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Y2` `  ,hhhppX   #o\  PC[AXP#  Y2` `  ,hhhppX   Q #Xj\  P6G;[AXP#Federal Communications Commission`(#!DA 98238  yxdddy #XR  P7jQ[AXP# #Xj\  P6G;[AXP#(Before the Đ X2xW  FEDERAL COMMUNICATIONS COMMISSION Washington, D.C. 20554   Y2 x  Y2X` hp x (#%'0*,.8135@8:d  O5"<ԍ` ` #]\  PCP#Comments of FAI at 12.(#` v Leo One states that FAI's outofband emissions concerns are resolvable  XM-through coordination.?M O$<ԍ` ` #]\  PCP#Reply Comments of Leo One at 5.(#`  Thus, we condition Leo Ones authorization to operate in the 137"M`?0*%%ZZ"ԫ137.025 MHz band on completion of adjacent channel frequency sharing coordination with FAI, NOAA and foreign systems operating in this frequency band.  X-x31.` ` Also, as required by the Report and Order, Leo One shall notify the  X-Commission within 30 days of discontinuing its use of the 137137.025 MHz band.@ O<ԍ` ` #]\  PCP#Report and Order  30.(#` Ƌ This notice requirement is consistent with the parties agreement in the Joint Proposal.  Xa-x` ` d. Operations in 400.15401 MHz Downlink Band  X3-  x32.` ` The spectrum sharing plan adopted in the Report and Order permits Leo One to share the 400.15400.505MHz and 400.645401MHz bands with DoD's Defense  X -Meteorological Satellite Program (the "DMSP system")rA h M <ԍ` ` #]\  PCP#Id.(#` r by utilizing frequency hopping and  X -timesharing techniques.B  O<ԍ` ` #]\  PCP#Id.  67. We noted in the Report and Order  68 that the DMSP system is expected to merge with NOAA's meteorological satellite system at some future date. In 1998, NOAA will assume responsibility for "on orbit" operations of the DMSP system and in 2007 NOAA will assume responsibility for command and control functions for the DMSP system. Our use of the term  {O-DMSP system in this Order includes the existing DMSP system, the DMSP system after NOAA assumes responsibility for some of its operations and the DMSP system after it is merged with NOAA's meteorological satellite system. (#`  These techniques require Leo One to avoid transmitting into the geographic region on the surface of the Earth that is receiving a DMSP satellite transmission (the "protection area") by transmitting on a different frequency from the one the DMSP satellite is transmitting on or, if a different frequency is not available, to cease transmitting into the protection area. Operating on a noninterference basis requires Leo One to avoid causing harmful interference to the DMSP system and precludes Leo One from claiming protection from interference caused by the DMSP system in these bands. In its application, Leo One proposes implementing frequency avoidance and timesharing techniques to avoid  X8-causing interference and capacity loss to the DMSP system.{C8X  OA<ԍ` ` #]\  PCP#Conforming Amendment at 10.(#` {  X -x33.` ` Timesharing spectrum with the DMSP system on a noninterference basis requires precise ephemeris data (which permits calculation of a satellite's location at specific times during a given period of time) in order to predict the contours of a DMSP satellite's protection area in advance of its encounter with a Leo One satellite footprint operating on the same frequency channel. We require Leo One to obtain ephemeris data from DoD so it can accurately predict the future location and frequency emissions of each DMSP satellite. As we" C0*%%ZZ3"  X-explained in the Report and Order, we allow Leo One and DoD the flexibility to determine  X-the most appropriate means for transferring ephemeris data.D Od<ԍ` ` #]\  PCP#Report and Order  67.(#`   X-x34.` ` The Report and Order did not specify a particular orbital propagator algorithm to be used for computing the time and location of a DMSP satellite's protection area, however, it does adopt a rule requiring an NVNG licensee operating in the 400.15401 MHz band to use an orbital propagator algorithm with an accuracy equal to or greater than the  Xc-NORAD propagator used by NOAA.yEch O| <ԍ` ` #]\  PCP#47 C.F.R.  25.260(a).(#` y Leo One proposes employing an orbital propagator  XL-using a Cowell numerical intergrator with an accuracy greater than the NORAD propagator.{FL O <ԍ` ` #]\  PCP#Conforming Amendment at 12.(#` { Because the Cowell numerical intergrator has greater accuracy than the NORAD propagator, we permit Leo One to use the orbital propagator algorithm proposed in its application, subject to its compliance with Section 25.260(a) of the Commission's Rules.  X -x35.` ` The Report and Order adopts a rule defining the protection area of a DMSP satellite as the geographic region on the surface of the Earth where DMSP earth stations are  X -receiving signals from low Earth orbiting DMSP satellites.G  O<ԍ` ` #]\  PCP#See 47 C.F.R.  25.201.(#` ƀ The protection area of a DMSP satellite is computed on the basis of a five degree elevation angle for the DMSP receiving  X-earth station.|HH Ox<ԍ` ` #]\  PCP#Id. at  25.260(a).(#` | Leo One will be required to comply with the rules adopted in the Report and  Xj-Order including, but not limited to, ceasing transmissions into a protection area prior to a Leo One satellite footprint, computed using a zero degree elevation angle for its earth station,  X>-overlapping the DMSP satellite's protection area.cI> M<ԍ` ` #\*f9 xCMX#Id.(#` c Leo One certifies that it will comply with  X'-these requirements.{J'  O^<ԍ` ` #]\  PCP#Conforming Amendment at 11.(#` {  X-x36.` ` The rules adopted in the Report and Order also require that each satellite in Leo One's system have the capability to change the transmit frequency in the 400.15401 MHz downlink band within 125 minutes of receiving notification from DoD of a frequency"& J0*%%ZZ"  X-change in this band.K Oy<ԍ` ` #]\  PCP#See 47 C.F.R.  25.260(d).(#` Ɔ Leo One shall use its best efforts to reduce this time to 90 minutes as  X-it adds command earth stations located outside of North and South America.iLh M<ԍ` ` #]\  PCP#Id.(#` i Leo One states  X-that it will fully comply with these requirements.{M O<ԍ` ` #]\  PCP#Conforming Amendment at 13.(#` { Leo One shall promptly notify the Commission, in addition to the National Telecommunication and Information Administration ("NTIA"), of any decrease in the time it requires to implement the frequency change.  Xv-x37.` ` To ensure adequate protection of the DMSP satellite system, the Report and  Xa-Order adopted a rule that requires Leo One to demonstrate to DoD that it is capable of  XL-implementing a DoD imposed frequency change.NL O<ԍ` ` #]\  PCP#See 47 C.F.R.  25.260(e).(#` Ɔ After a successful initial demonstration, Leo One shall demonstrate successfully its capability to implement a DoD imposed frequency change only once per year thereafter, at DoD's instruction. To minimize the impact on Leo One's operations, such demonstrations shall be conducted during offpeak hours unless Leo One and DoD agree otherwise. Leo One shall define offpeak hours and coordinate with DoD in establishing a plan for such demonstrations. In the event Leo One fails to implement a DoD required frequency change and upon our receipt of a written notification from NTIA describing such failure, we reserve the right to impose additional conditions or requirements on Leo Ones authorization as may be necessary to protect the DMSP system's operations in  X}-the 400.15401 MHz downlink band.iO}F Mt<ԍ` ` #]\  PCP#Id.(#` i  XO-x38.` ` The Report and Order adopted Section 25.260(c), which requires each Leo One satellite to be capable of instantaneous and automatic shutdown if after 72 consecutive hours  X#-no reset signal is received and verified by the satellite.|P# O<ԍ` ` #]\  PCP#Id. at  25.260(c).(#` | Leo One's NVNG MSS satellites shall comply with this requirement. Leo One confirms that its satellites will comply with this  X-requirement.{Q  O*!<ԍ` ` #]\  PCP#Conforming Amendment at 13.(#` {  X-x39.` ` Leo One shall also establish a 24hour per day contact person to facilitate the"$ Q0*%%ZZ"  X-report and resolution of claims of harmful interference to DMSP system earth station users.R Oy<ԍ` ` #]\  PCP#See 47 C.F.R.  25.260(b).(#` Ɔ Leo One states that it will comply with this requirement by designating a point of contact available 24 hours a day, 7 days a week with authorization to resolve or address in an expeditious manner claims of harmful interference to the DMSP system caused by Leo One's  X-NVNG MSS system.{Sh O<ԍ` ` #]\  PCP#Conforming Amendment at 13.(#` { Leo One is required to provide this contact information to NTIA, DoD and the Commission at least three months prior to the launch of the first satellite in Leo One's system.  XH-x40.` ` #C\  P6QP##XP\  P6QXP#Leo One states that the maximum PFD produced at the Earths surface by each  X1-of its satellites in the 400.15401 MHz band will not exceed 125 dBW/m2/4kHz.oT1 O <ԍ` ` #]\  PCP#Id. at 5.(#` o Because Leo One's satellites do not exceed the PFD threshold requirement for coordination with  X -terrestrial services under the Commission's Rules, such coordination will not be required.|U  O\<ԍ` ` #]\  PCP#47 C.F.R.  25.142(a)(2).(#` |  X -x41.` ` FAI and Orbcomm express concern that Leo One's operations in the 400.15 X -401 MHz band may cause unacceptable interference to their operations in adjacent bands.V H O<ԍ` ` #]\  PCP#Comments of FAI at 12; Comments of Orbcomm at 4. (#` Ƒ As discussed above, we find that these outofband emissions concerns are resolvable through  X-coordination.W O)<ԍ` ` #]\  PCP#Reply Comments of Leo One at 5.(#`  Accordingly, we condition Leo Ones authorization to operate in the 400.15401 MHz frequency band on Leo One's completion of adjacent channel frequency sharing coordination with FAI, Orbcomm and DoD.  X4-x42.` ` In light of the significant national security interests involved, it is important to emphasize that Leo One's operations in the 400.15401 MHz band must avoid causing  X-harmful interference into the DMSP system worldwide.X  O? <ԍ` ` #]\  PCP#See Report and Order  73.(#` ƃ To protect the DMSP system, if Leo One is causing harmful interference to the DMSP system, the Commission will require that Leo One immediately terminate its interfering operations, wherever located, and the Commission will not hesitate to impose sanctions on Leo One, including monetary forfeitures and license revocations if appropriate. If NTIA notifies the Commission that the DMSP system is receiving unacceptable interference from Leo One, we will require that Leo One"( X0*%%ZZ" terminate its interfering operations immediately unless it demonstrates to our satisfaction, and that of NTIA, that it is not responsible for causing the harmful interference into the DMSP system. If Leo One's system operates in the 400.15401 MHz band, Leo One assumes the risk of any liability or damage that it and its directors, officers, employees, affiliates, agents and subcontractors may incur or suffer in connection with an interruption of its NVNG MSS service, in whole or in part, arising from or relating to its compliance or noncompliance with this condition.  XH-x` ` e. Summary  X -x43.` ` Based on our review of Leo One's application and subject to the conditions discussed herein, we find Leo One technically qualified to operate the NVNG MSS system proposed in its application.  X -x2.` ` Financial Qualifications  X-x44.` ` Consistent with Section 25.142(a)(4) of the Commission's Rules, applicants for a space station authorization in the second processing round must demonstrate that they have the finances necessary to construct, launch and operate two satellites in their systems for at  XK-least one year.YK O<ԍ` ` #\*f9 xCMX#See#]\  PCP# 47 C.F.R.  25.142(a)(4).(#` Ƨ Leo One asserts that it has the finances necessary to construct, launch and  X4-operate for one year two satellites in its NVNG MSS system.Z4h OM<ԍ` ` #]\  PCP#See Conforming Amendment at 25. (#` Ɔ FAI raises concerns that Leo  X-One's financial estimates are outdated and underestimated.[P O<ԍ` ` #]\  PCP#Letter from Aileen A. Pisciotta and Peter A. Batacan, Counsel to FAI, to Magalie R. Salas, Secretary, Federal Communications Commission, dated February 3, 1998. FAI filed this letter after the expiration of the time period for filing comments in response to Leo One's Conforming Amendment. FAI relies on Section 1.45(c) of the Commission's Rules in making this filing. However, Section 1.45(c) only permits a filing when requested or authorized by the Commission. The Commission neither requested nor authorized FAI's filing. We will, however, consider FAI's filing as an informal objection under Section 25.154(b)(3) of the Commission's Rules.(#`   X-x45.` ` Leo One certifies that the cost of construction, launch and operation for one  X-year of two satellites in its NVNG MSS system is approximately $8.2 million.\  O"<ԍ` ` #]\  PCP#Conforming Amendment at 25; Leo One Application at Appendix E.(#` ƞ It represents that its assets equal $724,590. In addition, the company certifies that its beneficial owner, The David A. Bayer Trust, maintains current assets in the form of cash and marketable" \0*%%ZZR" securities of approximately $10,000,000 and is capable of providing approximately $9,000,000  X-of funding to Leo One.h]h Ob<ԍ` ` #\*f9 xCMX##]\  PCP#Leo One Application at Appendices E and G; see also Letter dated January 22, 1998, from Robert A. Mazer and Albert Shuldiner, Counsel for Leo One, to Magalie R. Salas, Secretary, Federal Communications Commission.(#` h With respect to FAI's concerns, Leo One updated its financial estimates in its Conforming Amendment stating that there have been no material changes in  X-estimated construction, launch and operation costs.{^ Od<ԍ` ` #]\  PCP#Conforming Amendment at 25.(#` { In addition, recent advances in satellite design and production and increasing competition among satellite manufacturers and service suppliers are reducing satellite construction, launch and operation costs. Consequently, Leo One's cost estimates are plausible in view of the innovation and competition present in the satellite industry. When considered together, Leo One's and The David A. Bayer Trust's current assets are sufficient to finance the estimated $8.2 million construction, launch and operation costs for one year of two satellites in Leo One's NVNG MSS system. We, therefore, find Leo One financially qualified under Section 25.14(a)(4) of the Commission's Rules.  X -C.xOperations in Other Spectrum  X -x  46.` ` The spectrum sharing plan adopted in the Report and Order permits Leo One to operate in the 148.855148.905 MHz frequency band on a shared basis with the System 2  X{-NVNG MSS licensee and Orbcomm, if System 3 does not use this band for feeder uplink._{ O<ԍ` ` #]\  PCP#See Report and Order  30.(#` Ɔ Upon the Commission's determination that the System 3 NVNG MSS licensee will not use the 148.855148.905 MHz spectrum for feeder uplink, the Commission shall permit Leo One to share this spectrum with the System 2 NVNG MSS licensee and Orbcomm for service links, under the same conditions that are applicable to Leo One's operations in the 148.0 X-148.25 MHz band.`8 O<ԍ` ` #\*f9 xCMX#Id.#]\  PCP#  29.(#` Ɠ  X-x47.` ` As adopted in the Report and Order, Leo One, as System 1, shall be permitted to operate in the 400.505400.5517 MHz, 400.5517400.5983 MHz and 400.5983400.645 MHz frequency bands outside of a processing round upon the System 2 NVNG MSS licensee's surrender of its authorization, the System 2 NVNG MSS licensee's notification to the Commission that it is discontinuing its use of these bands, or the Commission's revocation of the System 2 NVNG MSS licensee's authorization, subject to the same conditions imposed upon the System 2 NVNG MSS licensee's operations in these bands"R`0*%%ZZ" (including, but not limited to, permission from the Government of France to operate in the 400.5517400.5983 MHz band and timesharing with VITA's authorized system in the  X-adjacent bands).a OK<ԍ` ` #]\  PCP#See id.  30.(#`   X-D.x  Proposed Allocation of 455456 MHz and 459460 MHz Bands  X-  Xv-x48.` ` In its application, Leo One requests that the Commission assign the 455456 MHz and 459460 MHz uplink frequency bands for use in Region 2 only. FAI comments that Leo One's request to operate in this spectrum is premature in light of the Commission's  X1-pending rulemaking to allocate domestically these frequency bands to the MSS service.vb1h OJ <ԍ` ` #]\  PCP#Comments of FAI at 12.(#` v As  X -discussed in the Report and Order, the Commission has initiated a rulemaking proceeding  X -proposing to allocate these bands domestically to the MSS service.]cj  O<ԍ` ` #]\  PCP#See Amendment of Part 2 of the Commission's Rules to Allocate the 455456 MHz and 459 {O-460 MHz Bands to the MobileSatellite Service, Notice of Proposed Rulemaking, ET Docket No. 97214, FCC 97363 (rel. October 14, 1997).(#` ] Until these bands are domestically allocated to the MSS service, we decline to assign them to Leo One or any other second processing round NVNG MSS licensee.  X -E.xExclusive Arrangements  X{-x49.` ` As an NVNG MSS licensee, Leo One shall comply with the requirements of  Xd-Section 25.142(d) of the Commission's Rules adopted in the Report and Order. Section 25.142(d) prohibits a NVNG MSS licensees from entering into exclusive arrangements with  X8-other countries concerning communications to and from the United States.4d8: O#<ԍ` ` #\*f9 xCMX#See #]\  PCP#47 C.F.R.  25.142(d). We imposed the same type of restriction on Big Leo licensees. See  yO-47 C.F.R.  25.143(h).  (#` 4 The purpose of this rule is to promote competition in the Little LEO service markets in the United States. The prohibition against exclusive arrangements reduces the likelihood that a NVNG MSS licensee can foreclose other NVNG licensees from serving a foreign market, providing a global service, and competing effectively with other systems that serve the United States.  X-x50.` ` At the same time, we recognize that spectrum coordination and availability as well as market size and commercial opportunities in a particular country may limit the number of systems that can serve a foreign country. The prohibition against exclusive arrangements in Section 25.142(d) is not intended to penalize the sole service provider in a particular market if spectrum and market limitations prohibit another system from entering"R d0*%%ZZ" and serving the particular market. Therefore, we do not expect Leo One to forego opportunities for its NVNG MSS system to serve foreign markets based on the possibility that it may be the only service provider in the market.  X-F.xConstruction and Launch Milestones  Xv-x51.` ` In the First Processing Round Report and Order, the Commission generally required a licensee to commence construction of the first two satellites in its NVNG MSS  XJ-system within one year of grant of its construction permit.eJ O <ԍ` ` #]\  PCP#First Processing Round Report and Order  18.(#` ƙ Construction of the remaining satellites in its system was to be commenced within three years of grant. Construction of the first two satellites was to be completed within four years of grant and the entire system must be launched and operational within six years of grant. The Commission reserves the flexibility, however, to establish different construction, launch and operation milestones for an applicant depending on an applicant's particular circumstances.  X -x52.` ` The First Processing Round Report and Order milestones shall apply to Leo One in connection with the construction, launch and operation of its NVNG MSS system. Leo One indicates that it will comply with these construction, launch and operation  Xf-milestones.ffh O<ԍ` ` #]\  PCP#See Conforming Amendment at 25.(#` ƅ Because we no longer issue construction permits to satellite applicants, the construction, launch and operation milestone periods for Leo One will commence from the effective date of this Order. x  X -G.xInternational Coordination  X- x53.` ` In general, we will follow the applicable advancepublication, coordination and notification procedures set forth in the International Telecommunication Union ("ITU") Radio Regulations in coordinating Leo One's satellites and use of the frequency spectrum with other affected administrations and for consultations pursuant to Article 14 of the INTELSAT  X-Agreement and in Article 8 of the Inmarsat Convention.g O9<ԍ` ` #\*f9 xCMX#See#]\  PCP# 47 C.F.R.  25.111(b).(#` Ƥ Leo One shall provide the Commission with all information necessary to comply with these processes. In view of Leo One's intention to locate earth stations and operate mobile user terminals in connection with its NVNG MSS system outside of the United States, the Commission will retain jurisdiction to require Leo One to meet both its international obligations and the obligations imposed by other licensing administrations. All authorizations and approvals required by another country in connection with the operation of Leo One's NVNG MSS system including, but not limited"g0*%%ZZ<" to, its earth stations, mobile user terminals and satellites, will remain solely within the host country's jurisdiction.  X-x` `  hh IV. Conclusion  X-x54.` ` We find that Leo One is legally, technically and financially qualified under the Commission's Rules to construct, launch and operate the space segment of its NVNG MSS system in those parts of the 148150.05 MHz, 400.15401 MHz and 137138 MHz frequency  XH-bands that are designated for System 1 in the spectrum sharing plan adopted in the Report  X3-and Order, subject to the conditions set forth in this Order. Accordingly, Leo One is authorized to be a Commission space segment licensee and, pursuant to Section 309 of the  X -Act,sh  O <ԍ#]\  PCP#` ` 47 U.S.C.  309.(#` s we find that grant of Leo One's application will serve the public interest, convenience and necessity.  X -R   X -NV. Ordering Clauses TP  X-x55.` ` Accordingly, IT IS ORDERED, subject to the conditions set forth in this Order, that application File Nos. 57DDSP/LA94(48), 27SATAMEND95, 10SATAMEND98 and 64SATAMEND98 ARE GRANTED, and Leo One IS AUTHORIZED to construct, launch and operate 48 NVNG satellites to provide mobilesatellite service in the United States of America in accordance with the frequency bands designated for System 1 in the spectrum  X!-sharing plan adopted in the Report and Order, FCC 97370 (rel. October 15, 1997), generally including the 148150.05 MHz, 400.15401 MHz and 137137.025 MHz frequency bands, in accordance with the technical specifications set forth in its application and subject to compliance with the provisions of Parts 2 and 25 of the Commission's Rules governing frequency allocations and satellite operations, unless expressly waived by the Commission.  X-x56.` ` IT IS FURTHER ORDERED that if NTIA notifies the Commission that the DoD DMSP system is receiving unacceptable interference from Leo One's NVNG MSS system, we will require Leo One to terminate its interfering operations immediately unless it demonstrates to our satisfaction, and that of NTIA, that it is not responsible for causing harmful interference into the DoD DMSP system. If Leo One's system operates in the 400.15401 MHz band, Leo One assumes the risk of any liability or damage that it and its directors, officers, employees, affiliates, agents and subcontractors may incur or suffer in connection with an interruption of its NVNG MSS service, in whole or in part, arising from or relating to its compliance or noncompliance with this condition.  X!-x57.` ` IT IS FURTHER ORDERED that Leo One's authorization to operate in the 400.15401 MHz frequency band is subject to Leo One's successful completion of an initial""hh0*%%ZZ!" and subsequent annual demonstrations of its capability to implement a DoD imposed frequency change in the 400.15401 MHz frequency band. In the event that the Commission receives written notification from NTIA describing Leo One's failure to complete successfully any such demonstration, the Commission shall impose additional conditions or requirements on Leo One's authorization as may be necessary to protect the DoD DMSP system's operations in the 400.15401 MHz band.  X_-x58.` ` IT IS FURTHER ORDERED that, unless extended by the Commission for good cause shown, Leo One's authorization will become NULL AND VOID in the event that the 48 low Earth orbiting nonvoice, nongeostationary mobile satellite service space stations are not constructed, launched and successfully placed into operation in accordance with the technical parameters and terms and conditions of this authorization by the following dates:  X -4 <DL!X` hx (#%'0*,.8135@8: