Frequency allocations and radio treaty matters: Radio frequency devices; marketing and equipment authorizations,
[Federal Register: June 10, 1998 (Volume 63, Number 111)]
[Rules and Regulations]
[Page 31645-31647]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr10jn98-29]
FEDERAL COMMUNICATIONS COMMISSION
[ET Docket No. 94-45; FCC 98-96]
Marketing and Equipment Authorizations
AGENCY: Federal Communications Commission.
ACTION: Final rule.
SUMMARY: By this Memorandum Opinion and Order, the Commission amends its regulations to increase the number of radio frequency products that can be imported, prior to receiving a grant of equipment authorization, for the purpose of testing and evaluation or demonstration at industry trade shows. This increase applies only to products designed to be operated within one of the allocated radio services and under the provisions of license issued by the Commission. In addition, manufacturers operating equipment for demonstration or evaluation purposes will be permitted to operate under the authority of a local FCC licensed service provider on the condition that the licensee gives the manufacturer permission to operate in this manner and accepts responsibility for the operation of the equipment. These amendments to the regulations respond to a Petition for Reconsideration and Clarification, filedby Ericsson, Inc.
EFFECTIVE DATE: August 10, 1998.
FOR FURTHER INFORMATION CONTACT: John A. Reed, Office of Engineering and Technology, (202) 418-2455.
SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Memorandum Opinion and Order in ET Docket No. 94-45, adopted May 14, 1998, and released May 28, 1998. The complete text of this Memorandum Opinion and Order is available for inspection and copying during normal business hours in the FCC Reference Center (Room 239), 1919 M Street, N.W., Washington, D.C., and also may be purchased from the Commission's duplication contractor, International Transcription Services, Inc., (202) 857-3800, 1231 20th Street, N.W., Washington, D.C. 20036.
Summary of the Memoranudum Opinion and Order
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In the Memorandum Opinion and Order, the Commission amended part 2 of its rules regarding the importation and operation of radio frequency (RF) devices. Previously, the rules limited the importation of RF products, prior to receiving a grant of equipment authorization, to no more than 200 units for testing and evaluation purposes and to no more than 10 units for demonstrations at trade shows. A greater number could be imported only if written authorization was first obtained from the Chief, Office of Engineering and Technology, FCC.
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Ericsson, Inc. fileda Petition for Reconsideration and Clarification to the Report and Order (``R&O'') in this proceeding, 62 FR 10466, March 7, 1997. It requested that the above
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importation limits be eliminated, stating that these limits unfairly restrict the ability of foreign manufacturers to compete with domestic manufacturers. Ericsson also requested that the Commission eliminate its requirement that manufacturers obtain a license to operate transmitters for demonstrations at trade shows, demonstrations at exhibitions, or evaluation of product performance. Ericsson adds that the requirement to obtain a license should apply only to entities that intend to provide services using the product.
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In the R&O in this proceeding, the Commission chose not to amend its rules limiting the importation of RF devices that had not yet received a grant of equipment authorization because of the difficulties sometimes associated with identifying the responsible party, e.g., the importer. With many products, especially low-power, unlicensed, consumer devices, the name of the responsible party may not be on the product. Thus, it may not be possible to trace a product to a specific importer or to have a product recalled should it later be found to be a source of harmful interference.
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The Commission continues to believe that importation limits for unauthorized devices are necessary and that these limits do not impose a significant barrier to foreign trade. However, Ericsson has made a compelling argument that the current limits are inappropriate for equipment intended to be used in the authorized radio services where a license to operate is required to be obtained from the Commission. In some authorized services, there are several hundred licensees, each of which may be interested in evaluating small quantities of sample base and mobile units before making larger purchases. This could result in frequent requests to import larger quantities. In order to reduce administrative burden, the rules are amended to allow the routine importation of up to 2000 units for test and evaluation and up to 200 units for display at trade shows, but only for equipment intended to be operated in an authorized radio service and under a Commission-issued license.
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The Commission does not agree with Ericsson that the requirement to obtain a license, where currently required, should be eliminated for equipment manufacturers. However, the Commission is amending its regulations to permit a manufacturer to operate its product for demonstration or evaluation purposes under the authority of a local FCC licensed service provider. The licensee must grant permission to the manufacturer to operate in this manner. Further, the licensee continues to remain responsible for complying with all of the operating conditions and requirements associated with its license.
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The changes to the regulations shown in this document incorporate the changes adopted in this proceeding as well as the changes to 47 CFR 2.1204(a)(3) and (a)(4) that were adopted by the Commission on May 18, 1998 in CI Docket No. 98-69, FCC 98-97. The changes to these paragraphs were made in separate orders adopted in close proximity to each other. For clarity, we are showing all of the resulting rule changes.
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Final Regulatory Flexibility Analysis. As required by Section 603 of the Regulatory Flexibility Act (RFA), 5 U.S.C. 603, an Initial Regulatory Flexibility Analysis (IRFA) was incorporated in the Notice of Proposed Rule Making (Notice) in ET 94-45. The Commission sought written Comments on the proposals in the Notice including the IRFA. No commenting parties raised issues specifically in response to the IRFA and a Final Regulatory Flexibility Analysis (FRFA) as included in the Report and Order in this proceeding. The rules adopted in this Memorandum Opinion and Order (MO&O) provide clarification and further relaxation of the marketing regulations adopted in the Report and Order. We therefore certify, pursuant to section 605(b) of the RFA, that the rules adopted in this MO&O do not have a significant economic impact on a substantial number of small entities.
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The Commission's Office of Public Affairs, Reference Operations Division, will send a copy of this final certification, along with this Memorandum Opinion and Order, in a report to Congress pursuant to the Small Business Regulatory Enforcement Fairness Act of 1996, 5 U.S.C. 605(b).
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It Is Further Ordered that this proceeding is Terminated.
List of Subjects in 47 CFR Part 2
Radio, Reporting and recordkeeping requirements.
Federal Communications Commission. Magalie Roman Salas, Secretary.
Rule Changes
For the reasons discussed in the preamble part 2 of title 47 of the Code of Federal Regulations, is amended as follows:
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The authority citation for part 2 continues to read as follows:
Authority: 47 U.S.C. 154, 302, 303, 307 and 336, unless otherwise noted.
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Section 2.803 is amended by revising paragraph (e)(3) to read as follows:
Sec. 2.803 Marketing of radio frequency devices prior to equipment authorization.
* * * * *
(e)(3) The provisions of paragraphs (e)(1)(i), (e)(1)(ii), (e)(1)(iii), (e)(1)(iv), and (e)(1)(v) of this section do not eliminate any requirements for station licenses for products that normally require a license to operate, as specified elsewhere in this chapter.
(i) Manufacturers should note that station licenses are not required for some products, e.g., products operating under part 15 of this chapter and certain products operating under part 95 of this chapter.
(ii) Instead of obtaining a special temporary authorization or an experimental license, a manufacturer may operate its product for demonstration or evaluation purposes under the authority of a local FCC licensed service provider. However, the licensee must grant permission to the manufacturer to operate in this manner. Further, the licensee continues to remain responsible for complying with all of the operating conditions and requirements associated with its license. * * * * *
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Section 2.1204 is amended by revising paragraphs (a)(3) and (a)(4) to read as follows:
Sec. 2.1204 Import conditions.
(a) * * *
(3) The radio frequency device is being imported in limited quantities for testing and evaluation to determine compliance with the FCC Rules and Regulations or suitability for marketing. The devices will not be offered for sale or marketed. The phrase ``limited quantities,'' in this context means:
(i) 2000 or fewer units, provided the product is designed solely for operation within one of the Commission's authorized radio services for which an operating license is required to be issued by the Commission; or
(ii) 200 or fewer units for all other products.
(iii) Prior to importation of a greater number of units than shown above, written approval must be obtained from the Chief, Office of Engineering and Technology, FCC.
(iv) Distinctly different models of a product and separate generations of a particular model under development are considered to be separate devices.
(4) The radio frequency device is being imported in limited quantities for demonstration at industry trade shows and the device will not be offered for
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sale or marketed. The phrase ``limited quantities,'' in this context means:
(i) 200 or fewer units, provided the product is designed solely for operation within one of the Commission's authorized radio services for which an operating license is required to be issued by the Commission; or
(ii) 10 or fewer units for all other products.
(iii) Prior to importation of a greater number of units than shown above, written approval must be obtained from the Chief, Office of Engineering and Technology, FCC.
(iv) Distinctly different models of a product and separate generations of a particular model under development are considered to be separate devices. * * * * *
[FR Doc. 98-15395Filed6-9-98; 8:45 am]
BILLING CODE 6712-01-P
