FCC Record, Volume 27, No. 11, Pages 8850 to 9847, July 30 - August 17, 2012 Page: 9,835
x, 8850-9847 p. ; 28 cm.View a full description of this book.
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foreign interests in common carrier licensees limits the flexibility of foreign investors in structuring their
investments.5 They also argue that precedent supports their interpretation that section 310(b)(4) applies
to all "indirect" foreign interests in a common carrier licensee, be they through a controlling U.S. parent
or a non-controlling intervening U.S.-organized entity.'
7. There is Commission precedent that has applied section 310(b)(4) where a foreign
government, individual, or entity holds interests in a U.S.-organized entity that itself controls a licensee,"
and section 310(b)(3) where a foreign government, individual, or entity holds interests in a licensee
through an intervening U.S.-organized entity that itself does not control the licensee.-' In assessing
whether a U.S.-organized entity does or does not control a common carrier licensee, we look at both de
(Continued from previous page)
EABC NPRM Comments (filed Dec. 5, 2011) at 3-6. Verizon, Vodafone, the United States Telecom Association
(USTelecom), Sprint Nextel (Sprint), the Organization for International Investment (OFII), the European
Telecommunications Network Operators' Association (ETNO), and CTIA-The Wireless Association (CTIA) filed
reply comments. Verizon NPRM Reply (filed Jan. 4, 2012) at 3-5; Vodafone NPRM Reply (filed Jan. 4, 2012) at 7-
9; USTelecom NPRM Reply (filed Jan. 4, 2012) at 3; Sprint NPRM Reply (filed Jan. 5, 2012) at 4; OFII NPRM
Reply (filed Jan. 4, 2012) at 5-6; ETNO NPRM Reply (filed Jan. 5, 2012) at 2; and CTIA NPRM Reply (filed Jan. 4,
2012) at 6-7. In addition to filing comments addressing section 310(b)(3), these and other parties to the proceeding
filed comments on the proposals in the Foreign Ownership NPRMto revise and simplify the Commission's section
310(b)(4) policies and procedures. We do not address these issues here, as they will be the subject of a Second
Report and Order in this proceeding.
is See, e.g., CTIA NPRM Reply at 7; Vodafone NPRM Reply at 9; Sprint NPRM Reply at 4.
16 See, e.g., Vodafone NPRM Comments at 19-25; AT&T NPRM Comments at 5-8; EABC NPRM Comments at 3-
6.
17 See, e.g., Fox Television Stations, Inc., Memorandum, Opinion and Order, FCC 95-188, 10 FCC Rcd 8452 (1995)
(Fox 1) (applying section 310(b)(4) where a foreign entity held 99 percent equity capital and 24 percent of the voting
interests in a U.S.-organized entity that itself controlled the licensees); VoiceStream Wireless Corporation, et al., IB
Docket 00-187, Memorandum Opinion and Order, FCC 01-142, 16 FCC Rcd 9779 (2001) (applying section
310(bX)(4) where a foreign entity held controlling interests in a U.S.-organized entity that itself controlled the
licensees).
's See, e.g., Request for Declaratory Ruling Concerning the Citizenship Requirements of Sections 310(b)(3) and (4)
of the Communications Act of 1934, as Amended, Declaratory Ruling, FCC 85-295, 103 F.C.C.2d 511, 521-23 & nn.
44-51 (1985) (stating that section 310(bX)(3) applies where a foreign government, individual, or entity holds interests
in a licensee through a U.S.-organized entity that does not control the licensee); on recon., I FCC Rcd 1, 13, 12
(1986); Applications of BBC License Subsidiary, 10 FCC Rcd 10968, 10973-74, 22-25 (1995) (establishing the
Commission's methodology for calculating foreign equity and voting interests in a licensee, under section 310(b)(3),
and in the U.S.-organized parent controlling a licensee, under section 310(b)(4), where such foreign ownership
interests are held through intervening entities); Applications of Cellco Partnership d/b/a Verizon Wireless and
Atlantis Holdings LLC, WT Docket No. 08-95, Memorandum Opinion and Order and Declaratory Ruling, FCC 08-
258, 23 FCC Rcd 17444, 17545-46, 231 & nn.799-803, 17547, 1237 (2008) (applying section 310(b)(3) to foreign
interests in common carrier licensees held through U.S.-organized entities that do not control the licensees);
Application for Pro Forma Assignment of Licenses from Wireless Alliance, LLC to WALLC License, LLC, ULS
File No. 0003660033 (filed Nov. 25, 2008) (assigning licenses to a new, wholly-owned subsidiary, as its foreign
ownership exceeded the 20 percent limit in section 310(b)(3)). Section 310(b)(3) also applies where a foreign
government, entity or individual holds interests directly in a licensee itself. See, e.g., PrimeMedia Broadcasting,
Inc., Memorandum, Opinion and Order, FCC 88-218, 3 FCC Rcd 4293 (1988) (denying petition for reconsideration
of dismissal of applications where an alien held over 20 percent equity interest in applicants for licenses); Glentel
Corp., Memorandum Opinion and Order, DA 02-1509, 17 FCC Rcd 12008 (Sat. Div., Int'l Bur., 2002) (dismissing
application for common carrier license where a foreign entity wholly owned the applicant).9835
Federal Communications Commission
FCC 12-93
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United States. Federal Communications Commission. FCC Record, Volume 27, No. 11, Pages 8850 to 9847, July 30 - August 17, 2012, book, August 2012; Washington D.C.. (https://digital.library.unt.edu/ark:/67531/metadc133015/m1/1002/: accessed April 23, 2024), University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.