en.Wedoany.com Reported - The U.S. Federal Communications Commission (FCC) will vote on July 22 on an order reforming the satellite application process, creating a "licensing pipeline" to address the approval challenges posed by increasingly large and complex constellation plans.
The reform, titled the "Space Modernization Order," will replace the FCC's long-standing Part 25 space and earth station regulations with a new Part 100, covering processing rounds, license terms, bond requirements, and other application filing procedures. The order aims to reduce red tape, expand the types of minor license modifications that operators can make without prior FCC authorization, and shorten the public notice window for typical license applications from 30 days to 15 days, except where a longer period is legally required. This reform is intended to compress review cycles that could previously last years into months or weeks, supporting the needs of constellations when replenishing and upgrading satellites.
To address collision risks from the increasing number of low Earth orbit (LEO) satellites, the order requires operators to share satellite tracking data with approved space situational awareness providers. The order also seeks comment on establishing a space-based experimental licensing regime and other reform measures.
This move follows a Notice of Proposed Rulemaking issued in October, which outlined a fast-track processing path with a seven-day public notice period, but that path was not included in the order up for vote.
FCC Chairman Brendan Carr stated that as low Earth orbit becomes increasingly strategic for commercial and government satellite systems, the order will boost the U.S. space economy. "Getting the right regulatory framework in place will determine whether the United States wins this Space Race 2.0," Carr said in a statement. "That is why the agency launched a process last year to fundamentally change how we handle satellite and earth station operations. We will complete this work through the Space Modernization Order—a decision that shifts from bespoke reviews to a consistent, predictable, and objective pipeline process."
However, if the order is adopted, pending applications filed this year for massive orbital data center constellations—such as SpaceX's plan to launch up to one million satellites to support demand for artificial intelligence—will not be subject to the revised processing timelines and procedures. The order comes as the U.S. Congress is also considering the Satellite and Telecommunications Streamlining Act, which would impose deadlines and other reforms on the FCC's satellite licensing process.
The FCC will also vote on July 22 on another rule that would allow the regulator to auction 160 megahertz (MHz) of C-band spectrum in the 3.98-4.14 gigahertz band next year. This spectrum is adjacent to frequencies used by aircraft radio altimeters and is currently primarily used by Luxembourg-based multi-orbit operator SES to distribute television services in the United States.
Carr said this would be the FCC's first auction of new commercial spectrum in five years, "a move that will expand access to valuable mid-band spectrum for next-generation wireless services and increase speeds for consumers, while maintaining strong protections for aviation safety." He noted that the auction would raise billions of dollars for the U.S. Treasury, thanks to close collaboration with numerous stakeholders, including the Federal Aviation Administration (FAA).
In 2020, the FCC raised over $80 billion by auctioning 280 MHz of lower C-band spectrum to terrestrial 5G operators such as Verizon, AT&T, and T-Mobile, with approximately $13.4 billion going to incumbent spectrum holders (primarily SES and Intelsat) to incentivize them to quickly migrate services to the remaining 200 MHz of C-band and cover migration costs, including new satellites. SES later acquired Intelsat.
Raymond James analyst Ric Prentiss noted that the upcoming upper C-band spectrum auction is more than 35 times larger on a megahertz-population (MHz-POP) basis than the recently re-auctioned AWS-3 spectrum. MHz-POP is a valuation metric that multiplies bandwidth by covered population. The AWS-3 spectrum auction, announced by the FCC on June 26, raised approximately $3.57 billion in total, with Verizon committing $3.2 billion to acquire 82 licenses. The auction helped resolve obligations related to EchoStar's failed AWS-3 bids in 2015, predating EchoStar's agreements to sell other spectrum assets to AT&T and SpaceX and abandon its terrestrial 5G buildout.
SpaceX spent billions of dollars acquiring EchoStar's spectrum to enhance its direct-to-smartphone capabilities but won only two licenses in the AWS-3 auction for about $9 million. New Street Research analyst David Barden said one investor theory is that SpaceX had no intention of winning any licenses but used the process to understand the FCC's auction operations. Barden said others believe SpaceX sought a single license to test mobile services in dense urban environments or simply used the AWS-3 auction as a dry run for the upper C-band auction. Barden added that SpaceX may be looking to acquire a mobile or cable operator to accelerate its wireless ambitions, but an acquisition is a longer and more expensive path than partnering with telecom companies. He noted that despite SpaceX's declared intent to enter the U.S. terrestrial mobile business, entering a saturated market as the last player with the least spectrum does not seem opportune, citing EchoStar's failed experience.
