June 23, 1999

ACTION ALERT FOR ALL ITFS (Instructional TV) LICENSEES

Dear NIA Members and other ITFS Licensees:

We are on the cusp of the most important and far reaching changes to the ITFS spectrum that we will ever see. The ITFS spectrum, which was originally designated for instructional television, can now be used for telephone, data, Internet and video transmission. And what was originally of marginal interest to the commercial world is now a key component in the strategies of several global communications companies.

Major changes are underway which could greatly expand or greatly limit what each of us can do with our ITFS channels. It is important for each of us to take certain actions now to protect our interests, both current and future. Here is a brief summary of the issues and a list of ways you can get assistance in dealing with them.

ITFS Redefined

In September 1998 the FCC issued its report and order which dramatically redefined the ITFS/MMDS spectrum. This order allows two-way transmission, cellularization, sectorization, channel grouping and channel swapping. What does this mean? It means that ITFS can be used to do more than just distribute instructional television programming. It can be used for broadband services -- video, high-speed data services, Internet services and telephone services as well. It also means that ITFS and MMDS (commercial) licensees have more flexibility in designing and providing communication services.

Wireless Attracts Sprint and MCI

The ability to do more with the ITFS/MMDS spectrum attracted the attention of Sprint and MCI/WorldCom. They moved quickly this year to buy up most of the wireless cable operators who hold MMDS licensees and channel capacity leases from ITFS licensees. It appears that these companies are looking at the ITFS/MMDS spectrum as the means to provide broadband services directly to homes and businesses. This could be their means of competing with the local telephone and cable companies who are pushing to provide broadband services, too.

What Does This Mean to You?

The FCC is expected to open a window late this year for filing of plans to build broadband wireless services under the new regulations. The wireless operators are working now to develop their plans for filing during this open window. In most instances, the operators will require your approval of their plans before they can be submitted.

What Should You Do?

We urge you to be very careful about what you sign. Once an area is redefined under two-way regulations, it may be difficult, or impossible, to add new educational services later

on. We urge you to learn everything you can about what is possible under the new regulations and to take steps to ensure your educational needs are met.

Specifically, we suggest that you do the following:

• Contact your local wireless operator and let them know you wish to be an active participant in developing your area. Meet with them to discuss their plans and yours as soon as possible.

• Let your wireless operator know that you want at least 30 days to review any technical modifications or interference consents. They should not expect you to sign anything at the last minute.

• Engage independent legal and engineering counsel who represent ITFS licensees to review all plans, FCC documents, and certainly any contract modifications for you. Let your wireless operator know that you expect them to pay for any legal or engineering expenses you incur as you are accommodating their request.

Where Can You Find Help?

The National ITFS Association was formed over 20 years ago by a group of educators seeking to make the best use of the ITFS spectrum for education. That continues to be our prime directive. Our major goal this year is to help ITFS licensees nationwide as we move from an analog, one-way video world to a two-way, digital wireless broadband world.

Whether you are planning new services yourself, or wishing to continue an analog TV broadcast service for now, you will most likely have to deal with wireless operators in your area or in adjacent cities. To help you understand the issues and to obtain more information, the NIA is doing the following:

• Sending notification letters to all ITFS licensees;

• Publishing related articles in the NIA quarterly newsletter;

• Placing articles and other information on the NIA Web site, http://www.itfs.org;

• Sending out updates via email through our Listserv list - ITFSNews@lists.wayne.edu;

• Setting up meetings with the new global players to learn more about their plans; and

• Conducting local meetings and telephone conference calls with interested ITFS licensees.

Please check our Web site, http://www.itfs.org or contact our Executive Director, myself, or a board member close to you for more information. We want to help you make the most of the ITFS spectrum for education, and to do so, we all need to act now.

Sincerely,

Patrick J. Gossman

Director, University TV, Wayne State University
Chair, National ITFS Association
Email: p.gossman@wayne.edu

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