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Will discuss president trumps budgetary outlines including the boost in military spending, domestic spending cuts and a texan entitlement program. Willthe m. I. T. Review discuss the annual list of temperature technologies and their expected impact. Be sure to watch cspan washington journal live at 7 a. M. Wednesday morning. Now a hearing on Wireless Technology and respective policy including the federal Communications Commissions recent auctions. This Cup Committee hearing is two hours. Good morning, on behalf of my friends and i i am happy to convene this first Sub Committee of innovations in technology and the internet. Welcome to you all. As we all know in todays connected world, the spectrum increases with each new technology. Spectrum is the lifeblood of this connectivity improving the lives of people around the globe. Our discussion comes on the heels of this committees approval of the mobile act. We have taken a significant making sureff to that they are a part of the next generation. People should silence their devices by the way. Right on cue, thank you senator. For the next generation of Wireless Technology. I would like to see the passage of this bill and the near future. This spectrum bill should continue with rapid growth in mobile devices and the internet of things demands for spectrum will only increase. They are giving Rural America the tools and resources they need, applications that use mobile broadband as well as delivering Quality Health care to the most remote corners of our states and transmit real for Crop Production on farms. Satellite Services Provide earth observation and many other applications. Potential to the save lives, this is particularly important for states like mississippi which can be situated amongst hurricanes tornadoes and other disasters. Spectrum offers opportunities for businesses to innovate and continue to fuel the vast expansion of the internet of things. Although innovation demands more use, innovation will also solve the problem of limited spectrum. We are here to talk about the value of spectrum. We are here to talk about what we have learned in the recent how it is a well as vital piece to the puzzle. Willo hope our discussion look at spectrum policy and set the stage for this committee to look at ways in which they are demanded. I would like to welcome all of us. I will introduce them after we have heard an Opening Statement from r. Kelly. Thank you mr. Chairman for this. This is the invisible spectrum that has become the on ramp to the internet. Thank you to Wireless Technologies people can transfer money, watch shows, chat with doctors, all from their mobile device. In a short time, these are transforming our lives with new 5g networks, the demand will continue to grow. Is hard tof spectrum overstate in the economy as we will hear from how we generate new investments. Facilitate innovation, supports job growth amongst a range of mobileies, support for devices clearly benefits and revolutionizes politics, transforms the news and enhances Public Safety. Although the focus on todays hearing is the Economic Outlook on the commercial side it is important that the government also has spectrum needs for security, transportation, whether, at a wide range of other government services. We must continue to work with the agencies to make sure that they have the spectrum resources they need now and in the future. We should also build on the successes of the Spectrum Relocation Fund to make sure usersare more commercial where it is possible. If we cannot create more spectrum, we need to be more managee in how we spectrum needs. I am confident that the industry will find better ways to make demands. You also need to find a balance between public and private sector needs. The need to have adequate spectrum available for licensed and unlicensed users. This committee has passed the mobile now act, it would make more licensed spectrum available. To facilitate infrastructure for 5g this also includes a bill that requires the government to develop a National Plan for unlicensed spectrum. A lot of attention will focus on new frequencies available for the license side. We also need a clear plan for continued innovation in the continued spam. These arent affordable way for people to go on the line. I trust that the committee will continue to work with agencies and stakeholders available to commercial users over the coming months. We also have a responsibility to ensure that people of all walks of life especially those and rural, isolated or hardtoreach areas across the country have access to wireless broadBand Services. I know that many of our colleagues share this point of view. Theyrsue this opportunity must be an effective partner in the conversation. A fully staffed fcc and the chairman is therefore critical to accomplishing these goals. I am appalled that the white house withdrew all pending nominations for federal commission. That is an unnecessarily provocative act. They should defer to congressional leaders on both sides for nominees to this norm. Sion as has been the she has been a leader of spectrum policy and a strong advocate for consumers. I hope that the not white house renominate her and confirm her as we should have done one year ago. This you mr. Chairman for discussion and i look forward to the testimony. You very much senator. We have a distinguished panel that we are looking forward to hearing from at this point. Include from left to right the Vice President of regulatory affairs. And lead analyst of recon analytics. Deputy vice counsel of microsoft corporation. The president and ceo of raycom media. Satelliteent of the cable industry. Prepared inple are longdistance and a lot of people have with talking to this hearing. Of the votes at the top hour. We want to be respectful with time and preparation of our witnesses. It is the chairs and tension to proceed on with the testimony and members will simply proceed votes thatduring the will beginning at the top of the hour. I think we will be able to proceed and that matter. That would we will not have to recess and take the valuable time of his participants. We will begin to my left. You are recognized for five minutes. Good morning mr. Chairman. Subcommittee, thank you for the opportunity to speak about the significant economic contributions of the u. S. Wireless industry. Powers of wireless have trump armed how we live and work across the country and in every sector of the economy. We are about to have a breakthrough and 5g the next generation of wireless. This will add trillions of dollars to our economy. As well as 3 million new jobs, from 3500 in honolulu. Industry needs the continued leadership to develop more spectrum and modernize infrastructure spending. Wireless industry today is a powerful can trigger to the u. S. Economy. Our members have invested over 300 billion over the last 10 years. We are responsible for more than 4. 6 million jobs. Consumers and businesses theynue to have broadband, use is more than 25 times since 2010. That is expected to increase in other five times by 2021. Americas Wireless Industry is threatened to invest another 75 that dollars to develop 5g will be faster and more responsive and connect to more devices. Will develop a new generation of smart communities. It will unleash innovation and growth in industries across the economy. From energies, health care, public as predation. Cars, it willg unlock trillions of dollars to the deficit. It will help save thousands of lives. The u. S. Has been the Global Leader in internet, we are but theo lead in 5g global competition is fierce. All across the world they are at the chase. Leadership are. Sound spectrum if a structure policy. And put in a key Global Network and a powerful creator of Economic Growth and job. Takenss and the fcc have steps to making sure that they are available. Now our work remains to be seen for 5g. You must ensure timely active for the incentive option. Unlicensedow 14 for users. It raised 14 billion. Making it the secondlargest at the auction ever. Achievingmitted to the fccs potential so that is not delayed. Second, the decision to designate highbandwidth services was also critical. The fcc played targeted reforms by having an additional speed to broadband. We then also appreciate the dedication to spectrum. It takes about 13 years for this, this ensures our need to start today. Policymakers should continue to review the users and look at the ways agencies can use it more effectively. Modernize, sot that Wireless Networks can be up to avoid rapidly and efficiently. It will be for all sales that will be essential for 5g. Box, the size of a pizza it will be deployed by the hundreds and thousands. We can remove barriers to deployment, by having local polls,ing, ensuring in making sure that costs are reasonable. Our Environmental Review process and directing agencies to speed deployment on federal land agencies. With a continued focus on infrastructure, we will continue to make sure that wireless providers will continue to invest and create jobs and lead the world in five g. Wicker thank you. At this point, our Ranking Member of the full committee has a unanimous consent request. Senator to insert my comments into the record on this extremely important subject and thank you mr. Chairman and Ranking Member of the subcommittee for holding this hearing. Sen. Wicker without objections, the remarks will be inertserted in the appropriate place in the record. Our next witness is mr. Roger entner. Sir, you are recognized. Mr. Entner good morning, chairman wicker, and Ranking Member, and members of the committee. My name is roger entner and i am the found of a Research Consulting firm with a focus on wireless. I am hear to discuss research in the effect the market has on the economy and the government freeing up spectrum. First, a quick overview of the mobile industry. In 2015, americans spent 2. 9 trillion minutes talking on their cellphones, 218 billion pictures and used 9. 6 trillion megabytes of data. U. S. Operators have constructed over 3,000 sites. U. S. Network operations have spent 77. 8 billion to buy spectrum and invested 423 billion to build occupy the speed and capacity of the network. Two weeks ago, verizon reintroduced their unlimited plans and in less than four days competitors matched and tried to beat the offer. Just today, at t launched another new pricing plan. 97. 9 americans can chose from three base operators. The mobile industry is one of the top competitors. How does this relate to jobs . The mobile industry, directly and indirectly, support seven million jobs in the United States. The jobs are a function of the mount of Investment Companies spend to build and work with a wide variety of vend ors to create and sustain what we know as the American Mobile Consumer Experience and the u. S. Wireless industry. As a result, the mobile industry contributed 194. 8 billion in gdp in 2014. The app and mobile content market is a 36 billion industry whose very existence is depended on the fast mobile broadband network. Companies like uber, lyft and airbnb would be unthinkable without the direct connections the mobile internet gives thep. These three companies alone are value valued at 98 billion. To say this industry is one of the driving factors combroeg the economy is an understatement. But there is no guarantee they will be able to support the mobile demand that a fully Network Economy is expected to meet. From 20082015, mobile data usage increased 643 fold and growth is expected to continue unabated. Today in the internet of things it is the newest frontier for wireless and has implications. There is not a sector in the u. S. Economy that will nut not be improved by access to mobile networks. Deploying new spectrum is the most effective and quickest way to provide and ensure the industry can provide Economic Growth and new job creation. Consider, every ten megahertz creates 3. 1 billion in gdp and 100,000 new jobs. The mobile now act is a great next step in clearing more spectrum. As the demand is increasing the need for spectrum is increasing. First, licenses should be allocated in larger channel sizes. 5g deployments need at least 20 by 20 megahertz channels. Second, access to clear spectrum for which providers have exclusive u. S. Third, streamline the process. Thank you again for the opportunity to testify at this important hearing. I look forward to answering your question. Sen. Wicker mr. Heiner, you are recognized. Heiner, you are recognized. Chairman, Ranking Member, members of the subcommittee, thank you for inviting me to testify. My name is dave heiner and i am microsofts Vice President of regulatory affairs. I am pleased to have the opportunity to speak to you about the critical importance of the unlicensed spectrum. We all use it every day without giving much thought. If you open your car with a key fob or opened your garage door with a remote, make a hands free call in your car, you are using unlicensed spectrum. We all use wifi every day, of course. Pc, laptops, tablets, mobile phones, game consoles, webcams, Lighting Systems and countless other devices connect to the internet and one another with unlicensed wifi spectrum. This Success Story is no accident. Congress and the fcc had great foresight decades ago in opening up unlicensed use. Today it is powering the nations economy. Most u. S. Homes have a wifi connection. Away from home, 94 million public wifi hot spots are around the world and that is projected to grow to more than 500 million by 2021. People want wifi wherever they go and wnt it for all of their american devices. As of 2015, the industry had shipped more than ten million wifi enabled devices. All of this means unlicensed spectrum is heavily utilized. According to cisco, 55 of the internet is carried by unlicensed mobile networks. This flood of traffic has translated into the enormous Economic Growth. As details in my written testimony, a recent study estimated unlicensed spectrum would contribute 50 billion to the gdp. The public availability of spectrum is important to microsoft because our Business Strategy is mobile first, cloud first. What that means is enabling customers to use any connected device to Access Services running in massive data centers which we call the cloud. Our products like windows and office used to be stand alone programs but no more. Today they are always connected enabling new features and being updated with security and other improvements. Cloud computing is taking off but the cloud is totally depe dependant upon connectivity and the bands are what enable it. For example, our telemetry shows that 98 of windows 10 devices are connected to wifi and half of the all data coming on to and off those devices connect to unlicensed spectrum. The blue tooth connections we are all familiar with operate on unlicensed spectrum. The internet of things depends upon unlicensed spectrum and tv white space which carries the prom of bringing broadbrand broadband to rule communities are spared as well. They provide immediate access to shared spectrum resources with low barriers to century and light regulation. In closing, i would offer two suggestions to promote optimal use of spectrum. Congress should include a licensed and unlicensed spectrum as is done in the mobile now act which we support. Second, through this act and others policy makers should look for additional opportunities in the low, mid and High Frequency unlicensed bands to help satisfy eve growing demand. Thank you again for allowing me to testify. Thank you very much. Mr. Laplatney. Thank you. May name is Pat Laplatney and i am the president and ceo of recon media. I am testifying on behalf of the National Association of broadcasters and the stations that serve communities across the country with free locally focused program. I appreciate the voluntary upgrade that broadcasters across the country are making. In a world where broadband expectation is similar to water the importance of local broadcasting and the trusted coverage it affords is paramount. We will deliver most watched programming to constituents in new and exciting ways. Next Gen Television is ultra clear and enhances the experience. It will save lives and generates interactive content such as drop down menus. It enables access to broad television through smart phones and tablets ensuring local stations are available any time any through any platform. It offers more channels for free and no expensive bill or data plan is required. The recent broadcast coverage of the tornado in mississippi and the hurricanes on the big island of hawaii provide ample evidence of the potential benefits that next gen will afford. It will provide enhanced ale alerting and the potential for mobile access had signals failed. Public and commercial broadcasters, consumer electronic manufacturing and Public Advocates petitioned to market transition to this new next gen standard. After several months, the fcc approved a notice of proposed will making. We stand willing to make necessary adjustments to provide an upgrade. We need the fcc to finalize the rules in order to move forward. We applaud the fcc for its work to date and encourage the committee to stay engaged. I want to highlight one issue to congress that poses to show the benefits. Successful completion of the broadcast auction. One thing is certain the broadcast industry will end up with less spectrum oh the ability to repack into a smaller broadcast band without viewer disru disruption is critical. I want to thank the leadership, cosponsors for the work on draft legislation that ensures broadcasters have adequate times and resources to pack following the closing. It is just this certainty that investment requires. Thank you. I look forward to answering your questions. Thank you. Mr. Stroup. Chairman, Ranking Member, members of the subcommit aechlt i am tom stroup president of the satellite industry association. Sia has been the unified voice of the u. S. Industry on policy, regulatory and legislation issues. The satellite industry supports hundreds of thousands of jobs and generates billions in revenue. I would encourage a subcommittee to encourage our way of life depends on the benefits we receive from Satellite Base surfaces and applications. Satellites providing truly ubiquitous coverage and position navigation and Timing Services have transformed how we communicate, how we map, navigate and see our world, how we produce food and energy, conduct banking, perform weather, ensure National Security and so much more. Delivering these services to a broad range of customers is only available because of our access to spectrum. Live events like breaking news and sports depend on the point to multipoint coverage and High Service Quality that satellites provide. Communication satellites also provide connectivity to Business Networks and mobile plat forms like maritime vessels and directly to house consumers. Satellite broadband is playing an increasingly important part in addressing the Digital Divide across the United States. Today the commercial satellite industry has two million customers enjoying high quality broadBand Services. With the addition of multiple throughput we expect Band Services by satellite to increase rapidly. It is important to mention the critical nature satellite provide to our safety and National Security. Satellites are often the only means of communicating after a natural or other disaster. They enable our military to project power in the air, on land and at sea. Satellite communication enable agile connectivity. The satellite industry has developed ways to use this limited Natural Resource more efficiently. High put through satellites rely on technology to produce increase out put 20 times of additional satellites meeting fcc benchmark speeds. Similar increases have been seen in the capacity of the spectrum. Hundreds of high through put satellites will soon provide 3 and 4g services and in the futu future satellite will be helpful in the 5g. Advances in commercial sare improving as well. They can view and sense the earth across multiple bands and on peril spatial resolutions and unprecedented Global Coverage and rates. Aided from the u. S. Remote operators are building new marks from agricultural to Business Intelligence to weather predictions. All the breakthroughs we have seen through Satellite Technology should not be taken for granted. They depend upon the industrys ability to access spectrum. In order for the need to be sustained for services, we encourage spectrum for satellite use. We have an opportunity to address the divide, meet the growing needs of consumers, ensure our countrys safety and National Security and do so in a manner that utilizes spectrum efficient efficiently. Thank you all for your excellent testimony and helping us by staying with the time. As i explained and have gone over this with consultation with senator shot, i am turn it over to senator gardner, go vote and immediately and come back. At this point, i think it is best to recognize senator shots for a question and we will proceed along the list that has been prepared. The use of wireless devices in the unlicensed bands is so poplar the Wifi Alliance predicts we will need another 500 gigahertz of spectrum in the unlicensed demand to accommodate by 2025. I will ask you three questions in the interest of time. Which bands are the most important for unlicensed spectrum today . What are the industries plans to identify more bands for unlicensed spectrum . And then do Tech Companies generally agree or differ greatly in terms of a strategy for the unlicensed bands . Thank you for those questions, senator sc hp schatz. I will answer the first two first. We need to find additional spectrum at the high and low frequency. At the low end, around 600 megahertz we have to possibility of investing in tv white Space Technology. That is technology that enables signals to travel quite a long distance. Four or five miles. It is only i think like fm radio. 80108 on the dial. 600 megahertz. Very low power we are able to serve an entire community and we have an example of this coming up in southern virginia as a test pilot. At the mid frequency is where most wifi is today. 2. 4 and 5 gigahertz and that can penetrate a couple walls and signal falls off outside the home. We would like more continuous spectrum to build out more channels. Then at the high end, at the millimeter waves, the recent spectrum the fcc has opened up new spectrum which we are enthusitic about. We are talking about line official sight and there is great applications for the technology to be able to, for example, have your pc connect to a monitor with no cables to stream video within the home, for augmented reality scenario where you are wearing a headset and devices in the room are communicating with the website. We want to see it in all three bands. Mr. Heiner, in the interest of time i will take the last question for the record so i can get to my second and final question. This is for mr. Bergmann and mr. Laplatney. We all want faster internet and better coverage that will result from the current incentive auction but at the same time a lot of us are concerned consumers would lose access to their local broadcast news if channels are forced off the air in the repacking process. So the question is isnt there a way to balance these concerns and make sure Member Companies can deploy quickly after the auction while protecting our constituents access to local news . Mr. Bergmann first. We are committed to a smooth transition process. We have confidence that the fcc will be able to stick it. The faster we get access to the bands the faster we can advance, build jobs and build out the 5g. We are confidant we can work collaboratively to get that done. Thank you very much. Mr. Laplatney. Micrmicrophone . Lets try it again. Thank you, again. We believe currently with the information we have that both the time and the Financial Resources are going to be inadequate based on current information. We got a repack letter about a month ago and we will have 22 of our stations that will need to be repacked in markets from west palm beach, florida to evansville, indiana and biluxy, mississippi. A couple markets will have to move from channel 12 to channel 8 and that will involve putting a new antenna that is going to weigh potentially thousands of pounds more on an existing tower. There is all kinds of missions surrounding that. We began engineering studies already in a number of markets. We are concerned about the time line and the amount of money but we will work as quickly as we can to move through the repack, be as efficient and effective as we can in working on this. I would like to in in adulge we have your commitment to working on these concerns . 39 months is an eternity in the Wireless Industry. As you can imagine after spending 20 billion to purchase something that is the value of Hilton Hotels or jet blue two times over we want to put that spectrum to do use and work collaboratively with you all to make it happen. Senator cloeb. Thank you. I love that the broadcasters are having issues with the microphone. I think we know how important this topic is. We have an active broadband caucus and we wrote a letter encouraging the government to include broadband in any infrastructure package because we could have the potential of making something that is progressing much bigger. We have been working with senator garden and senator gains to make it easier to deploy broadband but i wanted to specifically focus on rural issues. First, mr. Bergmann, part of the mobile now act i did with senator fisher requires the fcc to explore ways to provide incentives for wireless carriers to unleash spectrum. How could leasing or aggregated spectrum in rural areas improve service for rural customers . Senator klobuchar, thank you for the work you and senator fisher have done on this act. We think is a creative tool that can help. We recognize our members compete to expand their service maps and want to serve the entire country. They took lte coverage from 0 to over 99 in seven years. We recognize rural areas are particular challenges and we need to think creativity about how to get there. The legislation you worked on is a big part of that. Getting access to that 600 megahertz spectrum will be important. It has propagation characteristics that allow us to provide service in rural areas. Okay. Thank you. Mr. Stroup, cochair of the 911 caucus and senator nelson and i announced newilation, the generation 911 act of 2017 new legislation to provide more federal funding through the existing 911 grant program. Everything is changing with 911 people now using to have the ability for firefighters to get blueprints of building and people who get stranded in the woods of minnesota we could use location accuracy to find them. Can you explain how a satellite backup can improve the resilience of the next gen program. Whether it is a time of emergency or when people are lost, it is the ubiquitous nature of the coverage that allows them to enhance the services that are provided by our providers. And mr. Laplatney, ensuring the Network Includes Natural Disasters like the flooding in minnesota and these things can destroy infrastructure. How can Public Safety be influenced by next gen standards . It allows for better targeted alerts in emergency situations whether it is flooding, tornado or hurricanes. It has the ability to awake dormant televisions and electronic devices. I couldnt help let that go. What is that mean . You are all over me today. If you are asleep at 3 00 a. M. And there is a tornado bearing down on you this technology has the ability to wake your phone or television up and say you are in the path of the storm take cover. Wow. So it would like turn it on without your control . Turn it on, awaken. So this idea with the new standards with the 911 and what we are working on here could help to make that more standard across the country . Absolutely. Thank you very much. Thank you all of you. We are excited about the possibilities on a bipartisan basis here and move forward on broadband and enhanced 911 services. Senator . Thank you, mr. Chair. Gentlemen, thank you for joining. As a new member, i am excited to be working with you on this issue. Let me say thank you for the bipartisan willingness to work together. The broadcasters from nevada, i represent the great state of nevada, have the same concerns you brought out today and it is nice to hear mr. Bergmann you are willing to work with them. That is something i will be paying attention to. Then my colleague talked about rural areas. A challenge in nevada is getting access to wireless broadband in the rural areas where we can bring telemedicine, education, Behavioral Services through Broadband Wireless to those areas. To try to build out an Improvement Networks and expand that coverage over the last two years weve added 800,000 road miles to the coverage and over 500,000th of citizens. In addition to creating incentives that happens today in the marketplace. Of the spectrum incentivizing that is helpful. So we commend the ability and look forward to that implementation. I would say sighting on federal land is a real opportunity where today it could take four to two years. If we could speed that up to make it easier to get out and serve those with lots of federal land that is a couple ideas. Thank you very much, senator. I kind of felt like i would get a turn if we proceeded in this fashion. Let me start with you. Whats the take away with regards to the unlicensed spectrum . What decisions do we need to make from a legislative standpoint or the standpoint of giving advice to our regulatory friends . I was mentioning a minute ago we do need to encourage the fcc to enable unlicensed spectrum in the midbands and the high bands. There are a couple of proceedings that are open and we look forward to their conclusion with success that is made available for th the license tog 14 megahertz for the unlicensed. We just need to finalize that and get the stations done and try to do that in such a way there are unlicensed channels open in every part of the country including urban areas so that device managers will know if they sell their device but it could be purchased and used in any place. There are some other proceedings relating to 2. 4 and five gigs and also in the millimeter band is so we need to see all of them sort of concluding in ways that encourage the unlicensed use. The only other point i would make is its important that we all worked together to prevent interference to other users of the same frequencies and its important that regulation not be so onerous that the effect is to block people from using the unlicensed spectrum we just need to find the right balance. Okay. Im going to ask other members of the panel if they would like to weigh in on that issue but first let me talk about another aspect of the testimony and that is the data centers that constitute the cloud. Where are these centers located . A lot of them are located right outside of town. And how safe is their infrastructure and then i will ask other members of the panel if they would like to weigh in on any of these matters. It is end up in the air somewhere is it . People used to go to the white board and say we are going to connect to a server someplace. They are on the ground. This could be front page news tomorrow. [laughter] they are a massive buildings with servers. We have one in Washington State on the Columbia River and the idea is to get hydroelectric power which is cheap and efficient that we have about 100 data centers around the world. We try to have them close to spread around the world to reduce latency so we have a fast connection to customers wherever they are. These are highly secure facilities. People sometimes worry about is it safe if i keep the data at home and our plaintive view is this your money safe in a bank or safer under the mattress, and actually is safer if it is professionally managed and we put tremendous resources to ensure the security of the system. If somebody launches a rocket propelled grenade at my bank im not going to lose my money. What if they attack the fibers that connect the data centers, and also, help me out, if you could answer those they are spread around the world and an attack on any data center from all the data is replicated and backed up in a professional way to many other locations. So, that shouldnt be a concern. And in terms of where they are located, it is all over the world. The leaders in running the dataa center is of course on microsoft, amazon which has Amazon Web Services and google and they have their own policies and where they cite an. Is there any other member of the panel who would like to talk about these or these unlicensed spectrums or data centers that comprise the cloud . This is somewhat related to the information that one member on the panel whose members provide service above the cloud, that is one of the Great Services that infrastructure is protected from the kind of attacks that you mentioned or Natural Disaster so on that we are going to the data raised in the cloud that goes to the security and the communications networks. On the question of providing licensed and unlicensed spectrum we believe it is important. It relies on the wireless spectrum and books to launch new services. I would just encourage the committee to continue to focus on the needs as we look for high band as an initial Platform Service so one of the things we want to make sure is we have enough spectrum in large channels so even after they adopted the order last year, there are now 14 gigahertz of spectrum for the unlicensed use and just under four in the high band, so we want to make sure that we have enough spectrum so we can invest. The industry is looking to invest 250 billion over the next seven years creating 3 million jobs enabling us to take the lead, so we would encourage you all to prioritize both of those. What if any recommendations do you have to the fcc in this regard the . Its 18 further gigahertz of spectrum that could be used for the services and we want to make sure that they prioritize the licensed spectrum and make sure that if we have enough to maintain that leadership as we move from four g. To five 4g to 5g. You emphasized nexgen in your testimony. What needs to happen at the federal level to help your goals become reality . Thank you for the question. There is one out there permanently i believe we are in a Comment Period and the short answer to the question is to continue oversight by the committee. It would be the hope of the industry that would be a notice of proposed rulemaking. Yes, thank you. We are in a comment here co. Now and expect that to end sometime in the summer and it would be our hope that that standard would be adopted sometime in the fall. Have you made recommendations and responded to this notice with suggestions . Yes, sir i think a number of industry participants have. Anyone else . Okay. Well, Many Industries are leveraging digital platforms for innovation and growth in healthcare as a very exciting area in which we are actually helping people lead longer and more meaningful lives. In mississippi as a great example of this of the tele Health Network that provides patients with remote Care Management resulting in cost savings of over 300,000 for only 100 patients. Of course we would like to write this large. It could save medicaid 189 million. How do we ensure there is sufficient spectrum available to continue to fuel this innovation in the telemedicine and provide Quality Healthcare access to all americans regardless of where they live . We certainly agree with you. Its one of the most promising applications that it looks to bring. Whether we are talking about remote patient monitoring, chronic disease management, there are tremendous opportunities to kick off as you mentioned, but to also improve outcomes. You save lives and make sure patients have a better quality of life. So just a couple of things that committee can do. Again, focusing on making the spectrum available and making sure we have licensed spectrum that enables us to provide a guarantee of performance that reliability and security we want out of our Health Applications and then maybe some times the overlooked aspect is infrastructure citing particularly as we look to build out the high band of spectrum which would have the incredible capacity five times the responsiveness, ten times the speed of what we have today. Its important that we have a new infrastructure. Being able to cite the small cells quickly without the necessary cost or delay is important. Does anybody else want to talk about this . One additional comment which is the flight o wide space technold also be helpful for telemedicine because it has the capability as i mentioned earlier of sending signals over long distances. In fact, microsoft has a system up and running in botswana where circumstances can be difficult specifically focused on telemedicine. In this way can the doctors in our urban areas are able to reach out to patients in the rural areas. Okay. The administration believes, and i support generally in this sense the idea that regulations many times though well intended have stifled job creation and we need Regulatory Reform not only from the standpoint of legislation but also coming out of the administration. So, would each of you experts give us the benefit of some recommendations that the administration you might send to the administration for Regulatory Reform in the early months of this administration thank you mr. Chairman. So, just a couple of thoughts. Certainly, to places where we would appreciate the committees guidance with respect to the privacy regulations and the open internet regulations that the past ftc departed from the longstanding precedent in the case of title both of these areas are places where we believe the committee can help guide the fec. As we move towards things like the internet of things making sure he ha have a consistent National Framework to guide in that space is important for the future growth of services. Let me make sure i understand what youre saying with regards to the title of. It is your view that the fcc made a mistake in that regard in the recent years and that should be turned around. Yes mr. Chairman. We are encouraged to hear the chairman talk about reversing that decision into recognizing the innovation that is happening in the broadband space. In my opinion, the American People have benefited tremendously from the approach and the growth speaks for itself we should return to make it possible for Companies Across the environment to compete. Competition is the life blood here of the industry, and americans have benefited tremendously from it. I think that is the importance is the same rules apply to everybody in the same way no matter how much they compete with each other with similar services. With regards to returning to light touch, would you agree on the title issue you . I would. Members of th members of the public should know that the panel is a panel suggested by both the republican and democratic membership of the committee. Its not a onesided show at all. Would anyone care to take issue with either mr. Bergman or with regards to the title issue . What suggestions do you have, back to the broad general question about suggestions for policy makers the administration, the congress or the regulators with regards to the Regulatory Reform . I would focus on the unlicensed spectrum thats already a lower adulation. That lower regulation means they are incredibly low and anybody can dream up some device and transit on the frequencies with almost no regulation so i would urge the congress and the fcc to continue to make that approach and expand the amount available to the unlicensed spectrum. On the Net Neutrality point i would say microsoft very much supports the Core Principles and would like to see it and trying to. However, thats done. The specifics are not something that is at all important to us. Do you have anything to add . The industry is highly regulated and we would love to see the fcc take a local ownership rules, local media ownership rules. We think whether its the newspaper or broadcast press ownership for the local duopoly role, we think that its time for those to be revisited so that would be our suggestion. I would like to commend the many modifications they made to the 25 rules last year working with the industry. However, we would like to see them make modifications to the restrictions adopted in the the proceeding on where we can locate the stations of course going to the core of the proceeding and ensuring that there is sufficient spectrum available for the growth of the industry and another area we would recommend relates to the expert reform and restrictions that were moved to allowing manufacturerallowingmanufactureo compete in the market and on a worldwide basis, but there were some restrictions that remain with respect to the regime and we put request that it be revisited. Thank you very much. The Ranking Member, ive tried my best to stir up a disagreement among the panelists, and im having an awful time doing it. So, i will yield to you for a few questions. Thank you mr. Chairman. If you need a disagreement i think i can provide it for you. My additional question is for mr. Bergman. The u. S. Has been a Global Leader in mobile technology and there has been a lot of anticipation for the implementation of 4g to 5g. This test in january that would make additional spectrum available for the networks. My question for you is can you put this in a global context in terms of how we are viewed in the highly competitive world of International Technology companies and why its so important for the United States to lead on 5g . We are recognized as a world leader in the 4g. Wwe invest and innovate it for the state that paid dividends over the last seven years. If you look at the mobile ecosystem, the two largest operating systems are both based here in the u. S. A stunning 76 of developers are located here in the u. S. So, we think its paid a tremendous dividends and we think that 5g has seen greater opportunities as we look at the services that have a much greater capacity to Impact Industries across the economy and in our consumer slides. So, there is a global race and i mentioned some of the other countries around the world that are taking steps to make the swaths of spectrum available and to streamline the way they cite the infrastructure and its important we do the same here in the u. S. Can you flesh out this new opportunities are for the last iteration . Sure. If we look at healthcare and the opportunity to have remote patient monitoring or chronic disease management, or as you look at the inability to use the spectrum we have ultra hd so you might have remote surgery to be able to extend the reach of expert doctors beyond the urban centers and rural areas. Similarly, on the education space where you might have Virtual Reality applications that allow students in hawaii in the blink of an eye to the be ae center of the roman coliseum. Tremendous opportunities in transportation and energy as well where we have the ability to cut traffic times, reduce fatalities, cut emissions. There are tremendous opportunities. Can you give a status report on who is on top of this and are we already behind or just tell me where we are. We are pleased to lead. The fcc actions to make it available have led to over two dozen trials here in the u. S. Companies have already invested, so we are out ahead of the standards process. One of our Member Companies announced this week a Pilot Program to offer the services in 11 different markets, so we are very much poised to lead that it is a race and it will be important to b that we make thet policy decisions. Who are we in a race with . Japan, the eu, south korea, china. Anybody else care to comment on that . Thank you, senator. I want to highlight the importance of configuring the spectrum in large configuratio configurations. Because think of these channels as like water pipes. The bigger the pipe, the faster the speed. In the United States to spectrum is quickly allocated and five by five or ten by 10 megahertz channels. Overseas, 20 by 20 is very frequent. And inherently, of how you can provide for speed is youve now carriecarry out where you can essentially move three of the pipes together, three of the channels. And if you glued together three of the five by fives, 15 megahertz of spectrum is one channel where you glued together three of the 20 by 20 cents at 60. Inherently, whoever has the 20 by 20 would be four times faster and that is a really important consideration to keep the u. S. Competitive with the rest of the world and its one of our sort of unique challenges to spectrum currently allocated appropriately to National Security and other needs maybe not every country has quite the publication and seeing Public Policy. It is in the existing spectrum not only about the different about its like when we have spectrum how do we divide up the spectrum . This is within the bands that are allocated. Is that an fcc decision that has to be made or are these technical changes that can be made as the all pervading level . Originally it is an fcc decision of how they are allocating the spectrum. If a company when several licenses in the market and the lying next to each other they can create this and that does not happen very often, so in regulatory foresight, this problem can be alleviated. Thank you. A question. I want to talk about the nexgen tv. I understand the transition that was made from analog to digital and the consumer benefits and economic benefits and the need to sort of subsidized the transition. As a Television Watcher i can understand the desire more and more across a certain platform utility into sharper and sharper resolution, but i am not yet persuaded that this is as fundamental of a shift as the analogtodigital shift was and i want to be persuaded of how revolutionary this technology is because im not very get so give me your best shot. The best way to explain it is the points we talked about earlier so there is th theres y in the standard to better target emergency warnings including turning on devices which are so far removed from what we can do today. That is a much larger step. I think also the standard because of the hybrid broadcast architecture let me interrupt. So, what youre saying is i got a device on my nightstand and suddenly theres a tornado. What happens . We could alert your phone. So it turns the phone on if it has power if it turned your phone on and there would be an alert that would say you were in the path of a storm or you are in imminent danger, take cover immediately. In fact, the tornadoes that went through on the 21st of january, if we had had that technology, i believe we could have saved some lives. Nobody has the technology now with . We can alert at this Technology Allows us to target much more effectively. Succumb as an example, todays alerts sometimes conform to county lines and as a tornado moves through the geography of the county lines you could alert just those consumers in the path of the storm, the polygon in front of a storm as opposed to Montgomery County and Prince George county. Its a much more targeted alert that would be more effective. Thank you, senator, for letting me interject. I want to understand when you talk about nexgen tv, it sounds like a platform that is integrating several kinds of new technology because the ability to turn on your device for the civil prepared this is not the Central Technology i was thinking of when i hear about the nexgen tv. It is a hybrid broadcast standard so it allows better and more relevant advertising for the viewers and users and i think thats important to the industry because currently the targeting capabilities are way behind our friends on the mobile side of the cable folks or facebook or google. In a given market today they would take 40, 50, 60 of the market so theres that stability and also it offers the ability for the user to have a more who were Network Experience so you have to drop down menu and want to know what the score is other than the one youre watching or you want to know who the actor is, it allows that kind of interaction and then it also can transmit to suitably equipped mobile devices which is almost a game changer as you know. It can transmit from the tv tower to any platform, tablet or whatever it may be . If it has to chip in it if would have to arent there other ways to do that right now . There are ways to get tv on your tablet, but its over ip essentially said this is broadcast and i think the key there is having four boys i can tell you we have data cap issues in our house and if somebody wants to watch movies over 3. 0 it isnt going to get their data cap so if they are consuming a lot of video bears a number of different capabilities and it is a game changer for the industry. Senator fisher. Thank you, senator. Thank you to all the panelists. I apologize for being in and out on this morning of those. I wanted to followup a little bit on your testimony where you advocated for a balanced all of the above approach to policy and i cant agree more. Folks around the country benefit most when we have both licensed and unlicensed spectrum available to them. You talked about the example of the Wireless Phone industry. I know the data shows that 60 of wireless traffic was offloaded onto the Wifi Networks last year which helped create a positive Consumer Experience where the Network Traffic was alleviated and the industry all around arrived as a result. Can you elaborate a little bit more specifically on how the balanced all of the above approach policy includes licensed and unlicensed spectrum to benefit the communities specifically . I would be happy to. And thank you for the question. Mr. Bergman was describing this a few minutes ago, the possibilities of a greater access in the communities through 5g and the spectrum and what i would focus on is the possibility of using tv white space as a technology. This iservices in the 600 megahz band where a new spectrum was made available as a result, and they have coverage of such that at a low power and low cost a transmitter can serve quite a large community. So for instance we have a trial running in southern virginia where the school has fixed Broadband Access and the students are dispersed around that area anthe area and threw f transmitters, we will be able to reach 7200 kids and thereby invest the homework gap so in that region half of the kids do have broadband at home and have the kids dont so the concept is you get each of those kids who dont this little device that would only cost about 50 it picks up the signal and basically turns into a wifi signal so in this manner we can help to address the homework gap. I would expect there would be to let Health Applications as well. We were just discussing that. We have a trial in botswana specifically focus on the telemedicine and we are bringing doctors in urban areas to the patients in rural areas to this technology. I want to follow up because i am strongly supportive of the recent op jen and i think that it holds great promise for innovation and the economy and i am pleased to see if moving forward. You talked about some of the challenges the broadcast station space as the need to move to different frequencies. And i know ive been talking with broadcasters in New Hampshire and across the count country. I want to focus on the issue for radio stations i know we talked about Television Broadcasting but particularly those that share with the television stations and im concerned they could be negatively impacted or go off the air. If so, are there any Resources Available or is there more that needs to be done to address the radio in particular . There are a number of towers that have occupants throughout the country. During the process when we had the towers up and down there with the times does radio antennas would be powered down or shut off so it is a real issue. It could be for hours at a time or days at a time and so i do think something needs to be done. It underscores the need to take up a rational approach, and i know that the members are in conversation with the vote talking about this issue to come up with some answers to. Thank you mr. Chairman and i appreciate the subcommittee having the hearing and putting together such an excellent panel. I appreciate the work you all do connecting people across the country from remote rural areas to cities and each other and providing education, entertainment and Public Safety services that contributes to the quality of life of every american. You all drive the innovation and investment that has made the United States a leader in Wireless Technology. Our job in congress is to make sure that consistent with the Public Welfare obligation the market has access to spectrum into the industry is burdened when going into the service. This committee reported out a bill recently called the mobile now app that makes a down payment on that obligation and it woulandis indicative of a 255 million megahertz and the spectrum in the last three years but that is just the beginning. To meet americas demand is estimateestimated the wireless y will need more than 350 megahertz. The mobile now directs the fcc to study the potential for the commerciacommercials for this aa number of others but having access to the spectrum is only a part of the challenge. It would take years and tremendous effort to deploy the services and so they would also streamline the process of applying the easements and visas for federally managed property and establish a chalk clock for those that we think is essenti essential. It would also establish an International Broadband facilities database letting the debate for listing those entities for the purpose of building or upgrading the facilities. I am hoping we can get the bill passed and look forward to the Senate Acting on it in the coming weeks and very much focused on working with our colleagues in this committee and the entire senate and house in making the next payments towards the wireless leadership and i just have one quick question i want to ask and i will direct this to mr. Bergman. The widespread deployment of small cells is a massive undertaking for the companies and a state and local officials. Are there opportunities for companies and government officials to work to streamline the approval process so that it focuses on the sightings that raises the second deployment issues . Thank you, chairman, and we certainly commend you and the Ranking Member nelson and the committee for the work and the focus on infrastructure is tremendously important as we look to lead in the race to 5g and certainly small deployment is an absolutely critical part of that equation. Our companies are looking to deploy hundreds of thousands to deliver that highcapacity service. Being able to move quickly is something that will reduce the costs ancost and enable us to me faster. Right now today there are challenges both in the locals in the process and as you mentioned, with federal agencies. So we would certainly appreciate the committees attention to finding opportunities to start that process that we exclude small cells where appropriate are the size othat are the sizex or lunchbox. I dont think anyone thinks its a process that applies to the tower. It should apply when you are putting a lunchbox on top of an existing building so we would love to work with you to find opportunities to beat those deployments and in the end what we will need is 275 billion of investment and 3 million jobs. Appreciate that. Thank you and thanks again for the opportunity to speak at this hearing. Thank you. Im going to go ahead and take my questions now and then after this, recently in colorado a compancompany said they would be processing a Pilot Project in denver bringing us closer to the next generation and of course companies have to evaluate the holdings to determine how best to play a role in this wireless innovation. As you talked about in your testimony, high, mid and low bandwidth he for the wireless service. What are some of the specifics that you think would advance this effort and could you elaborate a little bit further . Thank you. We could certainly use more spectrum as it is ideal to cover the areas. Adjacent to the current thing with the most appropriate. When we look at the mi midspectrum, again, here we largely idle would be appropriate around navigation for example. Then the large swaths in the millimeter band but are actually unused at this time and should also be brought in and they have a proposal here in this space. I want to bring to the attention of the committee over the last few weeks all the wireless carriers have been reintroduced on limited plans and so people like the fellow witnesses here no longer have the problem with data caps. I think that its unappreciated what impact it would have on the spectrum. When we look at the lte, we are currently getting faster speeds from our mobile mathworks then we get from wifi. When ltd. Is now back, the whole incentive has been diminished significantly because there is no cost advantage anymore to shifting over to wifi. That will drive the demand further. While the United States is a Global Leader as we discussed today other nations are catching up and try into succeed with nations like south korea and japan and its important that we remain a competitive advantage. So we may be even more spectrum for the commercial and federal users and that is why we have the additional spectrum for such uses. What do you think the impact would be if we dont have adequate spectrum in the pipeline . Thank you, senator. What we are seeing is more wireless being integrated into every major sector of the economy. We talked earlier about energy, transportation, healthcare. These are places where the leadership and 4g gave advantages, a technology that didnt exist seven years ago now employs over 1. 6 million people. So we want to make sure the race to 5g with even more capabilities you are out in the front and keep innovation here in the u. S. Thats why the work you all are doing on spectrum and infrastructure is critical. Thank you. Next is senator graham. Thank you all for being here. Let me start with mr. Bergman. I apologize for my absence in your testimony and also most of the questioning. You may be repeating and answering things already asked, that we paid a lot of attention to the spectrum issues and i want to make sure good things are happening. Last summer the fcc identified several high bands in the spectrum proceedings. Did the fcc do enough was there a need for additional spectrum of up to 24 gigahertz for the mobile systems and what else can be done . Thank you, senator. The action is to make the hype and spectrum available is important. That is going to be the initial platform where the services were tested and launched so that is an important step. I really commend the committee for your focus on additional bands. The leadership of the chairman and commissioner of oreilly and clyburn, all of whom talked about the importance of the hype and spectrum have a proceeding now where they are proposed to make a tea the team of additionl gigahertz of spectrum available and that is a spectrum that will deliver the speeds that are ten times what we have today services that are five times more responsive and when you think about applications like self driving cars, you want to make sure that you have Responsive Services and the ability to connect 100 times the devices we have today so we think about the internet of things and what that will open up in terms of opportunities for savings and the energy sector. There is a tremendous potential from that of making sure we get to market quickly, that we have large contiguous channels as my co panelists have said and that we have an emphasis on licensed spectrum that will allow us to provide better performance and reliability and security that we expect out of those kind of health care and other services is really critical. Must be turned to the unlicensed spectrum. We have worked on trying to encourage a balanced approach to the licensed and unlicensed spectrum. Let me ask you about the continued demand for the unlicensed spectrum soon growing at exponential rates, where do we look at what might we still find . The demand is growing very rapidly. We do need to look across all three of the bands, low, middle and high. That will give us the opportunity for the wide Space Technology in the rural areas and urban areas as well and in the mid range, thats where we have the existing technology at 2. 4 and 2. 5 and theres opportunities to expand those and then in the millimeter band, we are at the spectrum frontier proceeding where the spectrum was opened up between 57 to 72. And thats not just a bump thera possibility of setting up the channels that have more throughput, so it is a very efficient use of technology. A new standard has been developed. This is the industry coming together on the consensus basis and its created a standard beyond wifi, and its a very high throughput. I believe that the standard requires the 160 megahertz channel which the millimeter band can afford. Keep looking i think is the answer. Although i did not hear your testimony, you mentioned my name so thank you. Senator and i have been working on an issue of importance. Theres no one to i shouldnt say that. I come from a place where getting broadband opportunities in Rural America is important. The spectrum matters to us but so does community broadcasting. And i want to indicate that we want to be in the position to make sure good things happen in this process. Whats going on that has a consequence on nextgeneration technologies . We are at the early stages and we talked a little bit earlier about the broadcast marketing engineering studies and it appears on the koran data there will be 1100 stations repack which is a pretty significant number, so as of today we believe the amount of time we have to complete and the amount of money h we have is insufficient and so we will appreciate the continued oversight and as we get more information we will certainly pass that along that we have certain concerns today and we will do everything we can to make sure if theres a way to do it in 39 months we are going to. I would backtrack on the idea that there is any desire to slow the process down. We all want it to work very quickly for the benefit of all. Thank you very much. Senator udall. Chairman, thank you so much and this has been a fascinating panel with a lot of excellent testimony. Thank you for bearing with us in the middle of the vote and continuing here. As you all know today, there are more wireless devices than there are people in the United States and with so many wireless devices connecting in the internet, we could face a spectrum crunch that could hinder the next internet revolution. That is why im pleased my act has been approved by this committee. The contest would provide a significant monetary award to the first person that finds a way to make the spectrum use vastly more efficient. This helps incentivize the innovators and researchers to focus on the problem and we will help use American Ingenuity to solve it. I am also pleased that hes here to get a broadcast perspective. We tend to forget that broadcasting is the first Wireless Technology and is still relevant today. My first question is for you. We worked in 2015 to reverse the Spectrum Relocation Fund. This multimillion dollar fund pays the cost of relocating when a particular spectrum is offered for commercial use. The spectrum pipeline act made 500 million of existing money available for the Pilot Project that could lead to more use of spectrum. Last year on the issue for proposing plans to use the funds mr. Bergman do you agree that they should continue to make spectrum reallocation funding Resources Available to the agencies that are exploring how to use the spectrum more efficiently . We appreciate the work that you and the senator have done to improve the Spectrum Relocation Fund. It is an important tool for making sure that there are the right incentives and opportunities for the solutions to put the spectrum to efficient use. We know that federal agencies have exclusive or primary access to 60 or 70 of the spectrum below three gigahertz, so trying to make sure that we use it as efficiently to identify opportunities to make that available for the commercial use is a really important goal and that tool is a very strong one. We believe there are opportunities for winwin. The option was an opportunity to upgrade their systems and resulted in making available 65 megahertz of spectrum that went on to produce the largest spectrum option so we appreciate your work on that. Appreciate that answer. Your testimony briefly discusses cloud computing. This is a topic of interest to me and the senator and i worked together for several years now on the federal it legislation and oversight to increase the clout of option. I believe replacing the socalled systems with modern solutions could save the federal government billions of dollars and an improved cybersecurity. Can you share more about why microsoft and other companies are increasingly leveraging the cloud and what that means for future Broadband Connectivity needs . S. And thank you for that question. Every 15 years or so, there is a major shift in the computer landscape. We have the mainframe era in the 60s so than the revolution of the personal computing and then the shift to the Client Server computing. Then today it is cloud computing. The basic concept is that its incredibly and economically efficient to run servers in the central locations in their data centers rather than each individual company. The analogy is someone offered energy whereas in the 1880s, it was a revolution you could have electric power and each factory had its own generator. Someone dreamt that i wil drunke power for the whole city and that was much more efficient. While it is similar with the cloud as well. So we really believe that we are sitting in the marketplace that enterprises around the world will be more efficient and have better access to the Data Analytics and Artificial Intelligence technique if they are delivered over the cloud. The same is true in the federal government and obviously it is a big lift to move the legacy systems to that new approach and it will take a long time, but we leave that out tbelieve that ous well. The cloud is operating its data centers and remote locations and so, people need to connectivity to reach the data centers. It is as simple as bad. It is simple for the crowd computing to have a first rate connectivity whether it is licensed or unlicensed. Thank you mr. Chairman. Thank you mr. Chairman and thanks to each of the panelists today for your testimony on the subjects. I have a question for you in the summit area i find particularly fascinating and that is what is being done by american manufacturers using the white space spectrum. I was intrigued by some of the work microsoft is doing in virginia to help the homework gap by using the white spaces to leverage the connections that run through the schools and allow students and surrounding areas to access the School Network wirelessly from home, which is incredibly important to education today. In your estimation what must be done to it sure we have enough channels available so we can have this kind of unlicensed use but can be so beneficial . We just need to conclude the process and the socalled repacking of the tv channels in such a way there is as much spectrum available for the wide spaces as possible. In particular, i theres a possibility of having vacant channels in some areas where whe theres not enough tthere is nos to fill up all of the available spectrum. We would like to see as many as possible that we can leverage in the spaces and also have a system where coast to coast in rural and urban areas, the channels are set aside for the wide spaces and in that way the Device Manufacturers will know they can build a device and it can be deployed anyplace in the country. Do you see any other challenges in expanding the School Connectivity which is important for things we should be working on . It is a question of setting up investments. Nothing is free. But the technology is very efficient. We can have low transmitters that are inexpensive and the devices are relatively inexpensive as well. We do have a petition pending at the fcc to clarify that the program should cover the tv wide spaces as well as the other means of access to the internet and we hope that moves forward. I know you addressed this next topic in the testimony that i dont think that you addressed it before us as a panel, but this is to all of you and it is an important question for us to think about. We know the advances in technology that we are seeing are all accelerating at an exponential rate and it does seem to get steeper and steeper as we go forward. To come up with standards to come up with all of these standards, a unified approach. I know you have your answer submitted. I would encourage the other witnesses if you have thoughts about how to put together these heart and her ships about how to deal with thealso regulatory challenges associated with it. I would just, talking about the benefits of collaborative Industry Standard setting, Bluetooth Technology we are using every day thats a voluntary standard. Certain issues can arise in terms of avoiding interference when you have shared spectrum with other users in that spectrum or in adjacent channels. At sometimes it seems as though regulation may get heavier than is needed to address those concerns. We would encourage wherever possible the industry worked together with standardsetting bodies to achieve that. More broadly, we need to work with the international , theommunications Union Delegation to the world wide spectrum discussions going on through the itu, and i would very much support the efforts of working with academics as well. Thanks for your questions,. I would suggest this has been tremendously collaborative relative to past standard changes. I think the last time we took the tv standard, it took 19 years. This transition is moving at a much quicker pace. We are encouraged by that. By the current fcc that is helping us move that along. So, thank you. Saw the beginning of that opportunity in some discussions between the Wireless Industry and the satellite industry, front years for something that becomes more and more important as we look at the millimeter wave bands. More important with a millimeter bands. I think the discussions taking place many of those have been identified with the growth of the satellite industry and the topic of service to rural areas came up today has been an area the satellite industry has been providing services for decades. I noted in my testimony the growth of that the testimony of the satellites that have been launched in providing fcc broadband speeds and the continued growth with the satellite. Been able to access that spectrum continues to be very important. Roughly what we have done to voluntary discussions. Thank you. The Wireless Industry participates in a variety of standards both for all my sins and license spectrum. Its an important tool for the industry in terms of being able to develop and bring new products to market. One recent we like a mix of license nonlicensed is that were able to bring services to market quicker sometimes before we can develop them before standards are developed. Your question about is the model that we have embraced whether its wireless emergency reserves or 911 location accuracy we found a successful to partner in those cases with Public Safety and in other cases as well to try to advance Public Policy goals in a flexible way. Thank you senator. One of the things that you mentioned that technology is progressing financially wears government policy is not always following the pace. I think it needs more foresight so that we are using more Ambitious Goals and what we are clearing and making available to industry. I think overall the technology and telecommunication industry is worked well together. One notable example is ltu and license assist access so i think we should encourage these type of voluntary processes with a light touch, regulatory and environment. Thank you senator peters. Thank you mr. Chairman. The panel knows that we are simultaneously meeting with other committees. I need to reprogram my Senate Armed Services concerns here so i dont know really what you have already gone over. Looking forward mr. Bergman, the appointment of the next generation of Telecommunications Technology will allow faster internet speeds which will required a substantial investment. Have you discussed with but we can do. Were your partner want to help. What should we be doing . Senator, youre right. Were facing a great opportunity and a great a great challenge as we look to lead in 5g we recognize that its a new network, build not just round tall towers but also around hundreds of thousands of small cells the size of pizza boxes or lunchboxes that will enable us to have faster and higher services. A couple of things we can do is to work with us to make sure that local processes are not overly burdened son. To make sure we have access to rights of ways on a timely basis and fees that are reasonable in cost space, to make sure that federal agencies move quickly and have deadlines particularly as we look to parts of the country that has large areas of federal lands or federal buildings, the delays today can be on the order of 2 4 years and sometimes longer. If we can shorten that we can get the of a structure more quickly and cheaply. And maybe also when i spent 30 years in that side of the table the problem i had was predictability and knowing in advance of whats going to happen. You have to know well in advance before huge expenditures are being made what the roads are going to be when you get to the point where youre going to make it happen. I would assume though be a concern. I understand the consumer demand more than doubled in 2015 alone. I didnt know this. Im the newest one on the committee. You have to rely on license spectrum which you exclusively owned a nonlicensed which anyone can use. Could you share with the committee why its important to use both licensed and unlicensed spectrum to meet the growing consumer demands which is double that last year alone . Both licensed and unlicensed are important parts of the Wireless Industrys ability to serve. Were looking to launch new services. License remains the foundation of mobile networks and thats a place that enables us to build and highly reliable and secure services. As we look to 5g and the kinds of things like self driving cars or remote surgery where we want to have a Higher Quality of service, license will be critically important part of that equation. And microsoft has been the leading innovator in the congress and the fcc has said mars spectrum needs to be made available between licensed and unlicensed spectrum. Delete believe theres appropriate balance between the two, license nonlicensed . I see it deemed coming out of the hearing is everyone on the side of the table would like to see as much spectrum as possible allocated to both licensed and unlicensed youth. Use. We speak in terms of a balanced policy policy that doesnt necessarily mean 1 megahertz for one unlicensed and one for license. It may make more sense to allocate more to licensed are more tom licensed in particular circumstance. Were enthused about the extra and worth that opened up and were enthused about the frontiers proceeding with a spectrum has opened up as well. To your point about predictability, that is important too. You need to know ahead to plan and develop standards and build devices. Its been a bit of a challenge in the spaces over the last three years where the rules have been in flux. We feel like we need to move forward with investing in that technology now and were redoubling our efforts and feel like the rules are almost done. Thats true with any issue that can be talked about right now seems that government doesnt have the understanding that they really need to know what will be expected of them next year ten years from now because the investment needs to be made in advance. Sure you covered quite a few things. I apologize for not being here. Thank you senator. This has been a very interesting and enlightening two hours. I think this was an important hearing with the talented and knowledgeable panel. We been interrupted by votes and other Committee Meetings so it may be that you did have to reiterate a few things, but that is helpful to us also. Thank you very much and we will stand adjourned when express our appreciation on behalf of the subcommittee. The record will stay open for two weeks, thank you. [inaudible] [inaudible] [inaudible] [inaudible]

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