Presentation on theme: "Thomas Sugrue Chief, Wireless Telecommunications Bureau Federal Communications Commission Developments in FCC Wireless Policy December 11, 2000."— Presentation transcript:
Thomas Sugrue Chief, Wireless Telecommunications Bureau Federal Communications Commission Developments in FCC Wireless Policy December 11, 2000
1) Spectrum Management Principles 2) Status Report: Mobile Services in the U.S. 3) M-Commerce: Market Potential and Regulatory Issues
Spectrum Management Principles Some Basic Concepts
Frequency Frequency is the number of times that a wave's peak passes a fixed point in a specific period of time Point A 10 Cycles / 1 Second = 10 Hertz 1 Second
Frequency (cont.) Frequency is measured in cycles per second, or Hertz (Hz) For example: –Cellular phones produce radio waves with frequencies around 800 million Hz (800 MHz) –PCS phones produce radio waves with frequencies around 1,900 million Hz (1900 MHz) 1,000 Hz = 1 KiloHertz (kHz) 1,000,000 Hz = 1 MegaHertz (MHz) 1,000,000,000 Hz = 1 GigaHertz (GHz)
The set of all possible frequencies (an infinite number) is called the "electromagnetic spectrum" The subset of frequencies from 3,000 cycles per second to 300 billion cycles per second (3 KHz to 300 GHz) is known as the "radio spectrum" Electromagnetic Spectrum
FCC Responsibilities Allocations - What Services in What Bands? Assignments - Who Gets the Licenses? Service Rules - How Can Licensee Operate?
Importance of Spectrum Management Demand for wireless services exploding. Wireless data and internet services will put even greater demands on spectrum. Available spectrum below 3 GHz very scarce.
Regulatory Reform –Competition –Flexibility –Licensing Reform - Auctions –Economic Deregulation Spectrum Licensing Policy in the U.S.
As a result of these developments –New providers have entered and flourished. –Prices have decreased dramatically –Subscribership has increased substantially –Multiple new digital technologies have proliferated.
Markets with More Than Two Mobile Telephone Providers: September 1995 BTAs with > 2 Operators BTAs with <= 2 Operators BTAs with Mobile Telephone Competition
Markets with More Than Two Mobile Telephone Providers: September 2000
Mobile Telephone Competition: September 2000 Source: FCC
Spectrum Cap Applies to current allocation of 180 MHz of spectrum for mobile telephony service. Prohibits any entity from holding more than 45 MHz of such spectrum in a geographic area. Effect is that there must be at least four licensees in each geographic area. FCC will initiate new rulemaking to examine spectrum cap policies by end of this year.
Source: Perry Walter and Jason Bell, The Mobile Internet, Robinson-Humphrey, September 8, 2000, at 15. U.S. Mobile Internet Subscriber Growth
Source: Perry Walter and Jason Bell, The Mobile Internet, Robinson-Humphrey, September 8, 2000, at 16. Worldwide Growth of M-Commerce
FCC Policies and Programs Regarding M-Commerce 1) Spectrum Availability 2) Location Information - Rollout of Service 3) Privacy and Location Information 4) Open Access
1) Spectrum Availability C & F Block PCS - 1900 MHz –Includes many major markets (e.g. New York, Los Angeles, Chicago) –Start Date: December 12, 2000 700 MHz –Occupied by TV channels 60-69 –Start Date: March 6th, 2001
1) Spectrum Availability International 3G Spectrum Process: World Radio Conference (WRC) in Istanbul, May-June, 2000 –United States sought identification of multiple bands for additional IMT 2000 (3G) spectrum U.S. Domestic 3G Spectrum Allocation Process: FCC to study 2500-2690 MHz Band –currently used for Multipoint Distribution Service (MDS) and Instructional Television Fixed Service (ITFS) NTIA to study 1755-1850 MHz Band –U.S. government users, primarily DOD
2) Location Information Public Safety Driven Wireless carriers to begin providing location-specific information by October 1, 2001 for E911 purposes. –Will enable 911 operators to locate and provide assistance to wireless callers more quickly. –Requires upgrades to both carrier and public safety systems. Wireless Location -- U.S. Policy Issues
Technologies in Development to Provide Location Information Network-based –e.g. Time Difference of Arrival (TDOA) Handset-based –e.g. Assisted Global Positioning System (A-GPS) “Hybrid” –e.g. Enhanced Observed Time Differential (E-OTD) 2) Location Information
Potential Commercial Applications for Location Information Provide location-specific information –Merchants –Banks –Restaurants Notify users of sales and promotions Provide driving directions and traffic information 2) Location Information
“Wireless Communications and Public Safety Act of 1999” –Limits disclosure of location information (principally to public safety personnel). –Carriers must obtain their customers’ express prior consent to use or disclose location information for other purposes. FCC rulemaking on location-based privacy rules will begin in First Quarter, 2001. 3) Privacy and Location Information
4) Open Access Telephone: open access applies Cable: open access? - a major issue currently being debated Mobile wireless: open access - will it become a big issue? Major Modes of Accessing Internet
Mobile Wireless Is Different... Competitive Market –Nearly 70% of U.S. population can now choose from among 5 different mobile telephone providers. Mobile Internet access still in its infancy –Carriers just began offering service this year in U.S. –Only a handful of sites can be accessed through Web- enabled mobile phones Technological Factors –small screen, keypad, and memory capacity –content providers must alter sites and applications
Conclusion Spectrum Management - An Ongoing Challenge Mobile Telephony - Going Strong and Getting Stronger M-Commerce - Big Potential, But Lots of Questions