On October 8, 2026, the FCC released a draft Notice of Proposed Rulemaking (NPRM) aimed at modernizing the FCC’s Supplemental Coverage from Space (SCS) rules and facilitating direct-to-device (D2D) services. The draft has been circulated for consideration at the FCC’s October 29, 2026 Open Meeting and remains subject to change.

The SCS rules, first adopted in 2024, permit use of terrestrial spectrum for D2D satellite operations, generally under arrangements between terrestrial spectrum licensees (like mobile network operators) and satellite companies. To date, all approved SCS deployments have relied on waivers of the FCC’s rules, given the narrow focus of the FCC’s original SCS rules. The draft NPRM would give terrestrial and satellite licensees more flexibility in implementing SCS, with the idea being to “move away from a rigid SCS framework that routinely requires waivers.”

The rules proposed in the draft NPRM would more than double the amount of spectrum available for SCS use by rule, making more than 482 megahertz of spectrum available for SCS and increasing the number of eligible bands from five to thirteen.  Many of the bands to be included were previously identified as possible candidates for SCS, and this proposal would codify their eligibility. The new rules also would relax existing leasing requirements, including by creating pathways for use of spectrum for SCS even where a licensee of terrestrial spectrum does not hold all relevant licenses throughout a geographically independent area (GIA) like the continental United States. Additionally, the proposed rules would eliminate the need for waivers where a satellite licensee holds SCS-eligible terrestrial spectrum itself, rather than leasing it from a third-party operator.  

The FCC also seeks comment on a number of other matters, including D2D performance requirements for SCS and MSS operators and new technical rules to address interference risks. If the NPRM is adopted, comments would be due 60 days after publication in the Federal Register.

Photo of Gerard J. Waldron Gerard J. Waldron

Gerry Waldron represents communications, media, and technology clients before the Federal Communications Commission and Congress, and in commercial transactions. Gerry served as chair of the firm’s Communications and Media Practice Group from 1998 to 2008. Prior to joining Covington, Gerry served as the…

Gerry Waldron represents communications, media, and technology clients before the Federal Communications Commission and Congress, and in commercial transactions. Gerry served as chair of the firm’s Communications and Media Practice Group from 1998 to 2008. Prior to joining Covington, Gerry served as the senior counsel on the House Subcommittee on Telecommunications. During his work for Congress, he was deeply involved in the drafting of the 1993 Spectrum Auction legislation, the 1992 Cable Act, the Telephone Consumer Protection Act (TCPA), CALEA, and key provisions that became part of the 1996 Telecommunications Act.

Gerry’s practice includes working closely on strategic and regulatory issues with leading IT companies, high-quality content providers in the broadcasting and sports industries, telephone and cable companies on FCC proceedings, spectrum entrepreneurs, purchasers of telecommunications services, and companies across an array of industries facing privacy, TCPA and online content, gaming, and online gambling and sports betting-related issues.

Gerry has testified on communications and Internet issues before the FCC, U.S. House of Representatives Energy & Commerce Committee, the House Judiciary Committee, the Maryland Public Utility Commission, and the Nevada Gaming Commission.

Photo of Corey Walker Corey Walker

Corey Walker advises clients on a broad range of regulatory, compliance, and enforcement matters in the media, technology, satellite and space, and telecommunications sectors. Corey also provides strategic counsel to leading media, sports, and technology companies on gaming matters, with a focus on…

Corey Walker advises clients on a broad range of regulatory, compliance, and enforcement matters in the media, technology, satellite and space, and telecommunications sectors. Corey also provides strategic counsel to leading media, sports, and technology companies on gaming matters, with a focus on sports betting, fantasy sports, and online gaming.

Corey represents clients before the Federal Communications Commission in connection with a range of policy and compliance issues, including satellite and earth station operations, radiofrequency (RF) spectrum use and availability, and experimental licensing for new and innovative technologies. He also advises clients on structuring transactions and securing regulatory approvals at the federal, state, and local levels for mergers, asset acquisitions, and similar transactions involving FCC and state telecommunications licensees and companies holding private remote sensing space system licenses issued by the National Oceanic and Atmospheric Administration.

Corey also maintains an active gaming and sports betting practice, and routinely counsels companies on state licensing and compliance matters, including those that pertain to fantasy sports and online gaming.

Photo of John Bowers John Bowers

John Bowers is an associate in the firm’s Washington, DC office. He is a member of the Data Privacy and Cybersecurity Practice Group and the Technology and Communications Regulation Practice Group.

John advises clients on a wide range of privacy and communications issues…

John Bowers is an associate in the firm’s Washington, DC office. He is a member of the Data Privacy and Cybersecurity Practice Group and the Technology and Communications Regulation Practice Group.

John advises clients on a wide range of privacy and communications issues, including compliance with telecommunications regulations and U.S. state and federal privacy laws.