Dish Network 2015 Annual Report Download - page 27

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17
October 2027, Northstar Wireless and SNR Wireless must provide reliable signal coverage and offer service to at least
75% of the population in each area covered by an individual AWS-3 License (the “AWS-3 Final Build-Out
Requirement”). If Northstar Wireless or SNR Wireless fails to meet the AWS-3 Interim Build-Out Requirement, the
AWS-3 License term and the AWS-3 Final Build-Out Requirement may be accelerated by two years (from October 2027
to October 2025) for each AWS-3 License area in which it fails to meet the requirement. If Northstar Wireless or SNR
Wireless fails to meet the AWS-3 Final Build-Out Requirement, its authorization for each AWS-3 License area in which
it fails to meet the requirement may terminate.
See “Item 1A. Risk Factors - We face certain risks related to our non-controlling investments in the Northstar Entities
and the SNR Entities, which may have a material adverse effect on our business, results of operations and financial
condition” in this Annual Report on Form 10-K for more information.
MVDDS. We have MVDDS licenses in 82 out of 214 geographical license areas, including Los Angeles, New York
City, Chicago and several other major metropolitan areas. By August 2014, we were required to meet certain FCC build-
out requirements related to our MVDDS licenses, and we are subject to certain FCC service rules applicable to these
licenses. In January 2015, the FCC granted our application to extend the build-out requirements related to our MVDDS
licenses. We now have until 2019 to provide “substantial service” on our MVDDS licenses, and the licenses expire in
2024. Our MVDDS licenses may be terminated, however, if we do not provide substantial service in accordance with
the new build-out requirements.
State and Local Regulation
We are also regulated by state and local authorities. While the FCC has preempted many state and local regulations that
impair the installation and use of towers and consumer satellite dishes, our business nonetheless may be subject to state
and local regulation, including, among others, zoning regulations that affect the ability to install consumer satellite
antennas or build out wireless telecommunications networks.
International Regulation
We are subject to regulation by the International Telecommunication Union (“ITU”) and our satellites must be registered
in the United Nations (“UN”) Registry of Space Objects. The orbital location and frequencies for certain of our satellites
are subject to the frequency registration and coordination process of the ITU. The ITU Radio Regulations define the
international rules, regulations, and rights for a satellite and associated earth stations to use specific radio frequencies at a
specific orbital location. These rules, which include deadlines for the bringing of satellite networks into use, differ
depending on the type of service to be provided and the frequencies to be used by the satellite. On our behalf, various
countries have made and may in the future make additional filings for the frequency assignments at particular orbital
locations that are used or to be used by our current satellite networks and potential future satellite networks we may build
or acquire.
Our satellite services also must conform to the ITU service plans for Region 2 (which includes the United States). If any
of our operations are not consistent with this plan, the ITU will only provide authorization on a non-interference basis
pending successful modification of the plan or the agreement of all affected administrations to the non-conforming
operations. Certain of our satellites are not presently entitled to any interference protection from other satellites that are
in conformance with the plan. Accordingly, unless and until the ITU modifies its service plans to include the technical
parameters of our non-conforming operations, our non-conforming satellites, along with those of other non-conforming
satellite operators, must not cause harmful electrical interference with other assignments that are in conformance with the
ITU service plans.
Registration in the UN Registry of Space Objects
The United States and other jurisdictions in which we license satellites are parties to the UN Convention on the
Registration of Objects Launched into Outer Space. The UN Convention requires a satellite’s launching state to register
the satellite as a space object. The act of registration carries liability for the registering country in the event that the
satellite causes third-party damage. Administrations may place certain requirements on satellite licensees in order to