pcs licence conditions issued by industry canada



 



EXHIBIT 4.7



Industry Canada’s Licence Conditions for

Personal Communications Service (PCS) Licensees



The following conditions apply to all licensees for personal communications
services in the 2 GHz range (PCS licensees).


1.0 Full National Coverage



1.1 In order to realize the Government’s objective of full national coverage,
you must implement your system substantially in accordance with the full
five-year plan contained in your detailed submissions to the Department
notwithstanding any stated conditions therein. In addition, you and any
entities with which you have submitted an application for 2 GHz PCS, must offer
a reasonable level of service in all regions of Canada within two years of the
date of this authorization.


2.0 Research and Development



2.1 You must substantially honour research and development commitments made in
your detailed submission. As a minimum, you must invest an average of 2 per
cent of your adjusted gross revenue resulting from your 2 GHz PCS operations on
PCS-related research and development activities averaged over the next five
years. Eligible research and development is that which meets the definition
adopted by Revenue Canada.


Adjusted gross revenues are defined as total service revenues less
inter-carrier payments, bad debt, third party commissions, and provincial and
goods and services taxes collected.


3.0 Other Commitments



3.1 You must substantially honour all other commitments made in your detailed
submission.


4.0 Ownership and Control



4.1 You must comply with the eligibility criteria as set out in section 16 of
the Telecommunications Act and the Canadian Telecommunications Common Carrier
Ownership and Control Regulations.


You must notify the Minister of any change which would have a material effect
on your ownership or control in fact. Such notification must be made in advance
for any of the proposed transactions within your knowledge.


5.0 Annual Reporting



5.1 You must submit an annual report for each of the first five years
indicating your continued compliance with these licence conditions including:


- an update on the implementation of PCS in the areas outlined in your detailed
submission including a summary of notices to displace incumbent microwave
licensees, showing their respective status and proposed PCS in-service dates;


- an audited statement of research and development expenditures as required in
condition 2.0 above for the fiscal year covered by the report;


- a description of research and development activities including their
distribution in Canada’s regions;


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- an update on the number of subscribers and their distribution across your
service area;


- an update on the actual direct and indirect jobs created with respect to PCS,
including their distribution across Canada;


- a description of direct investments undertaken with respect to PCS;


- an update on any other commitments made in your detailed submission; and


- a copy of any existing corporate annual report for your fiscal year with
respect to this authorization.


The reports are to be submitted, in writing within 120 days of your fiscal year
end, to the Director, Spectrum Management Operations, Radiocommunications and
Broadcasting Regulatory Branch.


6.0 Provision of Lawful Interception



6.1 You shall, from the inception of service, provide for and maintain lawful
interception capabilities as authorized by law.



	•	 	The requirements for lawful interception capabilities are provided in the
Solicitor General’s Enforcement Standards for Lawful Interception of
Telecommunications (Rev. Nov.95). These standards may be amended from time to
time following consultation with the Solicitor General of Canada and the
licensees.
	 
	•	 	You may request the Minister to forbear from enforcing certain assistance
capability requirements for a limited period. The Minister following
consultation with the Solicitor General of Canada, may exercise his power to
forbear from enforcing a requirement or requirements where in the opinion of
the Minister, the requirement(s) is (are) not reasonably achievable. Requests
for forbearance must include specific details and dates indicating when
compliance to requirement(s) can be expected.



7.0 Microwave Transition



7.1 You must comply with the transition policy and relocation procedure for the
relocation of incumbent microwave stations.


8.0 Commencement of Service



8.1 If you are a cellular licensee, or its affiliate, you may only offer any
PCS service to the public within each of the 25 Census Metropolitan Areas
(CMAs) at such time as:


(i)  conditions 8.2 through 8.5 are met; and


(ii)  either:


PCS service at 2 GHz is available to the public within that CMA by a
non-cellular PCS licensee; or


One year has elapsed following the fulfilment of conditions 8.2 through 8.5.


If you are a cellular licensee, or its affiliate, you may only offer PCS
service to the public outside of the 25 CMAs at such time as conditions 8.2
through 8.5 are met.


For the purpose of paragraph 8.3 and 8.4 of this section, non-cellular PCS
licensees shall only offer cellular services by means of handsets that are also
capable of providing PCS in their chosen PCS standard.


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Availability of Public-Switched Telephone Network (PSTN) Interconnection



8.2 Interconnection to the wireline PSTN is available for all PCS licensees in
the market area.


Cellular Resale



8.3 You, and any entities with whom you have an operating and/or marketing
arrangement for the provision of uniformly branded or jointly offered cellular
service, offer analogue cellular resale throughout the respective cellular
service area on a non-discriminatory basis to all PCS licensees who are not
cellular licensees or affiliates of cellular licensees (non-cellular PCS
licensees) on terms which are acceptable to at least one such non-cellular PCS
licensee or as set out by the regulator.


In the event that both non-cellular PCS licensees accept an offer for cellular
resale from only one cellular licensee, condition 8.3 would be deemed to have
been met for the other cellular PCS licensees.


Cellular Roaming



8.4 You, and any entities with whom you have an operating and/or marketing
arrangement for the provision of uniformly branded or jointly offered cellular
service, offer a cellular roaming arrangement for analogue cellular service
utilizing the standard you use for inter-system operation, on a
non-discriminatory basis to all non-cellular PCS licensees on terms which are
acceptable to at least one non-cellular PCS licensee or as set out by the
regulator. However, other roaming arrangements for analogue cellular service
utilizing the said standard in use for inter-system roaming may be offered to
those entities with whom you have an operating and/or marketing arrangement for
the provision of uniformly branded or jointly offered cellular service.


In the event that both non-cellular PCS licensees accept an offer for cellular
roaming from only one cellular licensee, condition 8.4 would be deemed to have
been met for the other cellular PCS licensees.


Relocation of Microwave Links



8.5 Microwave links operating within the band 1850 MHz to 1990 MHz for which
you are authorized, are relocated to ensure that sufficient spectrum is
available for any other PCS licensee to operate within that same market area.


9.0 PCS Resale



9.1 You must offer PCS resale throughout your service area to PCS licensees on
a non-discriminatory basis.


10.0 Interim Sharing Arrangement



10.1 You must comply with the provisions set out in the Interim Sharing
Agreement between Industry Canada and the Federal Communications Commission
Concerning the Use of the Band 1850 MHz to 1990 MHz.


11.0 Site Specific Authority



11.1 You must obtain site specific authority, normally in the form of a radio
licence, prior to installing or operating any 2 GHz PCS base stations.



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