*Pages 1--3 from Microsoft Word - 20521.doc* NEWS Federal Communications Commission 445 12 th Street, S. W. Washington, D. C. 20554 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). News Media Information 202 / 418- 0500 Internet: http:// www. fcc. gov TTY: 1- 888- 835- 5322 FOR IMMEDIATE RELEASE: NEWS MEDIA CONTACT: August 8, 2002 Meribeth McCarrick at (202) 418- 0654 FCC STREAMLINES PART 22 OF ITS RULES Eliminates Analog Service Requirement After Five- Year Transition Period Washington, DC -- As part of its Biennial Review of regulations, today the Federal Communications Commission made significant modifications to Part 22 of its rules that cover the Cellular Radiotelephone and other services. The Commission modified or eliminated various rules that have become outdated due to supervening rules, technological change, or increased competition among providers of Commercial Mobile Radio Services (CMRS). Among the rule changes adopted by the Commission is the amendment of sections 22.901 and 22.933 of FCC rules to modify the requirement that cellular carriers provide analog service compatible with Advanced Mobile Phone Service (AMPS) specifications by establishing a five- year transition period after which the analog standard will not be required, but may still be provided. Background: The Commission has undertaken this review as directed by section 11 of the Communications Act of 1934, as amended (the Act). Section 11 of the Act mandates that the FCC review all of its regulations relating to providers of telecommunications service, and to determine whether a regulation is no longer necessary in the public interest as a result of meaningful economic competition between providers of telecommunications service, and to repeal or modify any such regulation. In the Notice of Proposed Rulemaking in this proceeding the Commission noted that its rules governing the cellular service have changed little since service was first initiated in the early 1980s. The commercial wireless environment, however, has changed significantly in the interim and many of the current cellular rules do not reflect these developments, and continue to be more applicable to the earlier forms of cellular than the more advanced digital services available today. Specifics of the Adopted Report and Order: The Report and Order amends sections 22.901 and 22. 933 of FCC rules to modify the requirement that carriers provide analog service compatible with AMPS specifications. The FCC concludes that in light of the present competitive state of mobile telephony, the nationwide coverage achieved by cellular carriers, and the clear market demand for nationwide, ubiquitous coverage by carriers, the analog requirement has substantially achieved its purpose of ensuring that the public has access to low- cost, compatible equipment and to nationwide roaming. Not only does the Commission determine that the current rule is no longer necessary to achieve its purposes, the FCC concludes that it imposes costs and impedes spectral efficiency. However, eliminating the rule immediately without a reasonable transition period would be extremely disruptive to certain consumers, particularly those with hearing disabilities as well as emergency- only consumers (i. e., those using analog phones for emergency purposes), who currently continue to rely on the availability of analog service and lack digital alternatives. Accordingly, the Commission has modified the rules requiring application of the analog compatibility standard to add a 1 3