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'Desperate Throw of the Dice'

Globalstar's Stripped-Back TLPS Plans Could Hinge on Rosenworcel

Globalstar's attentions might move to Commissioner Jessica Rosenworcel and getting her to reconsider now that the company has scaled back its broadband terrestrial low-power service (TLPS) plans so as not to use unlicensed spectrum, observers and interested parties tell us. It's not clear if Commissioner Mike O'Rielly, who had been the subject of heavy lobbying by the satellite company (see 1611040050, 1609080073 and 1608240063), is interested in any compromise decisions, satellite industry consultant Tim Farrar emailed us. Rosenworcel and Commissioner Ajit Pai had voted against the Globalstar draft order in June (see 1606030041). Rosenworcel's office didn't comment.

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The company ditched plans to use unlicensed spectrum under a revised proposal posted Thursday in docket 13-213. Farrar called it "a desperate last throw of the dice," given that the company had hoped for a Democratic presidential win but now is facing the potential of Republican Pai as FCC interim chairman. "This is going back to what was on the table and Globalstar rejected in summer 2015," he said. The stock closed Thursday down 18 percent at 85 cents.

Talks between Globalstar and O'Rielly were hung up on public interest conditions, mainly opportunistic access to Wi-Fi channel 14 when Globalstar wasn't using it, Michael Calabrese, director of the Wireless Future Program at New America, told us. With seemingly irreconcilable differences between the two sides, the new Globalstar proposal was apparently the company's fallback position since Pai had voted against the order and presumably will be acting FCC chairman in two months under the Trump administration, Calabrese said. "They need to try to get something done."

O'Rielly potentially could vote yes on the new proposal, but given that he was in a stalemate with the company and sympathetic to the rationale the FCC shouldn't be giving away spectrum rights, one interested party told us, that could make Rosenworcel the swing vote because the revised proposal eliminates Bluetooth and hearing aid interference issues. Bluetooth Special Interest Group Executive Director Mark Powell emailed that while the group is evaluating the proposal along interference lines, it "also appears to not require any special rules just for Globalstar regarding their use of the [unlicensed] spectrum, in which case our fairness concerns will be addressed."

The prospect of "ongoing delay and continued opposition" had Globalstar drop the unlicensed spectrum plans, it said. Now, it asks only for permission to use its 11.5 MHz of mobile licensed spectrum in the adjacent 2.4 GHz band. That approval would be "consistent with well-established Commission policy and precedent," it said. "It is beyond technical debate" that the revised proposal doesn't raise interference risks for unlicensed operations adjacent to 2.4 GHz since the closest unlicensed broadband systems would be 10.5 MHz away while the nearest unlicensed narrowband operations would be 3 MHz away, Globalstar said. Dropping the unlicensed spectrum should end any concerns about interference to Bluetooth operations and Wi-Fi systems, the company said. Globalstar had faced criticism about the possibility of TLPS interfering with hearing aids and Bluetooth (see 1510270050) and videogame console controllers (see 1609140038).

The new proposal "takes into account the concerns expressed by Commissioners, as well as those participating in the proceeding, while still creating a substantial public benefit of improved broadband performance for all," Globalstar said in a statement. By no longer looking to use 10.5 MHz of unlicensed spectrum, the company said it's "removing any argument that we would receive unique rights or cause interference to other services." Critics Wi-Fi Alliance and Microsoft didn't comment.

Globalstar said the 11.5 MHz would be used for low-power operations "that support traditional mobile broadband services, including a variety of voice, data and text applications." It didn't elaborate or comment. Some questioned the business demand for the stripped-back plans. "It's very hard to see what Globalstar would now actually deploy, since it's not going to be WiFi. Maybe a low-power TD-LTE 10MHz channel," Farrar emailed. "But who wants that?" It perhaps could be used for small-cell LTE capacity that could be leased or sold to carriers, Calabrese said. "What the market is for a stray 10 MHz, I have no idea. It is hard to see the business case for this."