FCC GOES FOR BROKE ON E911 BY FINING AT&T WIRELESS $2.2M Tim McElligott Telephony, May 27, 2002
The FCC chose National Wireless Safety Week last week to prove to wireless operators that it is serious about Phase II E911 compliance, hitting AT&T Wireless with a proposed $2.2 million fine.
AT&T failed to begin rollout of Phase II emergency services by the Oct. 1, 2001, deadline along with most other large operators. However, a waiver request, which was granted by the FCC, was filed in anticipation of not being able to meet the Phase II distance specifications and gave no indication that AT&T expected delays in deploying E911 infrastructure and handsets.
AT&T was fined $500,000 for telling the FCC it did not require a waiver to begin activating location-capable handsets in its GSM network. An additional $500,000 was levied for not implementing infrastructure upgrades to make its network Phase II capable within six months of a valid request by a Public Safety Answering Point.
It could cost AT&T an additional $1.2 million for not notifying the commission within 30 days that the information in the waiver was no longer valid. “The commission is extremely serious and will take all measures necessary to seek compliance,” said an FCC spokesman. The penalties are as serious as the commission's disposition. Cingular Wireless was hit with a $100,000 fine earlier this month and has agreed to pay without contest. Cingular issued a statement saying that the consent degree “represented a productive resolution to the complex challenges associated with Phase II implementation.”
However, the company declined to comment on whether it would have been as agreeable had the penalty been similar in size to the one levied against AT&T.
AT&T plans to fight the fine. The company has 30 days to respond, and much of its story likely will focus on its vendors.
“Unfortunately, E911 is not only technically complex, it is made more challenging by circumstances beyond our control,” an AT&T spokeswoman said. “We are dependent upon infrastructure and handset vendors meeting their commitments to us. In this case, some of them failed to meet those commitments.”
The commission doesn't want to hear it. “It's the carriers' job to keep their vendors in line,” the FCC spokesman said.
Even AT&T's competitors take umbrage with the FCC's line of thinking. Verizon Wireless quickly disseminated news last week about its successful deployment of Phase II-compliant phones. “These rules were first adopted by the FCC in the mid-'90s. The technology didn't exist at that point when hard and fast deadlines were set, which is clearly an issue of the government getting into the technology business,” said a Verizon Wireless spokesman.
Last summer, Verizon Wireless switched its strategy for E911 to deploying a handset-based solution. AT&T and Cingular, by choosing a GSM infrastructure, require a hybrid handset- and network-based solution. Both have experienced delays from their handset and infrastructure vendors.
AT&T filed an amended waiver request Feb. 1 at the same time it filed a required quarterly update to the FCC informing the commission of vendor delays.
The FCC said AT&T acted contrary to its waiver agreement by proceeding with the deployment of its GSM network without location-capable handsets.
It is unfair for operators that have relied on vendors' forecasts to be held responsible for missed deadlines, said Michael Altschul, senior vice president of regulatory affairs and general counsel for CTIA.
“If deployment is lacking, it is not because carriers don't understand that [E911] is a priority, it's because it is new and difficult technology. And sometimes new and difficult technology can't be created on an arbitrary schedule,” Altschul said.
In AT&T's modified waiver request, it said its primary vendors — Ericsson, Nokia and Nortel Networks — would have equipment at AT&T's labs by mid-June. |