Satellite industry: Ban new pay TV service

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The satellite-TV industry has asked federal judges to strike down a Federal Communications Commission decision creating a terrestrial-based pay TV system
that would share spectrum used by direct-broadcast satellite providers.

The new service, which would pose competition for DBS, would create
interference and harm DBS customers, the Satellite Broadcasting &
Communications Association told the Federal Appeals Court in Washington, D.C.

In case the creation of the terrestrial services is upheld, the SBCA separately
asked the FCC to tighten interference restrictions on terrestrial multichannel
providers.

"We will continue the fight on every possible front to protect our current
and future subscribers from interference," SBCA president Andrew Wright said in
a prepared statement.

Last month, Northpoint Technology Ltd. -- the company that asked the FCC to create
the new service -- asked federal judges to strike down an FCC decision to issue
the needed spectrum to the highest bidder.

Northpoint said it should receive the spectrum free-of-charge because it was
the only applicant at the time of a government deadline for licensing the
frequencies.

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