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À ?        ? ? ?      ?    8?       ? ? ~  ?  ? ?  ? ?  ?    ?  ? ??  ?   ?   ? ??  ?   ?  ? ? ? ? ? ? ? ? ?  ? ?   ?   ?   ?  ?  ? ?? ? ? ??? ~?   ? ? ? ?? ? ??  ? ? ??  ?  ?  ?À? ? ?? ?? ?? ? ? ? ?? ?? ??? ? ?? ?? ? ? ?? ? ?? ??  ??  ???  ?  ?  ? ?? ??  ?  ?  >?  ?  ?? - ?: 9 4ǀ? ?4 4 4? 4 4 4 4 5? 5 4 ?4 ?4 5 5 5 ?1? ?1 ?1 ?1 ?0 1x 1 / /? ?/π / / / .? ??.? ?. <. - - - --,,?,,-?----?+?* ??* ?+,>,,,?,?,?,--.?.?.?.%?À%%%%%%?%%?%?%?%&&'''?'?'?''?'())))x)?)?)?))*+++ǀX? π? ? ??? ##?&#&#? %#0%#x?%#?x%#?|%#?%#?%#?%#?%#%#%#%# ?%# $# ?$#?$# $# ?$# $#$#$#$#$#$#$#$###??####?##?##?#$ ?#$'$?'$'*'*'+'++XCL" Y-  ` $#K2pPG;#News media Information 202 / 4180500 `$4FaxOnDemand 202 / 4182830 `$LInternet: http://www.fcc.gov `c!$ ftp.fcc.gov  L-#&h2pPG;p&#Federal Communications Commission 1919 M Street, N.W. Washington, D. C. 20554  c#^2pPG;#y:  dddy  M8{i#^2pPG;##,92pPG;J,#This is an unofficial announcement of Commission action. Release of the full text of a Commission order constitutes official action. See MCI v. FCC. 515 F 2d 385 (D.C. Circ 1974).  y: 5 dddhy  M8i U 1  1  Figure 1  Figure 1 y!HH@Uddfcclogo.wpgHHy! Xz dd.8u H#S2pPG;h# NEWS L X   #Xw PE37WXP#Report No. IN 9818 INTERNATIONAL ACTION April 24, 1998  Y-COMMISSION DECLARES COMSAT NONDOMINANT IN COMPETITIVE MARKETS;  Y- \ ISSUES NPRM ON TRANSITION FROM RATE OF RETURN REGULATION TO ALTERNATIVE INCENTIVEBASED REGULATION IN NONCOMPETITIVE  Y-h MARKETS  Yv-g AND COMMITS TO EXAMINE DIRECT ACCESS IN FUTURE PROCEEDING O(IB DOCKET 9860) t  X1-\#o\  PC ߊXP## o\  PC ߊXP#The Commission has granted the request of Comsat Corporation for reclassification as a nondominant common carrier in five product markets, which account for approximately 85% of Comsat's INTELSAT revenues. Specifically, the Commission found Comsat nondominant in the provision of INTELSAT switched voice, private line, and occasionaluse video services to markets that it determined to be competitive. It also found Comsat nondominant in the provision of fulltime video and earth station services in all markets. In the markets where Comsat has been reclassified as nondominant, Comsat will be allowed to file tariffs on one day's notice, without economic cost support, in the same form as filed by other nondominant common carriers, and the tariffs will be presumed lawful. By virtue of finding Comsat nondominant in these markets, the Commission is eliminating rate of return  XK-regulation in these markets. The Commission also indicated it expeditiously would initiate a proceeding to explore the legal, economic and policy implications of enabling users to have direct access to the INTELSAT system. Approximately 94 other countries permit direct access to the INTELSAT system. The Commission denied Comsat's nondominant reclassification request with respect to switched voice, private line and occasionaluse video services to noncompetitive markets where it found that Comsat remains dominant. It also denied Comsat's request that the Commission forbear under Section 10 of the Communications Act from enforcing the Commission's dominant common carrier tariff rules in noncompetitive markets. The Commission considered but rejected Comsat's threeyear "price cap" and "uniform pricing" proposals for these markets, and found that Comsat did not satisfy the statutory requirements for forbearance relief under the circumstances. The Commission indicated, however, that it would favorably consider in its analysis of any forbearance request a commitment by Comsat to (a) allow U.S. carriers and users to obtain Level3 direct access to the INTELSAT system and (b) make an appropriate waiver of its INTELSAT derived immunity from suit and legal process. Such actions would promote competitive market conditions in the INTELSAT markets in which Comsat remains dominant. "#,$$ ""Ԍ $d " $d  $d    $d The Commission also indicated that it will consider replacing rate of return regulation for Comsat's dominant markets with an alternative form of incentivebased regulation and, as part of its reclassification decision, the Commission issued a Notice of Proposed Rulemaking seeking public comment on its tentative conclusions that any alternative incentivebased regulation plan to be adopted should (a) enable users on noncompetitive routes to benefit from competitive rates; (b) remain in effect indefinitely; and (c) allow users to benefit from reduced rates due to increases in efficiency and productivity. Comsat will be subject to alternative incentivebased regulation once such regulation is adopted in this proceeding. Finally, the Commission found that Comsat's continued dominance in the provision of switched voice, private line and occasionaluse video services to noncompetitive markets was an insufficient basis for continuing to require structural separation between Comsat's INTELSAT services and other activities. It concluded that the costs of imposing such a requirement would exceed any potential benefits to competition. The Commission granted Comsat's request for the elimination of structural separation for its INTELSAT services because structural separation is no longer necessary to safeguard Comsat's competitors from Comsat leveraging its monopoly jurisdictional services to gain an advantage in competitive markets in which it is operating. The 63 countries in which Comsat will continue to be considered dominant for switched voice and private line services are:  yO-(#҇ # x6X@`7QQX@##X\  P6G; sP#1.Algeria  yO-2.American Samoa  yO-3.Angola  yO^-4.Armenia   yO&-5.Azerbaijan   yO-6.Benin   yO-7.Bolivia   yO~-8.Bosnia & Herzegovina  yOF-9.Botswana  yO-10.Burkina  yO-11.Cameroon  hhCq  yO-12. Cape Verde  yOf-13.Central African Republic  yO.-14.Chad  yO-15.Congo  yO-16.Cote d'Ivoire  yO -17.Estonia  yON!-18.Ethiopia  yO"-19.French Polynesia  yO"-20.Gabon  yO#-21.Ghana  yOn$-22.Guinea  yO6%-23.Iran  yO%-24.Iraq  yO&-25.Jordan  yO'-26.Kenya  yOV(-27.Lesotho  yO)-28.Libya  yO)-29.Lithuania"),**aaN*"Ԍ yO-30.ppMalawi  yO-31.ppMali  yO-32.ppMaritime -Atlantic  yO^-33.ppMaritime -Pacific  yO&-34.ppMauritania  yO-35.ppMauritius  yO-36.ppMicronesia, Federated States of  yO~-37.ppMidway Atoll xxX  yOF-38.ppMoldova  yO-39.ppMozambique  yO-40.ppNamibia  yO-41.ppNauru  yOf- 42.ppNew Caledonia  yO.-43.ppNicaragua  yO-44.ppNiger  yO- 45.ppNorthern Mariana Islands  yO -46.ppPacific Islands (Palau)  yON!-47.ppParaguay  yO"-48.ppRwanda  yO"-49.ppSaint Helena  yO#-50.ppSenegal  yOn$-51.ppSierra Leone  yO6%-52.ppSomalia  yO%-53.ppSudan  yO&-54.ppSuriname  yO'-55.ppSwaziland  yOV(-56.ppTanzania  yO)-57.ppTogo  yO)-58.ppTongaH),**aaN*$*V**aaHԌ yO-59.Turks and Caicos Islands  yO-60.Uganda  yO-61.Western Samoa  yOX-62.Zaire  yO -63.Zambia " ,**aaH" H,**aa$~~**aaHԯ   Xx-# Xj\  P6G; ߊXP#The 142 countries in which Comsat will continue to be considered dominant for occasionaluse video service are:  yO3-(#H 8(#҇# Xj\  P6G; ߊXP# # &a\  P6G; /&P# # X\  P6G; sP#South America Columbia French Guiana Guyana Paraguay Suriname Trinidad & Tobago  yO;  yO-Central America /  yO Caribbean Anguilla Antigua Aruba Bahamas Belize Bermuda British Virgin Islands Cayman Islands Chagos Archipelago  yO+- Costa Rica Dominica Dominican Republic El Salvador Gibraltar Grenada Guadeloupe Guatemala Haiti Honduras Martinique Montserrat Netherlands Antilles Panama Saint Kitts & Nevis  yO%- Saint Lucia Saint Vincent Turks & Caicos  yO) "),**aa+"Ԍ yO3ԙWestern Europe  yO- Cyprus Greenland Iceland Malta Norway  yO; Eastern Europe  yO- Albania Belarus Bulgaria Czech Republic Estonia Lithuania Macedonia Moldova Russia Serbia Slovenia  yO+ Middle East Bahrain Iran Israel Jordan Kuwait Lebanon Oman Qatar Saudi Arabia Syria United Arab Emirates Yemen  yO%-  yO& Africa  yO;(- Algeria Angola Benin"),**aaM+"ԌBotswana Burkina Faso Burundi Cameroon Cape Verde Central African Republic Chad Congo Dem Rep Congo Djibouti Egypt Eq. Guinea Ethiopia Gabon Gambia Ghana Guinea GuineaBissau Ivory Coasat Kenya Lesotho Liberia Libya Madagascar Malawi Mali Mauritania Mauritius Morocco Mozambique Namibia Niger Nigeria Rwanda Saint Helana Sao Tome Senegal  yO%-Sierra Leone Somalia South Africa  yOs'- Sudan Swaziland Tanzania TogoR),**aa+.**(#"3aF#**aaRԌ yO- Tunisia Uganda Zaire Zambia  yO -Zimbabwe Central Asia  yO@- Afghanistan Armenia Azerbaijan Georgia Kazakhstan  yO - Kyrgystan Mongola Myanmar  yOH -Tajikistan Turkmenistan Uzbekistan  yO0 South Asia  yO- Bangladesh India Maldives Nepal Pakistan  yO-Sri Lanka  yO Far East Brunei  yOX-Cambodia Laos Malaysia North Korea South Korea  yO@-Thailand Vietnam  yO`"  yO#  yOH&Pacific Rim American Somoa Fiji French Polynesia"h),**aa*"ԌMacau Marshall Islands Micronesia Midway Islands Nauru New Caledonia New Zealand Palau Papua New Guinea Tonga Vanatu Western Somoa  yO` -  S -   # &a\  P6G; /&P#" ,**aa " R,**aa.0*X O1$$**aaR ",**aa" ",**aa" R,**aa.'Q'Q'Q'Q**aaRԯ X-# Xj\  P6G; ߊXP#Action by the Commission April 24, 1998, by Order and Notice of Proposed Rulemaking (FCC 9878). Chairman Kennard, Commissioners Ness, FurchtgottRoth, Powell  X-and Tristani. fr FCC News Media contact: Rosemary Kimball at (202) 4180500. International Bureau contacts: Jim Ball (202) 4180427 ` `   Peter Pappas (202) 4180746 ` `   Dan Connors (202) 4180755   S -# &a\  P6G; /&P#