NEWSReport No. DC 96-61    ACTION IN DOCKET CASE              June 27, 1996
                                    
           FCC VOTES TO PERMIT FLEXIBLE SERVICE OFFERINGS IN THE
                     COMMERCIAL MOBILE RADIO SERVICES
                           (WT Docket No. 96-6)

                Today, the FCC adopted rules to allow wireless communications providers, such as
cellular, Personal Communications Services (PCS), and paging carriers, flexibility in
determining the mix of mobile and fixed services that they will provide to the public. 
Specifically, the Commission adopted rules that will permit many Commercial Mobile Radio
Service (CMRS) providers to use their spectrum to offer fixed services on a co-primary basis
with mobile services.  As a result, wireless carriers will be able to offer consumers an array
of mobile services, fixed services, or combinations of the two, thus encouraging the
development of more diverse and innovative service options for the public.  

                One such innovation likely to be provided in the near future by PCS and other
wireless providers is fixed "wireless local loop" services, which will use wireless links to
provide telephone service to homes and offices.  By developing a wireless local loop,
providers will have the potential to compete with wireline telephone companies in the local
telephone exchange market.   

                The rules adopted today replace rules that limited certain CMRS providers to offering
fixed services on an "ancillary," "auxiliary," or "incidental" basis to mobile services.  The
Commission concluded that these regulatory limitations had caused uncertainty among
wireless carriers as to the scope of fixed services that were allowed under our rules, and
could potentially inhibit development of wireless local loop and other fixed services.  

                The Commission also adopted a Further Notice of Proposed Rule Making seeking
comment on the appropriate regulatory treatment of CMRS carriers who provide fixed
services.  The Commission proposed to establish a presumption that CMRS licensees offering
fixed service would be regulated as CMRS, and seeks comment on what factors should be
used to support or rebut that presumption.  

                Action by the Commission June 27, 1996 by Report & Order and Further Notice of
Proposed Rulemaking (FCC 96-283). Chairman Hundt, Commissioners Quello, Ness, and
Chong, with Commissioner Ness issuing a separate statement.
                                  - FCC -

                News Media contact:  Kara Palamaras at (202) 418-0654.
                Wireless Telecommunications Bureau contact:  David Krech at (202) 418-0620.