Business Services Industry

Step Forward For NextWave

Communications Today, March 5, 2003

NextWave Telecom hasn't got an answer yet from the Federal Communications Commission on application for minimum buildout approval, but it did learn this week that the commission isn't accusing it of missing buildout deadlines. NextWave has nearly two years--703 days--to meet its network buildout requirements, according to the FCC's order on a request by NY Telecom to cancel NextWave's licenses for failing to comply with buildout deadlines.

NextWave, which plans to submit an amended reorganization plan in its Chapter 11 bankruptcy proceeding in the first half this year, believes it has met the buildout level because it has facilities in each of its 95 markets and is providing data-only service in trials. However, the FCC has not yet ruled on the company's application for minimum buildout approval, which the company would need before being allowed to sell its licenses. NextWave (Hawthorne, N.Y.) has not decided whether it will seek funding to complete building its network or sell its 30-MHz licenses in the 1900 MHz band, which it bid nearly $4.8 billion for in a 1996 auction.