.4700%    12/31/98   284,629      283,120

  Visalia-Tulare-Porterville, CA               150       B       1        98.1000%    6/30/98    355,240      348,490

  Poughkeepsie, NY                             151       B       1        85.0000%    6/30/99    265,317      225,519

  Portland, ME                                 152       B       1        100.0000%   11/16/99   289,361      289,361

  New London-Norwich, CT                       154       A       1        100.0000%   6/30/99    245,740      245,740

  Roanoke, VA                                  157       B       1        100.0000%   12/31/98   232,710      232,710

  Lima, OH                                     158       A       1        100.0000%   6/30/98    219,697      219,697

  Provo-Orem, UT                               159       B       1        100.0000%   4/3/00     335,635      335,635

  Hickory, NC                                  166       A       1        100.0000%   6/30/99    246,512      246,512

  Mayaguez, PR                                 169       B       1        40.0000%               256,076      102,430

  Galveston-Texas City, TX                     170       B       1        83.5700%    12/31/98   245,556      205,211

  Reno, NV                                     171       B       1        50.8600%    6/30/98    313,660      159,527

  Santa Cruz, CA                               175       B       1        97.1300%    12/31/98   242,994      236,020

  Springfield, IL                              176       B       1        72.6500%    6/30/98    203,847      148,095

  Topeka, KS                                   179       A       1        78.0100%    4/3/00     200,730      156,589

  Springfield, OH                              180       A       1        89.2300%    4/3/00     183,523      163,758

  Muskegon, MI                                 181       A       1        79.4100%    4/3/00     191,581      152,134

  Asheville, NC                                183       A       1        100.0000%   6/30/99    213,629      213,629

  Terre Haute, IN                              185       B       1        93.0000%    12/31/98   167,898      156,145

  Boise City, ID                               190       B       1        100.0000%   4/3/00     275,687      275,687

  Cedar Rapids, IA                             195       B       1        100.0000%   4/3/00     182,651      182,651

  Champaign-Urbana-Rantoul, IL                 196       B       1        72.6500%    6/30/98    167,788      121,898

  Waterloo-Cedar Falls, IA                     201       B       1        88.5417%    4/3/00     144,532      127,971

  Arecibo, PR                                  202       B       1        40.0000%               188,384      75,354

  Aguadilla, PR                                204       B       1        40.0000%               173,903      69,561

  Clarksville-Hopkinsville, TN/KY              209       A       1        100.0000%   12/31/98   199,758      199,758

  Fort Collins-Loveland, CO                    210       B       1        100.0000%   4/3/00     231,221      231,221

  Bremerton, WA                                212       B       1        100.0000%   6/30/98    232,623      232,623

  Pittsfield, MA                               213       A       1        70.9200%    6/30/99    133,038      94,351

  Chico                                        215       B       1        50.8600%    6/30/98    194,597      98,972

  Anderson, IN                                 217       B       1        94.8400%    12/31/98   131,360      124,582

  Fargo-Moorehead, ND-MN                       221       B       1        100.0000%   4/3/00     168,431      168,431

  Tuscaloosa, AL                               222       A       1        93.5100%    12/31/98   160,768      150,334

  Elkhart-Goshen, IN                           223       B       1        100.0000%   4/3/00     172,310      172,310

  Altoona, PA                                  225       B       1        100.0000%   4/3/00     130,615      130,615

  Florence, AL                                 226       A       1        93.1000%    12/31/98   137,271      127,799

  Anderson, SC                                 227       A       1        97.0000%    6/30/99    160,791      155,967

  Vineland-Millville-Bridgeton, NJ             228       B       1        100.0000%   6/30/99    140,341      140,341

  Decatur, IL                                  230       B       1        72.6500%    6/30/98    113,772      82,655

  Mansfield, OH                                231       A       1        100.0000%   6/30/98    127,342      127,342

  Athens, GA                                   234       A       1        86.8400%    4/3/00     176,320      153,116

  Petersburg-Colonial Heights-Hopewell, VA     235       B       1        100.0000%   12/31/98   129,000      129,000

  Muncie, IN                                   236       B       1        94.8400%    12/31/98   116,828      110,800

  Sharon, PA                                   238       B       1        96.8600%    4/3/00     121,938      118,109

  Pueblo, CO                                   241       B       1        73.9900%    4/3/00     134,867      99,788

  Olympia, WA                                  242       B       1        100.0000%   4/3/00     202,255      202,255

  Greeley, CO                                  243       B       1        100.0000%   4/3/00     159,429      159,429

  Lafayette, IN                                247       B       1        94.8400%    12/31/98   139,005      131,832

  Burlington, VT                               248       B       1        100.0000%   6/30/99    148,878      148,878

  Anniston, AL                                 249       A       1        100.0000%   12/31/98   117,018      117,018

  Bloomington-Normal, IL                       250       B       1        72.6500%    6/30/98    142,652      103,637

  Williamsport, PA                             251       B       1        100.0000%   4/3/00     117,308      117,308

  Sioux City, IA-NE                            253       B       1        74.5000%    4/3/00     120,464      89,746

  Redding, CA                                  254       B       1        50.3900%    4/3/00     164,349      82,815

  State College, PA                            259       B       1        100.0000%   4/3/00     132,700      132,700

  Danville, VA                                 262       A       1        95.8100%    12/31/98   108,252      103,716

  Florence, SC                                 264       A       1        100.0000%   12/31/98   124,904      124,904

  Glens Falls, NY                              266       B       1        100.0000%   6/30/99    121,742      121,742

  Sioux Falls, SD                              267       B       1        100.0000%   4/3/00     143,011      143,011

  Billings, MT                                 268       B       1        91.6300%    12/14/99   126,158      115,599

  Bellingham, WA                               270       B       1        100.0000%   4/3/00     156,830      156,830

  Kokomo, IN                                   271       B       1        94.8400%    12/31/98   100,176      95,007

  Gadsden, AL                                  272       A       1        90.0000%    12/31/98   103,975      93,578

  Kankakee, IL                                 273       B       1        95.0000%    10/8/99    102,107      97,002

  Yuba City, CA                                274       B       1        50.8600%    6/30/98    137,043      69,700

  St. Joseph, MO                               275       A       1        87.0000%    4/3/00     97,338       84,684

  Grand Forks, ND-MN                           276       B       1        100.0000%   4/3/00     97,823       97,823

  Lewiston-Auburn, ME                          279       B       1        100.0000%   11/16/99   101,280      101,280

  Burlington, NC                               280       A       1        100.0000%   12/31/98   119,397      119,397

  Bloomington, IN                              282       B       1        94.8400%    12/31/98   115,130      109,189

  Elmira, NY                                   284       B       1        100.0000%   6/30/99    92,021       92,021

  Las Cruces, NM                               285       B       1        100.0000%   12/31/98   169,165      169,165

  Dubuque, IA                                  286       B       1        85.0000%    4/3/00     87,806       74,635

  Bryan-College Station, TX                    287       B       1        100.0000%   12/31/98   133,407      133,407

  Rapid City, SD                               289       B       1        100.0000%   12/14/99   109,613      109,613

  Owensboro, KY                                293       B       1        100.0000%   12/31/98   91,139       91,139

  Iowa City, IA                                296       B       1        100.0000%   4/3/00     102,724      102,724

  Great Falls, MT                              297       B       1        91.6300%    4/3/00     78,983       72,372

  Bismarck, ND                                 298       B       1        51.0000%    4/3/00     91,442       46,635

  Casper, WY                                   299       B       1        100.0000%   4/3/00     63,341       63,341

  Lawrence, KS                                 301       A       1        100.0000%   4/3/00     93,137       93,137

  Aurora-Elgin, IL                             303       B       1        95.0000%    10/8/99    51,817       49,226

  Joliet, IL                                   304       B       1        95.0000%    10/8/99    36,686       34,852

  Alabama 1 -- Franklin                        307       A       1                    10/1/98    348,901      

  Alabama 1 -- Franklin                        307       A       2                    10/1/98    348,901      

  Alabama 1 -- Franklin                        307       A       3                    10/1/98    348,901      

  Alabama 2 -- Jackson                         308       A       1        100.0000%   10/1/98    131,616      131,616

  Alaska 2 -- Bethel                           316       B       2        50.0000%    9/8/97     158,753      79,377

  Arizona 1 -- Mohave                          318       B       1        33.3300%    6/30/98    130,618      43,535

  Arizona 2 -- Coconino                        319       B       1        100.0000%   4/3/00     262,682      262,682

  Arizona 3 -- Navajo                          320       B       1        100.0000%   4/3/00     165,779      165,779

  Arizona 4 -- Yuma                            321       B       1        100.0000%   4/3/00     147,139      147,139

  Arizona 6 -- Graham                          323       B       2        100.0000%   4/3/00     191,680      191,680

  California 1 -- Del Norte                    336       B       1        22.4800%    6/30/98    206,423      46,404

  California 2 -- Modoc                        337       B       1        25.0000%    6/30/98    63,053       15,763

  California 3 -- Alpine                       338       B       1        27.7300%               143,498      39,792

  California 4 -- Madera                       339       B       1        50.0000%    10/1/98    361,252      180,626

  California 5 -- San Luis Obispo              340       B       1        100.0000%   6/30/98    234,366      234,366

  California 6 -- Mono                         341       B       1        100.0000%   10/1/98    28,413       28,413

  California 8 -- Tehama                       343       B       1        49.8800%    6/30/98    98,879       49,321

  California 9 -- Mendocino                    344       B       1        100.0000%   10/1/98    138,881      138,881

  California 10 -- Sierra                      345       B       1        49.8800%    6/30/98    94,714       47,243

  California 12 -- Kings                       347       B       1        92.0000%    10/1/98    118,866      109,357

  Colorado 1 -- Moffat                         348       A       1        100.0000%   12/14/99   47,899       47,899

  Colorado 2 -- Logan                          349       B       1        61.7500%    4/3/00     63,814       39,405

  Colorado 3 -- Garfield                       350       B       1        100.0000%   4/3/00     296,742      296,742

  Colorado 4 -- Park                           351       B       1        61.7500%    4/3/00     82,218       50,770

  Colorado 5 -- Elbert                         352       B       1        66.0000%    4/3/00     33,988       22,432

  Colorado 6 -- San Miguel                     353       B       1        100.0000%   12/14/99   74,717       74,717

  Colorado 7 -- Saguache                       354       B       1        69.4000%    4/3/00     49,756       34,531

  Colorado 8 -- Kiowa                          355       B       1        100.0000%   4/3/00     45,840       45,840

  Colorado 9 -- Costilla                       356       B       1        49.0000%    4/3/00     29,392       14,402

  Connecticut 2 -- Windham                     358       A       1        100.0000%   6/30/99    105,121      105,121

  Delaware 1 -- Kent                           359       B       1        100.0000%   6/30/99    260,796      260,796

  Georgia 2 -- Dawson                          372       A       1        100.0000%   6/30/99    313,406      313,406

  Georgia 3 -- Chattooga                       373       A       1        100.0000%   4/3/00     216,235      216,235

  Georgia 4 -- Jasper                          374       A       1        100.0000%   4/3/00     129,794      129,794

  Hawaii 1 -- Kauai                            385       B       1        100.0000%   10/1/98    56,603       56,603

  Hawaii 2 -- Maui                             386       B       1        100.0000%   10/1/98    120,785      120,785

  Hawaii 3 -- Hawaii                           387       B       1        100.0000%   10/1/98    143,135      143,135

  Idaho 1 -- Boundary                          388       B       1        75.0000%    4/3/00     251,625      188,719

  Idaho 2 -- Idaho                             389       B       1        100.0000%   4/3/00     72,381       72,381

  Idaho 3 -- Lemhi                             390       B       1        100.0000%   4/3/00     17,251       17,251

  Idaho 4 -- Elmore                            391       B       1        100.0000%   4/3/00     155,716      155,716

  Idaho 5 -- Butte                             392       B       1        100.0000%   12/14/99   160,290      160,290

  Idaho 5 -- Butte                             392       B       2        100.0000%   4/3/00     160,290      160,290

  Idaho 6 -- Clark                             393       B       1        91.6400%    4/3/00     295,734      271,011

  Illinois 1 - Jo Daviess                      394       B       1        91.5000%    10/1/98    317,684      290,681

  Illinois 2 -- Bureau                         395       B       1        40.0000%    9/8/97     255,746      102,298

  Illinois 2 -- Bureau                         395       B       3        14.5300%    6/30/98    255,746      37,160

  Illinois 3 -- Mercer                         396       B       1        100.0000%   4/3/00     201,974      201,974

  Illinois 4 -- Adams                          397       B       1        60.1300%    6/30/98    214,892      129,215

  Illinois 5 -- Mason                          398       B       1        100.0000%   4/3/00     95,732       95,732

  Illinois 5 -- Mason                          398       B       2        72.6500%    10/8/99    95,732       69,549

  Illinois 6 -- Montgomery                     399       B       1        44.5400%    6/30/98    201,881      89,918

  Illinois 7 -- Vermilion                      400       B       1        44.5400%    6/30/98    234,133      104,283

  Illinois 9 -- Clay                           402       B       1                    9/8/97     149,924      

  Indiana 1 -- Newton                          403       B       1        40.0000%    10/1/98    216,018      86,407

  Indiana 1 -- Newton                          403       B       2        95.0000%    10/8/99    216,018      205,217

  Indiana 2 -- Kosciusko                       404       B       1        75.0000%    4/3/00     178,767      134,075

  Indiana 3 -- Huntington                      405       B       1        40.0000%    4/3/00     145,468      58,187

  Indiana 6 -- Randolph                        408       B       1        43.7500%    10/1/98    221,073      96,719

  Indiana 7 -- Owen                            409       B       1        38.1000%    10/1/98    225,643      85,970

  Indiana 8 -- Brown                           410       B       1        38.1000%    10/1/98    264,986      100,960

  Indiana 9 -- Decatur                         411       B       1        38.1000%    10/1/98    149,277      56,875

  Iowa 1 -- Mills                              412       B       1        7.6200%     6/30/98    62,907       4,794

  Iowa 2 -- Union                              413       B       1        49.5000%    4/3/00     50,301       24,899

  Iowa 4 -- Muscatine                          415       B       1        48.2100%    10/1/98    153,462      73,984

  Iowa 5 -- Jackson                            416       B       1        100.0000%   4/3/00     108,301      108,301

  Iowa 7 -- Audubon                            418       B       1        14.1400%    4/3/00     54,882       7,760

  Iowa 8 -- Monona                             419       B       1        44.9200%    4/3/00     54,898       24,660

  Iowa 9 -- Ida                                420       A       1        100.0000%   4/3/00     62,992       62,992

  Iowa 16 -- Lyon                              427       B       1        49.1700%    3/2/00     103,198      50,742

  Kentucky 1 -- Fulton                         443       B       1        50.0000%    10/1/98    190,694      95,347

  Kentucky 2 -- Union                          444       B       1        100.0000%   10/1/98    129,194      129,194

  Kentucky 7 -- Trimble                        449       A       1        100.0000%   10/1/98    177,071      177,071

  Maryland 2 -- Kent                           468       B       1        100.0000%   6/30/99    456,653      456,653

  Maryland 3 -- Frederick                      469       B       1        100.0000%   6/30/99    186,777      186,777

  Massachusetts 2 -- Barnstable                471       B       1        100.0000%   6/30/99    230,150      230,150

  Minnesota 4 -- Lake                          485       B       1        100.0000%   4/3/00     15,358       15,358

  Missouri 8 -- Callaway                       511       A       1        100.0000%   10/8/99    110,667      110,667

  Missouri 9 -- Bates                          512       B       1        14.7000%    12/14/99   78,733       11,574

  Missouri 12 -- Maries                        515       A       1        100.0000%   10/8/99    121,840      121,840

  Missouri 18 -- Perry                         521       A       1        100.0000%   10/8/99    119,777      119,777

  Missouri 19 -- Stoddard                      522       A       1        100.0000%   10/8/99    198,427      198,427

  Montana 1 -- Lincoln                         523       B       1        91.6300%    12/14/99   151,635      138,943

  Montana 1 -- Lincoln                         523       B       2        91.6300%    12/14/99   151,635      138,943

  Montana 2 -- Toole                           524       B       1        91.6300%    12/14/99   36,758       33,681

  Montana 4 -- Daniels                         526       B       1        91.6300%    12/14/99   39,323       36,032

  Montana 5 -- Mineral                         527       B       1        91.6300%    12/14/99   191,215      175,210

  Montana 6 -- Deer Lodge                      528       B       1        91.6300%    12/14/99   65,242       59,781

  Montana 7 -- Fergus                          529       B       1        91.6300%    12/14/99   29,892       27,390

  Montana 8 -- Beaverhead                      530       B       1        91.6300%    12/14/99   94,171       86,289

  Montana 9 -- Carbon                          531       B       1        91.6300%    4/3/00     32,995       30,233

  Montana 10 -- Prairie                        532       B       1        91.6300%    12/14/99   19,672       18,025

  Nevada 2 -- Lander                           544       B       1        100.0000%   4/3/00     55,065       55,065

  Nevada 3 -- Storey                           545       B       1        49.8800%    6/30/98    119,477      59,595

  Nevada 4 -- Mineral                          546       B       1        50.0000%    4/3/00     35,397       17,699

  Nevada 5 -- White Pine                       547       B       1        100.0000%   4/3/00     14,298       14,298

  New Hampshire 2 -- Carroll                   549       B       1        100.0000%   6/30/99    219,208      219,208

  New Jersey 1 -- Hunterdon                    550       B       1        100.0000%   6/30/99    122,428      122,428

  New Jersey 2 -- Ocean                        551       B       1        100.0000%   6/30/99    489,819      489,819

  New Jersey 3 -- Sussex                       552       B       1        100.0000%   6/30/99    143,030      143,030

  New Mexico 1 -- San Juan                     553       B       1        100.0000%   4/3/00     264,430      264,430

  New Mexico 1 -- San Juan                     553       B       2        58.3600%    12/14/99   264,430      154,321

  New Mexico 3 -- Catron                       555       B       1        78.9200%    12/14/99   94,829       74,839

  New Mexico 4 -- Santa Fe                     556       B       2        100.0000%   4/3/00     266,097      266,097

  New Mexico 5 -- Grant                        557       B       1        59.3300%    12/14/99   61,892       36,721

  New Mexico 6 -- Lincoln                      558       B       1        71.4000%    10/1/98    243,169      173,623

  New Mexico 6 -- Lincoln                      558       B       2        12.5000%    9/8/97     243,169      30,396

  New York 1 -- Jefferson                      559       B       1        40.0000%    6/30/99    252,232      100,893

  New York 2 -- Franklin                       560       B       1        42.9000%    6/30/99    224,207      96,185

  New York 3 -- Chautauqua                     561       B       1        100.0000%   6/30/99    476,839      476,839

  New York 4 -- Yates                          562       B       1        100.0000%   6/30/99    351,639      351,639

  New York 5 -- Otsego                         563       B       1        100.0000%   6/30/99    374,774      374,774

  New York 6 -- Columbia                       564       B       1        100.0000%   9/9/99     111,028      111,028

  North Carolina 1 -- Cherokee                 565       A       1        100.0000%   6/30/99    189,731      189,731

  North Carolina 2 -- Yancey                   566       A       1        100.0000%   6/30/99    164,241      164,241

  North Carolina 4 -- Henderson                568       A       1        100.0000%   6/30/99    349,393      349,393

  North Carolina 5 -- Anson                    569       A       1        100.0000%   6/30/99    130,457      130,457

  North Carolina 15 -- Cabarrus                579       A       1                    10/1/98    446,987      

  North Dakota 1 -- Divide                     580       B       1        53.3600%    4/3/00     102,605      54,750

  North Dakota 2 -- Bottineau                  581       B       1        65.0600%    4/3/00     59,186       38,506

  North Dakota 3 -- Barnes                     582       B       1        56.8600%    4/3/00     90,248       51,315

  North Dakota 4 -- McKenzie                   583       B       1        49.0000%    4/3/00     63,570       31,149

  North Dakota 5 -- Kidder                     584       B       1        61.7500%    4/3/00     47,492       29,326

  Ohio 3 -- Ashtabula                          587       A       1        100.0000%   6/30/98    103,300      103,300

  Ohio 4 -- Mercer                             588       A       1        100.0000%   6/30/98    228,533      228,533

  Ohio 6 -- Morrow                             590       A                100.0000%   6/30/98    457,990      457,990

  Ohio 8 -- Clinton                            592       A       1        100.0000%   6/30/98    178,218      178,218

  Oregon 1 -- Clatsop                          606       B       1        100.0000%   4/3/00     186,281      186,281

  Oregon 4 -- Lincoln                          609       B       1        100.0000%   4/3/00     227,587      227,587

  Pennsylvania 1 -- Crawford                   612       B       1        80.0000%    4/3/00     196,171      156,937

  Pennsylvania 2 -- McKean                     613       B       1        100.0000%   6/30/99    86,660       86,660

  Pennsylvania 3 -- Potter                     614       B       1        100.0000%   4/3/00     95,790       95,790

  Pennsylvania 3 -- Potter                     614       B       2        100.0000%   4/3/00     95,790       95,790

  Pennsylvania 4 -- Bradford                   615       B       1        100.0000%   4/3/00     97,715       97,715

  Pennsylvania 4 -- Bradford                   615       B       2        100.0000%   4/3/00     97,715       97,715

  Pennsylvania 5 -- Wayne                      616       B       1        40.0000%    4/3/00     85,398       34,159

  Pennsylvania 6 -- Lawrence                   617       B       1        57.1300%    4/3/00     380,694      217,490

  Pennsylvania 6 -- Lawrence                   617       B       2        51.1300%    6/30/99    380,694      194,649

  Pennsylvania 7 -- Jefferson                  618       B       1        100.0000%   6/30/99    215,569      215,569

  Pennsylvania 8 -- Union                      619       B       1        100.0000%   4/3/00     403,256      403,256

  Pennsylvania 9 -- Greene                     620       B       1        100.0000%   6/30/99    185,589      185,589

  Pennsylvania 10 -- Bedford                   621       B       1        100.0000%   4/3/00     191,873      191,873

  Pennsylvania 11 -- Huntingdon                622       B       1        100.0000%   4/3/00     113,661      113,661

  Pennsylvania 11 -- Huntingdon                622       B       2        100.0000%   6/30/99    113,661      113,661

  Pennsylvania 12 -- Lebanon                   623       B       1        100.0000%   4/3/00     117,434      117,434

  Rhode Island 1 -- Newport                    624       B       1        100.0000%   6/30/99    82,868       82,868

  South Carolina 1 -- Oconee                   625       A       1        100.0000%   6/30/99    64,059       64,059

  South Carolina 2 -- Laurens                  626       A       1        100.0000%   6/30/99    232,539      232,539

  South Carolina 3 -- Cherokee                 627       A       1        100.0000%   6/30/99    136,460      136,460

  South Carolina 6 -- Clarendon                630       A       1        100.0000%   10/1/98    195,461      195,461

  South Carolina 7 -- Calhoun                  631       A       1        100.0000%   10/1/98    151,640      151,640

  South Carolina 7 -- Calhoun                  631       A       2                               151,640      

  South Carolina 8 -- Hampton                  632       A       1        100.0000%   6/30/99    182,518      182,518

  South Carolina 9 -- Lancaster                633       A       1        100.0000%   6/30/99    213,200      213,200

  South Dakota 1 -- Harding                    634       B       1        100.0000%   12/14/99   36,508       36,508

  South Dakota 2 -- Corson                     635       B       1        100.0000%   12/14/99   22,543       22,543

  South Dakota 3 -- McPherson                  636       B       1        100.0000%   12/14/99   52,483       52,483

  South Dakota 5 -- Custer                     638       B       1        100.0000%   12/14/99   26,246       26,246

  South Dakota 5 -- Custer                     638       B       2        100.0000%   12/14/99   26,246       26,246

  South Dakota 6 -- Haakon                     639       B       1        100.0000%   12/14/99   39,523       39,523

  South Dakota 6 -- Haakon                     639       B       2        100.0000%   12/14/99   39,523       39,523

  South Dakota 7 -- Sully                      640       B       1        100.0000%   4/3/00     65,978       65,978

  South Dakota 8 -- Kingsbury                  641       B       1        100.0000%   4/3/00     72,067       72,067

  South Dakota 9 -- Hanson                     642       B       1        100.0000%   4/3/00     101,747      101,747

  Tennessee 1 -- Lake                          643       A       1        100.0000%   10/1/98    308,431      308,431

  Tennessee 2 -- Cannon                        644       A       1        100.0000%   10/1/98    168,294      168,294

  Tennessee 3 -- Macon                         645       A       1        100.0000%   10/1/98    349,106      349,106

  Tennessee 5 -- Fayette                       647       A       1        100.0000%   10/1/98    354,553      354,553

  Tennessee 6 -- Giles                         648       A       1        100.0000%   10/1/98    162,182      162,182

  Tennessee 7 -- Bledsoe                       649       A       1        100.0000%   10/1/98    266,926      266,926

  Tennessee 9 -- Maury                         651       A       1        100.0000%   10/1/98    69,633       69,633

  Texas 17 -- Newton                           668       B       1        31.9100%    10/1/98    264,833      84,508

  Texas 21 -- Chambers                         672       B       1        75.0000%    10/1/98    23,743       17,807

  Utah 1 - Box Elder                           673       B       1        100.0000%   4/3/00     130,732      130,732

  Utah 2 -- Morgan                             674       B       1        66.6700%    4/3/00     47,035       31,358

  Utah 3 -- Juab                               675       B       1        100.0000%   12/14/99   59,725       59,725

  Utah 4 -- Beaver                             676       B       1        100.0000%   12/14/99   116,670      116,670

  Utah 5 -- Carbon                             677       B       3        100.0000%   12/14/99   80,901       80,901

  Utah 6 -- Piute                              678       B       1        80.0000%    12/14/99   27,964       22,371

  Vermont 1 -- Franklin                        679       B       1        100.0000%   6/30/99    210,251      210,251

  Vermont 2 -- Addison                         680       B       1        100.0000%   6/30/99    231,754      231,754

  Virginia 1 -- Lee                            681       A       1        100.0000%   6/30/99    141,441      141,441

  Virginia 2 -- Tazewell                       682       B       1        4.9900%     6/30/99    135,521      6,762

  Virginia 3 -- Giles                          683       B       1        100.0000%   10/1/98    201,798      201,798

  Virginia 4 -- Bedford                        684       B       1        100.0000%   10/1/98    178,022      178,022

  Virginia 5 -- Bath                           685       B       1        77.0000%    10/1/98    61,441       47,310

  Virginia 6 -- Highland                       686       B       1                    9/8/97     216,746      

  Virginia 7 -- Buckingham                     687       B       1        100.0000%   10/1/98    90,640       90,640

  Virginia 8 -- Amelia                         688       B       1        95.0000%    10/1/98    85,172       80,913

  Virginia 9 -- Greensville                    689       B       1        95.0000%    10/1/98    88,538       84,111

  Virginia 10 -- Frederick                     690       B       1        100.0000%   6/30/99    239,823      239,823

  Virginia 10 -- Frederick                     690       B       2        1.0000%                239,823      2,398

  Virginia 11 -- Madison                       691       B       1        95.0000%    10/1/98    288,296      273,881

  Virginia 11 -- Madison                       691       B       3        100.0000%   6/30/99    288,296      288,296

  Virginia 12 -- Caroline                      692       B       1        100.0000%   10/1/98    179,203      179,203

  Virginia 12 -- Caroline                      692       B       2        100.0000%   6/30/99    179,203      179,203

  Washington 1 -- Clallam                      693       B       1        100.0000%   6/30/98    272,570      272,570

  Washington 2 -- Okanogan                     694       B       1        100.0000%   4/3/00     131,920      131,920

  Washington 3 -- Ferry                        695       B       1        100.0000%   4/3/00     58,160       58,160

  Washington 4 -- Grays Harbor                 696       B       1        37.5000%    4/3/00     117,606      44,102

  West Virginia 1 -- Mason                     701       B       1        100.0000%   6/30/99    77,123       77,123

  West Virginia 2 -- Wetzel                    702       B       1        100.0000%   6/30/99    77,979       77,979

  Wyoming 1 -- Park                            718       B       1        66.0000%    4/3/00     50,558       33,368

  Wyoming 2 -- Sheridan                        719       B       1        100.0000%   12/14/99   76,755       76,755

  Wyoming 3 -- Lincoln                         720       A       1        100.0000%   12/14/99   145,641      145,641

  Wyoming 4 -- Niobrara                        721       B       1        100.0000%   4/3/00     132,275      132,275

  Wyoming 5 -- Converse                        722       B       1        100.0000%   4/3/00     12,337       12,337

  Puerto Rico 1 -- Rincon                      723       B       1        40.0000%               12,213       4,885

  Puerto Rico 2 -- Adjuntas                    724       B       1        40.0000%               269,059      107,624

  Puerto Rico 3 -- Ciales                      725       B       1        40.0000%               115,037      46,015

  Puerto Rico 4 -- Aibonito                    726       B       1        40.0000%               259,361      103,744

  Puerto Rico 5 -- Ceiba                       727       B       1        40.0000%               39,765       15,906

  Puerto Rico 6 -- Vieques                     728       B       1        40.0000%               8,602        3,441

  Puerto Rico 7 -- Culebra                     729       B       1        40.0000%               1,542        617
  -------------------------------------------- --------- ------- -------- ----------- ---------- ------------ ------------

Note: Additional licenses once held by Bell Atlantic, AirTouch, PrimeCo,
and GTE are (as of this writing) being held by a trustee appointed by
the Department of Justice. These licenses will eventually be sold to
other companies.

**Western Wireless**

  --------------------------- --------- ------- -------- ----------- ---------- --------- ---------
  MSA/RSA Name                MSA/RSA   Freq.   Sub      \% Owned    As of Date 1998 POPs Net POPs
                              Number    Block   Market                                    

  McAllen-Edinburg-Mission,   128       A       1        69.5000%    6/1/99     522,204   362,932
  TX                                                                                      

  Lubbock, TX Counties --     161       A       1        100.0000%   12/31/98   229,475   229,475
  Lubbock                                                                                 

  Brownsville-Harlingen, TX   162       A       1        78.7400%    6/1/99     326,449   257,046

  Lincoln, NE                 172       A       1        100.0000%   12/31/98   235,589   235,589

  Abilene, TX                 220       A       1        100.0000%   12/31/98   153,481   153,481

  Fargo-Moorehead, ND-MN      221       A       1        100.0000%   12/31/98   168,431   168,431

  Pueblo, CO                  241       A       1        100.0000%   12/31/98   134,867   134,867

  Sioux City, IA-NE           253       A       1        100.0000%   12/31/98   120,464   120,464

  Odessa, TX                  255       A       1        96.0000%    12/31/98   125,729   120,700

  Sioux Falls, SD             267       A       1        99.0000%    12/31/98   143,011   141,581

  Billings, MT                268       A       1        97.9000%    12/31/98   126,158   123,509

  Grand Forks, ND-MN          276       A       1        100.0000%   12/31/98   97,823    97,823

  Rapid City, SD              289       A       1        100.0000%   12/31/98   109,613   109,613

  San Angelo, TX              294       A       1        100.0000%   12/31/98   102,775   102,775

  Midland, TX                 295       A       1        96.0000%    12/31/98   119,647   114,861

  Great Falls, MT             297       A       1        100.0000%   12/31/98   78,983    78,983

  Bismarck, ND                298       A       1        100.0000%   12/31/98   91,442    91,442

  Casper, WY                  299       A       1        100.0000%   12/31/98   63,341    63,341

  Arizona 6 -- Graham         323       A       1                               191,680   

  Arkansas 11 -- Hempstead    334       A       1                    11/10/99   66,133    

  California 6 -- Mono        341       A       1        100.0000%   12/31/98   28,413    28,413

  Colorado 4 -- Park          351       A       1        100.0000%   12/31/98   82,218    82,218

  Colorado 5 -- Elbert        352       A       1        100.0000%   12/31/98   33,988    33,988

  Colorado 7 -- Saguache      354       A       1        100.0000%   12/31/98   49,756    49,756

  Colorado 8 -- Kiowa         355       A       1        100.0000%   12/31/98   45,840    45,840

  Colorado 9 -- Costilla      356       A       1        100.0000%   12/31/98   29,392    29,392

  Idaho 2 -- Idaho            389       A       1        100.0000%   12/31/98   72,381    72,381

  Idaho 3 -- Lemhi            390       A       2        100.0000%              17,251    17,251

  Idaho 3 -- Lemhi            390       A       4        100.0000%              17,251    17,251

  Iowa 8 -- Monona            419       A       1        100.0000%   12/31/98   54,898    54,898

  Kansas 3 -- Jewell          430       A       1        100.0000%   12/31/98   51,813    51,813

  Kansas 4 -- Marshall        431       A       1        100.0000%   12/31/98   128,814   128,814

  Kansas 8 -- Ellsworth       435       A       1        100.0000%   12/31/98   130,227   130,227

  Kansas 9 -- Morris          436       A       1        100.0000%   12/31/98   57,829    57,829

  Kansas 10 -- Franklin       437       A       1        100.0000%   12/31/98   111,078   111,078

  Kansas 14 -- Reno           441       A       1        100.0000%   12/31/98   175,907   175,907

  Minnesota 1 -- Kittson      482       A       1        100.0000%   12/31/98   49,587    49,587

  Minnesota 2 - Lake of the   483       A       1        100.0000%   12/31/98   64,189    64,189
  Woods                                                                                   

  Minnesota 7 -- Chippewa     488       A       1        100.0000%   12/31/98   170,987   170,987

  Minnesota 8 -- Lac qui      489       A       1        100.0000%   12/31/98   66,725    66,725
  Parle                                                                                   

  Minnesota 9 -- Pipestone    490       A       1        100.0000%   12/31/98   132,729   132,729

  Missouri 9 -- Bates         512       A       1        100.0000%   12/31/98   78,733    78,733

  Montana 1 -- Lincoln        523       A       1        100.0000%   12/31/98   151,635   151,635

  Montana 2 -- Toole          524       A       1        100.0000%   12/31/98   36,758    36,758

  Montana 3 -- Phillips       525       A       1        100.0000%   12/31/98   14,409    14,409

  Montana 4 -- Daniels        526       A       1        100.0000%   12/31/98   39,323    39,323

  Montana 5 -- Mineral        527       A       1        100.0000%   12/31/98   191,215   191,215

  Montana 6 - Deer Lodge      528       A       1        100.0000%   12/31/98   65,242    65,242

  Montana 7 -- Fergus         529       A       1        100.0000%   12/31/98   29,892    29,892

  Montana 8 -- Beaverhead     530       A       1        100.0000%   12/31/98   94,171    94,171

  Montana 9 -- Carbon         531       A       1        100.0000%   12/31/98   32,995    32,995

  Montana 10 -- Prairie       532       A       1        100.0000%   12/31/98   19,672    19,672

  Nebraska 2 -- Cherry        534       A       1        100.0000%   12/31/98   30,165    30,165

  Nebraska 3 -- Knox          535       A       1        100.0000%   12/31/98   115,633   115,633

  Nebraska 4 -- Grant         536       A       1        100.0000%   12/31/98   34,745    34,745

  Nebraska 5 -- Boone         537       A       1        100.0000%   12/31/98   147,531   147,531

  Nebraska 6 -- Keith         538       A       1        100.0000%   12/31/98   109,130   109,130

  Nebraska 7 -- Hall          539       A       1        100.0000%   12/31/98   92,133    92,133

  Nebraska 8 -- Chase         540       A       1        100.0000%   12/31/98   57,347    57,347

  Nebraska 9 -- Adams         541       A       1        100.0000%   12/31/98   80,406    80,406

  Nebraska 10 -- Cass         542       A       1        100.0000%   12/31/98   86,751    86,751

  Nevada 1 -- Humboldt        543       A       1        100.0000%   12/31/98   46,872    46,872

  Nevada 2 -- Lander          544       A       1        100.0000%   12/31/98   55,065    55,065

  Nevada 4 -- Mineral         546       A       1        100.0000%   12/31/98   35,397    35,397

  Nevada 5 -- White Pine      547       A       1        100.0000%   12/31/98   14,298    14,298

  New Mexico 6 -- Lincoln     558       A       1        100.0000%   12/31/98   243,169   243,169

  North Dakota 1 -- Divide    580       A       1        100.0000%   12/31/98   102,605   102,605

  North Dakota 2 -- Bottineau 581       A       1        100.0000%   12/31/98   59,186    59,186

  North Dakota 3 -- Barnes    582       A       2        100.0000%              90,248    90,248

  North Dakota 4 -- McKenzie  583       A       1        100.0000%   12/31/98   63,570    63,570

  North Dakota 5 -- Kidder    584       A       1        100.0000%   12/31/98   47,492    47,492

  Oklahoma 1 -- Cimarron      596       A       1        100.0000%   2/4/99     27,655    27,655

  Oklahoma 7 -- Beckham       602       A       1        100.0000%   12/31/98   128,753   128,753

  Oklahoma 8 -- Jackson       603       A       1        100.0000%   12/31/98   94,972    94,972

  South Dakota 1 -- Harding   634       A       1        100.0000%   12/31/98   36,508    36,508

  South Dakota 2 -- Corson    635       A       1        100.0000%   12/31/98   22,543    22,543

  South Dakota 3 -- McPherson 636       A       1        100.0000%   12/31/98   52,483    52,483

  South Dakota 4 -- Marshall  637       A       1        100.0000%   12/31/98   68,452    68,452

  South Dakota 5 -- Custer    638       A       1        100.0000%   2/1/99     26,246    26,246

  South Dakota 6 -- Haakon    639       A       1        100.0000%   12/31/98   39,523    39,523

  South Dakota 7 -- Sully     640       A       1        100.0000%   12/31/98   65,978    65,978

  South Dakota 8 -- Kingsbury 641       A       1        100.0000%   12/31/98   72,067    72,067

  South Dakota 9 -- Hanson    642       A       1        100.0000%   12/31/98   101,747   101,747

  Texas 1 -- Dallam           652       A       1        100.0000%   12/31/98   55,468    55,468

  Texas 2 -- Hansford         653       A       1        100.0000%   12/31/98   90,557    90,557

  Texas 3 -- Parmer           654       A       1        100.0000%   12/31/98   140,655   140,655

  Texas 4 -- Briscoe          655       A       1        100.0000%   12/31/98   41,573    41,573

  Texas 5 -- Hardeman         656       A       1        100.0000%   12/31/98   75,434    75,434

  Texas 7 -- Fanni            658       A       1                    10/1/99    374,211   

  Texas 8 -- Gaines           659       A       1        100.0000%   12/31/98   136,170   136,170

  Texas 12 -- Hudspeth        663       A       1        100.0000%   12/31/98   26,185    26,185

  Texas 13 -- Reeves          664       A       1        100.0000%   12/31/98   31,662    31,662

  Texas 14 -- Loving          665       A       1        100.0000%   12/31/98   46,129    46,129

  Utah 3 -- Juab              675       A       1        100.0000%   12/31/98   59,725    59,725

  Utah 4 -- Beaver            676       A       1        100.0000%   12/31/98   116,670   116,670

  Utah 5 -- Carbon            677       A       1                    1/5/00     80,901    

  Utah 6 -- Piute             678       A       1        100.0000%   12/31/98   27,964    27,964

  Wyoming 1 -- Park           718       A       1        100.0000%              50,558    50,558

  Wyoming 2 -- Sheridan       719       A       1        100.0000%   12/31/98   76,755    76,755

  Wyoming 4 -- Niobrara       721       A       1        100.0000%   2/4/99     132,275   132,275

  Wyoming 5 -- Converse       722       A       1        100.0000%   12/31/98   12,337    12,337
  --------------------------- --------- ------- -------- ----------- ---------- --------- ---------

[^1]: Commercial Mobile Services came to be known by the Commission as
    the Commercial Mobile Radio Services, or "CMRS."

[^2]: The Omnibus Budget Reconciliation Act of 1993, Pub. L. No. 103-66,
    Title VI, § 6002(b), amending the Communications Act of 1934 and
    codified at 47 U.S.C. § 332(c) ("*1993 Budget Act*").

[^3]: *1993 Budget Act* codified at 47 U.S.C. § 332(c)(1)(C).

[^4]: This report, like the others before it, discusses CMRS as a whole
    because Congress called on the Commission to report on "competitive
    market conditions with respect to commercial mobile services." 47
    U.S.C. §332 (c)(1)(C). An individual proceeding in which the
    Commission defines relevant product and geographic markets, such as
    a proposed license transfer, may present facts pointing to narrower
    or broader product markets than any used, suggested, or implied in
    this report.

[^5]: Implementation of Section 6002(b) of the Omnibus Budget
    Reconciliation Act of 1993, Annual Report and Analysis of
    Competitive Market Conditions with Respect to Commercial Mobile
    Services, *Fourth Report*, 14 FCC Rcd 10145 (1999) ("*Fourth
    Report*"). A copy of the *Fourth Report* that includes color
    versions of the maps may be found on the Commission\'s Internet
    site: \<http://www.fcc.gov/wtb/reports/fc99136.pdf\>.

[^6]: *See, e.g.,* Section C, *infra*.

[^7]: This report defines the mobile telephone segment to include
    cellular, broadband Personal Communications Services ("broadband
    PCS"), and digital Specialized Mobile Radio ("SMR") operators.

[^8]: The mobile data industry encompasses a wide array of services
    ranging from data transmitted over one-way pagers to vehicle
    tracking from satellites to wireless Internet connections via
    portable computers or Personal Digital Assistants ("PDAs").
    Participants include both CMRS and non-CMRS providers, many of whom
    also offer mobile telephone and dispatch services.

[^9]: This report's discussion of the dispatch market includes several
    different segments of that market, including: interconnected
    commercial dispatch carriers, which operate primarily in the 800
    MHz, 900 MHz, and 220 MHz bands and are referred to as "trunked
    dispatch;" and non-interconnected, non-CMRS, commercial dispatch
    service carriers, which are referred to as "traditional dispatch."
    *See* Application of Various Subsidiaries of Geotek Communications,
    Inc*., Memorandum Opinion and Order*, DA 99-1027 (rel. Jan. 14,
    2000).

[^10]: For example, the paging/messaging operator Pagemart Wireless,
    Inc. recently changed its name to Weblink Wireless, Inc., stating
    that the change was made to reflect the company's change "from
    selling simple alert, telephone-centric services to wireless data
    Internet-based products and services." *PageMart Wireless Officially
    Becomes WebLink Wireless*, News Release, Weblink Wireless, Inc.,
    Dec. 1, 1999.

[^11]: This report defines the paging/messaging segment to include
    paging and narrowband Personal Communications Services ("narrowband
    PCS") operators.

[^12]: *See* Section B, *infra*.

[^13]: The nationwide penetration rate is calculated by dividing total
    mobile telephone subscribers by the total U.S. population. The 32
    percent figure is based on a 1999 U.S. population estimate of 271.0
    million. *See* Dennis Leibowitz *et al*, *The Global Wireless
    Communications Industry*, Donaldson, Lufkin & Jenrette, Winter
    1999/2000, at 15 ("*DLJ Report*").

[^14]: U.S. Department of Labor, Bureau of Labor Statistics databases,
    Bureau of Labor Statistics' Internet site at
    \<http://www.bls.gov/sahome.html\> ("*BLS Database*").

[^15]: The Strategis Group, Inc., 2000; *see* Section II.d, *infra*, for
    a detailed discussion of price competition.

[^16]: "Footprint" is an industry term of art referring to the total
    geographic area in which a wireless provider can offer services over
    its own facilities.

[^17]: For a further discussion of nationwide pricing plans, *see Fourth
    Report*, 14 FCC Rcd at 10159-10160.

[^18]: *See* Section 4, *infra*.

[^19]: All of the data in this report are taken from publicly available
    sources. These sources include: trade associations, securities
    analysts, company releases and Web sites, filings with the
    Securities and Exchange Commission ("SEC"), newspaper and periodical
    articles, and certain materials made available to the Commission
    that were prepared by research companies and consultants that study
    various aspects of the wireless industry. The accuracy of the data
    from these materials, however, was not independently verified by the
    Commission. The inclusion of these data in this report does not
    constitute a representation or warranty by the Commission of their
    accuracy or completeness.

[^20]: *See* Appendix B, Table 1, p. B-2.

[^21]: *Id*.

[^22]: *See supra* note Error: Reference source not found.

[^23]: Nextel is included in the areas where it has launched its digital
    SMR-based mobile telephone service.

[^24]: *See* Section II.b, *infra*, for a detailed discussion.

[^25]: *Id*.

[^26]: *BLS Database*.

[^27]: The Strategis Group, Inc., 2000; *see* Section II.d, *infra*, for
    a detailed discussion of price competition.

[^28]: Jonathan Collins, *Sprint's Aggressive Ad Campaign Could Fire Up
    Demand For Wireless Net Access Or Give It A Bum WAP*,
    [tele.com]{.smallcaps}, Feb. 21, 2000, *available in* WL 10907294.

[^29]: Joe McGarvey, *Wireless Access Set to Explode*, [Inter@ctive
    Week]{.smallcaps}, Sept. 22, 1999.

[^30]: *See* The Strategis Group, Inc., "Dispatch Service in a
    Competitive Market," Presentation at AMTEX'98 Conference &
    Exposition, Nov. 13, 1998: [The Strategis Group, Inc., US Dispatch
    Markets (]{.smallcaps}January 2000) ("*Strategis Dispatch Report*").

[^31]: *See* Appendix D, Table 1, p. D-3.

[^32]: *See Fourth Report*, 14 FCC Rcd at 10151-10152.

[^33]: As codified at 47 C.F.R. §§ 22.900, 24.200, 90.601.

[^34]: *See* Appendix B, Table 1, p. B-2.

[^35]: *See supra* note Error: Reference source not found.

[^36]: *Wireless Telephone Penetration in U.S. Soars to Unprecedented
    Levels*, News Release, J.D. Power and Associates, Feb. 29, 2000.

[^37]: *See* Appendix B, Table 1, p. B-2.

[^38]: When an operator is described as being "nationwide," it does not
    necessarily mean that the operator's license areas, service areas,
    or pricing plans cover the entire land area of the United States.
    The six mobile telephony carriers that analyst reports and this
    report often describe as nationwide all offer service in at least
    some portion of the western, middle, and eastern United States.
    *See* Colette Fleming, Mark Kinarney, and Rohit Sharma, *The Urge to
    Merge -- 2000*, Morgan Stanley Dean Witter, May 22, 2000, at 4-5
    ("*The Urge to Merge*").

[^39]: This reports sometimes discusses information and events from the
    period prior to the merger of Bell Atlantic and GTE Corp. ("GTE")
    creating Verizon Communications ("Verizon"), and the Bell
    Atlantic-Vodafone AirTouch PLC ("Vodafone") joint venture creating
    Verizon Wireless; therefore, the names "Bell Atlantic" and
    "Vodafone" will be used in those instances.

[^40]: *See* Appendix B, Table 3, p. B-5.

[^41]: *BellSouth, SBC Create 2nd Largest Wireless Company With \$10.2
    Billion in Revenues*, News Release, BellSouth Corp., Apr. 5, 2000.

[^42]: For a more complete discussion of the motivations for this
    phenomenon, s*ee Fourth Report*, 14 FCC Rcd at 10159-10160.

[^43]: *See* *Fourth Report*, 14 FCC Rcd at 10159; *Third Report*, 13
    FCC Rcd at 19766; *Second Report*, 12 FCC Rcd at 11281.

[^44]: *See* *Innovative Pricing Plans*, *[supra]{.underline}* and
    *Fourth Report*, 14 FCC Rcd at 10155-10156 for a discussion of DOR
    plans.

[^45]: Mary Mosquera, *Wireless Footprint Required For Competition*,
    [TechWeb]{.smallcaps} (visited Oct. 8, 1999)
    \<http://www.techweb.com/wire/story/TWB19990930S0006\>.

[^46]: *See* Section II.c, *infra*.

[^47]: *See VoiceStream Wireless Closes Omnipoint Merger*, News Release,
    VoiceStream Wireless Corporation, Feb. 28, 2000; *VoiceStream
    Wireless Closes Aerial Merger*, News Release, VoiceStream Wireless
    Corporation , May 5, 2000.

[^48]: *Id*. POPs is an industry term referring to population, usually
    the number of people covered by a given wireless license or
    footprint. One "POP" equals one person.

[^49]: *See* Appendix B, Table 3, p. B-5.

[^50]: *Bell Atlantic and Vodafone AirTouch to Form New U.S National
    Wireless Competitor*, News Release, Bell Atlantic Corp., Sept. 21,
    1999; *Bell Atlantic and Vodafone AirTouch Launch Verizon Wireless*,
    News Release, Verizon Wireless, Apr. 4, 2000; *Bell Atlantic and GTE
    to Create Verizon, The Next Great Brand in Communications*, News
    Release, Bell Atlantic Corp., June 16, 2000.

[^51]: *Bell Atlantic, GTE Complete Merger*, News Release, Bell Atlantic
    Corp. and GTE Corp., June 30, 2000.

[^52]: In the areas where GTE's cellular licenses overlapped those of
    Verizon Wireless, one of the cellular licenses was sold off. In the
    areas where the two companies' cellular licenses overlapped their 30
    MHz broadband PCS licenses, Verizon Wireless is divesting 20 MHz of
    broadband PCS spectrum. *See* *United States of America v. Bell
    Atlantic Corporation, GTE Corporation, and Vodafone AirTouch PLC*,
    Civil No. 1-99CV01119 (LFO) (D.D.C. April 18, 2000) (Final
    Judgment).

[^53]: *Bell Atlantic and Vodafone AirTouch to Form New U.S. National
    Wireless Competitor*, News Release, Bell Atlantic Corp., Sept. 21,
    1999.

[^54]: *See* Appendix B, Table 3, p. B-5.

[^55]: *BellSouth, SBC Create 2nd Largest Wireless Company With \$10.2
    Billion in Revenues*, News Release, BellSouth Corp., Apr. 5, 2000;
    *See* SBC Communications Inc. and BellSouth Corporation Seek FCC
    Consent To Transfer Control of, or Assign Licenses to Joint Venture,
    WT Docket No. 00-81, *Public Notice*, DA 00-1581 (rel. May 19,
    2000).

[^56]: *BellSouth, SBC Create 2nd Largest Wireless Company With \$10.2
    Billion in Revenues*, News Release, BellSouth Corp., Apr. 5, 2000.

[^57]: For example, AT&T's acquisition of Wireless One Network, LP, and
    its joint venture to acquire American Cellular Corp. (*See AT&T
    Announces Acquisition of Wireless One*, News Release, AT&T, Corp.,
    Feb. 7, 2000; *AT&T and Dobson Communications Form Joint Venture To
    Purchase American Cellular*, News Release, AT&T Corp., Oct. 6,
    1999); SBC Communications' acquisitions of Radiofone, Inc. and
    Cellular Communications of Puerto Rico (*See SBC Communications
    Completes Acquisition of Radiofone, Inc.*, News Release, SBC
    Communications, Inc., Mar. 2, 1999; *Cellular Communications of P.R.
    Acquisition Complete*, News Release, SBC Communications, Inc., Aug.
    24, 1999); ALLTEL Corp.'s mergers with Aliant Communications Inc.
    and Liberty Cellular, Inc. (*See ALLTEL, Aliant Complete \$1.8
    Billion Merger*, News Release, ALLTEL Corp., July 2, 1999; *ALLTEL,
    Liberty Cellular Complete \$600 Million Merger*, News Release,
    ALLTEL Corp., Sept. 30, 1999).

[^58]: For example, Rural Cellular Corp.'s acquisition of Triton
    Cellular Partners, LP (*See Rural Cellular Corporation Agrees to
    Acquire Assets of Triton Cellular*, News Release, Rural Cellular
    Corp., Nov. 8, 1999).

[^59]: *Vodafone and AirTouch to Complete Merger*, News Release,
    Vodafone Group PLC, June 25, 1999.

[^60]: *Deutsche Telekom to Acquire VoiceStream For \$50.7 Billion,
    Creating First Wireless Operator Using GSM Standard Worldwide*, New
    Release, VoiceStream Wireless Corporation, July 23, 2000.

[^61]: *See Sonera Expands Presence in U.S. Wireless Market*, News
    Release, Powertel, Inc., Aug. 19, 1999. Sonera also acquired an 8.6
    percent interest in VoiceStream through VoiceStream's merger with
    Aerial. *See* Aerial Communications, Inc., and VoiceStream Wireless
    Holding Corporation, For Consent to Transfer Control of Licenses and
    Authorizations, WT Docket No. 00-3, *Memorandum Opinion and Order*,
    ¶ 15 (rel. Mar. 31, 2000).

[^62]: *See* Aerial Communications, Inc., and VoiceStream Wireless
    Holding Corporation, For Consent to Transfer Control of Licenses and
    Authorizations, WT Docket No. 00-3, *Memorandum Opinion and Order*,
    ¶ 11 (rel. Mar. 31, 2000); VoiceStream Wireless Corporation or
    Omnipoint Corporation and VoiceStream Wireless Holding Company, et
    al, For Consent to Transfer of Control and Assignment of Licenses
    and Authorizations, File Nos. 0000016354, *et al*., File No.
    0000054383, File No. 50001-CW-AL-00, *Memorandum Opinion and Order*,
    ¶ 14 (rel. Feb. 15, 2000).

[^63]: *See* Appendix B, Table 4, at B-6 for a summary of U.S.
    operators' foreign holdings.

[^64]: *See Microcell Announces Equity Investment by VoiceStream*, News
    Release, Microcell Telecommunications, Inc., Feb. 14, 2000.

[^65]: *See Leap Cuts Losses, Adds Markets*, [Wireless
    Today]{.smallcaps}, Mar. 22, 2000, *available in* 2000 WL 6391221.

[^66]: *See BT and AT&T Corp. Announce Strategic Telecommunications
    Investments In Canada*, News Release, AT&T Corp., Aug. 5, 1999.

[^67]: *See Fourth Report*, 14 FCC Rcd at 10154.

[^68]: *See* Appendix B, Table 5, p. B-8.

[^69]: The four technologies are: Code Division Multiple Access
    ("CDMA"), Global System Mobile Communications ("GSM"), integrated
    Digital Enhanced Network ("iDEN"), and Time Division Multiple Access
    ("TDMA").

[^70]: *DLJ Report*, at 58-59.

[^71]: AT&T Corp., Form S-3, Feb. 2, 2000, at 35.

[^72]: *Bell Atlantic Announces Fifth Consecutive Year of Double-Digit
    Earnings Growth; Fourth Quarter Revenues Rise 6.6% on Strong Sales*,
    News Release, Bell Atlantic Corp., Jan. 24, 2000.

[^73]: *Id*.

[^74]: *See Fourth Report*, 14 FCC Rcd at 10156-10159.

[^75]: *Leap Wireless International Completes Acquisition of Operating
    Licenses in Tennessee*, News Release, Leap Wireless International,
    Mar. 20, 2000.

[^76]: *See Fourth Report*, 14 FCC Rcd at 10157-10158.

[^77]: *See Leap Wireless International Reports Results For First
    Quarter of Fiscal 2000*, News Release, Leap Wireless International,
    Inc., Jan. 5, 2000.

[^78]: *Wireless Is Having Relatively Small Impact on First Wired
    Telephone Lines*, [Communications Daily,]{.smallcaps} Mar. 1, 2000,
    at 6.

[^79]: *Minnesota Communities Receive First-Of-Its-Kind Wireless Phone
    Service*, Midwest Wireless, News Release, Mar. 27, 2000.

[^80]: *Id*.

[^81]: *Id*. *See also*, Midwest Wireless, *Midwest Wireless: Cellular
    2000 and ClearlyDigital* (visited June 13, 2000)
    \<http://www.midwestwireless.com/mwc_plans/mwc_plans_realm.html\>.

[^82]: *PCIA and The Yankee Group Release Largest Wireless Consumer
    Survey at PCS '99*, PCIA, News Release, Sept. 23, 1999.

[^83]: Federal Communications Commission estimates, based on publicly
    available information.

[^84]: *See* Lynnette Luna, *BAM Buys Rivgam Licenses To Boost
    Capacity*[, RCR Radio Communications Report]{.smallcaps}, Sept. 13,
    1999, *available in* 1999 WL 7792312. In addition, as was reported
    in the *Fourth Report*, Rivgam Communications, LLC had previously
    sold its west coast E block broadband PCS licenses to AirTouch. *See
    Fourth Report*, 14 FCC Rcd at 10172.

[^85]: Colette Fleming *et al*, *US Wireless Services*, Morgan Stanley
    Dean Witter, May 22, 2000, at 9.

[^86]: The Department of Justice allowed the combined company to keep
    only up to 10 MHz of PCS spectrum in the overlapping cellular-PCS
    areas. The companies also had the choice of selling the entire 25
    MHz cellular or entire 30 MHz PCS license in those areas. *See*
    *United States of America v. Bell Atlantic Corporation, GTE
    Corporation, and Vodafone AirTouch PLC*, Civil No. 1-99CV01119 (LFO)
    (D.D.C. April 18, 2000) (Final Judgment).

[^87]: Steve Gold, *AT&T Taps Ericsson for Dual Band Wireless Network*,
    [Newsbytes News Network]{.smallcaps}, Dec. 14, 1999, *available in*
    1999 WL 29943972.

[^88]: *Id*.

[^89]: *See AT&T Launches First National One-Rate Wireless Service
    Plan*, News Release, AT&T Corp., May 7, 1998.

[^90]: For example, Verizon Wireless's five SingleRate plans allow
    customers to purchase different levels of minutes per month with no
    roaming and no long distance charges, with rates ranging from \$35
    for 150 minutes to \$150 for 1500 minutes. Verizon Wireless, Inc.,
    *SingleRate* (visited June 5, 2000)
    \<http://www.verizonwireless.com/ver_five_plans.html\>. Sprint PCS's
    Free & Clear Plan also allows customers to purchase different
    buckets of minutes at different monthly rates with no roaming and no
    long distance charges, as long as customers remain on Sprint's
    nearly-nationwide network. The rates range from \$19.99 for 20
    minutes to \$399.99 per month for 4,000 minutes. Sprint PCS, *Sprint
    PCS Free & Clear Plans* (visited June 5, 2000)
    \<http://s2.sprintpcs.com/store/cc_Pricing.asp\>.

[^91]: *See Fourth Report*, 14 FCC Rcd at 10155.

[^92]: Verizon Wireless, Inc., *SingleRate* (visited June 5, 2000)
    \<http://www.verizonwireless.com/ver_five_plans.html\>. Sprint PCS,
    *Sprint PCS Free & Clear Plans* (visited June 5, 2000)
    \<http://s2.sprintpcs.com/store/cc_Pricing.asp\>. Free & Clear
    customers must remain on Sprint PCS's nearly-nationwide network in
    order to avoid roaming and long distance charges.

[^93]: *Third Quarter Operational Earnings Were \$0.54 Per Share Pro
    Forma Revenues Grew 5.6%*, AT&T Corp., AT&T Group Earnings
    Commentary, Oct. 25, 1999, at 8.

[^94]: SBC Communications, Inc., *Digital Edge - FamilyTalk* (visited
    Mar. 2, 2000) \<http://www.getcellone.com/pro-serv2.html#family\>.

[^95]: *Bell Atlantic Mobile Inspires Whole Families, Small Businesses
    to Go Wireless with New Share-A-Minute Plan*, News Release, Bell
    Atlantic Corp., Oct. 29, 1999.

[^96]: BTAs are Material Copyright (c) 1992 Rand McNally & Company.
    Rights granted pursuant to a license from Rand McNally & Company
    through an arrangement with the Personal Communications Industry
    Association. BTAs are geographic areas drawn based on the counties
    in which residents of a given BTA make the bulk of their shopping
    goods purchases. Rand McNally's BTA specification contains 487
    geographic areas covering the 50 states and the District of
    Columbia. For its spectrum auctions, the Commission added additional
    BTA-like areas for: American Samoa; Guam; Northern Mariana Islands;
    San Juan, Puerto Rico; Mayagüez/Aguadilla‑Ponce, Puerto Rico; and
    the United States Virgin Islands.

[^97]: In order to allow comparisons with previous years, tables in
    Appendix B also estimate coverage on a BTA basis. *See* Appendix B,
    Tables 2A-2D, at pp. B-3 -- B-4.

[^98]: The Commission's buildout rules for geographic area licenses do
    not require operators to deploy networks such that the entire
    geographic area of a specific license receives coverage. For
    example, the construction requirements for 30 MHz broadband PCS
    licenses (blocks A, B, and C) state that an operator's network must
    serve an area containing at least one-third of the license area's
    population within five years of the license being granted and
    two-thirds of the population within ten years. *See* 47 C.F.R.
    § 24.203(a). Similarly, the construction requirements for 10 MHz
    boradband PCS licenses (blocks D, E, and F) state that an operator
    must cover one-quarter of a license area's population, or provide
    "substantial service," within five years of being licensed. *See* 47
    C.F.R. § 24.203(b). The details concerning exactly which geographic
    areas or portions of the population should be covered to meet these
    requirements are left to the operators. In addition, decisions about
    whether to increase coverage above these requirements are left to
    the operators. For information on the buildout requirements for
    cellular licenses, *see* 47 C.F.R. §§ 22.946, 22.947,
    22.949, 22.951.

[^99]: For the purposes of this analysis, "non-cellular carriers" are
    defined as operators using broadband PCS spectrum or Nextel in the
    areas where it has launched its digital SMR product.

[^100]: *See Fourth Report*, 14 FCC Rcd at 10164-10165.

[^101]: *Econ One News Release*; *BLS Database*.

[^102]: *Econ One News Release*.

[^103]: *Id*.

[^104]: *See* Section II.b, *supra*.

[^105]: The Strategis Group, Inc., 2000.

[^106]: David A. Freedman[,]{.smallcaps} *Wireless Telephony: Untethered
    Stories & Stats Medium Users Benefited Most in 1999*, Bear, Stearns
    & Co. Inc., June 2000, at 4-6.

[^107]: *Id*.

[^108]: *Id*.

[^109]: *Id*.

[^110]: *Id*.

[^111]: The Consumer Price Index ("CPI") is a measure of the average
    change over time in the prices paid by urban consumers for a fixed
    market basket of consumer goods and services. The basket of goods
    includes over 200 categories including items such as food and
    beverages, housing, apparel, transportation, medical care,
    recreation, education, and communications. The CPI provides a way
    for consumers to compare what the market basket of goods and
    services costs this month with what the same market basket cost a
    month or a year ago. Starting in December of 1998, this basket of
    goods included a category for cellular telephone services. All CPI
    figures discussed in this paragraph were taken from U.S. Department
    of Labor, Bureau of Labor Statistics databases found on the Bureau
    of Labor Statistics' Internet site at
    \<http://www.bls.gov/sahome.html\>.

[^112]: *The Urge to Merge*, at 9.

[^113]: *Id*. The rates quoted do not include toll charges. *Id*.

[^114]: Linda J. Mutschler and Naeemah Lajoie, *The Next Generation IV
    Wireless in the US*, Merrill Lynch & Co., Mar. 10, 2000, at 41
    ("*2000 Merrill Lynch Report*").

[^115]: *The Urge to Merge*, at 9.

[^116]: *See* Section II.a, *supra*.

[^117]: *The Urge to Merge*, at 9.

[^118]: *Id*.

[^119]: Elizabeth V. Mooney, *Prepaid faces its conundrum: It's more
    expensive*, [RCR Radio Communications Report,]{.smallcaps} Apr. 3,
    2000, at 14, reporting on predictions from analysts at Donaldson,
    Lufkin & Jenrette Securities Corp., Strategis Group, and The Yankee
    Group.

[^120]: Todd Rethemeier, *The Mobile Millennium -- Wireless
    Telecommunications Services*, J.P. Morgan Securities, Inc., May 3,
    2000, at 13. This report suggests two main reasons for the greater
    number of prepaid subscribers in Europe: (1) European consumers are
    much more accustomed to prepaying for purchases; and (2) calling
    party pays enables prepaid wireless subscribers to use the phone for
    incoming calls without incurring any charges.

[^121]: *See* *Fourth Report*, 14 FCC Rcd at 10160-10161.

[^122]: *Powertel, Inc. Announces First Quarter 2000 Financial Results,*
    News Release, Powertel, Inc., Apr. 27, 2000.

[^123]: *Powertel, Inc. Announces First Quarter 1999 Financial Results,*
    News Release, Powertel, Inc., Apr. 29, 1999.

[^124]: *VoiceStream Wireless Announces First Quarter 2000 Financial
    Results*, News Release, VoiceStream Wireless Corp., May 8, 2000.

[^125]: *AT&T Launches National PrePaid Wireless Offer*, News Release,
    AT&T, Sept. 13, 1999.

[^126]: Linda J. Mutschler and Naeemah Lajoie, *Sprint PCS*, Equity
    Research, Merrill Lynch & Co., May 9, 2000, at 3.

[^127]: *Id*.

[^128]: *Affordable, Flat-Rate Cricket Wireless Service Launches in
    Nashville*, PR Newswire, Jan. 31, 2000.

[^129]: *Id*. Subscribers cannot roam on this system, but long distance
    calling is available at an additional charge through a separate
    prepaid account. *See also* Carleen Hawn, *E-Commerce: Mobile
    Manicurist: Wireless providers have long catered to the wealthy. At
    last, an upstart unveils a service tailored to working stiffs.*
    [Forbes,]{.smallcaps} Dec. 13, 1999, available in 1999 WL 28466848.

[^130]: *See* Appendix B, Table 1, p. B-2.

[^131]: *Id*.

[^132]: *See Fourth Report*, 14 FCC Rcd at 10167.

[^133]: *See* Appendix B, Table 7, p. B-10.

[^134]: *See DLJ Report*, at 15.

[^135]: *See Fourth Report*, 14 FCC Rcd at 10169.

[^136]: *CTIA Reports 1999 Survey Results*, News Release, Cellular
    Telecommunications Industry Association, Apr. 11, 2000. CTIA
    aggregated all of the carriers' MOUs from July 1 through December
    31, 1999, then divided by the number of subscribers, and then
    divided by six. Telephone conversation with Robert Roche, CTIA, June
    16, 2000.

[^137]: Paul Kagan Associates, Inc., *Kagan Projections: Wireless
    Heading Towards One-Third Total U.S. Usage*, [Wireless Market
    Stats]{.smallcaps}, Oct. 27, 1999, at 5.

[^138]: *See* Paul Kagan Associates, Inc., *Wireless Share of Total U.S.
    Communications MOUs: 1997-2007*, [Wireless Market
    Stats]{.smallcaps}, Jan. 31, 1998, at 2, and Paul Kagan Associates,
    Inc., *Kagan Projections: Wireless Heading Towards One-Third Total
    U.S. Usage*, [Wireless Market Stats]{.smallcaps}, Oct. 27, 1999, at
    5.

[^139]: *AT&T Wireless Surges to the Lead in Nine Out of 13 Markets
    Included in Study*, News Release, J. D. Power and Associates, Sept.
    23, 1999.

[^140]: *See* Paul Kagan Associates, Inc., *Wireless Share of Total U.S.
    Communications MOUs: 1997-2007*, [Wireless Market
    Stats]{.smallcaps}, Jan. 31, 1998, at 2 *and* Paul Kagan Associates,
    Inc., *Kagan Projections: Wireless Heading Towards One-Third Total
    U.S. Usage*, [Wireless Market Stats]{.smallcaps}, Oct. 27, 1999, at
    5.

[^141]: *See* Appendix B, Table 1, p. B-2.

[^142]: *See DLJ Report*, at 7.

[^143]: *See Fourth Report*, 14 FCC Rcd at 10170.

[^144]: *See* Appendix F, Maps 2-5, pp. F-3 -- F-6.

[^145]: The broadband PCS-based coverage is estimated using counties and
    the cellular-based coverage is estimated using Metropolitan
    Statistical Areas ("MSAs") and Rural Service Areas ("RSAs"). MSAs
    and RSAs are sometimes referred to collectively as Cellular Market
    Areas ("CMAs"). The same caveats mentioned above in Section II.c
    apply to these data as well.

[^146]: *See* Appendix B, Table 7, p. B-10 *and* Appendix F, Map 2, p.
    F-3.

[^147]: *Id*. at p. B-10 and p. F-4.

[^148]: *Id*. at p. B-10 and p. F-5.

[^149]: *See* *infra* note Error: Reference source not found.

[^150]: *See* Appendix B, Table 7, p. B-10 *and* Appendix F, Map 5, p.
    F-6.

[^151]: All of the foreign penetration figures mentioned in this
    paragraph are taken from the *DLJ Report*, at 62.

[^152]: *See supra* note Error: Reference source not found.

[^153]: Michael I. Rollins and Thomas P. Vincent, *The Wireless EDGE*,
    Salomon Smith Barney, May 23, 2000, at 5.

[^154]: *Id*.

[^155]: *Id*.

[^156]: Japan and Hong Kong, similar to the United States and Western
    Europe economically, have higher penetration levels than the United
    States, of 37 percent and 57 percent, respectively. *DLJ Report*, at
    75.

[^157]: Excluding Hong Kong.

[^158]: *DLJ Report*, at 75*.*

[^159]: *Id*. at 84.

[^160]: Nextel Communications, Inc., Petition For Expedited Declaratory
    Ruling, In the Matter of Clarification of the Commission's Rules and
    Policies Pertaining to the Designated Entity Holding Period and
    Related Rules and Policies in Cases of Licensee Default and
    Bankruptcy (December 21, 1999).

[^161]: John M. Bensche, et al.*, Spectrum Auction Update -- Lessons
    from the U.K*.*,*Lehman Brothers, May 11, 2000 [("]{.smallcaps}*U.K.
    Lessons*[")]{.smallcaps}; FCC calculations based on publicly
    available information.

[^162]: Commercial Mobile Radio Service Information: Announcing The
    Winning Bidders In The FCC's Auction Of 99 Licenses To Provide
    Broadband PCS In Major Trading Areas: Down Payments Due March 20,
    1995, *Public Notice* (rel. March 13, 1995). The results of the
    recent FCC auctions of PCS and paging licenses do not contradict the
    finding that values have been rising. The PCS auction ended in April
    1999, before much of the recent increase occurred, and high bids in
    that auction were also reduced because participation was limited to
    firms qualifying as entrepreneurs. The paging auction that closed in
    March 2000 primarily involved highly encumbered licenses.

[^163]: *See* *e.g.*, *U.K. Lessons*, at 2 and 18*.*

[^164]: Auction of Licenses for C and F Block Broadband PCS Spectrum
    Postponed Until November 29, 2000, *Public Notice*, DA 00-1246 (rel.
    June 7, 2000); Auction of Licenses in the 747-762 and 777-792 MHz
    Bands Postponed Until March 6, 2001, *Public Notice*, WT Docket No.
    99-168 (rel. July 31, 2000).

[^165]: *See* Principles for Reallocation of Spectrum to Encourage the
    Development of Telecommunications Technologies for the New
    Millennium, *Policy Statement*, 14 FCC Rcd 19868 (1999).

[^166]: *See* FCC Announces Agenda For Public Forum on Secondary Markets
    in Radio Spectrum, *Public Notice*, DA 00-862 (rel. May 23, 2000).

[^167]: *See* Appendix B, Table 3, p. B-5.

[^168]: *Id*.

[^169]: *Id*.

[^170]: *See Fourth Report*, 14 FCC Rcd at 10173.

[^171]: *See* Section II.b, *supra*.

[^172]: FCC estimates are based on 1998 MSA/RSA populations.

[^173]: The Commission has tentatively concluded that each 30 MHz C
    block license available in future broadband PCS auctions should be
    reconfigured into three 10 MHz C block licenses. *See FCC Proposes
    Rule Changes For Upcoming C and F Block Auction To Encourage
    Advanced Wireless Services and Small Business Opportunities
    Nationwide*, News Release, (rel. June 1, 2000).

[^174]: Major Trading Areas are Material Copyright (c) 1992 Rand McNally
    & Company. Rights granted pursuant to a license from Rand McNally &
    Company through an arrangement with the Personal Communications
    Industry Association. MTAs are combinations of two or more BTAs.
    Rand McNally's MTA specification contains 47 geographic areas
    covering the 50 states and the District of Columbia. For its
    spectrum auctions, the Commission has added the following MTA‑like
    areas: (1) Guam and the Northern Mariana Islands, (2) Puerto Rico
    and the U.S. Virgin Islands, and (3) American Samoa. In addition,
    Alaska was separated from the Seattle MTA into its own MTA‑like
    area.

[^175]: In June 1998, broadband PCS C block licensees were permitted to
    elect to disaggregate their licenses and return 15 MHz of C block
    spectrum to the Commission. As a result, a number of licensees
    elected to disaggregate some or all of their licenses, creating some
    BTAs with seven spectrum licenses. *See* Amendment of the
    Commission's Rules Regarding Installment Payment Financing for
    Personal Communications Services (PCS) Licensees, WT Docket No.
    97‑82, *Second Report and Order and Further Notice of Proposed Rule
    Making*, 12 FCC Rcd 16436 (1997); Amendment of the Commission's
    Rules Regarding Installment Payment Financing for Personal
    Communications Services (PCS) Licensees, WT Docket No. 97‑82, *Order
    on Reconsideration of the Second Report and Order*, 13 FCC Rcd 8345
    (1998).

[^176]: Unlicensed broadband PCS is used for short-range communications
    such as local area networks in offices. Such systems operate with
    very low power and have a limit on the duration of transmissions.

[^177]: *See* Appendix B, Table 6, p. B-9 and Table 8, p. B-11.

[^178]: In August, Telecorp PCS Inc. acquired Tritel Inc. subject to
    regulatory approval of the FCC. Matt Moore, *Tritel, Telecorp PCS
    Complete 'Merger of Equals,'* [Associated Press
    Newswires]{.smallcaps}, Aug. 8, 2000.

[^179]: *See*, *e.g.*, US Unwired Inc., Form 4249(B)(1), May 17, 2000,
    at 7.

[^180]: *The Urge to Merge*, at 36.

[^181]: *Id*. at 53-54. Some CDMA markets are in the process of being
    converted to TDMA. *Id*. at 48.

[^182]: *See* Appendix B, Table 9A, p. B-13 *and* Appendix F, Map 6, p.
    F-7.

[^183]: *See* Appendix B, Table 9G, p. B-14.

[^184]: *See* Section C, *infra*, for a discussion of the dispatch
    market.

[^185]: *See Fourth Report*, 14 FCC Rcd at 10176-10177. To our
    knowledge, the only other SMR licensee currently offering service
    using digital technology is the Southern Company, with its Southern
    LINC telecom subsidiary. Southern LINC uses an iDEN network and
    focuses more on the traditional dispatch market. *See* Section C,
    *infra*. In the past year, one new SMR licensee, Pacific Wireless
    Technologies, Inc., announced plans to deploy an iDEN network in
    central California. *See Motorola and Pacific Wireless Sign
    Agreement To Provide iDEN Integrated Digital Network in
    California\'s Central Valley*, News Release, Motorola Corp., Dec. 1,
    1999.

[^186]: *See* Nextel Communications, Inc., Form 10-K, Dec. 31, 1998, at
    3.

[^187]: *Nextel Reports 1999 Results*, News Release, Nextel
    Communications, Inc., Feb. 22, 2000.

[^188]: *Nextel Reports Record Third Quarter 1999 Results*, News
    Release, Nextel Communications, Inc., Oct. 18, 1999.

[^189]: Nextel Communications, Inc., Form 10-K, Dec. 31, 1996, at 5.

[^190]: Pittencrieff Communications, Inc., Form 10-K, Dec. 31, 1996, at
    4.

[^191]: *Id*.

[^192]: *See RCR Top 20 SMRs*, [RCR Radio Communications]{.smallcaps},
    Feb. 10, 1997, at 14. This is the most recent Top 20 SMRs list
    published by RCR Radio Communications.

[^193]: Interconnection and Resale Obligations Pertaining to Commercial
    Mobile Radio Services, CC Docket No. 94-54, *First Report and
    Order*, 11 FCC Rcd 18455, ¶¶ 10-11 (1996), 61 Fed. Reg. 38399 (July
    24, 1996).

[^194]: *TRA Releases Yankee Group Study on Wireless Resale; Report
    Predicts Size of Resale Market Will Triple in 5 Years*, News
    Release, Telecommunications Resellers Association, Feb. 23, 2000.

[^195]: *See* Appendix B, Table 11, p. B-16.

[^196]: This may be due to the declining margins for resellers.
    According to the above referenced Yankee Group study commissioned by
    ASCENT, wireless retail prices fell by 24 percent in the past two
    years while wholesale rates for resellers fell less than 15 percent.
    Nancy Gohring, *Spectrum: Resale To Re-Emerge*,
    [Telephony]{.smallcaps}, May 1, 2000. WorldCom, due to its large
    bargaining power, might have been able to negotiate more favorable
    terms.

[^197]: Services provided directly to end users by mobile satellite
    licensees are considered to be CMRS. *See* 47 CFR § 20.9(10).

[^198]: Leslie Cauley, *Iridium Files for Bankruptcy Protection After
    Its Bondholders Submit Petition*, [Wall Street Journal]{.smallcaps},
    Aug. 16, 1999, *available in* 1999 WL-WSJ 5464565.

[^199]: *No Buyer Found: Iridium Begins Process Of Shutting Down*,
    [Communications Daily]{.smallcaps}, Mar. 20, 2000, *available in*
    2000 WL 4694740.

[^200]: Scott Thurm, *Iridium Set to Get \$75 Million From Investors Led
    by McCaw*, [Wall Street Journal]{.smallcaps}, Feb. 10, 2000,
    *available in* 2000 WL-WSJ 3017486.

[^201]: Antony Bruno, *McCaw, Chandra Bail Out ICO*, [RCR Radio
    Communications Report]{.smallcaps}, Dec. 13, 1999, *available in*
    1999 WL 28241242.

[^202]: *McCaw Readies Plans For ICO And Teledesic*, [Communications
    Daily]{.smallcaps}, Apr. 21, 2000, *available in* 2000 WL 4695098.

[^203]: *Globalstar USA Launches Full Commercial Availability of Mobile
    Satellite Phone Service: Voice Coverage Now Reaches Everywhere in
    the United States, Canada and Mexico*, News Release, Globalstar
    Telecommunications Ltd., Feb. 28, 2000.

[^204]: *Id.*

[^205]: *Id.*

[^206]: *Id.*

[^207]: The "Beyond Basic" plan is \$29.99 per month plus \$1.69 per
    minute for satellite airtime. The "Beyond 100" plan is \$169.99 per
    month and includes 100 minutes of satellite airtime; additional
    minutes are \$1.49. The "Beyond 250" plan is \$369.99 and includes
    250 minutes of satellite airtime; additional minutes are \$1.39*.
    Id.*

[^208]: *Id.*

[^209]: *Globalstar Slashes Airtime, Hardware Costs*,
    [WirelessNow]{.smallcaps}, Mar. 27, 2000. In addition, a number of
    Globalstar resellers, including ICC Public Communications Systems,
    Norsat, and GMPCS are offering rebates to win former Iridium
    customers. GMPCS, for example, has designed two incentives to
    convert Iridium customers. The first plan offers a \$295 trade-in
    rebate toward the purchase of a new Globalstar phone. The second
    plan offers a \$495 trade-in rebate toward the purchase of a new
    Globalstar phone with a car kit. *Globalstar USA To The Rescue Of
    Iridium Customers Left Holding The Phone:Distributors Offer Trade-in
    Rebates for Iridium Phones*, News Release, Globalstar
    Telecommunications Ltd., Mar. 16, 2000.

[^210]: *Spring Forward With Globalstar USA: Limited Promotional Rates;
    Introducing Beyond 50 Minute Plan*, News Release, Globalstar
    Telecommunications Ltd., Mar. 31, 2000.

[^211]: Andy Pasztor*, Globalstar\'s Chief Says the Sky Isn\'t Falling
    On Satellite Phone Service but Asks for Patience*, [Wall Street
    Journal]{.smallcaps}, Mar. 30, 2000, *available in* 2000 WL-WSJ
    3023681. The project needs one million subscribers to break even.
    *Id.*

[^212]: Thomas J. Lee, *The U.S. Mobile Data Report -- A Special Edition
    of Mobile Outlook*, Equity Research: United States Wireless
    Services, Salomon Smith Barney, Sept. 21, 1999, at 8 ("*SSB
    Report*").

[^213]: *Id*.

[^214]: Aaron Pressman, *Internet Luminaries Herald Wireless Web World*,
    Feb. 27, 2000 (visited Feb. 29, 2000)
    \<http://www.foxnews.com/vtech/022700/wireless.sml\>.

[^215]: Jonathan Collins, *Sprint's Aggressive Ad Campaign Could Fire Up
    Demand For Wireless Net Access Or Give It A Bum WAP*,
    [tele.com]{.smallcaps}, Feb. 21, 2000, *available in* 2000 WL
    10907294.

[^216]: Anita Farrell and Adnaan Ahmad, *Mobile Data Handbook, The Road
    to the Mobile Internet*, Europe Technology, Merrill Lynch & Co.,
    Sept. 1999, at 2 ("*1999* *Merrill Lynch Report*").

[^217]: *SSB Report*, at 8-9.

[^218]: Joe McGarvey, *Wireless Access Set to Explode*, [Inter@ctive
    Week]{.smallcaps}, Sept. 22, 1999; *2000 Merrill Lynch Report*, at
    32.

[^219]: Different terms are often used when referring to "technologies."
    For example, an analyst may label a technology as either a network
    or a standard. *See* Linda J. Mutschler and Naeemah Lajoie, *A Day
    in the Future*, *The Evolution to 3G*-Wireless/Cellular, Merrill
    Lynch & Co., Apr. 4, 2000, at 2 ("*Merrill Lynch Evolution
    Report*"). Others use the term specification. *See* *IMT-2000 Radio
    Interface Specifications Approved in ITU Meeting in Helsinki*, News
    Release, ITU, Nov. 5, 1999. For purposes of this report, these terms
    are used interchangeably and are not intended to give meaning other
    than the most ordinary.

[^220]: *SSB Report*, at 24.

[^221]: Krishnan Thiagarajan, *Mobile Phone Industry Sprints to 3G*,
    [Business Line]{.smallcaps}, Oct. 25, 1999, *available in* 1999 WL
    28942358.

[^222]: *DLJ Report*, at 10 (citing Yankee Group).

[^223]: Joe McGarvey, *Wireless Access Set to Explode*, [Inter@ctive
    Week]{.smallcaps}, Sept. 22, 1999.

[^224]: *1999 Merrill Lynch Report*, at 19; Charles Mason, *If It's
    Wireless, It Must Be Data*, [America's Network]{.smallcaps}, July
    15, 1999, *available in* 1999 WL 11825410.

[^225]: *See* Appendix C, Table 1, p. C-2.

[^226]: allNetDevices, *Wireless World Coming, IDC Says* (visited Apr.
    12, 2000) \<http://www.allnetdevices.com/news/0004/000411idc.htm\>
    (citing IDC).

[^227]: *SSB Report*, at 6-7.

[^228]: Linda J. Mutschler, Kiyohisa Ota, and Naeemah Lajoie, *Mobile
    Data Dynamics - Mobile Data in Japan: Robust Growth of Data Goes On
    and On*, United States Telecom Services-Wireless/Cellular, Merrill
    Lynch & Co., Feb. 11, 2000, at 1; Dennis Leibowitz et al, [The
    Global Wireless Communications Industry]{.smallcaps}, Donaldson,
    Lufkin & Jenrette, Summer 2000, at 72.

[^229]: *2000 Merrill Lynch Report*, at 19.

[^230]: *Id*. at 21.

[^231]: *Id*. at 18, 20.

[^232]: Analysts recently began discussing 4G technology, which can
    offer throughputs at multi-megabits per second and which, some
    assert, could be commercialized within two to five years. Meg
    McGinity, *Fourth Time's The Charm*, [Interactive Week from
    ZDWire]{.smallcaps}, Mar. 20, 2000, *available in* 2000 WL 4065402.

[^233]: Circuit-switched data transmission sets up and keeps a circuit
    open between two or more users, such that the users have exclusive
    and full use of the circuit until the connection is released. A
    voice call is sent over a circuit. On the other hand,
    packet-switched data transmission is used for data only and the
    addresses are read on the packets by the switches. Each packet can
    be sent via a different path and then reassembled at the other end
    for delivery. The Internet is a packet-switched network. [Harry
    Newton, Newton's Telecom Dictionary (]{.smallcaps}14^th^ ed. 1998),
    at 154. With a packet-switched network, many users can use the same
    path, allowing for "connectionless" access. Linda J. Mutschler and
    Naeemah Lajoie, *A Day in the Future*, United States Telecom
    Services-Wireless/Cellular, Merrill Lynch & Co., Apr. 4, 2000, at
    7-8.

[^234]: TDMA is sometimes referred to as IS-54 or IS-136.

[^235]: CDMA is also referred to as IS-95A or cdmaOne.

[^236]: *1999 Merrill Lynch Report*, at 26.

[^237]: CDMA, TDMA, and GSM have throughput rates of 9.6 to 14.4 kbps.
    CDPD, which operates as an overlay to AMPs as well as TDMA and CDMA,
    offers speeds up to 19.2 kbps. *See* Section II.c, *infra*.

[^238]: *2000 Merrill Lynch Report*, at 66.

[^239]: *Fourth Report*, 14 FCC Rcd at 10161.

[^240]: *Third Generation Wireless: Strategies for Global Markets*
    (Conference Call Slides), Heather M. Henyon, Consultant,
    International Wireless Practice, The Strategis Group, Inc., July 21,
    1999.

[^241]: Gilbert Held*, The Wide World of Wireless*, [Network
    Magazine]{.smallcaps}, Dec. 1, 1999, *available in* 1999 WL
    11272215; Dee McVicker, *So Where is the Wireless Web?*, [UPSIDE
    Magazine]{.smallcaps}, Apr. 1, 2000, *available in* 2000 WL 2005067.

[^242]: WCDMA is also referred to as UMTS in Europe. David Pringle and
    Connie Ling, *I-Mode Success Poses Threat to Industry Giants*, [The
    Asian Wall Street Journal]{.smallcaps}, July 25, 2000, *available
    in* 2000 WL-WSJA 23746038.

[^243]: *ITU Adopts 5 Formats For New Generation Mobile Phones*, [Japan
    Economic Newswire]{.smallcaps}, May 5, 2000.

[^244]: *IMT-2000 Radio Interface Specifications Approved in ITU Meeting
    in Helsinki*, News Release, ITU, Nov. 5, 1999.

[^245]: Sally Ruth Bourrie, *CDMA's Next Generation: A Market Driven
    Scenario*, [Wireless Week]{.smallcaps}, Nov. 15, 1999, at 10A;
    Melissa A. Sanzo, *CDMA's Data Evolution*, [Wireless
    Review]{.smallcaps}, Mar. 31, 1999, *available in* 1999 WL 10100627.

[^246]: *See* Peggy Albright, *Adding A Big Dash Of Acronyms - The Path
    To 3G Includes Recipe For Ambiguous Terminology*, [Wireless
    Week]{.smallcaps}, Jan. 3, 2000, at 24; *See also* Lois Mentrup,
    *Spectrum -- To Thine Own: 3G be True*, [Telephony]{.smallcaps},
    Feb. 28, 2000, *available in* 2000 WL 7091869 ("*Mentrup Article*");
    *See also* John M. Bensche, Jennifer A. Cooke, and Elisabeth H. Job,
    *Rising Wireless Data Tide Lifts All Ships*, Lehman Brothers, Mar.
    2000, at 7 ("*Lehman Brothers Report*").

[^247]: *Frequently Asked Questions about TDMA-EDGE & WIN* (visited Apr.
    25, 2000) \<wysiwyg://5//www.tdma-edge.org/edge/tdma_faq.html\>.

[^248]: Lehman Brothers, for example, refers to EDGE as 3G in both the
    GSM and TDMA environments. *Lehman Brothers Report*, at 25.

[^249]: [The Yankee Group, Next-Generation Cellular Data: Now for the
    Rollout (1999),]{.smallcaps} at 21 ("*Yankee Report*").

[^250]: *1999 Merrill Lynch Report*, at 44-45.

[^251]: *Yankee Report*, at 5; *Mobile Diary*, [Mobile Communications
    Report]{.smallcaps}, Dec. 27, 1999, *available in* 1999 WL 8753026
    (citing The Strategis Group Inc); Christopher Jones, *3G Phones
    Divide and Conquer*, [WIREDNEWS]{.smallcaps}, Dec. 14, 1999
    \<http://www.wired.com/news/technology/0,1282,33056,00.html\>.

[^252]: *U.K.'s Success Prompts Europe To Revise Wireless License Fees*,
    [WSJ Interactive Edition]{.smallcaps}, Apr. 17, 2000 (visited Apr.
    18, 2000)
    \<wysiwyg://2/http://interactive.wsj.com/articles/SB955919640364457424.htm\>.
    *See* Appendix C, Table 2, p. C-3, for a list of 3G spectrum
    allocation plans of other countries.

[^253]: Stephanie Gruner and Marc Champion, *Britain Hits Jackpot in
    Telecom Auction*, [Wall Street Journal]{.smallcaps}, Apr. 28, 2000,
    at A17.

[^254]: Standards bodies have not approved all of these upgrades at this
    time. Lynnette Luna, *Players Square Off on Data Enhancements*, [RCR
    Radio Communications Report]{.smallcaps}, Mar. 27, 2000, at 1.

[^255]: For a further list of tests, *see* Appendix C, Table 4, p. C-5 -
    C-7. For a list of contracts, *see* Appendix C, Table 3, p. C-4.

[^256]: For a further discussion of these services, *see* Section II.c,
    *infra*.

[^257]: Craig J. Mathias, *Will 'Mobile, Broadband Wireless' Redefine
    Access?*, [Business Communications Review]{.smallcaps}, Mar. 1,
    2000, *available in* 2000 WL 11608524.

[^258]: *1999 Merrill Lynch Report*, at 37.

[^259]: *Different Data Markets Create Widely Varying 3G Strategies*,
    [Wireless Data News]{.smallcaps}, Sept. 29, 1999, *available in*
    1999 WL 7899437; Chuck Holt, *Plug & Play*, [Wireless
    Review]{.smallcaps}, Feb. 29, 2000, *available in* 2000 WL 7119094.

[^260]: *2000 Merrill Lynch Report*, at 61.

[^261]: *Mentrup Article*; *2000 Merrill Lynch Report*, at 62.

[^262]: *High Data Rate (HDR) Overview -- The Internet Unleashed*,
    Presentation at Office of Engineering and Technology sponsored
    tutorial on "Wireless Access to the Internet," Nov. 30, 1999. *See*
    The Office of Engineering and Technology Adds a Morning Session to
    the "Wirelss Access to the Internet" Tutorial on November 30, 1999
    in the Commission Meeting Room at 9:00 a.m., *Public Notice*, PNET
    9024 (rel. Nov. 15, 1999).

[^263]: Scott Thurm and Quentin Hardy, *Cisco, Motorola Plan
    Wireless-Net Deal*, [The Asian Wall Street Journal]{.smallcaps},
    Feb. 8, 1999, *available in* 1999 WL-WSJA 5427542; *2000 Merrill
    Lynch Report*, at 62.

[^264]: *2000 Merrill Lynch Report*, at 62. 1xRTT is also referred to as
    cdma2000A, cdma2000 1X, or IS-95C.

[^265]: Cynthia M. Motz, Steven D. Glik, Sheryn M. Kinsey, and Bradford
    K. Neuman, *Hey Babe, Take a Walk on the Wireless
    Side..*.,U.S./Wireless Teecommunications Services, Credit Suisse
    First Boston Corporation, May 5, 2000, at 73 ("*Credit Suisse
    Report*").

[^266]: *See* *Merrill Lynch Evolution Report*, at 4. CDMA assigns a
    pseudo-random "code" for each user, which assigns a certain
    frequency spectrum and time slot for each user. These codes are used
    to insert the user channels into the wideband spread spectrum signal
    (IS-95 carrier spacing is 1.25 MHz). At the other end, the receiver
    decodes the spread spectrum signal into the original user channels
    using the same codes. *Id*. at 3.

[^267]: *Mentrup Article*.

[^268]: *1999 Merrill Lynch Report*, at 37.

[^269]: *2000 Merrill Lynch Report*, at 61.

[^270]: Sherry Blume and Gwenn Larsson, *Data -- 3G Whiz*, [Wireless
    Review]{.smallcaps}, Feb. 29, 2000, *available in* 2000 WL 7119100.

[^271]: *Merrill Lynch Evolution Report*, at 4.

[^272]: In April, Sprint PCS, Bell Mobility, Nortel Networks, Qualcomm,
    and Samsung successfully completed a series of wireless calls using
    1xRTT. *Fast 3G Coming Soon, CDMA Group Says* (visited Apr. 17,
    2000) \<http://www.allnetdevices.com/news/0004/0004143g.htm\>.

[^273]: Lynnette Luna, *Sprint Completes 1xRTT Call In 3G Testing*, [RCR
    Radio Communications Report]{.smallcaps}, Apr. 3, 2000, at 23.

[^274]: *Mentrup Article* (citing Gerry Flynn, Executive Director of
    Technology development for Bell Atlantic Mobile).

[^275]: *Different Data Markets Create Widely Varying 3G Strategies*,
    [Wireless Data News]{.smallcaps}, Sept. 29, 1999, *available in*
    1999 WL 7899437.

[^276]: *Lucent Technologies and Sprint to Trial High-Speed Data
    Solution for Mobile Internet*, [Ms Presswire]{.smallcaps}, June 23,
    2000, *available in* 2000 WL 22277993. The CDMA Development Group
    also submitted the 1xEV specification to the global standards group,
    Third Generation Partnership Project 2. *Id*.

[^277]: *CDMA World Congress Successfully Concludes; Third Generation
    Evolution Plans Revealed; China CDMA Plans to Move Forward*,
    [Business Wire]{.smallcaps}, June 26, 2000.

[^278]: *Nokia, Motorola to Push 1XTREME into Open Wireless Standards*,
    [M2 PRESSWIRE]{.smallcaps}, Mar. 22, 2000, *available in* 2000 WL
    16126365.

[^279]: *Credit Suisse Report*, at 74.

[^280]: *Mentrup Article*.

[^281]: *2000 Merrill Lynch Report*, at 62.

[^282]: *Id*.

[^283]: *1999 Merrill Lynch Report*, at 42.

[^284]: *See* Appendix C, Table 4, pp. C-5 -- C-7.

[^285]: *2000 Merrill Lynch Report*, at 66.

[^286]: *Id*.

[^287]: *Id*.

[^288]: *Id*.

[^289]: *Id*. at 63. For a further discussion of CDPD services, *see*
    Section II.c, *infra*.

[^290]: *Wireless Industry Round Table Discussion on the Table: CDPD*,
    [Wireless Data News]{.smallcaps}, May 27, 1998, *available in* 1998
    WL 8015363.

[^291]: *Fourth Report*, 14 FCC Rcd at 10199-10200.

[^292]: *1999 Merrill Lynch Report*, at 29-31; *Mentrup Article*.

[^293]: *Merrill Lynch Evolution Report*, at 4.

[^294]: *Lehman Brothers Report*, at 23. One analyst states that while
    EDGE theoretically offers speeds up to 384 kbps, its practical speed
    is 150 kbps. *2000 Merrill Lynch Report*, at 65.

[^295]: Brad Smith, *Data Speed Limits Climbing*, [Wireless
    Week]{.smallcaps}, June 7, 1999, at 58; Mats Nilsson,
    *Third-Generation Radio Access Standards*, [Ericsson
    Review]{.smallcaps}, 1999, at 117.

[^296]: *IBM and AT&T To Deliver Wireless Data Services to Corporate
    Customers*, News Release, AT&T, Feb. 25, 2000; Prospectus of AT&T
    Wireless Group Tracking Stock, Mar. 28, 2000, at 55.

[^297]: *Wireless Internet Plans*, [RCR Radio Communications
    Report]{.smallcaps}, May 15, 2000, at 1.

[^298]: *Lucent Technologies Leads Wireless Market*, [BusinessWorld
    (Philippines)]{.smallcaps}, Jan. 21, 2000, *available in* 2000 WL
    4647706; *Wireless Debate Begins to Build Consensus on Fewer
    Standards*, [Mobile Communications Report]{.smallcaps}, Oct. 5,
    1998, *available in* 1998 WL 10705910.

[^299]: [The Strategis Group, Inc., U.S. Mobile Data
    Marketplace:]{.smallcaps} 1999 (1999), at 59-60. ("*Strategis Mobile
    Data Report*").

[^300]: *1999 Merrill Lynch Report*, at 29.

[^301]: *Id*.

[^302]: *Id*. at 30.

[^303]: *2000 Merrill Lynch Report*, at 63.

[^304]: *Centerel Introduces Nokia's IP Security Solution*, [Russia
    Xtension]{.smallcaps}, Dec. 16, 1999, *available in* 1999 WL
    13985960.

[^305]: *1999 Merrill Lynch Report*, at 31; *2000 Merrill Lynch Report*,
    at 65.

[^306]: *Merrill Lynch Evolution Report*, at 4.

[^307]: *2000 Merrill Lynch Report*, at 64.

[^308]: *Mentrup Article*.

[^309]: *2000 Merrill Lynch Report*, at 64.

[^310]: Lynette Luna, *Carriers Anxious for GPRS Handsets*, [RCR Radio
    Communications Report]{.smallcaps}, Feb. 14, 2000, at 16.

[^311]: *First American GPRS Trials Begin*, Dec.17, 1999 (visited Dec.
    20, 1999) \<http:www.allnetdevices.com/news/9912/991217gprs.htm\>;
    *Merrill Lynch Evolution Report*, at 4.

[^312]: *Merrill Lynch Evolution Report*, at 4.

[^313]: Chuck Holt, *Plug & Play*, [Wireless Review]{.smallcaps}, Feb.
    29, 2000, *available in* 2000 WL 7119094.

[^314]: *BT Sets Mobile Data Pace -- High-Speed Service From BT CellNet
    Is Put to the Test*, [Computing]{.smallcaps}, Jan. 27, 2000,
    *available in* 2000 WL 8412957.

[^315]: *1999 Merrill Lynch Report*, at 29, 35; *Merrill Lynch Evolution
    Report*, at 4.

[^316]: *1999 Merrill Lynch Report*, at 35.

[^317]: *Merrill Lynch Evolution Report*, at 4.

[^318]: Telephone conversation with Ognjen Redzic, Product Manager,
    iDEN, Motorola, Feb. 22, 2000. iDEN is considered by its developer,
    Motorola, to be equivalent to a 2.5G network. *Id*.

[^319]: *Id*.

[^320]: *Nextel Introduces Nextel Online(SM): Wireless Internet Service
    for Business*, News Release, Nextel Communications, Inc., Apr. 25,
    2000; *Credit Suisse Report*, at 72.

[^321]: *Id*.

[^322]: *Southern LINC Brings Wireless Data & Internet Services to
    Business Market*, News Release, Southern LINC, Oct. 20, 1999.

[^323]: *Merrill Lynch Evolution Report*, at 4.

[^324]: *Credit Suisse Report*, at 74; *see also 2000 Merrill Lynch
    Report*, at 66.

[^325]: *See* Appendix C, Table 5, p. C-8 for a list of smart phones
    currently on the market or in development.

[^326]: Wireless Data Forum, *Wireless Data Glossary* (visited Feb. 15,
    2000) \<http://www.wirelessdata.org/primer/terms.asp\>; Karen
    Rodriguez, *Sprint Poised to Boost Wireless Internet Access*,
    [Washington Business Journal]{.smallcaps}, Aug. 27, 1999, *available
    in* 1999 WL 28658251.

[^327]: Sebastin Rupley, *Calling the Web: Smart Phones Get Smarter*,
    [PC Magazine]{.smallcaps}, Dec. 14, 1999, *available in* 1999 WL
    6783097.

[^328]: Lynnette Luna, *Carriers Anxious For GPRS Handsets*, [RCR Radio
    Communications Report]{.smallcaps}, Feb. 14, 2000, *available in*
    2000 WL 9540073.

[^329]: Eoin Licken, *Are You Ready?*, [Communications
    International]{.smallcaps}, Feb. 1, 2000, *available in* 2000 WL
    10977184.

[^330]: Vadim Zlotnikov, *Culling Ahead In Wireless-Chip Market*,
    [Electronic Buyers' News]{.smallcaps}, Feb. 28, 2000, *available in*
    2000 WL 2159567.

[^331]: WAP Forum, *W@P White Paper Wireless Application Protocol*,
    [Wireless Internet Today]{.smallcaps}, June 1999, at 1. ("WAP White
    Paper")

[^332]: *DLJ Report*, at 22-23.

[^333]: WAP Forum, *W@P White Paper Wireless Application Protocol*,
    [Wireless Internet Today]{.smallcaps}, June 1999, at 1. ("WAP White
    Paper")

[^334]: *Id*.

[^335]: *Id*.

[^336]: *DLJ Report*, at 22-23.

[^337]: WAP White Paper, at 5.

[^338]: *DLJ Report*, at 22-23.

[^339]: *1999 Merrill Lynch Report*, at 50-52.

[^340]: For a discussion of operating systems, *see* Section B.(iii),
    *infra*.

[^341]: WAP White Paper, at 2.

[^342]: *See* Antony Bruno, *WAP Interoperability Increasing Concern*,
    [RCR Radio Communications Report]{.smallcaps}, Jan. 17, 2000, at 1,
    42; Antony Bruno, *WAP Proponents Face Interoperability Challenges
    as Standard Evolves*, [RCR Radio Communications Report]{.smallcaps},
    Oct. 25, 1999, at 3.

[^343]: Antony Bruno, *Market Gap Producting WAP Alternatives*, [RCR
    Radio Communications Report]{.smallcaps}, Feb. 21, 2000, at 1, 90.

[^344]: Carol Wilson, *To WAP Or Not To WAP*, [ZDNet: Inter@ctive
    Week]{.smallcaps}, Dec. 6, 1999.

[^345]: *An Introduction to WAP* (visited Feb. 17, 2000)
    \<http://www.mobileSMS.com/wp/wp4.htm\>.

[^346]: *RPT-Nokia Says WAP Phone Demand Unprecedented*, [Yahoo!
    Finance]{.smallcaps}, \<http://biz.yahoo.com/rf/991129/26.html\>
    Nov. 29, 1999.

[^347]: David Haskin, *Analysts: Smart Phones to Lead E-Commerce
    Explosion*, [allNetDevices]{.smallcaps}, Nov. 3, 1999.

[^348]: Nobilangelo Ceramalus, *Bluetooth Will Byte Deep*,
    [Management]{.smallcaps}, Aug. 1, 1999, *available in* 1999 WL
    13583982.

[^349]: *1999 Merrill Lynch Report*, at 53*; Intel Says Bluetooth
    Products Will Emerge Next Year*, [Computergram
    International]{.smallcaps}, June 2, 1999, *available in* 1999 WL
    8112490.

[^350]: *1999 Merrill Lynch Report*, at 53.

[^351]: Nobilangelo Ceramalus, *Bluetooth Will Byte Deep*,
    [Management]{.smallcaps}, Aug. 1, 1999, *available in* WL 13583982.

[^352]: *Hexagon Launches Bluetooth Company -- Expanding Within Wireless
    Communication*, News Release, Hexagon AB, Feb. 16, 2000.

[^353]: *Microsoft, 3Com, Lucent, Motorola Back Bluetooth Wireless
    Standard,* [Dow Jones Newswires]{.smallcaps}, Dec. 1, 1999.

[^354]: *1999 Merrill Lynch Report*, at 53; *Bluetooth Market Pegged at
    \$2 Billion Opportunity in Five Years*, [Wireless Data
    News]{.smallcaps}, Oct. 13, 1999 (citing Allied Business
    Intelligence, Inc.), *available in* 1999 WL 7899443.

[^355]: *First Bluetooth Software Development Kit Now Available*,
    [CNNfn.com]{.smallcaps}, Apr. 10, 2000.

[^356]: *Microsoft, 3Com, Lucent, Motorola Back Bluetooth Wireless
    Standard*, [Dow Jones Newswires]{.smallcaps}, Dec. 1, 1999.

[^357]: *DLJ Report*, at 25-26.

[^358]: *DLJ Report*, at 25-26 (citing Cahners In-Stat Group).

[^359]: Wireless Data Forum, *Wireless Data Glossary WDF: Events*
    (visited Feb. 15, 2000)
    \<http://www.wirelessdata.org/primer/terms.asp\>.

[^360]: Aaron Ricadela, *Vendor Upgrades Windows CE in Hopes of
    Capturing a Bigger Piece of the* PDA, [InformationWeek]{.smallcaps},
    Apr. 24, 2000, *available in* 2000 WL 8166509; Microsoft, *Pocket PC
    Features* (visited May 1, 2000)
    \<http://www.microsoft.com/mobile/pocketpc/features/default.asp\>.

[^361]: In February 2000, QUALCOMM sold its mobile phone manufacturing
    unit to Kyocera. *Qualcomm, Kyocera Close Deal on Phone Unit*, News
    Release, QUALCOMM, Feb. 23, 2000.

[^362]: *The Futurefonezone White Paper* (visited Feb. 17, 2000)
    \<http://www.mobileSMS.com/wp/whitepaper.html\>.

[^363]: *IBM Talks Openly On Wireless Data*, [PC Dealer]{.smallcaps},
    Mar. 22, 2000, *available in* 2000 WL 9069595.

[^364]: Carmen Nobel, *Win CE Aimed at Embedded*, [PC Week from
    ZDWire]{.smallcaps}, Apr. 3, 2000, *available in* 2000 WL 18176928.

[^365]: *Data-Enabled Wireless Handsets To Gain Huge Market Share,
    Research Group Ovum Says*, [PCS Week]{.smallcaps}, July 21, 1999,
    *available in* 1999 WL 7870989.

[^366]: *SSB Report*, at 24-25, 28.

[^367]: *Id*. at 26.

[^368]: *Id*. at 28.

[^369]: *Id*. at 29.

[^370]: *Id*. at 30.

[^371]: Andrew M. Seybold, *Short Messaging Service (SMS)*, [Mothering
    Magazine]{.smallcaps}, June 25, 1999, *available in* 1999 WL
    16633524. GSM networks permit messages of 160 characters, CDMA
    permits 256 characters, and iDEN allows 140 characters. *Id*. To
    date, GSM and iDEN networks have 2-way SMS capabilities and TDMA and
    CDMA networks are in the process of implementing 2-way capabilities.
    Telephone conversation with Marc Cabi, Managing Director, Equity
    Research, Credit Suisse First Boston, May 23, 2000.

[^372]: *Strategis Mobile Data Report*, at 59.

[^373]: *Id*.

[^374]: Charles Mason, *What Have We Wrought*, [America's
    Network]{.smallcaps}, July 1, 1999, *available in* 1999 WL 11825376,
    citing Dataquest, Inc.

[^375]: Brad Smith, *New Handsets Challenge Novices*, [Wireless
    Week]{.smallcaps}, Dec. 6, 1999, at 21.

[^376]: *2000 Merrill Lynch Report*, at 25.

[^377]: Sprint PCS, *Sprint PCS -- FAQ* (visited June 5, 2000)
    \<http://s2.sprintpcs.com/services/faq/faq_wwconnect.html\>; *Sprint
    Announces 'Grand Opening of the Wireless Internet' with Nationwide
    Availability of Sprint PCS Wireless Web*, [PR Newswire]{.smallcaps},
    Sept. 20, 1999.

[^378]: *Sprint Announces 'Grand Opening of the Wireless Internet' with
    Nationwide Availability of Sprint PCS Wireless Web*, [PR
    Newswire]{.smallcaps}, Sept. 20, 1999.

[^379]: *2000 Merrill Lynch Report*, at 57.

[^380]: *See* Appendix C, Table 7, p. C-10.

[^381]: *Lehman Brothers Report*, at 13.

[^382]: *2000 Merrill Lynch Report*, at 58; *AT&T Begins Rolling Out
    Paradyne Modem Pools to Coincide With CDPD New York City Commercial
    Launch*, [Wireless Data News]{.smallcaps}, Nov. 1, 1995, *available
    in* 1995 WL 6615015.

[^383]: Cameron Crouch, *A Web Phone Is Still a Phone*, [PC World
    Online]{.smallcaps}, May 25, 2000, *available in* 2000 WL 8856388.

[^384]: MSNBC, *AT&T Wireless Plans to Offer Mobile Internet Access For
    Free* (visited May 22, 2000)
    \<wysiwyg://4/www.msnbc.com/news/409100.asp\>.

[^385]: AT&T, *AT&T Wireless Services -- AT&T Digital PocketNet Service
    -- InfoSpace Preview* (visited May 22, 2000)
    \<http://www.attws.com/personal/explore/pocketnet/infospace_preview.html\>.

[^386]: *AT&T Reports Wireless and Cable Growth*, [Communications
    Daily]{.smallcaps}, July 26, 2000.

[^387]: *Nextel Introduces Nextel Online(SM): Wireless Internet Service
    for Business*, News Release, Nextel Communications, Inc., Apr. 25,
    2000; Becky Waring, *Just Connect \-- And You're Hooked Nextel
    Online Serive Is Easy To Get Used To*, [The San Francisco
    Chronicle]{.smallcaps}, Apr. 27, 2000.

[^388]: *Id*.

[^389]: *Id*.

[^390]: *Id*.

[^391]: *SSB Report*, at 10; *DLJ Report*, at 25.

[^392]: David Pringle, *Internet-Enabled Phones Cause A Fight For Phone
    Users Eyes*[, The Wall Street Journal Interactive
    Edition]{.smallcaps}, Feb. 29, 2000 (visited Mar. 1, 2000)
    \<http://interactive.wsj.com/articles/SB951846779576984200.htm\>.

[^393]: *Id*.

[^394]: Nikhik Hutheesing, *Who Owns Your Portal?*,
    [Forbes]{.smallcaps}, May 22, 2000, at 23.

[^395]: *Id*.

[^396]: Andrew J. Cole, *Wireless Portals: The Hidden Enemy?*, [RCR
    Radio Communications Report,]{.smallcaps} Sept. 13, 1999, *available
    in* 1999 WL 7792263; Cameron Crouch, *Microsoft Updates MSN on
    Phones*, [PC World Online]{.smallcaps}, Feb. 28, 2000, *available
    in* 2000 WL 8855830.

[^397]: *Orange Launches Orange.net ISP, Portal; Enables Internet Access
    Via Mobiles*, [AFX]{.smallcaps}, Nov. 24, 1999, *available in* 1999
    WL 27750502.

[^398]: Wayne Walley, *Wireless: WAP Happy*, [Global
    Telephony]{.smallcaps}, Nov. 30, 1999, *available in* 1999 WL
    18136275.

[^399]: Bruno Giussani, *Mobile Data Is Set to Take Off, But Glitches
    Remain*, [EUROBYTES]{.smallcaps} (visited Oct. 19, 1999)
    \<http://www.nytimes.com/library/tec...0/cyber/eurobytes/19eurobytes.html\>.

[^400]: *2000 Merrill Lynch Report*, at 26.

[^401]: For example, in February 2000, Amazon.com announced that its
    books may be purchased through Sprint's Wireless Web service. Aaron
    Pressman, *Internet Luminaries Herald Wireless Web World* (visited
    Feb. 29, 2000) \<http://www.foxnews.com/ntech/022700/wireless.sml\>.

[^402]: Linda J. Mutschler and Naeemah Lajoie, *A Day in the Future*,
    United States Telecom Services-Wireless/Cellular, Merrill Lynch &
    Co., Apr. 4, 2000, at 7-8.

[^403]: *SSB Report*, at 14.

[^404]: *E‑Commerce Is Killer App for Wireless, Says VeriSign CEO*[**,**
    Business Wire]{.smallcaps}, Feb. 15, 2000.

[^405]: *See* Revision of the Commission's Rules To Ensure Compatibility
    with Enhanced 911 Emergency Calling Systems, CC Docket No. 94-102,
    *Report and Order and Further Notice of Proposed Rulemaking*, 11 FCC
    Rcd 18676 (1996) ("*E911 First Report and Order* and *E911 Second
    NPRM*"), *on recon*., 12 FCC Rcd 22665 (1997) ("*E911 First
    Reconsideration Order*"); 14 FCC Rcd 20850 ("*E911 Second Memorandum
    Opinion and Order*"); 14 FCC Rcd 10954 ("*E911 Second Report and
    Order*"), *on recon*., 15 FCC Rcd 1144 (*E911 Third Memorandum
    Opinion and Order*). In September 1999, the Commission revised its
    enhanced 911 rules to require carriers to provide to the designated
    Public Safety Answering Point (PSAP) the location 911 calls, with
    the following accuracy and reliability: (1) for network-based
    technologies: 100 meters for 67 percent of calls, 300 meters for 95
    percent of calls; (2) for handset-based technologies: 50 meters for
    67 percent of calls, 150 meters for 95 percent of calls. *See* 14
    FCC Rcd at 17388 (1999) ("*E911 Third Report and Order*"), *recons.
    pending*.

[^406]: Steve Poizer and Karissa Todd, *Extending GPS Capabilities*,
    [Wireless Review]{.smallcaps}, May 1, 1999, *available in* 1999 WL
    10100680.

[^407]: The Global Positioning System permits us to figure out precisely
    where we are anywhere on earth. The system will eventually consist
    of a constellation of 21 satellites orbiting the earth at 10,900
    miles. The U.S. Government is investing over \$10 billion to build
    and maintain the system. [Harry Newton, Newton's Telecom Dictionary
    (]{.smallcaps}14^th^ ed. 1998), at 328.

[^408]: Steve Poizer and Karissa Todd, *Extending GPS Capabilities*,
    [Wireless Review]{.smallcaps}, May 1, 1999, *available in* 1999 WL
    10100680. The U.S. Government recently turned off its "selective
    availability" that degraded the publicly available signals from GPS
    satellites thus increasing the accuracy of the signals. *Government
    Gives Users of GPS A Gift That's Sure to Please*, [The Baltimore
    Sun]{.smallcaps}, May 15, 2000, *available in* 2000 WL 10012548.

[^409]: Heather Forsgren Weaver, *Carriers, Vendors Poised to Capitalize
    on 911 Mandates*, [RCR Radio Communications Report]{.smallcaps},
    Mar. 20, 2000, at 18-19.

[^410]: Steve Poizer and Karissa Todd, [Wireless Review]{.smallcaps},
    May 1, 1999, *available in* 1999 WL 1010680; Robert McGarvey,
    *Wireless Craze*, [UPSIDE Magazine]{.smallcaps}, Mar. 1, 2000,
    *available in* 2000 WL 2005063.

[^411]: Heather Forsgren Weaver, *Carriers, Vendors Poised to Capitalize
    on 911 Mandates*, [RCR Radio Communications Report]{.smallcaps},
    Mar. 20, 2000, at 19.

[^412]: *Id*.

[^413]: Telephone Conversation with Lee Hancock, President and CEO, Go2
    Systems, Inc., June 28, 2000. Go2 also provides a service called Go2
    Address that registers abbreviated names for locations, which
    shortens the locations that must be entered. *Id*.

[^414]: Kelly Carroll, *Data to Ride Shotgun: InfoMove Helps Connect
    Cars to Internet*, [Telephony]{.smallcaps}, Dec. 13, 1999,
    *available in* 1999 WL 11172656.

[^415]: *InfoMove Secures \$5.5 Million in Second Round of Funding
    Infusion of Capital Includes Who's Who List of Strategic Corporate
    and Individual Investors*, News Release, InfoMove, Apr. 11, 2000.

[^416]: As used herein, paging and messaging refer broadly to
    traditional one-way paging and advanced or two-way messaging
    services, as well as services provided over narrowband PCS spectrum.
    The Commission auctioned regional and nationwide narrowband PCS
    licenses in 1994 and noted that such licenses could be used to
    provide voice messaging paging, two-way acknowledgement paging and
    other two-way data services. FCC, *FCC Auction -- Regional
    Narrowband PCS -- Fact Sheet*
    \<http://www.fcc.gov/wtb/auctions/npcs/rnp1fact.html\>. In May 2000,
    the Commission modified its narrowband PCS rules. *See* Amendment of
    the Commission\'s Rules to Establish New Personal Communications
    Services, Narrowband PCS, *Second Report and Order and Second
    Further Notice of Proposed Rulemaking*, GEN Docket No. 90-314, FCC
    00-159 (rel. May 18, 2000).

[^417]: *See* Appendix C, Table 14, p. C-18 for an overview of these
    operators and the two-way services they offer.

[^418]: *WebLink Wireless Reports Fourth Quarter Results; Company
    Receives First Wireless Data Subscriber Devices This Week as The
    Network Stands Ready*, News Release, WebLink Wireless Inc., Feb. 2,
    2000.

[^419]: Appendix C, Table 9, p. C-13 lists the total subscribers, annual
    revenues, and ARPU for the paging industry for the years 1996-1999.
    Appendix C also includes the public paging companies' revenues,
    EBITDA/operating cash flow, and EBITDA/operating cash flow margin.
    *See* Appendix C, Tables 10-13 at pp. C-14 -- 17.

[^420]: [The Strategis Group, The State of the U.S. Paging Industry:
    1999]{.smallcaps} (1999), at 119. The *Fourth Report* shows
    Strategis's estimate of 53.3 million total paging units in service
    at the end of 1998. However, Strategis revised this estimate during
    1999 to 45.1 million units in service.

[^421]: *Id.* at 124.

[^422]: PCIA, PCIA Wireless Market Portfolio, 1999, at 6 (citing
    Donaldson, Lufkin & Jenrette, U.S. Paging Forecast, 1999).

[^423]: *Paging Network To Miss Interest Payments*, [Dow Jones News
    Service]{.smallcaps}, Jan. 27, 2000.

[^424]: Motient's messaging subsidiary was formerly know as the ARDIS
    Company, which Motient (then American Mobile Satellite Corporation,
    Inc.) acquired from Motorola in 1998. However, Motient no longer
    appears to be offering its messaging services under the ARDIS name.

[^425]: *Metrocall & Inciscent Announce Alliance with American Mobile*,
    News Release, Metrocall, Inc., April 10, 2000.

[^426]: *Metrocall, PageMart Join on Narrowband PCS Buildout Effort*,
    [RCR Radio Communications Report]{.smallcaps}, Nov. 2, 1998, at 23;
    *AirTouch Paging and PageMart Wireless Form Narrowband PCS Strategic
    Alliance; AirTouch to Offer ReFLEX 25 Advanced Messaging Services by
    Middle of Year*, News Release, PageMart Wireless, Inc., Mar. 30,
    1999; *AirTouch Paging Launches Its First Advanced Messaging Service
    Nationwide*, News Release, Vodafone AirTouch PLC, June 6, 1999.

[^427]: PageNet had begun reselling Iridium's satellite-based WorldPage
    Service in January 1999 for its customers wanting global
    paging/messaging coverage. However, due to financial difficulties,
    Iridium ceased operations in early 2000. *See* Section II.d,
    *supra*, for a further discussion of Iridium.

[^428]: *See Fourth Report*, 14 FCC Rcd at 10187.

[^429]: QUALCOMM, Inc., Form 10-K405, Sept. 26, 1999, at 9-10; QUALCOMM,
    Inc., *Wireless Business Solutions* (visited July 14, 2000)
    \<http://www.qualcomm.com/qwbs/\>.

[^430]: Antony Bruno, *Sky Falls on Pager Service*, [RCR Radio
    Communications Report]{.smallcaps}, May 25, 1998, *available in*
    1998 WL 8226238. In 1998, 90 percent of all paging customers lost
    service when a Galaxy 4 satellite owned by PanAmSat Corp. broke
    down. *Id.*

[^431]: *State of the US Paging Industry* (Conference Call Slides), The
    Strategis Group, Inc., Dec. 16, 1999, at 3; *DLJ Report*, at 35-37.

[^432]: *See* White Paper Supporting Elimination of the Narrowband PCS
    Spectrum Aggregation Limit, PCIA, Feb. 10, 2000, at 10.

[^433]: *See* *id*. at 9, 12.

[^434]: *CellTRAC and PageTRAC: Consumer Trends for Cellular/PCS and
    Paging* (Conference Call Slides) The Strategis Group, Inc., Jan. 27,
    2000.

[^435]: *Id*.

[^436]: *Id*.

[^437]: PCIA White Paper at 10-11 (citing PCS Americas U.S. Paging
    Operations Marketing Research and Information, *The Market Monitor
    Report: Insights to the Adult Paging Market*, July 1999, at 331).

[^438]: *CellTRAC and PageTRAC: Consumer Trends for Cellular/PCS and
    Paging* (Conference Call Slides), The Strategis Group, Inc., Jan.
    27, 2000.

[^439]: *Paging Industry Execs: Don't Write Us Off Yet*, [Land Mobile
    Radio News]{.smallcaps}, Oct. 1, 1999, *available in* 1999 WL
    6447107.

[^440]: Jeffrey Scott-Joynt, *Paging's Prognosis*, [Communications
    International]{.smallcaps}, Nov. 1, 1999, *available in* 1999 WL
    12450523 (citing Kagan World Media).

[^441]: *DLJ Report*, at 35.

[^442]: *Id*.

[^443]: *Id*.

[^444]: Jeffrey Scott-Joynt, *Paging's Prognosis*, [Communications
    International]{.smallcaps}, Nov. 1, 1999, *available in* 1999 WL
    12450523.

[^445]: *See Fourth Report*, 14 FCC Rcd at 10185-10189.

[^446]: *See id*. at 10180-10191.

[^447]: Tom Abate, *2-Way Pagers*, [San Francisco
    Chronicle]{.smallcaps}, Mar. 30, 1999, *available in* 1999 WL
    2683418.

[^448]: *DLJ Report*, at 23-24.

[^449]: Om Malik, *Look Ma, No Wires*, [Forbes.com]{.smallcaps}, Feb.
    28, 2000, at 32.

[^450]: *Id*.; *DLJ Report*, at 23-24.

[^451]: *Id*.

[^452]: *DLJ Report*, at 23-24.

[^453]: *Analysts: WebLink Smart to Distance Itself from Paging*,
    [Federal Filings Newswires]{.smallcaps}, Dec. 16, 1999; Gregory
    Twachtman, *The Future of Paging Tied to the Internet*, [Wireless
    Data News]{.smallcaps}, Nov. 24, 1999, *available in* 1999 WL
    7899467.

[^454]: Bruce Brown and Marge Brown, *One-Way Wireless Web: The WebLink
    e-Pager is a Smart Paging Package Designed for Everyday Users*, [PC
    Magazine]{.smallcaps}, Jan. 18, 2000, *available in* 2000 WL
    2065041.

[^455]: *PageNet Launches 2-WayPlus on Its Own Advanced Wireless Data
    Network*, News Release, Paging Network, Inc., Feb. 2, 2000; *WebLink
    Wireless Reports Fourth Quarter Results; Company Receives First
    Wireless Data Subscriber Devices This Week as the Network Stands
    Ready*, News Release, WebLink Wireless, Inc., Feb. 2, 2000.

[^456]: Chuck Holt, *Paging: Phoenix or Dodo?*, [Wireless
    Review]{.smallcaps}, Jan. 1, 2000, *available in* 2000 WL 7119045.

[^457]: Antony Bruno, *Paging Carriers Court Information Partnerships*,
    [RCR Radio Communications Report]{.smallcaps}, Oct. 25, 1999,
    *available in* 1999 WL 28240961; *e-pager Makes National Debut for
    Holidays as PageMart Wireless Combines Paging and the Internet*, PR
    Newswire, Oct. 22, 1999; *WebLink Wireless Partners With LynkUs.com
    to Provide Internet Content To Consumers On-the-Go*, News Release,
    WebLink Wireless, Inc., Apr. 4, 2000; *HitMeNow.com Brings Hot Deals
    to WebLink Wireless Customers; Service Offers Personalized Discount
    Notification*, News Release, WebLink Wireless, Inc., Apr. 17, 2000;
    *WebLink Wireless to Offer Wireless Products and Services Online
    Through Kmart Solutions and BlueLight.com*, News Release, WebLink
    Wireless, Inc., Mar. 13, 2000.

[^458]: *GoAmerica Offers Wireless Web Access Via American Mobile;
    Wireless Network Provider American Mobile to Resell Go.Web Service*,
    [Business Wire]{.smallcaps}, Oct. 5, 1999.

[^459]: Jennifer Lee, *Paging All eBay Fanatics*, [Fort Worth
    Star-Telegram]{.smallcaps}, Aug. 25, 1999, *available in* 1999 WL
    23945915.

[^460]: *PSINet and Hicks, Muse, Tate & Furst Make Significant
    Investment in Metrocall*, News Release, Metrocall, Inc., Feb. 3,
    2000.

[^461]: Analysts at Kagan World Media, Frost & Sullivan, Strategic
    Analytics, Donaldson Lufkin & Jenrette, as well as Glenayre,
    Motorola, and other paging companies have touted telemetry as an
    important product for the paging industry. *See* Brian O' Connell,
    *"Mobile Mentality" Drives Paging/Messaging Market -- Report*,
    [Newsbytes News Network]{.smallcaps}, Sept. 24, 1999, *available in*
    1999 WL 20020275; *US Paging Penetration to Level Off in 2002, Says
    Report*, [TelecomWorldWire]{.smallcaps}, Nov. 19, 1999; *The Global
    Wireless Communications Industry*, Donaldson, Lufkin & Jenrette,
    Summer 1999, at 33-39. Chuck Holt, *Paging: Phoenix or Dodo?*,
    [Wireless Review]{.smallcaps}, Jan. 1, 2000, *available in* 2000 WL
    7119045; M. Major, *The Changing Face of Paging*, [Mobile Radio
    Technology]{.smallcaps}, Sept. 30, 1999, *available in* 1999 WL
    10200127; Jeffrey Scott-Joynt, *Paging's Prognosis*, [Communications
    International]{.smallcaps}, Nov. 1, 1999, *available in* 1999 WL
    12450523.

[^462]: *See Fourth Report*, 14 FCC Rcd at 10275.

[^463]: Sylvia Dennis, *US Paging to Peak at 21 Percent Penetration in
    2002 -- Report*, [Newsbytes News Network]{.smallcaps}, Nov. 18,
    1999, *available in* 1999 WL 29943161.

[^464]: Dennis Leibowitz et al, *The Global Wireless Communications
    Industry*, Donaldson, Lufkin & Jenrette, Summer 1999, at 33-39.

[^465]: Gregory Twachtman, *Paging Carriers United in More Ways than
    One*, [Wireless Data News]{.smallcaps}, Jan. 5, 2000, *available in*
    2000 WL 7382423

[^466]: Gregory Twachtman, *Paging Will Be Laid to Rest without Advanced
    Messaging*, [Wireless Data News]{.smallcaps}, Dec. 8, 1999,
    *available in* 1999 WL 7899471.

[^467]: For a further discussion of WAP, *see* Section B.(i), *supra*.

[^468]: Gregory Twachtman, *Paging Will Be Laid to Rest without Advanced
    Messaging*, [Wireless Data News]{.smallcaps}, Dec. 8, 1999,
    *available in* 1999 WL 7899471.

[^469]: *Id*.

[^470]: Wireless Telecommunications Bureau and International Bureau
    Grant Consent for Transfer of Control of Licenses of Skytel
    Communications, Inc. to MCI WorldCom, Inc., *Public Notice*, DA
    99-1711 (rel. Aug. 25, 1999).

[^471]: *Metrocall Acquires NationPage from AT&T Wireless*, News
    Release, Metrocall, Inc., Feb. 3, 2000.

[^472]: Chuck Holt, *Paging: Phoenix or Dodo?*, [Wireless
    Review]{.smallcaps}, Jan. 1, 2000, *available in* 2000 WL 7119045.

[^473]: Arch became the second largest paging company after it acquired
    MobileMedia in June 1999.

[^474]: *Arch, PageNet Receive Approval to Transfer Control of Licenses
    in Merger*, [PR Newswire]{.smallcaps}, Apr. 27, 2000.

[^475]: *PageNet Initiates Voluntary Reorganization Under Chapter 11 in
    Effort to Expedite Arch Merger*, Paging Network, Inc., News Release,
    Jul. 24, 2000.

[^476]: Paging Network, Inc., Form 10-Q, Mar. 31, 2000.

[^477]: *Paging Network To Miss Interest Payments*, [Dow Jones News
    Service]{.smallcaps}, Jan. 27, 2000.

[^478]: Lee Conrad, *Paging Makes News in Quiet Market*, [High Yield
    Report]{.smallcaps}, Jan. 31, 2000, *available in* 2000 WL 3903519.

[^479]: *Paging Network To Miss Interest Payments*, [Dow Jones News
    Service]{.smallcaps}, Jan. 27, 2000.

[^480]: Matt Moore, *SkyTel Shareholders Approve MCI WorldCom Buy of
    Paging Company*, [Associated Press Newswires]{.smallcaps}, Sept. 29,
    1999.

[^481]: About a month before WorldCom announced its acquisition of
    SkyTel, Company Sleuth (a Web site that delivers customized
    information about companies) discovered that WorldCom had registered
    domain names combining the names of the two companies. At that time,
    WorldCom denied it was purchasing SkyTel. Dinah Wisenberg Brin, *New
    Life for Infonautics after 'Near Death Experience,'* [Dow Jones News
    Service]{.smallcaps}, Nov. 4, 1999.

[^482]: *See* Section II.a, *infra*, for a discussion of Metricom.

[^483]: Dennis Leibowitz et al, *The Global Wireless Communications
    Industry*, Donaldson, Lufkin & Jenrette, Summer 1999, at 33-39.

[^484]: RCR Publications, [RCR's 1999 Paging Database]{.smallcaps},
    1999.

[^485]: *See, e.g.,* Letter from Kathryn A. Zachem, Wilkinson Barker
    Knaur LLP, Capacity Analysis of Arch's and PageNet's Competitors in
    30 of the Top 100 Urban Areas in the U.S., Ex Parte Presentation,
    Paging Network, Inc., Arch Communications Group, Inc., WT Docket No.
    99-365, DA 99-3028 (Feb. 23, 2000).

[^486]: Antony Bruno, *Paging Poised for Two-Way*, [RCR Radio
    Communications Report]{.smallcaps}, Jan. 10, 2000, *available in*
    2000 WL 9539726 (citing the Yankee Group).

[^487]: *See Number of One-Way Paging Subscribers Will Plummet to Fewer
    than 38 Million by 2004, The Strategis Group Reports*, [PR
    Newswire]{.smallcaps}, Nov. 30, 1999; Gregory Twachtman, *Paging
    Will Be Laid to Rest without Advanced Messaging*, [Wireless Data
    News]{.smallcaps}, Dec. 8, 1999, *available in* 1999 WL 7899471
    (citing The Strategis Group, Inc.).

[^488]: *See* Appendix C, Table 15, p. C-19 for a complete overview of
    handheld devices that can establish a wireless connection to the
    Internet, either with a built-in or separate wireless modem.

[^489]: Leslie Hillman, *Wireless Toys Keep Internet within Reach*,
    [Sun-Sentinel]{.smallcaps}, Dec. 10, 1999, *available in* 1999 WL
    28716503.

[^490]: Stephanie Miles, *Palm Looks To Add Wireless to All Devices*,
    [CNET News.com]{.smallcaps}, Apr. 14, 2000.

[^491]: *Beyond PCs the Era of Computers that Fit in Palms and Pockets
    Has Begun, but Much More Lies Ahead*, [Fortune Magazine Technology
    Guide]{.smallcaps}, Winter 2000.

[^492]: Om Malik, *Look Ma, No Wires*, [Forbes.com]{.smallcaps}, Spring
    2000, at 33.

[^493]: *Palm Offers Flat-Rate Wireless Access For Palm VII*, Feb. 22,
    2000 \<http://www.allnetdevices.com/news/0002/000222palmvii.htm\>

[^494]: Om Malik, *Look Ma, No Wires*, [Forbes.com]{.smallcaps}, Spring
    2000, at 33.

[^495]: *Id*.

[^496]: *Beyond PCs the Era of Computers that Fit in Palms and Pockets
    Has Begun, but Much More Lies Ahead*, [Fortune Magazine Technology
    Guide]{.smallcaps}, Winter 2000.

[^497]: Todd Spangler, *Microsoft to Take Pocket PC Wireless*, [Yahoo!
    News]{.smallcaps}, Apr. 17, 2000.

[^498]: Microsoft, *Pocket PC Features*, (visited May 1, 2000)
    \<http://www.microsoft.com/mobile/pocketpc/features/default.asp\>.
    Pocket PC runs on new PDA devices and is not simply a software
    upgrade of Windows CE.

[^499]: Microsoft, *Pocket Internet Explorer*, (visited May 1, 2000)
    \<http://www.microsoft.com/mobile/pocketpc/features/pie.asp\>.

[^500]: Microsoft, *Pocket PC FAQ*, (visited May 1, 2000)
    \<http://www.microsoft.com/mobile/pocketpc/faq.asp\>; *Socket and
    PacketVideo Show How Mobile Phones Can Deliver Wireless Multimedia
    Web Content to PDAs Powered by Intel's StrongARM Processor*,
    [Business Wire]{.smallcaps}, Jan. 6, 2000; *Socket's Digital Phone
    Cards Now Available for Sprint's PCS Network*, [Business
    Wire]{.smallcaps}, Oct. 26, 1999.

[^501]: Microsoft, *Who Makes Pocket PCs?* (visited May 1, 2000)
    \<http://www.microsoft.com/mobile/pocketpc/manufacturers.asp\>.

[^502]: Stephanie Miles and Micahel Kanellos, *RIM Takes on Palm in
    Handheld Market*, [CNET News.com]{.smallcaps}, Apr. 11, 2000.

[^503]: The Blackberry is discussed in Section B.(i), *supra*.

[^504]: Stephanie Miles and Micahel Kanellos, *RIM Takes on Palm in
    Handheld Market*, [CNET News.com]{.smallcaps}, Apr. 11, 2000.

[^505]: *Motient Marks 10^th^ Anniversary of the Beginning Of the
    Largest Wireless Data Network in the Country*, [PR
    Newswire]{.smallcaps}, June 26, 2000.

[^506]: *Motient Marks 10^th^ Anniversary of the Beginning Of the
    Largest Wireless Data Network in the Country*, [PR
    Newswire]{.smallcaps}, June 26, 2000; American Mobile Satellite
    Corporation, Form 10-K, Dec. 31, 1998, at 2.

[^507]: American Mobile Satellite Corporation, Form 10-K, Dec. 31, 1998,
    at 13.

[^508]: *Strategis Mobile Data Report*, at 89.

[^509]: *Id*. at 93. *See* Section B.(i), *supra*.

[^510]: Metricom, Inc., Form 10-K, Dec. 31, 1999, at 2.

[^511]: *Metricom Reports Fourth Quarter 1999 Results; Ends Year With
    \$18.5 Million In Revenue*, [Cambridge Telecom Report]{.smallcaps},
    Feb. 21, 2000, *available in* 2000 WL 7984233.

[^512]: *Id*.

[^513]: *Ricochet Advisory: Downtown Houston Alive With Ricochet Field
    Trials*, Metricom Press Release, Metricom, Inc., Apr. 6, 2000.

[^514]: Prospectus Supplement of Metricom, Inc., Jan. 6, 2000, at S-4.
    As of April 2000, the company had begun construction to offer
    Ricochet in 21 markets. *Metricom Reports First Quarter2000 Results
    Ricochet Under Construction in 21 Markets*, News Release, Metricom,
    Inc., Apr. 20, 2000.

[^515]: *Teletrac Reports Year-End and Fourth Quarter Results; Location
    and Data Solutions Company Reports Record Service Revenues and
    Further Improvements in Cash Flow*, Press Release, Mar. 1, 2000.

[^516]: *Strategis Mobile Data Report*, at 104.

[^517]: Teletrac Inc., Form 10-Q, Sept. 30, 1999.

[^518]: *Id*.

[^519]: According to CellNet, utilities pay a marginal cost of
    approximately \$1 per unit per month for AMR, in addition to the
    \$50 per unit in initial build out costs. Traditional meter reading
    has a marginal cost of about 60 cents per unit per month, but does
    not provide a constant stream of detailed usage data or allow for
    advanced monitoring and two-way interactive services. *See* Denise
    Culver, *Wireless Telemetry Poised for Growth*, [Interactive Week
    from ZDWire]{.smallcaps}, Nov. 8, 1999, *available in* 1999 WL
    14630415.

[^520]: *United Tech Gets Thermostat Provider Pact*, [Dow Jones News
    Service]{.smallcaps}, Jan. 7, 2000.

[^521]: Bill Richards, *Watch Closely: Wireless Monitoring of Machines
    May Be the Quiet Star of the Cordless Future*, [The Wall Street
    Journal]{.smallcaps}, Sept. 20, 1999, *available in* 1999 WL-WSJA
    20532168.

[^522]: *Schlumberger Announces Acquisition of Assets of CellNet Data
    Systems*, News Release, Schlumberger Limited, May 16, 2000. In order
    for CellNet to complete the merger, the company filed a prearranged
    Chapter 11 bankruptcy filing and received approval for the merger
    from the U.S. Bankruptcy Court on May 5, 2000. *Id.*

[^523]: *CellNet Installs Three Millionth Device into Wireless Network*,
    [Networks Update]{.smallcaps}, Dec. 1, 1999, *available in* 1999 WL
    11391122; *More Than Two Million Devices Now Online in CellNet Data
    Systems Wireless Networks,* [PR Newswire]{.smallcaps}, Feb. 16,
    1999.

[^524]: *More Than Two Million Devices Now Online in CellNet Data
    Systems Wireless Network*, [PR Newswire]{.smallcaps}, Feb. 16, 1999;
    Bill Richards, *Watch Closely: Wireless Monitoring of Machines May
    Be the Quiet Star of the Cordless Future*, [The Wall Street
    Journal]{.smallcaps}, Sept. 20, 1999, *available in* 1999 WL-WSJA
    20532168.

[^525]: *Itron Releases Fourth Quarter and Year-End Results for 1999*,
    News Release, Itron, Inc., Feb. 9, 2000.

[^526]: *See* Appendix C, Table 16, pp. C-20 - 21 for an overview of
    wireless telemetry services.

[^527]: *Telemetrix, Inc. Issued Patent No. 64014089 for a Method of
    Collected and Transmitting Data Using Existing PCS and Digital
    Wireless Networks*, [PR Newswire]{.smallcaps}, Jan. 21, 2000.

[^528]: *Motorola's CreataLink 2 XT Two-Way Data Transceiver Can Provide
    Wireless Communications between Devices and People*, [Cambridge
    Telecom Report]{.smallcaps}, Sept. 13, 1999, *available in* 1999 WL
    8104202.

[^529]: Trunking allows for the automatic sharing of multiple radio
    channels. Trunking is much more spectrally efficient because
    switching between multiple radio channels allows less blocking and
    it provides service to more radios per channel. On a 20-channel
    conventional system, for example, roughly 700-1,000 users can be
    served. In contrast, those 20 channels on a trunked, dispatch-type
    system can service between 2,000 and 2,500 users. International
    Mobile Telecommunications Association, *What is Commercial Trunked
    Radio?* (visited Feb. 8, 2000) \< http://www.imta.org/ctr.html\>

[^530]: These definitions are set forth in: *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*, 15 FCC Rcd 790 (WTB, 2000)
    ("*Geotek Order*"). This WTB Order alters terminology from, but
    otherwise employs the same market definitions as, the Bureau order:
    In re Applications of Pittencrieff Communications, Inc. Transferor
    and Nextel Communications, Memorandum Opinion and Order, 13 FCC Rcd
    8935 (1997).

[^531]: *See* 47 C.F.R. § 90.7.

[^532]: Some dispatch services may be offered on a for-profit basis and
    may be classified as PMRS provided that these systems are not
    interconnected to the PSTN. *See* *First Report*, 10 FCC Rcd at
    8861-8863.

[^533]: Some of these licensees also offer for profit dispatch services
    to other customers.

[^534]: *Strategis Dispatch Report*. Approximately 10 percent of those
    users are interconnected to the PSTN. *US Dispatch Market*
    (Conference Call Slides), The Strategis Group, Inc., Feb. 2, 2000,
    at 4.

[^535]: The Strategis Group estimates that 88 percent of digital
    subscribers are interconnected while only 15 percent of analog
    subscribers are. [The Strategis Group, Inc]{.smallcaps}., [Private
    Radio Markets & User Trends: 1999]{.smallcaps} (1999), at 131 *See
    also* *Strategis Dispatch Report* ("Strategis distinguishes between
    analog and digital SMR").

[^536]: *See* The Strategis Group, Inc., "Dispatch Service in a
    Competitive Market," Presentation at AMTEX'98 Conference &
    Exposition, Nov. 13, 1998: *Strategis Dispatch Report*.

[^537]: *See* Appendix D, Table 3, p. D-3.

[^538]: *Geotek Order,* at ¶¶ 27, 33.

[^539]: *Id*. at ¶ 33.

[^540]: *Id*. at ¶¶ 34-38.

[^541]: *See* Appendix D, Table 1, p. D-3.

[^542]: *Id*. Nextel's existing analog SMR operations focus primarily on
    two‑way radio service. Nextel Communications, Inc., Form 10-K405,
    Dec. 31, 1997, at 14.

[^543]: Nextel's analog subscribership has decreased from 583,000 at the
    end of 1997. *See* *Third Report*, 13 FCC Rcd at 19806 n.277. Nextel
    no longer provides a count of its analog subscribers.

[^544]: *Strategis Mobile Data Report*, at 72.

[^545]: *See* Section II.b, *supra*, for a further discussion of such
    plans. *See* *generally*, Lynnette Luna, *Group Calling Is Weapon In
    Wireless Wars*, [RCR Radio Communications Report]{.smallcaps}, June
    28, 1999, *available in* 1999 WL 7791578.

[^546]: Ericsson's TDMA Pro product overlays dispatch capabilities onto
    existing mobile voice networks. Dispatch calls are routed to the
    server, which, in turn, simultaneously contacts members of
    predefined dispatch groups, eliminating the sequential calling
    delays characteristic of discount billing plans. *Ex Parte* Letter
    from Lauren H. Kravetz, Commercial Wireless Division, to Magalie
    Roman Salas, Secretary, Federal Communications Commission, filed
    Nov. 2, 1999, cited in *Geotek Order*.

[^547]: *See* Lynette Luna, *Analog Dispatch Still a Viable Growth
    Business, Say Operators*, RCR, Oct. 19, 1998, at 15-16. Chadmoore
    Wireless Group, Inc., for example, is building a nationwide analog
    SMR network. According to Chadmoore COO Jan Zwaik, "We want to
    remain analog . . . our vision is to provide cost-effective
    service." Lynette Luna, *Analog Dispatch Still a Viable Growth
    Business, Say Operators*, RCR, Oct. 19, 1998, at 15. The capital
    costs per subscriber associated with digital technology are
    substantially higher than those for analog systems. Chadmoore
    Wireless Group, Inc., Form 10QSB/A, filed Nov. 25, 1998. *Strategis
    Mobile Data Report*, at 72.

[^548]: Federal Communications Commission, *220 MHz Fact Sheet* (last
    modified Jan.7, 1999)
    \<http://www.fcc.gov/wtb/auctions/220/220fact.html\>.

[^549]: *See* Phase II 220 MHz Service Auction Closes: Winning Bidders
    in the Auction of 908 Phase II 220 MHz Service Licenses, *Public
    Notice*, DA 98-2143 (rel. Oct. 23, 1998).

[^550]: *See* Appendix A, Tables 1A and 1B, pp. A-2 - A-4 for a summary
    of the auction.

[^551]: Phase II 220 MHz Service Spectrum Auction Scheduled for June 8,
    1999; Application Filing Deadline Set for May 10, 1999; Comment
    Sought on Reserve Prices or Minimum Opening Bids and Other Auction
    Procedures, *Public Notice*, DA 98‑2386 (rel. Nov. 24, 1998). *See
    also* Phase II 220 MHz Service Spectrum Auction; Notice and Filing
    Requirements for Auction of Phase II 220 MHz Service Spectrum
    Scheduled for June 8, 1999, *Public Notice*, DA 99-474 (rel. Mar. 8,
    1999); Phase II 220 MHZ Service Spectrum Auction Closes; Winning
    Bidders in the Auction of 225 Licenses in the Phase II 220 MHZ
    Service, *Public Notice*, DA 99-1287 (rel. July 1, 1999).

[^552]: Federal Communications Commission, *220 MHz Fact Sheet (Auction
    #24)* (visited Feb. 17, 2000)
    \<http://www.fcc.gov/wtb/auctions/auc24/auc24fct.html\>.

[^553]: *See* Appendix A for summaries of auction winners.

[^554]: Datamarine International Inc., Form 10-QSB, Feb. 15, 2000.

[^555]: *Id*.

[^556]: 800 MHz SMR Auction Closes, Winning Bidders In The Auction of
    525 Specialized Mobile Radio Licenses, *Public Notice*, DA 97‑2583
    (rel. Dec. 9, 1997).

[^557]: 47 C.F.R. §90.699.

[^558]: Wireless Telecommunications Bureau Announces the Commencement of
    the Voluntary Negotiation Period for the Relocation of Incumbent
    Licensees in the 800 MHz Band, *Public Notice*, DA 98‑2434 (rel.
    Dec. 4, 1998). License winners are required to contact the
    incumbents by March 4, 1999, to begin negotiations.

[^559]: Caron Carlson, *Pressures Growing For 800 MHz Incumbents*,
    [Wireless Week]{.smallcaps} Dec. 13, 1999, at 14-15. Nextel says
    that the total number of incumbents at stake is close to 1,000.
    *Id*.

[^560]: In July, the Commission granted 50 waivers permitting Nextel to
    utilize Part 90 PLMRS Business channels for CMRS operations for the
    purpose of relocation of upper 200 channel incumbent licensees.
    *Nextel Communications, Inc. Requests for Waiver of 47 C.F.R. §§
    90.617(c) and 90.619(b)*, Order, DA 98-2206 (rel. July 21, 1999).

[^561]: Caron Carlson, *Pressures Growing For 800 MHz Incumbents*,
    [Wireless Week,]{.smallcaps} Dec. 13, 1999, at 14-15. According to
    to Geoffrey Stearn, Nextel's director of corporate strategy, "As we
    get into the non-voluntary period, we're really de-emphasizing
    acquisition." Caron Carlson, *Pressures Growing For 800 MHz
    Incumbents*, [Wireless Week]{.smallcaps}, Dec. 13, 1999, at 14-15.

[^562]: Auction of Licenses for 800 MHz Specialized Mobile Radio (SMR)
    Service in the General Category Band (851-854 MHz) and Upper Band
    (861-865 MHz), *Public Notice*, DA00-1100 (rel. May 18, 2000);
    Auction of Licenses for 800 MHz Specialized Mobile Radio (SMR)
    Frequencies in the Lower 80 Channels, *Public Notice*, DA 00-1388
    (rel. June 23, 2000). In the August auction three additional
    licenses will be available in the 800 MHz Upper Band (861-865 MHz).
    *See* Auction of Additional Licenses for 800 MHz Specialized Mobile
    Radio (SMR) Service To be Included in Auction No. 34 Scheduled for
    August 23, 2000, *Public Notice*, 15 FCC Rcd 7275 (2000).

[^563]: Geotek Communications, Inc., Form 10-K, Dec. 31, 1996, at 2. In
    addition to traditional mobile telephone and one-to-many dispatch
    services, Geotek also offered a range of mobile messaging, mobile
    data and vehicle location services. Geotek Communications, Inc.,
    Form 10-K, Dec. 31, 1996, at 3. As recently as January 1998, Geotek
    was operating in 11 markets and had 15,151 subscribers. *Geotek
    Reports Year End Subscriber Growth*, News Release, Geotek
    Communications, Inc., Feb. 5, 1998. By June 1998, however, Geotek
    had insufficient cash to fund operations. *Geotek to Cease
    Operations Later This Month*, [Wireless Today]{.smallcaps}, Oct. 2,
    1998, *available in* 1998 WL 17661227.

[^564]: *Geotek to Cease Operations Later This Month*, [Wireless
    Today]{.smallcaps}, Oct. 2, 19982, 1998, *available in* 1998 WL
    17661227.

[^565]: ^?^ Geotek's licenses cover a potential market population of 200
    million people and include a number of major metropolitan areas:
    Atlanta; Birmingham, Ala.; Boston; Charlotte, N.C.; Cincinnati,
    Ohio; Milwaukee, Wis.; New York City; Philadelphia; Portland, Ore.;
    Richmond, Va.; Washington, D.C.; Jacksonville and Miami, Fla.; San
    Antonio, Houston and Dallas, Texas; Spokane and Seattle, Wash.; and
    Tulsa and Oklahoma City, Okla. *Nextel To Acquire Geotek\'s Licenses
    For \$150 Million*, [Communications Today]{.smallcaps}, Feb. 16,
    1999, *available in* 1999 WL 6503548; Federal Communications
    Commission, *Final Results for All Markets (Excel Ver. 4)* (visited
    Mar. 22, 1999)\<http://www.fcc.gov/wtb/auctions/smr/7markets.xls\>.

[^566]: *Nextel Requests Lift of Consent Decree to Buy Geotek\'s 191 900
    MHz Licenses for \$150 Million*, [Land Mobile Radio
    News]{.smallcaps}, Feb. 19, 1999, *available in* 1999 WL 6446839.
    Other bidders included Mobex Communications, Chadmoore Wireless
    Group, Industrial Communications & Electronics Inc., Southern Co.,
    and FleetTalk Partners. Jeffrey Silva, *Geotek Bankruptcy Sale Reset
    for Tuesday*, [RCR Radio Communications Report]{.smallcaps}, Feb.
    15, 1999, *available in* 1999 WL 7790238. Nextel agreed to pay \$131
    million for the licenses that were subject to the consent decree and
    \$19 million for those not subject to the decree. Jeffrey Silva,
    *Nextel Sues To Lift Decree; Bank Ruptcy Judge Approves Geotek
    Spectrum Sale*, [RCR Radio Communications Report]{.smallcaps}, Feb.
    22, 1999, *available in* 1999 WL 7790306.

[^567]: *Nextel Requests Lift of Consent Decree to Buy Geotek\'s 191 900
    MHz Licenses for \$150 Million*, [Land Mobile Radio
    News]{.smallcaps}, Feb. 19, 1999, *available in* 1999 WL 6446839.

[^568]: ^?^ *See* *United States v. Motorola, Inc. and Nextel
    Communications, Inc.*, 1995 WL 866794 \*3 (D.D.C. 1995) ("*United
    States v. Motorola")*. Specifically, the Consent Decree enjoins
    Nextel, *inter alia*, from holding or acquiring licenses for more
    than thirty 900 MHz channels in Boston, Massachusetts; Chicago,
    Illinois; Dallas and Houston, Texas; Denver, Colorado; Los Angeles
    and San Francisco, California; Miami and Orlando, Florida; New York,
    New York; Philadelphia, Pennsylvania; and Washington, D.C. In
    addition, Nextel is enjoined from holding or acquiring licenses for
    more than ten 900 MHz channels in Detroit, Michigan and Seattle,
    Washington, and from acquiring additional channels in Atlanta,
    Georgia. Further, Nextel is prohibited from holding or acquiring,
    either directly or indirectly, more than a five percent ownership
    interest in any corporation or entity that owns, controls, or
    manages, directly or indirectly, 900 MHz channels in these cities
    and from entering into new management agreements for 900 MHz
    channels in these cities. *Id.*

[^569]: *See* Geotek Communications Seeks FCC Consent to Assign 900 MHz
    SMR Licenses, *Public Notice*, DA 99-1027 (rel. May 28, 1999).

[^570]: *United States v. Motorola*, Civil No. 94CV2331 (TFH) (D.D.C.
    Dec. 16, 1999) (Memorializing Order).

[^571]: *See* Letter to Terry Fishel, Deputy Chief, Licensing and
    Technical Analysis Branch, Wireless Telecommunications Bureau,
    Federal Communications Commission, from James Wheaten, Manager,
    Compliance, Nextel, dated February 17, 1999.

[^572]: *See Geotek Order*.

[^573]: *See* Applications of Neoworld License Holdings, Inc., Hughes
    Electronics Corporation, and Wilmington Trust Company, Liquidating
    Trustee, for Consent to Assignment of Licenses, *Order*, DA 00-1765
    (rel. Aug. 4, 2000).

[^574]: *See* Section II.d, *supra*.

[^575]: *See* Section II.b, *supra*.

[^576]: Mary Mosquera, *Wireless Footprint Required For Competition*,
    [TechWeb]{.smallcaps}, (visited Oct. 8, 1999)
    \<http://www.techweb.com/wire/story/TWB19990930S0006\>.

[^577]: *Id*.

[^578]: *Econ One News Release*.

[^579]: *Id*.

[^580]: *See* Paul Kagan Associates, Inc., *Wireless Share of Total U.S.
    Communications MOUs: 1997-2007*, [Wireless Market
    Stats]{.smallcaps}, Jan. 31, 1998, at 2 *and* Paul Kagan Associates,
    Inc., *Kagan Projections: Wireless Heading Towards One-Third Total
    U.S. Usage*, [Wireless Market Stats]{.smallcaps}, Oct. 27, 1999, at
    5.

[^581]: Jonathan Collins, *Sprint's Aggressive Ad Campaign Could Fire Up
    Demand For Wireless Net Access Or Give It A Bum WAP*,
    [tele.com]{.smallcaps}, Feb. 21, 2000, *available in* 2000 WL
    10907294.

[^582]: "Licensees of cellular systems may use alternative cellular
    technologies and/or provide fixed services on a co-primary basis
    with their mobile offerings, including personal communications
    services . . . on the spectrum within their assigned channel block."
    47 CFR § 22.902(d).

[^583]: According to WinStar, it can cost up to 85 percent less to
    provide phone service through the air than through a fiber network.
    Suzanne King, *Gaining a Foothold*, [Kansas City Business
    Journal]{.smallcaps}, Nov. 13, 1998.

[^584]: Under a plan announced in 1998, to qualify for the maximum
    discount, customers switch their existing service ‑‑ local, long
    distance or Internet ‑‑ and sign up with Teligent for a minimum of
    one year. Teligent averages several representative bills from the
    customer\'s current carriers and deducts up to 30 percent. That
    figure becomes the customer's new flat monthly rate. Local and
    Internet service are unlimited. If customers wish to increase their
    long distance usage over current levels, they can purchase more
    service at what the company believes are attractive prices.
    *Teligent Launches Service In First Ten Markets, Vows To Start A
    Communications Revolution*, News release, Teligent, Inc., Oct. 27,
    1998.

[^585]: Estimates of this large market vary. Teligent estimates that
    fiber networks today reach only 3 percent of the 750,000 office
    buildings in the United States (although the company conditions that
    the 3 percent actually reach 35 percent of "fiber‑addressable
    businesses"). Nancy Gohring, *Wireless Networks: Broadband Wireless
    Operators Build Their Case*, [Telephony]{.smallcaps}, July 6, 1998.
    Roberta Woods, director of Wireless Market Research at Pioneer
    Consulting, claims that 99 percent of the estimated 4.6 million
    commercial buildings in the United States are not served by fiber.
    Charles Mason, *LMDS: Huge Niche Technology*, [America's
    Network]{.smallcaps}, Sept. 1, 1998, *available in* 1998 WL
    15871129.

[^586]: Robertson Stephens estimates that there are 8 million small and
    medium-sized businesses in the United States. Jim Friedland and Amy
    Roth,
    ^*Broadband\ Wireless\ Access:\ Beyond\ the\ Reach\ of\ Fiber*,\ Robertson\ Stephens^
    Telecom Services Research, ^Feb.\ 18,\ 2000^, at 1^.^ Lehman
    Brothers estimates that mid-sized businesses use 25 to 35 million
    access lines. Tim Luke*, Introducing the Broadband Wireless
    Equipment Market*, Lehman Brothers, Aug. 5, 1999, at 6.

[^587]: Inquiry Concerning The Deployment Of Advanced Telecommunications
    Capability To All Americans In A Reasonable And Timely Fashion, And
    Possible Steps To Accelerate Such Deployment Pursuant To Section 706
    Of The Telecommunications Act Of 1996, *Report*, 14 FCC Rcd 2398,
    2422.

[^588]: *Id.* at 2406.

[^589]: Centennial Communications has been operating a WLL system in
    Puerto Rico since 1997 using its broadband PCS spectrum. Its
    offering involves restricting the use of a mobile phone to one
    location, and many of its WLL customers use their handsets for their
    primary telecommunications line. *Bringing Local Loop to Puerto
    Rico*, [Wireless Business & Technology]{.smallcaps}, Jan. 1998, at
    27; Elizabeth V. Mooney*, Wireless Is Foundation To Launch Other
    Services*, [RCR Radio Communications Report]{.smallcaps}, Nov. 8,
    1999. WWC is operating fixed wireless systems in Nevada and North
    Dakota using its cellular licenses. *See* *Fourth Report*. *See*
    *also* the WLL offerings of Hargray Wireless (visited Feb. 23, 2000)
    \<http://www.hargraywireless.com/products/plans.html\>.

[^590]: *See Fourth Report*, Appendix F.

[^591]: AT&T Corp., Form S-3, Feb. 2, 2000, at 60.

[^592]: Monica Alleven, *AT&T Talks Up Growth*, [Wireless
    Week]{.smallcaps}, Dec. 13, 1999, at 8.

[^593]: AT&T also plans to use its Wireless Communication Service
    ("WCS") licenses for this service. AT&T Corp., Form S-3, Feb. 2,
    2000, at 53. *See* Appendix F, Map 12, p. F-13.

[^594]: Monica Alleven, *AT&T Talks Up Growth*, [Wireless
    Week]{.smallcaps}, Dec. 13, 1999, at 8.

[^595]: *AT&T Wireless to Offer Residential Broadband Service in Four
    New Cities*, News Release, AT&T Corp., July 19, 2000.

[^596]: *Id.*

[^597]: AT&T Corp., Form S-3, Feb. 2, 2000, at 60. For accounts of
    subscribers' experiences, *see* Nicole Harris, *AT&T's High Wireless
    Act: Can It Deliver the Web and a Dial Tone*, [Wall Street
    Journal]{.smallcaps}, Mar. 2, 2000, *available in* 2000 WL-WSJ
    3020074.

[^598]: *AT&T "Cuts The Cord" To Provide Services Into Homes; Debuts
    Nation's First Wireless Local Communications Company*, News Release,
    AT&T Corp., Mar. 22, 2000.

[^599]: Doug Abrahms and Mary Greczyn, *Wireless Sales Soar: AT&T
    Earnings Up But Long Distance Revenues Are Flat*, [Communiations
    Daily]{.smallcaps}, July, 26, 2000.

[^600]: *Id*. The other cities include Anchorage, Houston, and Los
    Angeles. Of these, San Diego will be last in which Broadband PCS
    spectrum is used. To maximize PCS spectrum use for mobile wireless,
    AT&T plans to use WCS spectrum for the other fixed wireless markets
    that will be rolled out in 2000. *Id*.

[^601]: According to Western Wireless Chairman and CEO John Stanton, "If
    our competitor has the subsidies and we do not, then we can\'t
    compete on equal footing." *Western Wireless Breaks ETC Barrier For
    Wireless Providers*, [Communications Today]{.smallcaps}, Oct. 5,
    1999, *available in* 1999 WL 28525915.

[^602]: 47 U.S.C. 214(e)(2).

[^603]: See *Universal Service: Contribution Factors and Quarterly
    Administrative Filings*, Quarterly Administrative Filings, 2Q, High
    Cost & Low Income, Schools & Libraries, and Rural Health Care,
    Exhibit 4 (visited Feb. 24, 2000)
    \<http://www.fcc.gov/ccb/universal_service/quarterly_filings/2000q2/exhibit4.xls\>.
    Western Wireless has applied for ETC status in 13 states, but
    withdrew its application for Montana. South Dakota rejected Western
    Wireless's application, and Wyoming said it did not have
    jurisdiction to rule on the issue. *Western Wireless Petitions
    FCC*[, RCR Radio Communications Report]{.smallcaps}, June 28, 1999,
    *available in* 1999 WL 7791576; Heather Forsgren Weaver, *Kansas,
    Washington Grant ETC Status To Wireless*, [RCR Radio Communications
    Report]{.smallcaps}, Feb. 14, 2000, *available in* 2000 WL 9540070.

[^604]: What is commonly referred to as MMDS or wireless cable spectrum
    includes 33 different 6-MHz channels in the 2.1-2.2 GHz and 2.5-2.7
    GHz spectrum bands. These channels include the Multipoint
    Distribution Service ("MDS"), Multichannel Multipoint Distribution
    Service ("MMDS"), and Instructional Television Fixed Service
    ("ITFS") channels. Wireless cable operators generally use the MMDS
    and MDS channels and lease excess capacity from ITFS operators, and
    often control different amounts of spectrum in different markets.

[^605]: *See* *MCI WorldCom Announces 'Fixed Wireless' Service Trials*,
    [PR Newswire]{.smallcaps}, Mar. 7, 2000; *Sprint Rolls Out Wireless
    DSL in Phoenix*, [Communications Daily]{.smallcaps}, May 9, 2000,
    *available in* 2000 WL 4695243; Paul Kagan Associates, Inc.,
    [Wireless/Private Cable Investor]{.smallcaps}, Mar. 9, 2000, at 1.
    In one of the markets, Sprint is offering service on a commercial
    basis. In the other five markets, WorldCom and Sprint are running
    service trials. *See* Section C.(ii), *infra*, for a further
    discussion of WorldCom and Sprint's MMDS plans.

[^606]: *MCI WorldCom Announces 'Fixed Wireless' Service Trials*, [PR
    Newswire]{.smallcaps}, Mar. 7, 2000.

[^607]: See Table E-1, p. E-19 for an overview of MMDS Internet
    offerings.

[^608]: Andrew Backover, *Cable, DSL and Wireless Vie for Market
    Leadership*, [Denver Post]{.smallcaps}, Jan. 24, 2000, *available
    in* 2000 WL 4450560 (citing the Strategis Group).

[^609]: The Strategis Group predicts there will be 1.2 million
    residential and 300,000 business MMDS broadband subscribers by 2003.
    *U.S. Wireless Broadband: LMDS, MMDS and Unlicensed Spectrum*
    (Conference Call Slides), Peter Jarich and James Mendelson, The
    Strategis Group Inc., Feb. 17, 2000.

[^610]: *See* Amendment of Parts 21 and 74 to Enable Multipoint
    Distribution Service and Instructional Television Fixed Service
    Licensees to Engage in Fixed Two-Way Transmission, *Report and
    Order*, MM Docket No. 97-217, 13 FCC Rcd 19112 (1998), *recon.*, 14
    FCC Rcd 12764 (1999), *further recon. pending*. This Order
    established a framework for allowing MMDS operators to offer,
    quickly and easily, two-way high speed Internet access, as well as
    other two-way broadband services, such as telephony, video
    conferencing, and distance learning. Mike Farrell, *Wireless Ops
    Hope Two-Way Ruling Helps*, [Multichannel News]{.smallcaps}, Sept.
    28, 1998, at 3, 32; Annual Assessment of the Status of Competition
    in Markets for the Delivery of Video Programming, *Fifth Annual
    Report*, FCC 98-335 (rel. Dec. 23, 1998). Prior to the Order, MMDS
    operators sought developmental authority from the Commission to
    provide Internet access and used a wireline return path or upstream
    connection.

[^611]: WorldCom, Inc., *CAI Wireless Information* (visited Jan. 27,
    2000)
    \<http://www.wcom.com/about_the_company/investor_relations/mergers+acquisitions/CAI_wireless/\>.

[^612]: *Wireless One Completes Reorganization, Becoming MCI WorldCom
    Subsidiary*, [PR Newswire]{.smallcaps}, Dec. 10, 1999. WorldCom also
    acquired Wireless One's 50% interest in Wireless One of North
    Carolina, LLC, which owns MMDS and WCS licenses in 13 North Carolina
    markets. *Id.* *See* Section V.c, page E-[10](#wcs-2.3-ghz),
    *infra*, for a discussion of WCS spectrum.

[^613]: *MCIW's Wireless Cable Plans Cover Wholesaling, Small Business*,
    [Communications Daily]{.smallcaps}, July 14, 1999.

[^614]: Bernie Ebbers, Merger Speech, National Press Club, Jan. 12,
    2000, (visited Jan. 21, 2000)
    \<http://www.worldcom-merger.com/press_room/ebbers_npc_speech.htm\>.

[^615]: In these three markets, Wireless One had previously offered
    two-way high-speed Internet access on a limited basis using both
    MMDS and WCS spectrum, and WorldCom is also using both types of
    spectrum in its trials. See *Fourth Report* at F-17; Paul Kagan
    Associates, Inc., [Wireless/Private Cable Investor]{.smallcaps},
    Mar. 9, 2000, at 1. In Jackson, WorldCom is also testing wireless
    LAN technology in a 300-unit apartment complex. Paul Kagan
    Associates, Inc., [Wireless/Private Cable Investor]{.smallcaps},
    Mar. 9, 2000, at 1.

[^616]: Paul Kagan Associates, Inc., [Wireless/Private Cable
    Investor]{.smallcaps}, Mar. 9, 2000, at 1. WorldCom has stated that
    its capital expenditures for rolling out MMDS services are
    approximately \$2000 per square mile. *Telephony*, [Communications
    Daily]{.smallcaps}, Mar. 8, 2000.

[^617]: *MCI WorldCom to Test Fixed Wireless Service in Boston,* News
    Release, WorldCom, Inc. Mar. 27, 2000; *MCI WorldCom Adds Dallas to
    'Fixed Wireless' Service Trials*, News Release, WorldCom, Inc., Apr.
    5, 2000. In Dallas, WorldCom will also be using WCS spectrum in its
    service trials. *Mexico-U.S. Talks Heat Up on DARS Interference
    Concerns*, [Audio Week]{.smallcaps}, Apr. 24, 2000.

[^618]: *MCI WorldCom's Wireless Internet to Help Bridge the Digital
    Divide*, News Release, WorldCom, Inc., Apr. 26, 2000.

[^619]: *MCI WorldCom and Sprint Create Pre-Eminent Global
    Communications Company for 21^st^ Century*, News Release, Sprint
    Communications Company LP, Oct. 5, 1999; *Justice Department Sues to
    Block WorldCom's Acquisition of Sprint*, News Release, U.S.
    Department of Justice, June 27, 2000.

[^620]: Sprint bought People's Choice TV and American Telecasting.
    *Sprint Closes Acquisition of American Telecasting, Inc.*, News
    Release, Sprint Communications Company, LP, Sept. 23, 1999.

[^621]: *Sprint Completes Purchase of Videotron USA and Operating Units
    of WBS America, LLC*, News Release, Sprint Communications Company,
    LP, Oct. 26, 1999.

[^622]: *Sprint Completes Purchase of Videotron USA and Operating Units
    of WBS America, LLC*, News Release, Sprint Communications Company,
    LP, Oct. 26, 1999. Videotron USA was the wireless broadband
    subsidiary of Le Groupe Videotron Ltee, a Canadian company. *Sprint
    Agrees to Acquire Videotron USA and Transworld Telecommunications
    Inc.*, News Release, Sprint Communications Company LP, May 3, 1999.

[^623]: *Sprint Completes Purchase of Videotron USA and Operating Units
    of WBS America, LLC*, News Release, Sprint Communications Company,
    LP, Oct. 26, 1999.

[^624]: *Sprint Rolls Out Wireless DSL in Phoenix*, [Communications
    Daily]{.smallcaps}, May 9, 2000.

[^625]: Paul Kagan Associates, Inc., [Wireless/Private Cable
    Investor]{.smallcaps}, Mar. 9, 2000, at 1. In Phoenix and Detroit,
    People's Choice TV, which Sprint acquired in the spring of 1999, had
    previously offered two-way high-speed Internet access on a limited
    basis. *See Fourth Report*, 14 FCC Rcd at 10271.

[^626]: *Sprint Rolls Out Wireless DSL in Phoenix*, [Communications
    Daily]{.smallcaps}, May 9, 2000.

[^627]: Nancy Gohring, *All Chips on MMDS*, [Telephony]{.smallcaps},
    Dec. 20, 1999. Sprint began offering its ION package of voice and
    high-speed data services to high-end residential customers in
    Denver, Kansas City, and Seattle during the second half of 1999.
    Fred Dawson, *Sprint's ION Launches Hit Cable, Telcos*,
    [Multichannel News]{.smallcaps}, Nov. 29, 1999. The package includes
    2200 minutes of distance-free domestic calls per month on four phone
    lines, advanced calling features, and unlimited Internet access at
    speeds of one Mbps for \$159.99.

[^628]: *See Fourth Report*, 14 FCC Rcd at 10260.

[^629]: *Nucentrix Broadband Networks Announces Effectiveness of Shelf*,
    [Business Wire]{.smallcaps}, Dec. 17, 1999.

[^630]: Fred Dawson, *Broadband Wireless Gets to the (Multi)Point*,
    [Interactive Week from ZDWire]{.smallcaps}, Mar. 13, 2000,
    *available in* 2000 WL 4065337.

[^631]: *Nucentrix Broadband Networks Announces Effectiveness of Shelf*,
    [Business Wire]{.smallcaps}, Dec. 17, 1999.

[^632]: *Regional Wireless Operators Select Hybrid Networks' 2-Way Today
    Solution To Launch Multiple Markets*, [PR Newswire]{.smallcaps},
    Jan. 10, 2000.

[^633]: *Regional Wireless Operators Select Hybrid Networks' 2-Way Today
    Solution to Launch Multiple Markets*, [PR Newswire]{.smallcaps},
    Jan. 10, 2000.

[^634]: *Regional Wireless Operators Select Hybrid Networks' 2-Way Today
    Solution to Launch Multiple Markets*, [PR Newswire]{.smallcaps},
    Jan. 10, 2000.

[^635]: *See* Section V.b, page E-[9](#unlicensed-spectrum-2-and-5-ghz),
    *infra*, for a discussion of unlicensed spectrum.

[^636]: IJNT.net, Inc. Form 10KSB/A, Dec. 31, 1999; SkyLynx
    Communications, Inc., Form 10KSB, Dec. 31, 1999.

[^637]: SpeedChoice, *Data over Wireless -- a Primer* (visited Jan. 24,
    2000)
    \<http://www.speedchoice.com/technol...rTechnology/dataOverWireless4.html\>.

[^638]: Keith Ross, *Gearing Up for Two-Way Wireless*, [Private Cable &
    Wireless Cable]{.smallcaps}, Oct. 1998; NextNet, Inc., *Technology*
    (visited Jan. 20, 2000)
    \<http://www.nextnetworks.com/products_tech_bottom.html\>.

[^639]: Keith Ross, *Gearing Up for Two-Way Wireless*, [Private Cable &
    Wireless Cable]{.smallcaps}, Oct. 1998.

[^640]: Nancy Gohring, *Sprint Gears Up for MMDS: Equipment Vendors Spar
    for Contracts*, [Telephony]{.smallcaps}, Nov. 29, 1999, *available
    in* 1999 WL 11172548.

[^641]: Paul Kagan Associates, Inc., [Wireless/Private Cable
    Investor]{.smallcaps}, Mar. 9, 2000, at 1.

[^642]: *Sprint Purchases \$11 Million of Convertible Debentures in
    Wireless Equipment Manufacturer Hybrid Networks, Inc.*, News
    Release, Sprint Communications Company LP, Aug. 31, 1999.

[^643]: *Regional Wireless Operators Select Hybrid Networks' 2-Way Today
    Solution to Launch Multiple Markets*, [PR Newswire]{.smallcaps},
    Jan. 10, 2000.

[^644]: It is unclear which spectrum band Bell Atlantic and Radix plan
    to use. *Bell Atlantic Invests in Fixed Wireless Company As Part of
    DSL Deployment Strategy*, News Release, Bell Atlantic, Apr. 3, 2000.

[^645]: Cliff Edwards, *Cisco Hopes Advances New Wireless Technology for
    Internet*, [AP Newswires]{.smallcaps}, Dec. 2, 1999.

[^646]: *Id*.

[^647]: *Nucentrix Broadband Networks and Cisco to Deliver First
    VOFDM-Based Wireless Broadband Internet Services*, News Release,
    Nucentrix Broadband Networks, Feb. 4, 2000.

[^648]: *MCI WorldCom Adds Dallas to 'Fixed Wireless' Service Trials*,
    News Release, WorldCom, Inc., Apr. 5, 2000.

[^649]: Nancy Gohring, *Sprint Gears Up for MMDS: Equipment Vendors Spar
    for Contracts*, [Telephony]{.smallcaps}, Nov. 29, 1999, *available
    in* 1999 WL 11172548.

[^650]: *Wireless OnLine Adds Vice President of Product Management*, [PR
    Newswire]{.smallcaps}, Jan. 5, 2000.

[^651]: NextNet, Inc., *Products* (visited Jan. 20, 2000)
    \<http://www.nextnetworks.com/products_prod_bottom.html\>.

[^652]: *U.S. Wireless Broadband: LMDS, MMDS and Unlicensed Spectrum*
    (Conference Call Slides), Peter Jarich and James Mendelson, The
    Strategis Group Inc., Feb. 17, 2000.

[^653]: *See* Appendix F, Map 7, p. F-8 for an overview of the cities
    where high-speed, fixed wireless Internet access is offered with
    unlicensed spectrum.

[^654]: The service costs \$395 per month for speeds of 512 kbps to 2
    Mbps and includes a wireless LAN system. The initial rollout cities
    were Ft. Myers and Naples, FL; Knoxville, Nashville, and Memphis,
    TN; and Mobile, AL, and PSINet was targeting businesses without
    access to other types of high-speed Internet access. *PSINet to
    Launch Low-Cost Wireless Internet Service in 50 New Markets*, News
    Release, PSINet Inc., Feb. 2, 1999; *PSINet and Cisco Team for
    PSINet InterSky Business-Grade Wireless Internet Service*, News
    Release, PSINet Inc., May 10, 1999.

[^655]: *Adaptive Broadband and U S West Sign Master Purchase Agreement
    for AB-Access Broadband Wireless Data Networking Units*, [Business
    Wire]{.smallcaps}, Oct. 18, 1999.

[^656]: John M. Bensche and Jennifer A. Cooke, *Metricom, Inc.: More
    Subs, More Revenue, More Cash Flow, More Upside!*, Lehman Brothers,
    Inc., Feb. 8, 2000.

[^657]: *Id*.

[^658]: BreezeCOM, *About BreezeCOM* (visited August 8, 2000)
    \<http://www.breezecom.com/AboutBreezeCOM/overview.htm\>; RadioLAN,
    *About RadioLAN* (visited August 8, 2000) \<
    http://www.radiolan.com/about.html\>.

[^659]: Paul Kagan Associates, Inc., [Wireless/Private Cable
    Investor]{.smallcaps}, Mar. 9, 2000, at 1; *Mexico-U.S. Talks Heat
    Up on DARS Interference Concerns*, [Audio Week]{.smallcaps}, Apr.
    24, 2000, *available in* 2000 WL 4551820.

[^660]: *BellSouth Launching Trial to Cross Digital Divide*, [Wireless
    Today]{.smallcaps}, Dec. 10, 1999, *available in* 1999 WL 6692433;
    *Mexico-U.S. Talks Heat Up on DARS Interference Concerns*, [Audio
    Week]{.smallcaps}, Apr. 24, 2000, *available in* 2000 WL 4551820.

[^661]: *BellSouth Launching Trial to Cross Digital Divide*, [Wireless
    Today]{.smallcaps}, Dec. 10, 1999, *available in* 1999 WL 6692433.

[^662]: 24 GHz spans 24.25 - 25.25 GHz; LMDS spans 27.5 - 31.3 GHz; 39
    GHz spans 38.6 ‑ 40.0 GHz. 39 GHz is often referred to as 38 GHz.

[^663]: FCC, *Auction #23 Local Multi-Point Distribution Service (LMDS)
    ReAuction - Charts: Top 10 Markets In Each Block* (visited Mar. 7,
    2000) \< http://www.fcc.gov/wtb/auctions/auc23/23press1.pdf\>.

[^664]: 39 GHz Band Auction Closes, *Public Notice*, DA 00-1035 (rel.
    May 10, 2000). Fourteen 100 megahertz licenses (paired 50 megahertz
    channel blocks) were offered in each of 172 Economic Areas (EAs) and
    3 EA-like areas, covering the United States, the Northern Mariana
    Islands, Guam, American Samoa, the United States Virgin Islands and
    Puerto Rico. Auction Of Licenses For Fixed Point-To-Point Microwave
    Services In The 38.6 To 40.0 GHz (39 GHz) Band Scheduled For April
    11, 2000, *Public Notice*, DA 99-2624 (rel. Nov. 23, 1999).

[^665]: 39 GHz Band Auction Closes, *Public Notice*, DA 00-1035 (rel.
    May 10, 2000). 227 licenses were retained by the FCC. *Id.*

[^666]: Bidding under NEXTBAND Communications, L.L.C.

[^667]: FCC, *39 GHz Fact Sheet* (visited Feb. 24, 2000)
    \<http://www.fcc.gov/wtb/auctions/39ghz/39ghfact.html\>.

[^668]: Amendments to Parts 1, 2 and 101of the Commission\'s Rules To
    License Fixed Services at 24 GHz, *Notice Of Proposed Rulemaking,*
    FCC 99-333 (rel. Nov. 10, 1999).

[^669]: This is representative of the success telecom companies in
    general have had recently in raising money. According to Goldman
    Sachs, communications companies raised 88 percent of the \$9.5
    billion in the world-wide high-yield bond issuance of the first two
    months of 2000, up from 45 percent in the same period in 1999. Paul
    M. Sherer, *Junk Bonds Throw Money Into Telecom Firms*, [Wall Street
    Journal]{.smallcaps}, Feb. 23, 2000, at C1.

[^670]: [Communications Daily]{.smallcaps}, Sept. 13, 1999.

[^671]: *Teligent 3Q99 Report Shows \$10.3M in Revenues*,
    [WirelessNow]{.smallcaps}, Nov. 11, 1999. In June, 1999, AT&T's
    Liberty Media Group purchased Associated Group for \$3 billion.
    Associated has a 41% stake in Teligent. *AT&T Gearing Up For Fixed
    Wireless Plans*, [Communications Daily]{.smallcaps}, Dec. 22, 1999,
    *available in* 1999 WL 7581032.

[^672]: *Winstar Gets \$900 Million Investment From Microsoft and Other
    Companies*, [Dow Jones Newswires]{.smallcaps}, Dec. 15, 1999.

[^673]: *Nextlink Secures \$850M Infusion*, [WirelessNow]{.smallcaps},
    Dec. 10, 1999.

[^674]: Teligent (visited Mar. 6, 2000) \<http://www.teligent.com/\>;
    Teligent, Form 10-K, Dec. 31, 1999, at 3.

[^675]: *See* Appendix F, Map 8, p. F-9.

[^676]: *Teligent Reports \$31 Million In 1999 Revenue; Expands Reach To
    Four Continents*, News Release, Teligent, Mar. 6, 2000.

[^677]: *Teligent Reports Third Quarter Financial Results, Completes
    Launch of First 15 Markets*, News Release, Teligent, Nov. 11, 1998.

[^678]: *Teligent Reports \$31 Million In 1999 Revenue; Expands Reach To
    Four Continents*, News Release, Teligent, Mar. 6, 2000.

[^679]: *Id.*

[^680]: Teligent had a total of 76,000 lines installed at the end of the
    third quarter 1999. *Teligent Reports Third Quarter Revenue Of
    \$10.3M; Tops 1999 Target Of 75,000 Installed Lines*, News Release,
    Teligent, Nov. 9, 1999.

[^681]: *Teligent Reports \$31 Million In 1999 Revenue; Expands Reach To
    Four Continents*, News Release, Teligent, Mar. 6, 2000.

[^682]: *Id.*

[^683]: [Communications Daily]{.smallcaps}, Feb. 29, 2000.

[^684]: These other carriers include CLECs, Competitive Access Providers
    ("CAPs"), inter-exchange carriers ("IXCs"), LECs, and Internet
    Service Providers ("ISPs").

[^685]: WinStar Communications, Inc., Form 10-K405, Dec. 31, 1999, at 3.

[^686]: *WinStar Reports Fourth Quarter Results; Revenue, Gross Margin
    and EBITDA Continue Sharp Improvement*, News Release, WinStar, Feb.
    10, 2000. *See* Appendix F, Map 10, p. F-11.

[^687]: *Id.*

[^688]: *Id.*

[^689]: *Id.* In New York, fourth quarter new lines additions were 84
    percent on-net. *Id.*

[^690]: *WinStar Sells its 12% stake in Advanced Radio Telecom*, [The
    Seattle Times]{.smallcaps}, Feb. 7, 2000.

[^691]: FCC, *FCC "Closed" 39 GHz Auction #30* (visited May 17, 2000)
    \<http://www.fcc.gov/wtb/auctions/39ghz/30press1.pdf \>.

[^692]: Nextlink*, NEXTLINK Communications, Inc. Fact Sheet,* Dec. 31,
    1999. *See* Appendix F, Map 9, p. F-10.

[^693]: Nextlink and Nextel each owned 50 percent of Nextband, which
    purchased 42 licenses in the LMDS auction. This aquisition will make
    Nextlink the sole owner of Nextband.

[^694]: *NEXTLINK Communications To Acquire WNP Communications for \$695
    Million*, News Release, Nextlink, Jan. 14, 1999. On March 30, 1999,
    the FCC approved the assignment of WNP\'s licenses to Nextlink.
    Wireless Telecommunications Bureau Public Safety and Private
    Wireless Division Grants Consent to Assign Authorizations of WNP
    Communications, Inc. and PCO Aquisition Corp., *Public Notice*, DA
    99‑610 (rel. Mar. 30, 1999); *Nextlink Closes WNP Acquisition;
    Becomes Largest Holder of Fixed Wireless Spectrum in North America,*
    News Release, Nextlink, Apr. 27, 1999. WNP was the largest bidder in
    the LMDS auction, having acquired 40 licenses covering 114 million
    POPs.

[^695]: *McCaw\'s Big-Picture Strategy Comes into Clearer Focus as
    Nextel Chief Consolidates Domestic LMDS Holdings*, [PCS
    Week]{.smallcaps}, Jan. 27, 1999, *available in* 1999 WL 7870838;
    *McCaw Aims to Consolidate Domestic LMDS Spectrum Holdings*,
    [Communications Today]{.smallcaps}, Jan. 15, 1999, *available in*
    1999 WL 6503237.

[^696]: *NEXTLINK Beats Line Count, Revenue And EBITDA Expectations In
    4Q*, News Release, Nextlink, Feb. 15, 2000.

[^697]: *NEXTLINK Beats Second Quarter Analyst Revenue and Line
    Installation Estimates*, Nextlink, July 26, 2000.

[^698]: *Id.*

[^699]: SPEEDUS.COM, Inc., *SPEEDUS.COM, Inc. and Nextlink Sign \$40
    Million Pact, Nextlink Agrees to Purchase Two Million Shares at \$10
    Per Share*, News Release, SPEEDUS.COM, Inc., June 14, 1999.

[^700]: In January 1999, CellularVision USA, Inc. completed its name
    change to SPEEDUS.COM, Inc. *SpeedUs.com New Name For
    CellularVision; SpeedUs.com: A New Broadcast ISP For Super
    High-Speed Internet In New York*, News Release, SPEEDUS.COM, Jan. 6,
    1999.

[^701]: *NEXTLINK And Highspeed.Com Form Strategic Alliance*, News
    Release, Highspeed.Com, Nov. 16, 1999. *See* further discussion
    below.

[^702]: *Touch America to Enter Wireless Communications Business*, News
    Release, Touch America, Feb. 18, 1999.

[^703]: *Touch America Launches Wireless, High-Speed Broadband LMDS
    Commercial Service*, News Release, Touch America, Sept. 21, 1999;
    *Touch America Launches Wireless, High-Speed Broadband LMDS Service
    in Butte*, News Release, Touch America, Nov. 5, 1999.

[^704]: *Id.*

[^705]: *Montana Power to Divest Energy Businesses, Company to Become
    Touch America*, News Release, Touch America, Mar. 28, 2000.

[^706]: *Touch America Completes Acquisition of Qwest Communications\'
    14-State Long Distance Business*, News Release, Touch America, June
    30, 2000. The sale was required by the Telecommunications Act of
    1996 to comply with restrictions that currently prohibit regional
    bell operating companies or their affiliates from providing long
    distance services in their local service region.

[^707]: Highspeed.Com, *Welcome to Highspeed.Com* (visited Mar. 8, 2000)
    \<www.highspeed.com\>.

[^708]: Phone conversation with HighSpeed.Com President and CFO Thomas
    P. Sawatzki, Apr. 25, 2000.

[^709]: *Advanced Radio Telecom Corp. Announces Operating Results for
    Fourth Quarter 1998*, News Release, ART, Jan. 12, 1999; Advanced
    Radio Telecom, Inc., Form 10-K, Dec. 31, 1999, at 5. *See* Appendix
    F, Map 11, p. F-12.

[^710]: ART had begun offering a variety of broadband Internet services
    to business customers in Seattle, WA, Portland, OR, and Phoenix, AZ,
    in 1998. *Advanced Radio Telecom Reports 1999 Fourth Quarter, Year
    End Results*, News Release, Advanced Radio Telecom, Inc., Feb. 16,
    2000.

[^711]: Advanced Radio Telecom, Inc., Form 10-K, Dec. 31, 1999, at 2.

[^712]: *Advanced Radio Telecom Launches Broadband Wireless IP Network
    in Phoenix*, News Release, Advanced Radio Telecom, Inc., June 30,
    2000.

[^713]: *Id.*

[^714]: Advanced Radio Telecom, Inc., Form 10-K, Dec. 31, 1999, at 2.

[^715]: *Advanced Radio Telecom to Deploy Broadband Wireless Internet
    Protocol Networks in 10 Markets in 2000*, News Release, Advanced
    Radio Telecom, Inc., Jan. 5, 2000; *Advanced Radio Telecom Launches
    Broadband Wireless IP Network in Phoenix*, News Release, Advanced
    Radio Telecom, Inc., June 30, 2000.

[^716]: *Advanced Radio Telecom to Deploy Broadband Wireless Internet
    Protocol Networks in 10 Markets in 2000*, News Release, Advanced
    Radio Telecom, Inc., Jan. 5, 2000.

[^717]: *Advanced Radio Telecom Adds 800 Commercial Buildings to Access
    Portfolio via Agreement with RREEF*, News Release, Advanced Radio
    Telecom, Inc., Feb. 15, 2000.

[^718]: *Advanced Radio Telecom to Deploy Broadband Wireless Internet
    Protocol Networks in 10 Markets in 2000*, News Release, Advanced
    Radio Telecom, Inc., Jan. 5, 2000.

[^719]: *Advanced Radio Telecom Signs Binding LOI for Major Spectrum
    Acquisition*, News Release, Advanced Radio Telecom, Inc., Mar. 29,
    2000; *Advanced Radio Telecom to Acquire 15 Additional 39 GHz
    Licenses in Major Markets*, News Release, Advanced Radio Telecom,
    Inc., Mar. 29, 2000. The 14 licenses to be acquired from Bachow
    cover a population of approximately 37 million, bringing ART's U.S.
    license coverage to over 370 million channel pops. *Advanced Radio
    Telecom to Acquire 15 Additional 39 GHz Licenses in Major Markets*,
    News Release, Advanced Radio Telecom, Inc., Mar. 29, 2000. The 366
    Broadstream licenses cover a population of approximately 258
    million, including 37 of the top 50 markets in the United States.
    *Advanced Radio Telecom Signs Binding LOI for Major Spectrum
    Acquisition*, News Release, Advanced Radio Telecom, Inc., Mar. 29,
    2000. 104 of the licenses to be acquired from Broadsteam are subject
    to put and call agreements conditioned on license renewal. *Advanced
    Radio Telecom Signs Binding LOI for Major Spectrum Acquisition*,
    News Release, Advanced Radio Telecom, Inc., Mar. 29, 2000.

[^720]: AT&T Corp., Prospectus of AT&T Wireless Group Tracking Stock,
    Mar. 28, 2000. *See* also Appendix F, Map 12, p. F-13.

[^721]: *AT&T Completes TCG Merger; TCG Now Core of AT&T Local Services
    Network Unit*, News Release, AT&T Corp., July 23, 1998.

[^722]: ^According\ to\ one\ analyst,\ at\ the\ end\ of\ 1999,\ AT&T\ had\ 400-600\ buildings\ connected\ via\ fixed\ wireless\ and^
    that number
    ^should\ reach\ 800\ by\ the\ end\ of\ 2000.\ AT&T\ also\ uses\ it^s
    ^39\ GHz\ spectrum\ to\ connect\ its\ cellular\ base\ stations\ in\ a\ number\ of\ markets.^
    Jim Friedland and Amy Roth,
    ^*Broadband\ Wireless\ Access:\ Beyond\ the\ Reach\ of\ Fiber*,^
    Telecom Services Research, ^Robertson\ Stephens^, ^Feb.\ 18,\ 2000.^

[^723]: In early 1999, AT&T said it planned to expand TCG\'s wireless
    local loop bypass business. Bill Menezes, *MCI WorldCom Discovers
    Fixed Wireless*, [Wireless Week]{.smallcaps}, Feb. 8, 1999, at 25.

[^724]: AT&T Corp., Form 10-K, Dec. 31, 1999, at 1.

[^725]: This level of reliability is also known as "five 9's."

[^726]: Fixed wireless equipment maker P-Com believes that PTP
    technology offers a better solution than PTMP for customer
    requirements above 45 Mbps. John Hodulik, Broadband Wireless
    Conference Call Series \# 4 with P-Com, PaineWebber, Apr. 12, 2000.

[^727]: WinStar Communications, Inc., Form 10-K405, Dec. 31, 1999, at
    3-4.

[^728]: *Id.*

[^729]: *Winstar Reports Fourth Quarter Results; Revenue, Gross Margin
    and EBITDA Continue Sharp Improvement*, News Release, Winstar
    Communications, Inc., Feb. 10, 2000.

[^730]: *Id.*

[^731]: *Nextlink Communications, Inc.*, Equity Research, Credit Suisse
    First Boston, Feb 18, 2000.

[^732]: *Broadband Wireless Access: Beyond the Reach of Fiber*,
    Robertson Stephens, Feb. 18, 2000, at 7.

[^733]: *Id.*