II

105TH CONGRESS

1ST SESSION S. 1328

To amend the Communications Satellite Act of 1962 to promote competition

and privatization in satellite communications, and for other purposes.

IN THE SENATE OF THE UNITED STATES

OCTOBER 28, 1997

Mr. INOUYE introduced the following bill; which was read twice and referred

to the Committee on Commerce, Science, and Transportation

A BILL

To amend the Communications Satellite Act of 1962 to promote competition and privatization in satellite communications, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Communications Sat5 ellite Competition and Privatization Act of 1997’’.
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1 TITLE I—USE OF FEDERAL COM2 MUNICATIONS COMMISSION

3 LICENSING REQUIREMENTS

4 TO SECURE COMPETITION

5 AND PRIVATIZATION

6 SEC. 101. PURPOSE.

7 It is the purpose of this Act to promote a fully com8 petitive global market for satellite communication services

9 for the benefit of consumers and providers of satellite serv10 ices and equipment by fully privatizing the intergovern11 mental satellite organizations, INTELSAT and

12 INMARSAT.

13 SEC. 102. REVISION OF COMMUNICATIONS SATELLITE ACT

14 OF 1962.

15 (a) ADDITION OF NEW TITLE.—The Communica16 tions Satellite Act of 1962 (47 U.S.C. 101) is amended

17 by adding at the end the following new title:

18 ‘‘TITLE VI—COMMUNICATIONS

19 COMPETITION AND PRIVAT20 IZATION

21 ‘‘Subtitle A—Actions to Ensure

22 Procompetitive Privatization

23 ‘‘SEC. 601. FEDERAL COMMUNICATIONS COMMISSION LI24 CENSING.

25 ‘‘(a) LICENSING FOR SEPARATED ENTITIES.—
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1 ‘‘(1) COMPETITION TEST.—The Commission

2 may not issue a license or construction permit to

3 any separated entity, or renew or permit the assign4 ment or use of any such license or permit, or author5 ize the use by any entity subject to United States ju6 risdiction of any space segment owned or operated

7 by any separated entity, unless the Commission de8 termines that such issuance, renewal, assignment, or

9 use will not harm competition in the telecommuni10 cations market of the United States. If the Commis11 sion does not make such a determination, it shall

12 deny or revoke authority to use space segment

13 owned or operated by the separated entity to provide

14 services to, from, or within the United States.

15 ‘‘(2) CRITERIA FOR COMPETITION TEST.—In

16 making the determination required by paragraph

17 (1), the Commission shall use the licensing criteria

18 in sections 621 and 623, and shall not make such

19 a determination unless the Commission determines

20 that the privatization of any separated entity is con21 sistent with such criteria.

22 ‘‘(b) LICENSING FOR INTELSAT, INMARSAT, AND

23 SUCCESSOR ENTITIES.—

24 ‘‘(1) COMPETITION TEST.—The Commission

25 shall substantially limit, deny, or revoke the author-
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1 ity for any entity subject to United States jurisdic2 tion to use space segment owned or operated by

3 INTELSAT or INMARSAT or any successor enti4 ties to provide non-core services to, from, or within

5 the United States, unless the Commission deter6 mines—

7 ‘‘(A) after January 1, 2002, in the case of

8 INTELSAT and its successor entities, that

9 INTELSAT and any successor entities have

10 been privatized in a manner that will not harm

11 competition in the telecommunications markets

12 of the United States; or

13 ‘‘(B) after January 1, 2001, in the case of

14 INMARSAT and its successor entities, that

15 INMARSAT and any successor entities have

16 been privatized in a manner that will not harm

17 competition in the telecommunications markets

18 of the United States.

19 ‘‘(2) CRITERIA FOR COMPETITION TEST.—In

20 making the determination required by paragraph

21 (1), the Commission use the licensing criteria in sec22 tions 621, 622, and 624, and shall not make such

23 a determination unless the Commission determines

24 that such privatization is consistent with such cri25 teria.
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1 ‘‘(c) PREVENTION OF EXPANSION.—Pending privat2 ization in accordance with the licensing criteria in subtitle

3 B, the Commission shall not—

4 ‘‘(1) issue an authorization, license, or permit

5 to, or renew the license or permit of, any provider

6 of services using INTELSAT or INMARSAT space

7 segment, or authorize the use of such space seg8 ment, for additional services (including additional

9 applications of existing services) or additional areas

10 of business; or

11 ‘‘(2) otherwise assist the expansion of

12 INTELSAT or INMARSAT services, including

13 through authorizing COMSAT’s investment in new

14 INTELSAT or INMARSAT satellites or registering

15 for orbital slots intended for INTELSAT or

16 INMARSAT provision of additional services (includ17 ing additional applications of existing services) or

18 additional areas of business.

19 ‘‘SEC. 602. INTELSAT OR INMARSAT ORBITAL SLOTS.

20 ‘‘Unless, in a proceeding under section 610(b), the

21 Commission determines that INTELSAT or INMARSAT

22 have been privatized in a manner that will not harm com23 petition, then—

24 ‘‘(1) the President shall oppose, and the Com25 mission shall not assist, any registration for new or-
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1 bital slots for INTELSAT or INMARSAT orbital

2 slots—

3 ‘‘(A) with respect to INTELSAT, after

4 January 1, 2002, and

5 ‘‘(B) with respect to INMARSAT, after

6 January 1, 2001, and

7 ‘‘(2) the President and Commission shall, con8 sistent with the deadlines in paragraph (1), take all

9 other necessary measures to preclude procurement,

10 registration, development, or use of new satellites

11 which would provide non-core services.

12 ‘‘Subtitle B—Federal Communica13 tions Commission Licensing Cri14 teria: Privatization Criteria

15 ‘‘SEC. 621. GENERAL CRITERIA TO ENSURE A PRO-COM16 PETITIVE PRIVATIZATION OF INTELSAT AND

17 INMARSAT.

18 ‘‘The President and the Commission shall secure a

19 pro-competitive privatization of INTELSAT and

20 INMARSAT that meets the criteria set forth in this sec21 tion and sections 622 through 624. In securing such

22 privatizations, the following criteria shall be applied as li23 censing criteria for purposes of subtitle A:
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1 ‘‘(1) DATES FOR PRIVATIZATION.—Privatiza2 tion shall be obtained in accordance with the criteria

3 of this title of—

4 ‘‘(A) INTELSAT as soon as practicable,

5 but no later than January 1, 2002, and

6 ‘‘(B) INMARSAT as soon as practicable,

7 but no later than January 1, 2001.

8 ‘‘(2) INDEPENDENCE.—The successor entities

9 and separated entities of INTELSAT and

10 INMARSAT resulting from the privatization ob11 tained pursuant to paragraph (1) shall—

12 ‘‘(A) be entities that are national corpora13 tions; and

14 ‘‘(B) have ownership and management that

15 is independent of—

16 ‘‘(i) any signatories or former signato17 ries that control access to national tele18 communications markets; and

19 ‘‘(ii) any intergovernmental organiza20 tion remaining after the privatization.

21 ‘‘(3) TERMINATION OF PRIVILEGES AND IMMU22 NITIES.—The preferential treatment of INTELSAT

23 and INMARSAT shall not be extended to any suc24 cessor entity or separated entity of INTELSAT or

25 INMARSAT. Such preferential treatment includes—
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1 ‘‘(A) privileged or immune treatment by

2 national governments;

3 ‘‘(B) privileges or immunities or other

4 competitive advantages of the type accorded

5 INTELSAT and INMARSAT and their sig6 natories though the terms and operation of the

7 INTELSAT Agreement and the associated

8 Headquarters Agreement and the INMARSAT

9 Convention; and

10 ‘‘(C) preferential access to orbital slots.

11 ‘‘(4) PREVENTION OF EXPANSION DURING

12 TRANSITION.—During the transition period prior to

13 full privatization, INTELSAT and INMARSAT

14 shall be precluded from expanding into additional

15 services (including additional applications of existing

16 services) or additional areas of business.

17 ‘‘(5) CONVERSION TO STOCK CORPORATIONS.—

18 Any successor entity or separated entity created out

19 of INTELSAT or INMARSAT shall be a national

20 corporation established through the execution of an

21 initial public offering as follows:

22 ‘‘(A) Any successor entities and separated

23 entities shall be incorporated as private cor24 porations subject to the laws of the nation in

25 which incorporated.
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1 ‘‘(B) An initial public offering of securities

2 of any successor entity or separated entity shall

3 be conducted no later than—

4 ‘‘(i) January 1, 2001, for the succes5 sor entities of INTELSAT; and

6 ‘‘(ii) January 1, 2000, for the succes7 sor entities of INMARSAT.

8 ‘‘(C) The shares of any successor entities

9 and separated entities shall be listed for trading

10 on one or more major stock exchanges with

11 transparent and effective securities regulation.

12 ‘‘(D) A majority of the board of directors

13 of any successor entity or separated entity shall

14 not be subject to selection or appointment by,

15 or otherwise serve as representatives of—

16 ‘‘(i) any signatory or former signatory

17 that controls access to national tele18 communications markets; or

19 ‘‘(ii) any intergovernmental organiza20 tion remaining after the privatization.

21 ‘‘(E) Any transactions or other relation22 ships between or among any successor entity,

23 separated entity, INTELSAT, or INMARSAT

24 shall be conducted on an arm’s length basis.
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1 ‘‘(6) REGULATORY TREATMENT.—Any succes2 sor entity or separated entity shall apply through the

3 appropriate national licensing authorities for inter4 national frequency assignments and associated or5 bital registrations for all satellites.

6 ‘‘(7) COMPETITION POLICIES IN DOMICILIARY

7 COUNTRY.—Any successor entity or separated entity

8 shall be incorporated and headquartered in a nation

9 or nations that—

10 ‘‘(A) have effective laws and regulations

11 that secure competition in telecommunications

12 services;

13 ‘‘(B) are signatories of the World Trade

14 Organization Basic Telecommunications Serv15 ices Agreement; and

16 ‘‘(C) have a schedule of commitments in

17 such Agreement that includes non-discrimina18 tory market access to their satellite markets.

19 ‘‘(8) RETURN OF UNUSED ORBITAL SLOTS.—

20 INTELSAT, INMARSAT, and any successor enti21 ties and separated entities shall not be permitted to

22 warehouse orbital slots that do not have satellites

23 that are providing commercial services, and any or24 bital slots of INTELSAT or INMARSAT which are

25 not in use or brought into use providing commercial
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1 services as of May 12, 1997, or thereafter, shall be

2 returned to the International Telecommunication

3 Union for reallocation.

4 ‘‘(9) APPRAISAL OF ASSETS.—Before any trans5 fer of assets by INTELSAT or INMARSAT to any

6 successor entity or separated entity, such assets

7 shall be independently audited for purposes of ap8 praisal, at both book and fair market value.

9 ‘‘SEC. 622. SPECIFIC CRITERIA FOR INTELSAT.

10 ‘‘In securing the privatizations required by section

11 621, the following additional criteria with respect to

12 INTELSAT privatization shall be applied as licensing cri13 teria for purposes of subtitle A:

14 ‘‘(1) NUMBER OF COMPETITORS.—The number

15 of competitors in the markets served by

16 INTELSAT, including the number of competitors

17 created out of INTELSAT, shall be sufficient to cre18 ate a fully competitive market.

19 ‘‘(2) PREVENTION OF EXPANSION DURING

20 TRANSITION.—Pending privatization in accordance

21 with the criteria in this title, INTELSAT shall not

22 expand by receiving additional orbital slots, placing

23 new satellites in existing slots, or procuring new or

24 additional satellites, except for specified replacement

25 satellites for which construction contracts have been
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1 executed as of May 12, 1997, and the United States

2 shall oppose such expansion—

3 ‘‘(A) in INTELSAT, including at the As4 sembly of Parties,

5 ‘‘(B) in the International Telecommuni6 cation Union,

7 ‘‘(C) through United States instructions to

8 COMSAT,

9 ‘‘(D) in the Commission, through declining

10 to facilitate the registration of additional orbital

11 slots or the provision of additional services (in12 cluding additional applications of existing serv13 ices) or additional areas of business; and

14 ‘‘(E) in other appropriate fora.

15 ‘‘(3) TECHNICAL COORDINATION AMONG SIG16 NATORIES.—Technical coordination shall not be used

17 to impair competition or competitors, and coordina18 tion under Article XIV(d) of the INTELSAT Agree19 ment shall be eliminated.

20 ‘‘SEC. 623. SPECIFIC CRITERIA FOR INTELSAT SEPARATED

21 ENTITIES.

22 ‘‘In securing the privatizations required by section

23 621, the following additional criteria with respect to any

24 INTELSAT separated entity shall be applied as licensing

25 criteria for purposes of subtitle A:
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1 ‘‘(1) DATE FOR PUBLIC OFFERING.—Within

2 one year after any decision to create any separated

3 entity, a public offering of the securities of such en4 tity shall be conducted.

5 ‘‘(2) PRIVILEGES AND IMMUNITIES.—The privi6 leges and immunities of INTELSAT and its signato7 ries shall be waived with respect to any transactions

8 with any separated entity, and any limitations on

9 private cause of action that would otherwise gen10 erally be permitted against any separated entity

11 shall be eliminated.

12 ‘‘(3) INTERLOCKING DIRECTORATES OR EM13 PLOYEES.—None of the officers, directors, or em14 ployees of any separated entity shall be individuals

15 who are officers, directors, or employees of

16 INTELSAT.

17 ‘‘(4) SPECTRUM ASSIGNMENTS.—After the ini18 tial transfer which may accompany the creation of a

19 separated entity, the portions of the electromagnetic

20 spectrum assigned on the date of enactment of this

21 Act to INTELSAT shall not be transferred between

22 INTELSAT and any separated entity.

23 ‘‘(5) REAFFILIATION PROHIBITED.—Any merg24 er or ownership or management ties or exclusive ar25 rangements between a privatized INTELSAT or any
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1 successor entity and any separated entity shall be

2 prohibited until 15 years after the completion of

3 INTELSAT privatization under this title.

4 ‘‘SEC. 624. SPECIFIC CRITERIA FOR INMARSAT.

5 ‘‘In securing the privatizations required by section

6 621, the following additional criteria with respect to

7 INMARSAT privatization shall be applied as licensing cri8 teria for purposes of subtitle A:

9 ‘‘(1) MULTIPLE SIGNATORIES AND DIRECT AC10 CESS.—Multiple signatories and direct access to

11 INMARSAT shall be permitted.

12 ‘‘(2) PREVENTION OF EXPANSION DURING

13 TRANSITION.—Pending privatization in accordance

14 with the criteria in this title, INMARSAT should

15 not expand by receiving additional orbital slots; plac16 ing new satellites in existing slots, or procuring new

17 or additional satellites, except for specified replace18 ment satellites for which construction contracts have

19 been executed as of May 12, 1997, and the United

20 States shall oppose such expansion—

21 ‘‘(A) in INMARSAT, including at the

22 Council and Assembly of Parties,

23 ‘‘(B) in the International Telecommuni24 cation Union,
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1 ‘‘(C) through United States instructions to

2 COMSAT,

3 ‘‘(D) in the Commission, through declining

4 to facilitate the registration of additional orbital

5 slots or providing new services or uses for

6 exiting slots, and

7 ‘‘(E) in other appropriate fora.

8 ‘‘(3) NUMBER OF COMPETITORS.—The number

9 of competitors in the markets served by

10 INMARSAT, including the number of competitors

11 created out of INMARSAT, shall be sufficient to

12 create a fully competitive market.

13 ‘‘(4) REAFFILIATION PROHIBITED.—Any merg14 er or ownership or management ties or exclusive ar15 rangements between INMARSAT or any successor

16 entity or separated entity and ICO shall be prohib17 ited until 15 years after the completion of

18 INMARSAT privatization under this title.

19 ‘‘(5) INTERLOCKING DIRECTORATES OR EM20 PLOYEES.—None of the officers, directors, or em21 ployees of INMARSAT or any successor entity or

22 separated entity shall be individuals who are officers,

23 directors, or employees of ICO.
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1 ‘‘(6) SPECTRUM ASSIGNMENTS.—The portions

2 of the electromagnetic spectrum assigned on the

3 date of enactment of this Act to INMARSAT—

4 ‘‘(A) shall, after January 1, 2006, or the

5 date on which the life of the current generation

6 of INMARSAT satellites ends, whichever is

7 later, be made available for assignment to all

8 systems (including the privatized INMARSAT)

9 on a non-discriminatory basis; and

10 ‘‘(B) shall not be transferred between

11 INMARSAT and ICO.

12 Subtitle C—Deregulation and

13 Other Statutory Changes

14 ‘‘SEC. 641. DIRECT ACCESS; TREATMENT OF COMSAT AS

15 NONDOMINANT CARRIER.

16 ‘‘The Commission shall take such actions as may be

17 necessary—

18 ‘‘(1) to permit providers or users of tele19 communications services to obtain direct access to

20 INTELSAT telecommunications services as soon as

21 practicable, but no later than January 1, 2001;

22 ‘‘(2) to permit providers or users of tele23 communications services to obtain direct access to

24 INMARSAT telecommunications services as soon as

25 practicable, but no later than January 1, 2000; and
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1 ‘‘(3) to treat COMSAT as a nondominant car2 rier for the purposes of the Commission’s regula3 tions on the effective date of the actions taken pur4 suant to paragraphs (1) and (2), respectively.

5 ‘‘SEC. 642. SIGNATORY ROLE.

6 ‘‘(a) MULTIPLE SIGNATORIES PERMITTED.—

7 ‘‘(1) INTELSAT.—As soon as practicable, but

8 no later than January 1, 2001, multiple signatories

9 shall be permitted to represent the United States in

10 INTELSAT.

11 ‘‘(2) INMARSAT.—As soon as practicable, but

12 no later than January 1, 2000, multiple signatories

13 shall be permitted to represent the United States in

14 INMARSAT.

15 ‘‘(b) ELIMINATION OF COMSAT PRIVILEGES AND

16 IMMUNITIES.—Notwithstanding any other law or execu17 tive agreement, COMSAT shall not be entitled to any

18 privileges or immunities under the laws of the United

19 States or any State on the basis of its status as a signa20 tory of INTELSAT or INMARSAT.

21 ‘‘(c) PARITY OF TREATMENT.—Notwithstanding any

22 other law or executive agreement, the Commission shall

23 have the authority to impose similar regulatory fees on

24 the United States signatory which it imposes on other en25 tities providing similar services.
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1 ‘‘SEC. 643. ELIMINATION OF PROCUREMENT PREFERENCES.

2 ‘‘Nothing in this Act or the Communications Act of

3 1934 shall be construed to authorize or require any pref4 erence, in Federal Government procurement of tele5 communications services, for the satellite space segment

6 provided by INTELSAT, INMARSAT, or any successor

7 entity or separated entity.

8 ‘‘SEC. 644. USE OF ITU TECHNICAL COORDINATION.

9 ‘‘The Commission and United States satellite compa10 nies shall utilize the International Telecommunication

11 Union procedures for technical coordination with

12 INTELSAT and its successor entities and separated enti13 ties, rather than INTELSAT procedures.

14 ‘‘SEC. 645. TERMINATION OF COMMUNICATIONS SATELLITE

15 ACT OF 1962 PROVISIONS.

16 ‘‘Effective on the dates specified, the following provi17 sions of this Act shall cease to be effective:

18 ‘‘(1) Date of enactment of this title: Sections

19 101 and 102; paragraphs (1), (5) and (6) of section

20 201(a); section 301; section 303; section 304; sec21 tion 502; and paragraphs (2) and (4) of section

22 504(a).

23 ‘‘(2) On the effective date of the Commission’s

24 order that establishes direct access to INTELSAT

25 space segment: Paragraphs (1), (3) through (5), and

26 (8) through (10) of section 201(c).
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1 ‘‘(3) On the effective date of the Commission’s

2 order that establishes direct access to INMARSAT

3 space segment: Subsections (a) through (d) of sec4 tion 503.

5 ‘‘(4) On the effective date of a Commission

6 order determining under section 601(b)(2) that

7 INMARSAT privatization is consistent with criteria

8 in sections 621 and 624: Section 504(b).

9 ‘‘(5) On the effective date of a Commission

10 order determining under section 601(b)(2) that

11 INTELSAT privatization is consistent with criteria

12 in sections 621 and 622: Paragraphs (2) and (4) of

13 section 201(a); section 201(c)(2); subsection (a) of

14 section 403; and section 404.

15 ‘‘SEC. 646. REPORTS TO THE CONGRESS.

16 ‘‘(a) ANNUAL REPORTS.—The President and the

17 Commission shall report to the Congress within 90 cal18 endar days of the enactment of this Act, and not less than

19 annually thereafter, on the progress made to achieve the

20 objectives and carry out the purposes and provisions of

21 this Act. Such report shall be made available immediately

22 to the public.

23 ‘‘(b) CONTENTS OF REPORTS.—The reports submit24 ted pursuant to subsection (a) shall include the following:
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1 ‘‘(1) Progress with respect to each objective

2 since the most recent preceding report.

3 ‘‘(2) Views of the Parties with respect to privat4 ization.

5 ‘‘(3) Views of industry and consumers on pri6 vatization.

7 ‘‘SEC. 647. CONSULTATION WITH CONGRESS.

8 ‘‘The President’s designees and the Commission shall

9 consult with the Committee on Commerce of the House

10 of Representatives and the Committee on Commerce,

11 Science, and Transportation of the Senate prior to each

12 meeting of the INTELSAT or INMARSAT Assembly of

13 Parties, the INTELSAT Board of Governors, the

14 INMARSAT Council, or appropriate working group meet15 ings.

16 ‘‘SEC. 648. SATELLITE AUCTIONS.

17 ‘‘Notwithstanding any other provision of law, the

18 Commission shall not have the authority to assign by com19 petitive bidding orbital slots or spectrum used for the pro20 vision of international or global satellite communications

21 services. The President shall oppose in the International

22 Telecommunication Union and in other bilateral and mul23 tilateral fora any assignment by competitive bidding of or24 bital slots or spectrum sued for the provision of such serv25 ices.
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1 ‘‘Subtitle D—Negotiations To

2 Pursue Privatization

3 ’’SEC. 661. METHODS TO PURSUE PRIVATIZATIONS.

4 ‘‘The President shall secure the pro-competitive

5 privatizations required by this title in a manner that meets

6 the criteria in subtitle B.

7 ‘‘Subtitle E—Definitions

8 ‘‘SEC. 681. DEFINITIONS.

9 ‘‘(a) IN GENERAL.—As used in this title:

10 ‘‘(1) INTELSAT.—The term ‘INTELSAT’

11 means the International Telecommunications Sat12 ellite Organization established pursuant to the

13 Agreement Relating to the International Tele14 communications Satellite Organization

15 (INTELSAT).

16 ‘‘(2) INMARSAT.—The term ‘INMARSAT’

17 means the International Mobile Satellite Organiza18 tion established pursuant to the Convention on the

19 International Maritime Organization.

20 ‘‘(3) SIGNATORIES.—The term ‘signatories’—

21 ‘‘(A) in the case of INTELSAT, or

22 INTELSAT successors or separated entities,

23 means a Party, or the telecommunications en24 tity designated by a Party, that has signed the

25 Operating Agreement and for which such
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1 Agreement has entered into force or to which

2 such Agreement has been provisionally applied;

3 ‘‘(B) in the case of INMARSAT, or

4 INMARSAT successors or separated entities,

5 means either a Party to, or an entity that has

6 been designated by a Party to sign, the Operat7 ing Agreement.

8 ‘‘(4) PARTY.—The term ‘Party’—

9 ‘‘(A) in the case of INTELSAT, means a

10 nation for which the INTELSAT agreement

11 has entered into force or been provisionally ap12 plied; and

13 ‘‘(B) in the case of INMARSAT, means a

14 nation for which the INMARSAT convention

15 has entered into force.

16 ‘‘(5) COMMISSION.—The term ‘Commission’

17 means the Federal Communications Commission.

18 ‘‘(6) INTERNATIONAL TELECOMMUNICATION

19 UNION.—The term ‘International Telecommuni20 cation Union’ means the intergovernmental organi21 zation that is a specialized agency of the United Na22 tions in which member countries cooperate for the

23 development of telecommunications, including adop24 tion of international regulations governing terrestrial
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1 and space uses of the frequency spectrum as well as

2 use of the geostationary satellite orbit.

3 ‘‘(7) DIRECT ACCESS.—The term ‘direct access’

4 means arrangements for purchase of space segment

5 capacity from, or investment in (or both),

6 INTELSAT or INMARSAT by means other than

7 through a signatory.

8 ‘‘(8) SUCCESSOR ENTITY.—The term ‘successor

9 entity’—

10 ‘‘(A) means any privatized entity created

11 from the privatization of INTELSAT or

12 INMARSAT or from the assets of INTELSAT

13 or INMARSAT, but

14 ‘‘(B) does not include any entity that is a

15 separated entity.

16 ‘‘(9) SEPARATED ENTITY.—The term ‘sepa17 rated entity’ means a privatized entity to whom a

18 portion of the assets owned by INTELSAT or

19 INMARSAT are transferred prior to full privatiza20 tion of INTELSAT or INMARSAT, including in

21 particular the entity whose structure was under dis22 cussion by INTELSAT as of May 12, 1997, but ex23 cluding ICO.

24 ‘‘(10) ORBITAL SLOT.—The term ‘orbital slot’

25 means the location for placement of a satellite on
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1 the geostationary orbital arc as defined in the Inter2 national Telecommunication Union Radio Regula3 tions.

4 ‘‘(11) SPACE SEGMENT.—The term ‘space seg5 ment’ means the satellites, and the tracking, telem6 etry, command, control, monitoring and related fa7 cilities and equipment used to support the operation

8 of satellites owned or leased by INTELSAT,

9 INMARSAT, or a separated entity or successor en10 tity.

11 ‘‘(12) NON-CORE.—The term ‘non-core services’

12 means, with respect to INTELSAT provision, serv13 ices other than public-switched network voice teleph14 ony and occasional-use television, and with respect

15 to INMARSAT provision, services other than global

16 maritime distress and safety services or other exist17 ing maritime or aeronautical services for which there

18 are not alternative providers.

19 ‘‘(13) ADDITIONAL SERVICES.—The term ‘addi20 tional services’ means Internet services, high-speed

21 data, non-maritime or non-aeronautical mobile serv22 ices, Direct to Home (DTH) or Direct Broadcast

23 Satellite (DBS) video services, or Ka-band services.
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1 ‘‘(14) INTELSAT.—The term ‘INTELSAT’

2 means the International Telecommunications Sat3 ellite Organization.

4 ‘‘(15) INTELSAT AGREEMENT.—The term

5 ‘INTELSAT Agreement’ means the Agreement Re6 lating to the International Telecommunications Sat7 ellite Organization (INTELSAT), including all its

8 annexes (TIAS 7532, 23 UST 3813).

9 ‘‘(16) HEADQUARTERS AGREEMENT.—The term

10 ‘Headquarters Agreement’ means the International

11 Telecommunication Satellite Organization Head12 quarters Agreement (November 24, 1976)

13 (TIAS8542, 28 UST 2248).

14 ‘‘(17) OPERATING AGREEMENT.—The term

15 ‘Operating Agreement’ means—

16 ‘‘(A) in the case of INTELSAT, the agree17 ment, including its annex but excluding all ti18 tles of articles, opened for signature at Wash19 ington on August 20, 1971, by Governments or

20 telecommunications entities designated by Gov21 ernments in accordance with the provisions of

22 the Agreement, and

23 ‘‘(B) in the case of INMARSAT, the Oper24 ating Agreement on the International Maritime

25 Satellite Organization, including its annexes.
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1 ‘‘(18) INMARSAT CONVENTION.—The term

2 ‘INMARSAT Convention’ means the Convention on

3 the International Maritime Satellite Organization

4 (INMARSAT) (TIAS 9605, 31 UST 1).

5 ‘‘(19) NATIONAL CORPORATION.—The term

6 ‘national corporation’ means a corporation the own7 ership of which is held through publicly traded secu8 rities, and that is incorporated under, and subject

9 to, the laws of a national, state, or territorial gov10 ernment.

11 ‘‘(20) COMSAT.—The term ‘COMSAT’ means

12 the corporation established pursuant to title III of

13 the Communications Satellite Act of 1962 (47

14 U.S.C. 731 et seq.)

15 ‘‘(21) ICO.—The term ‘ICO’ means the com16 pany known, as of the date of enactment of this Act,

17 as ICO Global Communications, Inc.

18 ‘‘(b) COMMON TERMINOLOGY.—Except as otherwise

19 provided in subsection (a), terms used in this Act that are

20 defined in section 3 of the Communications Act of 1934

21 have the meanings provided in such section.’’.

Æ