Clock ticking as department moves to quickly re-issue Ka-band spectrum licence

Industry Canada is under the gun to quickly license satellite spectrum by as early as 2004 that could be used to provide broadband connectivity to rural Canadians or risk losing access to those particular airwaves. The spectrum in question was previously awarded to Star Choice Communications Inc. but has since been returned (RoW, Nov. 27/00), and there is yet an additional slice of unlicensed Ka-band spectrum (RoW, July 24/01). The department is feeling the heat from a fast-approaching in-service International Telecommunication Union (ITU) deadline of April 25, 2004 when Canada is required to have a Ka-band satellite operating in the 107.3 degrees West slot lest the spectrum revert back to the ITU for reallocation. Access to similar spectrum in the 118.7 slot expires in the latter half of 2005. Industry Canada needs to move quickly on both fronts to give potential licensees enough time to build, launch, and test a satellite. Chantal Beaumier, director of space and international regulatory activities at Industry Canada, admits that time is of the essence and that there is a distinct possibility that Canada could lose access to spectrum in that slot. "Obviously, the clock is ticking," she tells Report on Wireless. "There’s no question there are tight time frames that must be met because there are other countries that have been seeking access to that position, if we’re unsuccessful in putting a satellite in that slot." Late last month, the department launched a call for applications to "expeditiously" license Ka-band spectrum in the 107.3 orbital slot. If sufficient interest is expressed, Industry Canada would also explore awarding a licence for the Ka-band spectrum in the 118.7 orbital position. Interested parties have until the end of the month to file applications. Too much of an investment, Shaw says of Ka-band Star Choice, along with competing direct-to-home (DTH) satellite TV provider Bell ExpressVu LP, were both awarded Ka-band spectrum licences last November as part of the department’s move to give DTH providers the right to build, launch, and operate their own satellite facilities (RoW, Nov. 27/00). The two companies planned to use the advanced facilities to offer high-speed, two-way Internet access to all Canadians, particularly for those living in rural and remote regions of the country. However, faced with the prospect of having to fund a Ka-band satellite now, the company decided to give the licence back to the department. Brad Shaw, senior VP operations at Star Choice, says that given the current economic situation, it just wasn’t possible to fund the construction of the satellite at a cast of more than $500 million. The company was to have filed a radio licence application by March if it was to proceed with its plan. However, Star Choice filed for an extension hoping for a few more months to solidify its Ka-band plans. By early summer, the company decided to shutter its proposed plan to launch its own Ka-band satellite and subsequently returned the licence to Industry Canada. "In looking at all the opportunities in Ka technology, I think there’s other opportunities other than the 107.3 slot for us," Shaw tells RoW. "So we wanted to keep all our options open rather than committing down one path." Competition for the spectrum not likely too deep In the meantime, the number of companies likely to submit an application has been reduced by at least one. Richard Stursberg, president of Bird Satellite Communications Inc., confirmed to Report on Wireless that his company, which had previously applied for Ka-band spectrum in the 118.7 slot (RoW, March 19/01), will not be re-entering the ring (see story this issue). Earlier this year, Bird lost out on that bid (RoW, July 24/01). "We already applied for Ka capacity (in the 118.7) and we were turned down," he says. "Why would we think we would be likely to do better this time?" Even Telesat Canada executives are skittish about giving any clear indication on its plan for the Ka-band spectrum in question, citing the difficult financial market as one of the key factors. "The issue in today’s climate is access to capital, access to partners," Paul Bush, VP corporate development at Telesat, tells RoW. "So we’re going to look at it, but it’s certainly not clear." The urgency of getting access to Ka-band capacity isn’t a problem for Telesat as it has already heavily invested in that area. Besides its investment in WildBlue Communications, the company is putting Ka-band payloads on its Anik F2, Anik F3 and Nimiq 2 birds. However, it seems likely the company could put forward a plan, since it already operates Anik F1 in the 107.3 slot. Department still confident it can license the slot Despite the looming deadlines for the 107.3 and 118.7 slots, the department is still confident that it can award licences in a reasonable amount of time to give the licensee(s) enough time to get the bird in the sky. “I think it’s tight and there’s all kinds of things that can go wrong,” states Beaumier. “But if we get a serious applicant and they’re already considering Ka, it’s feasible.” The department would like to limit the possibility of having to go through a lengthy competitive licensing process given the limited amount of time to occupy the slots. If the department receives more than one application, Beaumier says it would look at joint ventures as a possible way of filling both slots.

Clock ticking as department moves to quickly re-issue Ka-band spectrum licence

News | 10/15/2001 4:00 am EDT

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