HF trading lobby presses on The Shortwave Modernization Coalition (SMC, ERN #9 <https://www.experimentalradio.news/r/48e5e96c?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c>) continues lobbying the FCC to authorize high-frequency trading (HFT) in the shortwave bands, currently only permitted on an experimental and temporary – but renewable – basis.
The FCC received hundreds of comments on SMC's petition, which would allow HFT stations up to 20 kW with channel sizes up to 50 kHz. SMC consultants Dennis Roberson <https://www.experimentalradio.news/r/87d91639?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c>and former FCC Commissioner Harold Furchtgott-Roth <https://www.experimentalradio.news/r/209811b4?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> met with FCC staff in December to promote the proposed HFT service. "The SMC members have found the 2–25 MHz band to be the most efficient media to transmit nearly real-time market information to inform decisions on trades in securities and derivatives," the consultants told <https://www.experimentalradio.news/r/a6e9c7b1?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> the FCC. Their clients "have made substantial investments in plant, equipment, skilled personnel, and operations to employ communications in the 2–25 MHz band." "Most of the SMC members are privately held companies. Details about the internal finances of these companies are not publicly available," they noted. Meetings like this are intended to allay concerns raised by FCC staff. In this case, these have turned out to be mainly issues of increased interference to existing operations in the HF bands, especially federal stations; and concerns that the FCC will face a flood of applicants for licenses. The SMC proposal does not contemplate license auctions, a subject we believe could become a major issue in any future Notice of Proposed Rulemaking. SMC is clearly tired of waiting for FCC action: "For more than two years, the Commission has not responded to the petition, but permanent inaction is ultimately a form of denial of the petition," the consultants said. No FOIA for you The FCC rejected <https://www.experimentalradio.news/r/8a9ec49e?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> requests from Skywave Networks <https://www.experimentalradio.news/r/58ea3a7a?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> to unveil confidential parts of license applications for experiments in the shortwave bands. Skywave sought to use the Freedom of Information Act to learn nonpublic details of licensees participating in the Shortwave Modernization Coalition (SMC). After the FCC Office of Engineering and Technology (OET) declined Skywave's requests, the company appealed to the full three-member Commission. Experimental license records are normally public, but applicants can ask to withhold commercially sensitive data from public exposure. Skywave had sought such material about SMC members RCA Telecom, M-Wave Networks, Alpha Bravo Communications, Skycast Services, County Information Services, Rockland Wireless and Toggle Communications. Skywave argued it needed the material in order for it to respond to the SMC petition. "When persons who obtained experimental licenses then request rulemakings based in part, or in whole, on those experiments, the Commission has placed them on notice that the experimental details become public," Skywave said. "Having received Commission grant and used public spectrum for experiments, the benefactors cannot then hide the results while requesting additional Commission consideration of rulemaking or other relief." With regard to the SMC petition, Skywave also has said that "extended and expansive use of experimental licenses for production purposes is driving deliriously flawed rulemaking proposals (e.g., regressive interference proposals and spectrum hogging) that are not in accordance with Commission principles nor are they in the long-term interest of financial industry participants outside of the SMC." Skywave's phrase *production purposes* probably means regular revenue operations rather than temporary scientific experiments. The FCC wasn't impressed, however. It called Skywave's requests "far from models of clarity". The full Commission upheld the decisions to keep the material secret. Skywave holds patents <https://www.experimentalradio.news/r/3812ef98?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> on HF data transmission and says <https://www.experimentalradio.news/r/6500297a?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> its technology "provides peerless performance with the lowest shortwave latency by a wide margin. Also, it provides the highest shortwave capacity through complex modulation and patented modem technology. Skywave delivers the highest shortwave availability (90%+) with patented features to keep you trading. Our system can provide democratized access to shortwave." Walking back waivers The FCC is now issuing letters to HF experimental licensees emphasizing their obligations, including non-interference to incumbents. But the letters include a major change: They remove routine waivers of station identification. The FCC has never explained the waivers. Some of these stations run hundreds of thousands of watts in multiple HF bands, yet did not have to identify themselves. The exemptions complicate the process of identifying interference sources. Stations now must follow the ID rule <https://www.experimentalradio.news/r/4f05f756?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c>, which requires voice or Morse identification without digital encoding or modulation. "Failure to comply with any of the above will result in cancellation of station license," the FCC said. Why the change OET said the letters are in response to interference complaints from incumbent spectrum users. Perhaps the complaints were from defense users who do not wish to share the bands with powerful, unidentified stations – or from the American Radio Relay League, on behalf of radio amateurs who vigorously opposed <https://www.experimentalradio.news/r/b3283737?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> the SMC petition. Some HF trading licenses include amateur spectrum. For example, WK2XJK at the Armstrong Tower in Alpine, NJ. <https://www.experimentalradio.news/r/4dd8df06?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> is authorized 16 kW ERP in several bands. These include 14.0–14.99 MHz, which covers the 20 meter amateur band at 14.0–14.350 MHz. This station's licensee, Rockland Wireless, is one of several that received the letter <https://www.experimentalradio.news/r/58adc814?m=ea97dc1a-0e30-4d55-af52-c3b114f8317c> from the FCC. On December 1, 2025, WK2XJK was exempt from ID; on December 17 its exemption was pulled. December 1, 2025 December 17, 2025
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