FCC Enforcement Update Podcast: 2018 Year in Review

In this edition of Full Spectrum’s recurring series on FCC enforcement, Partner Steve Augustino and Associate Brad Currier highlight some of the major developments in FCC enforcement in 2018 and discuss potential next steps in the year ahead.

Part one of this episode focuses on the big picture in 2018 and the FCC’s use of non-monetary tools to encourage adoption of industry best practices. Part two features a deeper dive into FCC enforcement trends on revocation of authority and inability to pay claims, and takes a close look at the FCC’s expanded robocalling enforcement.

Click here to subscribe on iTunes and here to visit the Full Spectrum website.

FCC Issues Tentative Meeting Agenda Addressing Spoofing and Disabilities Access Before Federal Government Shutdown

By Joshua Guyan and J. Bradford Currier on January 8, 2019 Posted in Business & Strategic Planning, Disabilities Access, Enforcement, Investigations & Audits, Federal & State Regulatory, Internet, Universal Service Fund

Just before suspending most operations due to the ongoing partial federal government shutdown, the FCC announced its tentative agenda for its next open meeting, scheduled for January 30, 2019. While the January agenda is brief compared to the jam-packed meetings that typified 2018, the FCC plans to adopt items to advance new anti-spoofing measures combating manipulated caller ID information and take further action to address the management and handling of 911 calls for the IP Captioned Telephone Service (“IP CTS”) that aids communication by those with hearing loss. Rounding out the notable meeting items, the FCC would adopt a mechanism to phase down legacy high-cost support for price cap carriers as well as competitive carriers previously subject to the “identical support rule” and transition such support to the winners of the recent Connect America Fund (“CAF”) Phase II auction.

You will find more details on the significant January meeting items after the break:

FCC Seeks Comment on GM Request for Waiver of RTT Requirements for Autonomous Vehicle Chat Feature

By Joshua Guyan and Avonne Bell on January 4, 2019 Posted in Business & Strategic Planning, Disabilities Access, Federal & State Regulatory

The FCC issued a Public Notice on December 26, 2018 seeking input on a petition from General Motors Holding LLC (“GM”) that requests partial waiver of the interoperability functionalities for accessible real-time text (“RTT”) technology, as defined by the FCC. GM intends to launch an autonomous vehicle (“AV”) ride-hailing service in the near future that will include real time voice communication capability that riders can use to communicate with customer support. GM will also use RTT for such communications and GM seeks to be exempted from certain required RTT interoperability features based on planned limitations of the communications.

Comments on the Public Notice are due by January 25, 2019; and reply comments are due by February 11, 2019.

FCC Releases First Comprehensive Market Report But With Notable Exclusions

By Joshua Guyan and Chris Laughlin on January 3, 2019 Posted in Business & Strategic Planning, Federal & State Regulatory

At its December 12 Open Meeting, the FCC adopted its first Communications Marketplace Report, which combines several separate reports into one and is meant to provide a comprehensive overview of the mobile wireless, fixed broadband, audio, video, and satellite communications markets. Congress directed the Commission to complete such a report biennially with its passage of the RAY BAUM’S Act in March 2018. The Act also reauthorized the FCC for the first time in nearly three decades and directed the FCC to take on additional efforts to free up spectrum for commercial mobile and fixed wireless use. Significantly, while the Commission was previously required to include in the Mobile Wireless Competition Report an assessment of whether there is effective competition in the mobile wireless market, whether any carriers have a dominant share of the market, and whether additional carriers would enhance competition, these requirements were struck by the RAY BAUM’S Act when the wireless report was folded into the marketplace report. As a result, the marketplace report does not venture to analyze, or even mention, the proposed merger of Sprint and T-Mobile.

Click here for more on the report.

In a Prelude to its TCPA Ruling, the FCC Votes to Create a Database to Identify Reassigned Numbers

By Steve Augustino and Avonne Bell on December 12, 2018 Posted in Business & Strategic Planning, Federal & State Regulatory, Privacy

With speculation running rampant that Chairman Pai intends to bring a remand order from ACA International v. FCC in January 2019, the FCC took a related step to reduce misdirected calls. At the December Open Meeting, the FCC approved a Second Report and Order (“R&O”) to create a single, nationwide database for reporting number reassignments that will allow callers to verify whether a phone number was permanently disconnected before calling the number. The item is meant to reduce “wrong number” calls to mobile phones, i.e., where a caller has a legitimate reason for trying to reach a consumer but doesn’t realize that the number they have has been reassigned to someone else. The new rule would help eliminate a scenario where the new holder of the number receives an unwanted call and the prior holder never receives the call intended for them. The R&O is part of a broader effort by the FCC to address and stem the volume of unwanted phone calls in the United States.

After a 10-year Proceeding, the FCC Classifies Wireless Messaging as an Information Service

By Steve Augustino and Avonne Bell on December 12, 2018 Posted in Business & Strategic Planning, Federal & State Regulatory, Wireless

At the Federal Communications Commission (“FCC”) December Open Meeting, commissioners voted to approve a Declaratory Ruling (“Ruling”) that classifies native forms of wireless messaging, short message service (“SMS”) and multimedia messaging service (“MMS”), as information services, and declares that such services are free from regulation as commercial mobile services. The FCC’s objective with the Ruling is to remove uncertainty for messaging service providers about applicable regulations and also enable wireless messaging providers to adopt more rigid efforts to block spam and spoofing messages. This action comes only a few months after Commissioner Mike O’Rielly publicly called for the FCC to finally act on the pending classification proceeding.

FCC Plans to Classify Texting as an Information Service, Take Action on Robocalls, Spectrum, and Rural Broadband at December Meeting

By Joshua Guyan and J. Bradford Currier on December 3, 2018 Posted in Business & Strategic Planning, Federal & State Regulatory, Universal Service Fund, Wireless

The FCC plans to take aim again at unwanted texts and robocalls at its next meeting scheduled for December 12, 2018. Unwanted robocalls and texting consistently top the list of complaints received by the FCC and that has driven much regulatory attention by the agency in recent years. Specifically, at its December meeting, the FCC intends to classify most text messaging as an “information service” to preserve service providers’ ability to block robotexts and other unsolicited messages. The FCC’s anticipated action comes after years of debate regarding the proper regulatory treatment for text messaging and could have far-reaching impacts by exempting such services from the standard “common carrier” rules applicable to most legacy telecommunications. The FCC also plans to order the creation of a reassigned numbers database that would allow robocallers and others to check in advance whether a particular number still belongs to a consumer that has agreed to receive prerecorded calls. Rounding out the major actions, the FCC released draft items that would: (1) set the stage for the next Spectrum Frontiers auction of high-band spectrum; (2) offer additional funding to rural broadband recipients of Connect America Fund money if they increase high-speed offerings; and (3) issue the FCC’s first consolidated Communications Marketplace Report, providing a comprehensive look at industry competition. The December items cover many priority Pai FCC topics and would affect service providers of all sizes while tackling longstanding consumer protection and broadband deployment issues. You will find more details on the significant December items after the jump:

FCC Issues Draft Order on Next Spectrum Frontiers Auction

By Chip Yorkgitis and J. Bradford Currier on December 3, 2018 Posted in Business & Strategic Planning, Federal & State Regulatory, Wireless

The FCC’s Spectrum Frontiers proceeding, which is focused on making millimeter wave (“mmW”) spectrum available for flexible commercial mobile and fixed use, seems poised to move into a new phase even as the current phase is playing out. At its next meeting on December 12, 2018, the agency will vote on rule changes to facilitate a consolidated auction of spectrum in three spectrum ranges designated in 2016 and 2017 for flexible mobile and fixed use: the so-called Upper 37 GHz Band (37.6-38.6 GHz), the 39 GHz Band (38.6-40.0 GHz), and the 47 GHz Band (47.2-48.2 GHz). The FCC reportedly anticipates completing the auctions by the end of 2019, following the present auction of 28 GHz Band licenses (in 27.50-28.35 GHz) and the immediately-following auction of 24 GHz Band spectrum (in 24.25-24.45 and 24.75-25.25 GHz). A draft order has been made available to the public.

Of particular interest, the recently released draft item would lay the groundwork for the FCC’s second incentive auction (after the “inaugural” broadcast incentive auction completed in March 2017). A 39 GHz incentive auction would be structured quite differently than the 600 MHz broadcast incentive auction and attempt to reduce encumbrances in the 39 GHz Band by offering existing licensees the option to relinquish their licenses in exchange for payment. The FCC leadership appears bullish that the three auctions will draw significant interest from major service providers looking to support next-generation applications, including 5G wireless connectivity and the Internet of Things. Naturally, the first-in-time 24 and 28 GHz auctions may give some sense in advance of that interest. Through November 26, 2018, after 18 rounds, the 28 GHz Band auction had generated under $200 million in bids, albeit that spectrum is encumbered in many of the largest markets and in slightly more than 50% of all counties nationwide, including the most populous. The 24 GHz Band auction may prove a much better test of the appetite for participants to pay high prices for so-called “high band” spectrum.

Commission Proposes to Ease Wireless Handset Hearing Aid Compatibility Reporting Obligations

By Joshua Guyan and Avonne Bell on November 13, 2018 Posted in Disabilities Access, Federal & State Regulatory, Wireless

At its November 15 Open Meeting, the FCC intends to vote on a Report and Order (“Order”) to make some important changes to the requirements for wireless service providers to report on the number of hearing aid compatible (“HAC”) handsets they offer. The dual aims of the rule changes are to ease the burden of the reporting obligations while improving consumer access to information about HAC wireless handsets. Specifically, the FCC proposes to drop the requirement for service providers to file annual forms with HAC device information, and instead disclose detailed information on their websites and make an annual certification of compliance with the rules. Websites updated with the new required information and the first certification of compliance will be due 30 days after notice of Office of Management and Budget (“OMB”) approval of the new rules is published in the Federal Register. If the Order is adopted at Thursday’s meeting, service providers should promptly begin working on website revisions and not wait for OMB approval.

International Facilities-Based Service Providers – List of Foreign Direct Termination Arrangement Routes Due to the FCC by November 14, 2018

By Denise Smith on November 7, 2018 Posted in Business & Strategic Planning, Federal & State Regulatory, International Markets & Team Telecom

International service providers likely celebrated when the Federal Communications Commission (“Commission”) eliminated the annual International Traffic and Revenue reporting requirement last year but may have forgotten about the Commission’s plan to issue targeted data requests, when necessary, to obtain information previously available from the annual report. Well the time has come and the Commission now is collecting the basic data that will allow it to tailor its information requests in the future. As required by Commission rule 63.22, international facilities-based service providers must file with the Commission, by November 14, 2018, lists of U.S.-international routes on which the provider has direct termination arrangements with a foreign carrier in the destination country (Route List).