Satellite Industry Association Spectrum Priorities and Objectives May 20, 2008 S I A M E M B E R C O M P A N I E S

Commercial Satellite Sectors Satellite Services FIXED SATELLITE SERVICES Wholesale Voice, Video, Data MOBILE SATELLITE SERVICE Mobile Voice & Data CONSUMER SATELLITE SERVICES Satellite TV Satellite Radio Satellite Broadband REMOTE SENSING Satellite Manufacturing Spacecraft Manufacturing Component and Subsystem Manufacturing Ground Equipment Earth Stations & VSATs Network Equipment (Gateways, Control Stations) Consumer Equipment (DBS Dishes, DARS receivers, Handheld Phones) Launch Industry Launch Services Manufacturing (Vehicle, Component and Subsystem)

World Satellite Services Revenue End-User Mobile Fixed Revenue (in Billions $US) $48.5 $41.0 $28.5 $35.6 $25.3 $21.8 $1.3 $1.3 $1.6 $2.0 $1.8 $1.7 $9.2 $9.0 $9.8 $9.5 $10.1 $12.1 Satellite Services growth of 19% in 2006 outpaced 2005 growth of 13% DTH TV Services increased 17% in 2006, again contributing the largest portion of overall satellite services growth Global DTH subscribers grew about 10% over 2005 levels, reaching approximately 89 million worldwide Satellite Radio Services continued to experience strong growth Subscribers grew by 50%—from 9.4 million in 2005 to 14.2 million in 2006 Revenues doubled from $0.8 billion in 2005 to $1.58 billion in 2006 Steady growth in Fixed: private networks (VSAT services), remote sensing, transponder agreements, end-user broadband Overall Mobile Satellite Services revenue increased by 18%, driven by growth in voice traffic 2001 2002 2003 2004 2005 2006 Broadcasting $21.8 $25.3 $28.5 $35.6 $41.0 $48.5 Satellite Radio $0.0 $0.1 $0.3 $0.8 $1.6 - Satellite Television $28.4 $35.3 $40.2 $46.9 Mobile $1.3 $1.8 $1.7 $2.0 Fixed $9.2 $9.0 $9.8 $9.5 $10.1 $12.1 End-User Broadband $0.2 Total $32.3 $39.8 $52.8 $62.6

SIA Spectrum Principles Satellites provide spectrum-efficient and essential services around the world, including homeland security and critical infrastructure Sound spectrum allocation and management policies are fundamental for the commercial communications satellite industry SIA encourages spectrum policies that promote innovation, while respecting legacy investment and infrastructure Existing and planned spacecraft must be protected from in-orbit interference or alteration of assigned spectrum Interference to satellite services must be considered with any new terrestrial application or service, including unlicensed devices Blanket licensing makes sense for many satellite ground terminals, using flexible technical criteria so networks can evolve with technology advances The international nature of satellite technology makes it unsuitable for auctions

SIA Issue: In-Orbit Satellite Interference Protection SIA firmly believes that in-orbit spacecraft must be protected from interference or alteration of assigned spectrum. Billions of dollars have been invested in existing in-orbit and satellite service infrastructure Satellite operators have substantial incentive to deploy systems that are as resistant to interference and as spectrum efficient as possible Satellites cannot change frequencies or significant operational characteristics once launched. Typical design life is 12-16 years The higher-data-rate and lower-cost services offered on today’s spacecraft have been achieved through: Smaller spot beams Smaller and lower cost earth terminals Higher-order coding schemes Greater frequency re-use Sharing spectrum with other satellite networks

SIA Issue: Satellite Interference from Unlicensed Devices Unlicensed Devices – particularly ubiquitously-deployed and mobile units – have been known to cause interference in the satellite receive bands: Ku-band Radar Detectors UWB The satellite industry has particular concerns because: Once widely adopted, there is no licensee to hold accountable for interference caused by user-owned devices (out of band or in-band IX) Recalling interfering devices is impossible when widely sold to consumers.

SIA Issue: C-Band At the 2007 World Radiocommunication Conference, terrestrial wireless services sought a global, harmonized identification for IMT systems in the C-band (3.4-4.2 GHz) The WRC 2007 did not approve a global identification Regionally, no IMT identification was agreed in the Americas Terrestrial systems pursuing C-band frequencies included: Fixed systems, referred to as Fixed Wireless Access (“FWA”) Fixed/Mobile systems, referred to as Broadband Wireless Access (“BWA”) (e.g., WiMax systems) Mobile systems, referred to as IMT (3G and 4G)

SIA Issue: C-Band ITU-R studies have concluded that protection distances of between 150 – 430 km are necessary to allow sharing between FWA, BWA or IMT systems and FSS receive earth stations The FCC has reached a similar conclusion when defining conditions for use of the band 3650-3700 MHz by BWA Uncoordinated fixed or mobile transmit stations can not be deployed within 150 km from existing (grandfathered) FSS earth stations Sharing between FWA, BWA or IMT systems and FSS-receive earth stations would impose severe constraints on all operators and is not realistic If not protected, government, strategic, and commercial FSS services in the C-band could experience: Signal delays Synchronization loss Blackout periods Blackout areas Total loss of transmission

SIA Issue: MSS Solutions for D-Block Mobile satellite services are poised to provide the ubiquity, survivability and advanced applications needed for the 700 MHz Public/Private Partnership FCC’s recent D-Block NPRM underscores the critical role of MSS technology for America's first responders. SIA encourages increased flexibility in the 700 MHz build-out requirements through use of dual mode MSS/terrestrial. D-block terrestrial build-out obligation could be delayed or relaxed if dual-mode MSS/terrestrial devices available in areas which have not been built out but are covered by MSS footprint. Alternatively, the FCC could retain its terrestrial build-out requirement, but could satisfy the requirement based on the availability of dual mode (700 MHz terrestrial and MSS) handsets.

SIA Issue: Vehicle-Mounted Earth Stations in Ku-Band SIA supports flexible and technology-neutral regulatory approach that ensures that VMES are operated within the 2-degree spacing regime of today’s networks of Very Small Aperture Terminals (VSATs). Utility of Ku-band FSS satellite services should not be jeopardized when considering allocation of spectrum for VMES. SIA opposes restrictions on VMES Operations in 14.47-14.50 GHz Band. SIA supports coordination with NASA TDRSS Earth Stations in the 14.0-14.2 GHz Band SIA opposes permitting VMESs operating at greater power densities than FCC’s rules currently permit in directions other than GSO plane.