# Presentation: 664389

## Overview ofMultichannel Video Distribution and Data Service (MVDDS) Rules and Due Diligence

- Auction #63

## Nothing herein is intended to supersede any provision of the Commission's rules or public notices.  These slides should not be used as a substitute for a prospective applicant's review of the Commission's relevant orders, rules, and public notices.  Prospective applicants must familiarize themselves thoroughly and remain current with the Commission's rules relating to MVDDS, rules relating to application and auction procedures, and the procedures, terms and conditions contained in the Auction No. 63 public notices.

## MVDDS Service Rules

- Definition, Permissible Uses, & Regulatory Status
- 22 MVDDS Licenses Available in Auction 63
- MVDDS Service Areas
- International Borders
- License Period
- Substantial Service Requirements
- Renewal Expectancy
- Annual Report
- Cable Cross-ownership Restriction
- Technical Matters
- Due Diligence (incumbent issues)
- Assignment/transfer; Partition/Disaggregation; Spectrum Leasing

## Definition47 C.F.R. § 101.3 

- Multichannel Video Distribution and Data Service:
- A fixed microwave service licensed in the 12.2-12.7 GHz band that provides various wireless services
- Mobile and aeronautical operations are prohibited

## Permissible Uses47 C.F.R. § 101.1407

- Any digital fixed _non-broadcast_ service
- Broadcast services are intended for reception of the general public and not on a subscribership basis
- Can include
**one-way video programming and data service**
**one-way direct to home/office wireless**
**two-way services may be provided by using other spectrum or media for the return or upstream path**

## Regulatory Status47 C.F.R. § 101.1411

- Licensees may provide service on a -  non-common carrier basis and/or on a  -  common carrier basis

## 22 MVDDS licenses (12.2-12.7 GHz) will be available during Auction #63

- MVD038 Grand Rapids-Kalmzoo-B.Crk
- MVD040  Birmingham (Ann and Tusc)
- MVD132  Chico-Redding
- MVD136  Duluth-Superior
- MVD149  Bluefield-Beckley-Oak Hill
- MVD150  Wheeling-Steubenville
- MVD153  Bangor
- MVD167  Utica
- MVD173  Elmira
- MVD175  Rapid City
- MVD176  Watertown
- MVD177  Marquette

- MVD184  Grand Junction-Montrose
- MVD185  Meridian
- MVD190  Eureka
- MVD193  St. Joseph
- MVD198  Ottumwa-Kirksville
- MVD205  Presque Isle
- MVD207  Helena
- MVD208  Alpena
- MVD209  North Platte
- MVD210  Glendive

## MVDDS Service Areas

- MVDDS Service Areas are based on the Designated Market Areas delineated by Nielsen Media Research, Inc. in its publication entitled “U.S. Television Household Estimates” dated September 2002. (See 47 C.F.R. § 101.1401)
- Designated Market Area (DMA®) is a registered trademark of Nielsen Media.  An MVDDS license does not confer any right to use the DMA trademark or any associated maps, ranks, regions, data, or analyses owned by Nielsen Media, and that right must be sought from Nielsen Media.
- _[http://www.nielsenmedia.com/](http://www.nielsenmedia.com/)_

## International Borders

- MVDDS systems in the United States within 56 km (35 miles) of the Canadian and Mexican border will be granted conditional licenses, until final international agreements are approved.  MVDDS systems may not cause harmful interference to stations in Canada or Mexico.
- No stations are allowed within 5 miles of the borders.

## License Period

- Licenses are issued for a 10-year term beginning on the date of the initial authorization grant

## Substantial service requirements at 5 and 10 years into license term	

- Must provide “substantial service” within 5 years of initial authorization.
- Must file a notice of compliance within 15 days of the expiration of 5-year-period.
- See 47 C.F.R. §§ 1.946, 101.1413.

## Renewal Expectancy

- Application of a renewal expectancy is based on a showing of substantial service at the end of five years into the license period and ten years into the license period.
- As part of the renewal application, MVDDS licensees must file:
- Coverage map that depicts served and unserved areas.
- Description of geographic areas served and populations served or the transmitter locations in the served areas.
- Copies of Commission Orders that find the licensee to have violated the Communications Act or any Commission rule or policy and a list of any pending proceedings that relate to any matter described by the requirements for the renewal expectancy.
- See 47 C.F.R.  §  101.1413

## Annual Report47 C.F.R. § 101.1417

- Each licensee is required to file an annual report by March 1 of each year detailing statistical information about the station’s service

## Cable cross-ownership restriction47 C.F.R. § 101.1412 

- Cable operators or entities holding an attributable interest in a cable operator may not retain an attributable interest in an MVDDS license whose geographic service area significantly overlaps such cable operator’s service area

## Technical Matters

*  **Incumbent Part 101 Licensees*
*-  Co-primary satellite operations *

## MVDDS Coordination & Sharing with Incumbent Terrestrial Licensees

- MVDDS must coordinate and protect Microwave Public Safety Pool (MW) (Part 101) stations in the 12.2–12.7 GHz  band licensed prior to MVDDS.
- MVDDS licensees must coordinate and share with  adjacent-area MVDDS.
- 	See 47  C.F.R.  §  101.105
- 		(Interference protection criteria)
- 	See 47  C.F.R.  §  101.1409
- 		(Treatment of incumbent licensees)
- 	See 47  C.F.R.  §  101.1421
- 		(Coordination of adjacent area MVDDS stations and 	incumbent public safety POFS stations)

## Co-Primary Satellite Licensees

- MVDDS users will share the 12.2–12.7 GHz band on a co-primary basis with:
- Non-geostationary satellite orbit (NGSO) Fixed-satellite services (FSS)
- Direct Satellite Broadcast Service licensees and their affiliates
- 	See 47  C.F.R.  §  101.103(f)
- 		(Coordination and information sharing between MVDDS and NGSO 	FSS licensees in the 12.2 GHz to 12.7 GHz band.)
- 	See 47  C.F.R.  §  101.105
- 		(Interference protection criteria)
- 	See 47  C.F.R.  §  101.129(b)
- 		(Transmitter locations)
- 	See 47  C.F.R.  §  101.1421
- 		(Coordination of adjacent area MVDDS stations and 	incumbent public safety POFS stations)
- 	See 47  C.F.R.  §  101.1440
- 		(MVDDS protection of DBS)

## Due Diligence– Incumbent Issues 

*We caution potential applicants in formulating their bidding strategies to investigate and consider the extent to which MVDDS frequencies are occupied by incumbents. *

## Identifying MW (public safety) incumbents that must be protected from interference by accessing the Universal Licensing System (ULS)

##        

       http://wireless.fcc.gov/uls/

-        http://wireless.fcc.gov/uls/

## Slide 22

*To aid potential bidders, a list of public safety incumbents in the 12.2-12.7 GHz band is attached as Appendix I to the *Second Report and Order*, ET Docket No. 98-206, released May 23, 2002 *

## Assignment/TransferPartition/Disaggregation Spectrum Leasing

## Assignment of MVDDS licenses

- Assignment and transfer of MVDDS licenses is permitted. (See 47 C.F.R. § 1.948)
- Assignee/transferee must be eligible to hold MVDDS license.  (See 47 C.F.R.  § 101.1412 for eligibility restrictions for cable operators.)

## Partitioning and Disaggregating

- See 47 C.F.R.  §  101.1415.
- MVDDS licensees are not permitted to disaggregate spectrum.
- MVDDS licensees are permitted to partition their MVD licenses along county borders – Parishes in Louisiana and Territories in Alaska.
- Unjust enrichment payments are due the Commission if the assignee does not meet the eligibility criteria for the original licensee.
- The parties to a partitioning application must certify that one or both of the parties will satisfy the construction requirements set forth in 47 C.F.R.  § 101.1413.

## Spectrum Leasing 

- MVDDS licensees are permitted to lease spectrum.
- (See Second Report and Order, Order
- on Reconsideration, and Second Further
- Notice of Proposed Rule Making - FCC
- 04-167 – Adopted: July 8, 2004 Released: September 2, 2004)
- Licensees that obtained their MVD geographic license(s) with a bidding
- credit will be required to pay the Commission an unjust enrichment
- payment when they seek Commission approval of a long term de facto
- transfer lease and the lessee does not meet the eligibility standards for
- the bidding credit that was used by the licensee to obtain the license.
- All long term de facto transfer lessees must comply with the cable
- operators eligibility restrictions outlined in 47  C.F.R.  §  101.1412.

## The End