*Pages 1--1 from Microsoft Word - 22795.doc* STATEMENT OF CHAIRMAN MICHAEL K. POWELL Re: Amendment of Part 2 of the Commission’s Rules to Allocate Spectrum Below 3 GHz for Mobile and Fixed Services to Support the Introduction of New Advanced Wireless Services, including Third Generation Wireless Systems (rel. November 7, 2002). Re: Service Rules for Advanced Wireless Services in the 1710- 1755 MHz and 2110- 2155 MHz Bands (rel. November 7, 2002). I previously identified new revenue sources and new services as among the key steps to recovery in the telecommunications sector. By our action today, we will make available spectrum resources that carriers and the consuming public demand – a major step in creating an environment hospitable to the introduction of new and innovative products and services. Access to new spectrum is not a cure for today’s financially ailing wireless industry, but it is a key pre- condition to the long term health of the industry. Today’s decisions on the allocation and proposed service rules lay the groundwork for future innovation. We have allocated a significant slice of spectrum – two, contiguous 45 MHz blocks capable of being paired. Moreover, we have proposed few limitations on its use. Our service rules NPRM proposes affording future licensees the maximum possible flexibility in deciding how to put this resource into service for the public benefit. Within this framework, service providers can be expected to move spectrum quickly to its highest and best use. We have not acted alone in taking this significant step toward making advanced wireless services a reality. Throughout this proceeding, the Commission has coordinated closely with NTIA, particularly since the release of its 3G Viability Study this summer. I am grateful for Assistant Secretary Victory’s leadership and support, and look forward to working with NTIA in carrying this process forward. 1