FCC Approves Transfer of SkyTerra to HCP

The FCC approved the transfer of control of SkyTerra to Harbinger Capital Partners. SkyTerra is building two new satellites for a next generation ancillary terrestrial network, which will offer ubiquitous mobile + satellite communications across North America for public safety, homeland security, aviation, transportation and entertainment. Dual-Mode handsets would work on both 700 MHz public safety terrestrial networks and on satellites when terrestrial networks are unavailable or inaccessible. The first of two SkyTerra next-generation satellites is planned for launch this year.


Harbinger said it plans to use SkyTerra's spectrum in concert with its other investments in radio frequencies to implement an open next generation terrestrial network and mobile satellite system. The new network could lead to increased competition in mobile broadband services, a goal supported by the FCC's newly released National Broadband Plan.


Philip Falcone, Chief Executive Officer of HCP said that, "The FCC's broadband policies have given us the confidence to make a series of investments that will bring new competition and innovation to all Americans. This announcement by the FCC sets the stage for the launch of our business plan whose objective is nothing less than to revolutionize how Americans use and experience wireless communications in the 21st century."


On a separate item, the FCC's International Bureau also granted SkyTerra's application for a modification of certain terms of its ancillary terrestrial component (ATC) authorization. This approval allows SkyTerra to implement its Cooperative Agreement with Inmarsat and deploy a robust terrestrial mobile broadband network, which will be integrated with SkyTerra's satellite network.
http://www.skyterra.com
http://www.harbingercapital.com/