Howard Buskirk

Q Link Wireless CEO Issa Asad faces years in prison and a fine of more than $100 million after pleading guilty to fraud tied to the FCC’s Lifeline program. Asad also pleaded guilty to money laundering through the COVID-19-era Paycheck Protection Program. FCC Chairwoman Jessica Rosenworcel on Wednesday welcomed the guilty pleas. Dania Beach, Florida-based Q Link offers coverage throughout the U.S. Asad and Q Link “engaged in multiple tricks designed to mislead the FCC about how many people were actually using Q Link’s Lifeline phones, and to prevent customers who did not want the phones from ending their relationship with Q Link (which would have prevented Q Link from billing the program for them),” said a DOJ news release: “The Defendants manufactured non-existent cellphone activity and engaged in coercive marketing techniques to get people to remain Q Link customers.” Asad admitted that he received approximately $15 million from Q Link as a result of the fraud. Asad’s plea agreement includes a joint recommendation that he serve the statutory maximum sentence of five years in prison on the fraud charge, the DOJ said. The statutory maximum sentence on the money laundering charge is 10 years. “Asad’s exact sentence will be determined by the Court after considering the U.S. Sentencing Guidelines and other statutory factors,” DOJ said. U.S. District Judge Rodolfo Ruiz set a sentencing hearing for Jan. 15. “Deceptive schemes that exploit at-risk communities and manipulate federal support for phone and broadband services should not go unpunished,” Rosenworcel said. Asad and Q Link “purposefully defrauded two critical federal programs helping individuals and businesses suffering financial hardship, unlawfully taking hundreds of millions of dollars for their own use and profit, while obstructing the United States’ ability to help people who, unlike the Defendants, needed it,” said Markenzy Lapointe, U.S. attorney for the Southern District of Florida.

Carriers can't rely on technology vendors or other companies to find a path forward on AI, Danielle Rios, acting CEO of software company Totogi, said Tuesday during a TelecomTV forum on the AI-native telco. Vendors themselves are still figuring out AI, Rios said. Other speakers agreed that companies must collaborate to make AI in telecom a success.

The Biden administration is moving forward on the national spectrum strategy, in some cases more quickly than is widely recognized, Shiva Goel, NTIA senior spectrum adviser, told the Mobile World Congress in Las Vegas last week. Goel’s comments build on the remarks of NTIA Administrator Alan Davidson at MWC (see 2410090045). “We're hard at work already on lower 3 and 7 and 8 [GHz],” Goel said. “We're bringing lower 37 [GHz] to a close” and “18 GHz is in full swing already, and then there's everything else.” Goel said DOD, which is working with NTIA on the lower 3 GHz study, hasn’t been “secretive” about its “preference for a … solution” based on dynamic spectrum sharing. “We're supporting” DOD “in building a demo of that capability,” but “that doesn't mean we can't also collaborate on other options for the band.” The strategy’s research and development plan is in its final stages, he said. On staffing, “we're getting the agencies together to spot gaps and ways to fill them to make sure we have people in government able to do this work far into the future.” Goel continued: “Our spectrum problems aren't getting any easier.” The relationship between NTIA and the FCC “is as good as I've ever seen it,” said Ira Keltz, the commission’s new acting chief engineer. The No. 1 priority is the proposed spectrum pipeline and the FCC’s Spectrum Steering Team, which he co-chairs, is hard at work, Keltz said. “We've got plenty of staff at the commission completely engaged in all the activities that are going on.” The top priorities are the lower 3 and 7.8 GHz studies, but the FCC is also focused on 37 GHz, he said. “There's still a ways to go” on the strategy, said Will Johnson, Verizon senior vice president-federal regulatory and legal affairs, “but there [are] also things to celebrate.” The wireless industry knows it will need about 1,500 MHz of mid-band spectrum over the next 10 years, and the pipeline “still remains fairly uncertain,” Johnson said: “We know some bands that are being studied. … But in terms of knowing which bands are actually going to make their way all the way through to commercial use, to auction, we're pretty far from having that kind of clarity at this point.” Luciana Camargos, GSMA head of spectrum, called for more leadership from the U.S. During the World Radiocommunication Conference last year, the U.S. message was that it didn’t want international mobile telecommunications in the 6 GHz band, but it failed to offer alternatives, Camargos said. The U.S. “didn't even support the new agenda item” looking at 4, 7 and 15 GHz, she said: “To me, that's very relevant. … If you don't support looking forward, how can you lead on this?” Keltz said the FCC understands wireless industry concerns about a spectrum pipeline. "We need high-powered dedicated spectrum," he said: "I think we need a little of everything. ... We need to make sure that our unlicensed industry has spectrum they can use." CTIA and GSMA co-sponsor MWC.

The U.S. Chamber of Commerce said the FCC should avoid taking the steps proposed in an AI NPRM. Commissioners approved the NPRM 5-0 in August. Conversely, consumer groups supported the proposed rules. Comments were due last week and posted Thursday and Friday in docket 23-362.

FCC Commissioners Nathan Simington and Geoffrey Starks warned the Mobile World Congress in Las Vegas that the FCC’s loss of general spectrum auction authority last year is hampering U.S. competitive efforts against major rivals in the 6G race. CTIA President Meredith Baker sounded a similar theme at the beginning of the conference, which CTIA sponsors with GSMA (see 2410080044).

Industry officials continued questioning AT&T’s Wednesday proposal that calls for major changes in how 3 GHz, including the citizens broadband radio service band, is configured (see 2410090037). Monisha Ghosh, University of Notre Dame engineering professor and former FCC chief technologist, said AT&T's proposal leaves some questions unanswered. While in principle it’s “desirable to have high-power and low-power users separated by one boundary, the AT&T proposal doesn’t address how the existing Navy radars in the CBRS band will be protected” or “relocated and how spectrum sharing in 3.1-3.45 GHz will be implemented,” Ghosh told us, noting there are now 120 different kinds of radar in the band. Ghosh warned against drawing conclusions before the administration completes its study of the lower 3 GHz band called for in the national spectrum strategy. Moreover, Ghosh disagreed with AT&T that CBRS is "underutilized.” Relocating CBRS devices into another band that’s not an existing 3rd Generation Partnership Project band wouldn’t be a “trivial” problem, she said. Meanwhile, Public Knowledge Senior Vice President Harold Feld wrote in an email, “When you have a hammer, everything looks like a nail,” and when you’re a carrier “everything looks like it should be optimized for mobile broadband.” Feld added, “CBRS was designed to permit new kinds of innovation by different actors, such as stadiums, large warehouses, ports, or enterprise customers looking to run their own private networks.”

AT&T on Wednesday called for major changes in how 3 GHz, including the citizens broadband radio service band, is configured, going beyond what the FCC proposed in an August NPRM (see 2408160031). Meanwhile, during a Broadband Breakfast webinar Wednesday, experts said the CBRS band has demonstrated the value and importance of spectrum sharing.

NTIA remains “on track” to deliver on initial commitments under the national spectrum strategy that the Biden administration released in November (see 2311130048), NTIA Administrator Alan Davidson said at the Mobile World Congress in Las Vegas. Davidson also defended the administration’s progress under the $42.5 billion broadband equity, access and deployment (BEAD) program, a recurring target of Republican criticism (see 2409270032).

The FCC and the U.S. government on Wednesday asked the 5th U.S. Circuit Appeals Court to hold in abeyance a challenge of the agency's Oct. 25 declaratory ruling authorizing E-rate funding for Wi-Fi on school buses (see 2312200040), pending a U.S. Supreme Court decision in another case. That SCOTUS case, U.S. Nuclear Regulatory Commission v. Texas, examines whether the Hobbs Act permits a “party aggrieved” by an agency’s “final order” to seek review in a federal court of appeals and “allows nonparties to obtain review of claims asserting that an agency order exceeds the agency’s statutory authority.” The appeal is of another case by the 5th Circuit. Maurine and Matthew Molak, concerned about unsupervised access of students to social media, brought the school bus case. Their son died by suicide at 16 after he was cyberbullied. The FCC disputed whether the Molaks had legal standing to appeal the order because they didn't participate in the FCC proceeding (see 2406040024). “The Supreme Court’s decision” in the NRC case “may invalidate petitioners’ sole basis for asserting that this Court can review their petition, and require this Court to grant respondents’ pending motion to dismiss,” the FCC said in the Wednesday filing: “To avoid a potentially needless expenditure of judicial and litigation resources, this Court should grant the requested abeyance.” The FCC noted the Molaks' argument that they had standing was predicated on the 5th Circuit’s holding in the case before SCOTUS: Should the high court conclude "that the Hobbs Act does not allow nonparties to obtain review of claims asserting that an agency order exceeds the agency’s statutory authority, petitioners will have no basis for seeking judicial review under the Hobbs Act, and this Court must grant the Commission’s pending motion to dismiss.” Oral argument in the school bus case is scheduled for Nov. 4 (see 2409260046). The Molaks, meanwhile, asked the FCC not to include Wi-Fi gear for off-premise or school bus use in its FY 2025 list of eligible services under the E-rate program. “Subsidizing off-premises use of Wi-Fi hotspots means facilitating unsupervised social media access by children and teenagers, which means enabling the very sort of destructive behavior that we all should strive to prevent,” said a filing posted Wednesday in docket 13-184.

CTIA President Meredith Baker warned Tuesday that the U.S. will fall behind other countries unless Congress restores FCC auction authority, in remarks to the Mobile World Congress in Las Vegas. Baker quoted Paul Milgram, the economist whose work led to the first spectrum auction. The loss of auction authority is “nuts,” she said. The agency’s auction authority lapsed in March 2023 (see 2303100084).