Dish Network 2014 Annual Report Download - page 23

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13
13
GOVERNMENT REGULATIONS
Our operations, particularly our DBS and broadband operations, and our wireless spectrum licenses are subject to
significant government regulation and oversight, primarily by the FCC and, to a certain extent, by Congress, other
federal agencies and foreign, state and local authorities. Depending upon the circumstances, noncompliance with
legislation or regulations promulgated by these authorities could result in limitations on, or the suspension or
revocation of, our licenses or registrations, the termination or loss of contracts or the imposition of contractual
damages, civil fines or criminal penalties, any of which could have a material adverse effect on our business,
financial condition and results of operations. These governmental authorities could also adopt regulations or take
other actions that would adversely affect our business prospects.
Furthermore, the adoption or modification of laws or regulations relating to video programming, satellite services,
wireless telecommunications, broadband, the Internet or other areas of our business could limit or otherwise
adversely affect the manner in which we currently conduct our business. If we become subject to new regulations or
legislation or new interpretations of existing regulations or legislation that govern Internet network neutrality, for
example, we may be required to incur additional expenses or alter our business model. The manner in which
legislation governing Internet network neutrality may be interpreted and enforced cannot be precisely determined,
which in turn could have an adverse effect on our business, financial condition and results of operations.
Wireless services and our wireless spectrum licenses are subject to regulation by the FCC and, depending on the
jurisdiction, other federal, state and local, as well as international, governmental authorities and regulatory agencies,
including, among other things, regulations governing the licensing, construction, operation, sale and interconnection
arrangements of wireless telecommunications systems. In particular, the FCC imposes significant regulation on
licensees of wireless spectrum with respect to how radio spectrum is used by licensees, the nature of the services
that licensees may offer and how the services may be offered, and resolution of issues of interference between
spectrum bands. The FCC grants wireless licenses for terms of generally ten years that are subject to renewal or
revocation. There can be no assurances that our wireless spectrum licenses will be renewed. Failure to comply with
FCC requirements in a given license area could result in revocation of the license for that license area. For further
information related to our licenses and build-out requirements related to our wireless spectrum licenses see “Item
1A. Risk Factors.”
The following summary of regulatory developments and legislation in the United States is not intended to describe
all present and proposed government regulation and legislation affecting the video programming distribution,
satellite services, wireless telecommunications and broadband industries. Government regulations that are currently
the subject of judicial or administrative proceedings, legislative hearings or administrative proposals could change
these industries to varying degrees. We cannot predict either the outcome of these proceedings or any potential
impact they might have on these industries or on our operations.
FCC Regulations Governing our DBS Operations
FCC Jurisdiction over our DBS Satellite Operations. The Communications Act gives the FCC broad authority to
regulate the operations of satellite companies. Specifically, the Communications Act gives the FCC regulatory
jurisdiction over the following areas relating to communications satellite operations:
the assignment of satellite radio frequencies and orbital locations, the licensing of satellites and earth
stations, the granting of related authorizations, and evaluation of the fitness of a company to be a
licensee;
approval for the relocation of satellites to different orbital locations or the replacement of an existing
satellite with a new satellite;
ensuring compliance with the terms and conditions of such assignments, licenses, authorizations and
approvals, including required timetables for construction and operation of satellites;
avoiding interference with other radio frequency emitters; and
ensuring compliance with other applicable provisions of the Communications Act and FCC rules and
regulations.