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
________________________________________________
Brazos Valley Amateur Radio Club

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