EchoStar has stepped up its battle with the Federal Communications Commission (FCC) over the agency's inquiry into the company's usage of 5G and satellite licenses.
In a filing to the FCC last week, EchoStar argued its case that it should be allowed to continue growing out its 5G network.
EchoStar referred to a previous comment made by FCC chair Brendan Carr in its filing.
"We should not be coming in behind after the fact and pulling the rug out from under us," said Carr back in 2023, when asked about calls for the FCC to reverse spectrum allocation decisions.
In EchoStar's filing, the company appeared to attempt to use those words against Carr, in favor of their own case, claiming that the FCC should "not single-handedly destroy the “billions of dollars of investment” that went into EchoStar’s deployment, investment EchoStar made in consultation with the Commission and consistent with its rules."
"Chairman Carr is right," wrote EchoStar. "The commission should not be “pulling the rug out from under” a licensee after the agency authorized and allocated spectrum, and that licensee invested billions of dollars deploying it consistent with the Commission’s rules.
"The record is clear: the commission should not destroy the nation’s only 5G Open RAN network by taking away its lifeblood - the licensed spectrum EchoStar spent billions acquiring, building, and utilizing."
EchoStar's battle with the FCC comes after Carr wrote to EchoStar a couple of weeks back, noting that the agency would investigate EchoStar's use of 5G spectrum as the company continues its 5G build-out across the US.
The company, owned by Charles Ergen, has defended its position ever since, pointing to the fact that it has deployed more than 24,000 5G sites, invested billions of dollars in its commercial network build, has 1.3 million subscribers, and is in the process of migrating its remaining six million subscribers.
Despite this, EchoStar chose not to make a $326 million cash interest payment, as it argues that the FCC's inquiry "threatens its viability as a wireless provider."
EchoStar acquired its Boost Mobile business as part of Dish Network’s role in the T-Mobile/Sprint merger, completed in 2021.
In 2023, Dish Network merged with EchoStar, leading to Boost Mobile becoming the brand name of the company's mobile network.
EchoStar was spun out from Dish back in 2008, as Dish held onto the TV business while shedding the satellite infrastructure that beamed content into them.
The re-merger between the two combined Dish's Pay-TV business and its 5G wireless network with EchoStar's satellite communications solutions.
EchoStar's buildout delays
In 2019, the US government set construction milestones for Dish to maintain cellular licenses worth billions of dollars.
At the time, Dish agreed to meet specific buildout obligations, while the FCC relaxed some of EchoStar’s then-existing buildout obligations in exchange for EchoStar’s commitment to put its licensed spectrum to work deploying a nationwide 5G broadband network.
Carr made note of this in his letter to EchoStar last month, stating that EchoStar "would generally kick the can down the road while agreeing to buildout milestones for some major-market licenses."
His comments came amid SpaceX's attempts to lobby for the 2 GHz of spectrum that EchoStar owns. SpaceX has claimed that EchoStar has hardly utilized this spectrum.
EchoStar has dismissed those claims and insists it has plans to use the spectrum to launch a direct-to-device (D2D) service.
In its most recent filing, the company states that SpaceX has delivered no evidence to support its claims.
"Elon Musk’s SpaceX is the primary beneficiary of the Commission’s alarming efforts and the main recycler of these long-settled false allegations," wrote EchoStar.
EchoStar also hit out at wireless service provider VTel Wireless, another company that has disputed EchoStar's use of the 2 GHz spectrum for mobile satellite services.
Claims to have widespread industry support
That said, EchoStar did state that it has gained support from more than 60 vendors, contractors, tower companies, trade associations, and public interest groups.
"The range of interests represented by these commenters is vast and includes: tower companies, Open RAN vendors, general contractors who employ some of the many hardworking Americans helping EchoStar deploy its network, public interest groups that support the procompetitive benefits of a fourth nationwide carrier, and trade associations concerned about the prospect of investment-killing government overreach," said EchoStar.
Ergen has previously said that EchoStar's network creates jobs for Americans and plays a role in the Trump Administration's plans to deploy Open RAN networks free from Chinese network vendors.
A separate Bloomberg report yesterday (June 9), said that Ergen has attempted to hold a meeting with Carr since last September, prior to Carr being appointed chairman.
Further follow-up requests have gone "unanswered."
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