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We’re here to help you! Proposed new FCC regulations on the licensing of smallsats would raise the licensing cost for student-built cubesats so much that universities would likely have to shut down the programs.
In a move that threatens U.S. education in science, technology, engineering and math, and could have repercussions throughout the country’s aerospace industry, the FCC is proposing regulations that may license some educational satellite programs as commercial enterprises. That could force schools to pay a US$135,350 annual fee – plus a $30,000 application fee for the first year – to get the federal license required for a U.S. organization to operate satellite communications.
It would be a dramatic increase in costs. The most common type of small satellite used in education is the U.S.-developed CubeSat. Each is about 10 inches on a side and weighs 2 or 3 pounds. A working CubeSat that can take pictures of the Earth can be developed for only $5,000 in parts. They’re assembled by volunteer students and launched by NASA at no charge to the school or college. Currently, most missions pay under $100 to the FCC for an experimental license, as well as several hundred dollars to the International Telecommunications Union, which coordinates satellite positions and frequencies. [emphasis mine]
If these new and very high licensing fees are correct I find them shocking. As noted in the quote, building a cubesat costs practically nothing, only about $5,000. The new fees thus add gigantic costs to the satellite’s development, and could literally wipe the market out entirely. They certainly will end most university programs that have students build cubesats as a first step towards learning how to build satellites.
These new regulations appear to be part of the Trump administration’s effort to streamline and update the regulatory process for commercial space. It also appears that the FCC has fumbled badly here in its part of this process.