With FCC overdue to act on reciprocal compensation, Bell companies and CLECs competed Wed. to present their positions to Commission and news media just in case agency schedules vote on issue at its Jan. 11 agenda meeting. If item is placed on next week’s agenda, all lobbying will have to stop tonight (Jan. 4) under agency’s “sunshine” rules. FCC hasn’t said whether it will take up reciprocal compensation at meeting, but it originally planned to vote on issue by year’s end and then deal with broader proceeding on intercarrier compensation soon afterward. “It’s ripe for decision,” industry source said.
Capitol Bcstg.-backed AccessDTV said it was starting DTV-to- PC service at Consumer Electronics Show in Las Vegas this week. AccessDTV offers package of hardware, software and services to allow DTV to be displayed on PC monitors, including universal analog/digital tuner card, antenna to receive broadcast DTV signals, DTV video card, software including on-screen remote control, interactive program guide, personal video recorder-like functionality. Package allows PC (at least 300 MHz) to output DTV and AC-3 digital audio, company said. Pricing hasn’t been set, but it’s expected to be under $500 for one-time purchase, with option of smaller upfront fee combined with monthly subscription. DTV broadcaster Capitol is minority investor, with rest coming from what company called “techno-angels.” It’s currently raising additional financing. First hardware is expected to be in consumer hands by end of March and AccessDTV has deals with several unnamed suppliers. “Most people could tune DTV broadcasts today, but they simply don’t have the right equipment,” COO Doug Leech said: “AccessDTV enables PC users to experience… DTV interactively and affordably.”
Rep. Tauzin’s (R-La.) selection as next chmn. of House Commerce Committee was all but official Tues., well-placed sources told us, after House Rules Committee released long-rumored proposal to create expanded Financial Services Committee. New panel is expected to be headed by Rep. Oxley (R-O.), Tauzin’s rival to succeed former Commerce Committee Chmn. Bliley (R-Va.). Full House will vote today (Wed.) on committee changes, and Republican leadership will choose committee heads Thurs.
CompTel said it was considering legislative campaign to urge structural separation on Bell companies in return for broadband LATA freedom. “This is not a wild-eyed theory,” CompTel Pres. Russell Frisby said at Tues. news briefing. Think of it as “return to the MFJ era,” he said, referring to Modified Final Judgment that laid ground rules for 1984 AT&T divestiture. Frisby said trade association hadn’t decided whether to recommend separation idea to Congress but idea would be to follow what Pa. PUC had required of Verizon -- separation of retail and wholesale operations. In return, Bells’ retail units would receive permission to offer data services across LATA lines without gaining Sec. 271 approval from FCC, Frisby said: “My sense is there are some people on the Hill who would be interested.”
Sea Launch Commander and Odyssey Launch Platform are headed toward equator to launch Boeing 702 model XM-1 satellite, dubbed Roll. Launch window for first of 2 Sea Launch missions for XM Satellite Radio opens at 5:35 p.m. ET Jan. 8. Launch will take place from open sea 3,000 miles from Long Beach, Cal.
AT&T followed lead of Cox in seeking waiver of franchise fees on cable-delivered Internet services, in letters to franchise authorities within jurisdiction of 9th U.S. Appeals Court, San Francisco. Waiver would be in effect until regulatory uncertainty about classification of service was resolved, MSO said. However, responding to requests from several local franchise authorities (LFAs) and National Assn. of Telecom Officers & Advisers, AT&T has extended time for cities to respond to its request to Feb. 15 from Jan. 1, 2001.
Wash. Utilities & Transportation Commission (WUTC) is implementing new colocation rules setting deadlines for incumbents to complete CLEC colocation orders. Under new rules, incumbents have 45 days to complete CLEC colocation orders, provided colocation site was included in CLEC’s quarterly demand forecast and CLEC puts up 50% of nonrecurring installation charges when order is placed. For any other colocation order, incumbents have 90 days from date of order for completion. CLECs will be entitled to partial or full refunds of installation charges for failure to meet either deadline unless incumbent can prove delay was caused by CLEC self-provisioning activities. If an incumbent claims space problems will prevent honoring colocation request, it must notify CLEC within 10 days and petition WUTC for waiver of deadlines.
National Exchange Carrier Assn. (NECA) files revisions in its average schedule formulas that will result in combined increase of 2.49% in common line and traffic-sensitive settlements. Those “settlements” are like interstate access charges for small rate- of-return carriers that don’t conduct their own cost studies. NECA said new formulas would go into effect July 1 if FCC approved them.
Cablevision Systems reportedly has placed its Rainbow Media Holdings programming group up for sale after first planning to spin off unit as separate tracking stock. N.Y. Times said Cablevision, which had been considering move for weeks (CD Dec 22 p6), already had contacted USA Networks, NBC, Comcast and Liberty Media Group, 4 most likely suitors. Cablevision reportedly is seeking $5-$6 billion for Rainbow. Companies have until Jan. 16 to submit bids. Move came as UBS Warburg downgraded rating on Cablevision stock to buy from strong buy Tues. because Rainbow sale would “remove a major catalyst for the stock.”
AT&T announced Tues. it had secured $25 billion syndicated bank credit line to provide liquidity against comparable level of short-term borrowing. It said it had no current plans to borrow against facility that’s to serve “principally as a backup source of liquidity.” Company in Oct. had announced plan to arrange credit line when it revealed its restructuring project. AT&T said it had more than enough offers -- 39 banks were willing to lend total of $40 billion. The 364-day credit line was arranged by Credit Suisse First Boston and Goldman, Sachs.