MSV Receives FCC Waiver

[11-28-07 – Satellite Today] The U.S. Federal Communications Commission (FCC) has waived a requirement that Mobile Satellite Ventures (MSV) build a ground-based spare satellite, MSV announced Nov. 28.
    Under the FCC rules, MSV was required to build a spare satellite within a year of beginning operation of its hybrid satellite-ancillary terrestrial component (ATC) services.    
    The FCC’s order approving the waiver was issued Nov. 26 and is based on MSV’s plans to address in-orbit back-up capacity with the two-satellite system it is scheduled to launch with its joint venture partner, Mobile Satellite Ventures (Canada).
    "MSV has worked diligently to develop a comprehensive contingency plan using two next-generation satellites that will enable rapid restoration and continuation of services without the risk and expense associated with building, storing and launching a spare satellite,” Alexander Good, MSV’s vice chairman and CEO, said in a statement. ”We have always believed that in-orbit redundancy and service capacity provides significantly greater benefits to customers and to meet general public emergency and safety needs.”
    The FCC found that "the requested waiver will strike an appropriate balance between ensuring continuity of satellite service to customers and minimizing cost burdens on the satellite operator,” MSV said.
    Boeing is manufacturing the two satellites, with MSV-1 scheduled to be launched in late 2009, and the Canadian satellite, MSV-2, slated for 2010.  MSV estimates the total cost to develop and construct the two satellites, including launch, launch insurance and associated ground segment, will be $1.1 billion, the company said in a Nov. 11 filing with the U.S. Securities and Exchange Commission. The  contract also included the third satellite, MSV-SA, which would have cost an estimated $250 million.