Eutelsat: “No justification to compensate SES”
February 25, 2020
By Chris Forrester
Eutelsat, in a filing to the FCC, repeats its claim that it is entitled to a significant 15.15 per cent of the $9.7 billion of incentive payments outlined by the FCC as part of its Draft proposals for the use of satellite C-band frequencies over the US.
Eutelsat says that the SES fleet is the oldest operating over the US “with the least remaining useful lifetime”. Eutelsat adds: “There is simply no justification for unduly compensating SES for accelerated band clearing and relocation to comparable satellite facilities based on satellite capacity that will not be in use at the time of the transition of C-band spectrum to 5G terrestrial services. For this and other reasons, Intelsat can and should be allocated substantially greater acceleration incentives than SES.”
- Eutelsat in its filing says that Intelsat should receive the most compensation, at 62.57 per cent (or $6.069 billion).
- SES should receive 22.14 per cent (equal to $1.147 billion).
- Eutelsat should receive 15.15 per cent ($1.469 billion).
- Telesat should get 0.12 per cent ($11.17 million)
- StarOne should receive just 0.03 per cent ($2.7 million).
Eutelsat adds: “Given the extraordinary differences between the Intelsat and SES incentive allocation proposals, the Commission should reject incumbent revenue and earth station-focused approaches and instead adopt a capacity-based approach to satellite operator incentive allocations that is well-grounded in the Emerging Technologies framework. The approach proposed by Eutelsat is accurate and objective, is consistent with applicable Commission policy and precedent, and avoids disruptive windfalls to C-band satellite operators.”