New ICO Plans To Go It Alone On Terrestrial Plan
New ICO, the new company that emerged out of the bankruptcy of ICO Global Communications, will pursue on its own Federal Communications Commission approval to add a terrestrial component to its satellite service. The company plans to steer clear of forging alliances with other satellite companies also looking for FCC approval of terrestrial service.
That is the word from Gerry Salemme, New ICO's senior vice president of external relations, who saw no advantage in developing a satellite coalition. The key reason is that Motient Corp. [MTNT], XM Satellite Radio [XMSR] and Sirius Satellite Radio [SIRI] all have different issues affecting their requests to add terrestrial components to their satellite businesses, he said.
"Each business model is unique," Salemme said. "We know what is best for ICO to meet the needs of rural subscribers."
The satellite radio companies, such as XM, need to address complaints about potential interference from incumbent users, Salemme said. "We see XM's main focus [on] power issues, while our principal concern is about gaining flexibility," he said.
New ICO officials will hold a strategy meeting next week to decide how to respond to a pending FCC notice of proposed rulemaking about its request to add a terrestrial capability to its planned satellite service, Salemme said. One of the participants will be cellular pioneer Craig McCaw, who led New ICO's restructuring and who is developing a broadband satellite system called Teledesic.
The FCC has been told by New ICO representatives that the company cannot succeed without the use of terrestrial repeaters to overcome problems satellite phones have in urban areas where tall buildings block signals. Motient also joined New ICO in asking the FCC for permission to incorporate wireless ancillary terrestrial components into its mobile satellite networks. New ICO plans a global, broadband service, while Motient's geostationary service is focused on North America. |