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If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ***************************************************************** Before the Federal Communications Commission Washington, D.C. 20554 In Re Application of ) ) ntta.com inc. ) File No. ITC-97-058 ) Application for Authority under ) Section 214 of the Communications ) Act of 1934, as amended, to Provide ) Facilities-based and Resale Services to ) all Eligible International Points, ) except Japan and Sri Lanka ) ORDER, AUTHORIZATION AND CERTIFICATE Adopted: October 3, 1997 Released: October 3, 1997 By the Chief, Telecommunications Division: I. INTRODUCTION 1. In this Order, we grant ntta.com inc. ("ntta.com") authority pursuant to Section 214 of the Communications Act of 1934 to provide facilities-based and resold switched service to all eligible international points, except Japan and Sri Lanka. II. BACKGROUND AND PLEADINGS 2. Ntta.com is a wholly-owned subsidiary of Nippon Telegraph and Telephone Corporation ("NTT"). NTT is a Japanese corporation that provides domestic telecommunications services in Japan. Ntta.com does not currently provide service in the United States. 3. Ntta.com originally requested Section 214 authority to provide international facilities- based and resold switched services between the United States and all eligible international points, except Japan. On September 11, 1997, ntta.com amended its application to exclude service to Sri Lanka. Ntta.com certified that it is not affiliated within the meaning of Section 63.18(h)(1) with foreign carriers in any country, other than Japan and Sri Lanka. 4. Ntta.com's application was put on public notice on February 11, 1997. On March 7, 1997, the Office of the U.S. Trade Representative (USTR) and the Departments of Commerce and State requested a delay of any action on the application while they conducted a review of trade policy concerns raised by the application. The American Electronics Association (AEA) and the Telecommunications Industry Association (TIA) expressed serious concerns about market access in Japan for telecommunications products and services and requested the Commission to take these concerns into account in reviewing the application. TIA and AEA cited problems with NTT relating to interconnection, discriminatory equipment standards, and non-transparent procurement procedures. Ntta.com responded that AEA and TIA's comments focus on NTT equipment procurement matters and interconnection, which have no relevance to ntta.com's application to provide international services. On September 8, 1997, USTR and the Departments of Commerce and State informed the Commission that they no longer have any objections to Commission consideration of the application. III. DISCUSSION 5. The Commission determined in the Foreign Carrier Entry Order that carriers seeking to provide international services to countries in which they do not have an affiliate with market power need not demonstrate that the destination country offers "effective competitive opportunities" ("ECO") for U.S. carriers to offer like services. Since ntta.com has certified it has no affiliates in the destination markets it seeks to serve, we do not conduct an ECO analysis. 6 . Generally, we agree with ntta.com that the concerns raised by AEA and TIA are not relevant to determination of this application because they are not part of the ECO analysis. But in the Foreign Carrier Entry Order, we determined that we would take trade policy concerns into account as part of our public interest analysis if raised by the Executive Branch. Accordingly, we delayed consideration of this application while the Executive Branch conducted a review of trade policy concerns raised by the application. The Executive Branch informed the Commission that it is no longer requesting a delay of action. Since there are no other objections to the grant of this application, we conclude that the public interest will be served by grant of this application. 7. We find that competition in the U.S. market for international services will be increased and the present and future public convenience and necessity will be served by the grant of ntta.com's application to provide international services between the United States and all eligible international points, other than Japan and Sri Lanka. We therefore grant ntta.com's application and will treat ntta.com as non-dominant in its provision of facilities-based and resold switched services on routes between the United States and all eligible international points permitted by this order. IV. ORDERING CLAUSES 9. Accordingly, IT IS ORDERED that application File ITC-97-058 IS GRANTED and ntta.com inc. is authorized to provide facilities-based and resold switched services between the United States and all eligible international points, except Japan and Sri Lanka, in accordance with Sections 63.18(e)(1) and (e)(2) of the Commission's rules. 10. It is FURTHER ORDERED that ntta.com inc., as a non-dominant carrier in the provision of facilities-based and resold switched services between the United States and all international points permitted by this order, shall comply with the requirements specified in Sections 43.82, 63.15(b) and 63.21 of the Commission's rules. 11. This Order is issued under Section 0.261 of the Commission's Rules and is effective upon adoption. Petitions for reconsideration under Section 1.106 or applications for review under Section 1.115 of the Commission's Rules may be filed within 30 days of the date of the public notice of this Order. FEDERAL COMMUNICATIONS COMMISSION Diane J. Cornell Chief, Telecommunications Division International Bureau