On November 20, 2024, the Federal Communications Commission (the “Commission”) issued a Second Report and Order in which it adopted rules (“the Order”) to facilitate the transition to from Dedicated Short Range Communications (“DSRC”) technology to Cellular-Vehicle-to-Everything (“C-V2X”) technology for the Intelligent Transportation System (“ITS” also referred to as the “connected vehicle ecosystem”).  Notably, the Order was adopted by a unanimous, bipartisan vote.  In a press release, the Commission said that the Order will “accelerate the automotive industry and federal government plans for transitioning from dated technology to the more advanced C-V2X automobile safety technology.”

The Order follows a 2020 Order in which the Commission retained the upper 30 megahertz of the 5.9 GHz band for ITS operations and required the ITS service to transition from DSRC-based technology to C-V2X-based technology.  The Order expands on that transition by addressing the transition timeline, communications prioritization, channel bandwidth, communication zones, C-V2X standards, and additional matters.

Transition Timeline: The Order establishes a two-year sunset for DSRC operations in the 5.9 GHz band, which will commence on the date that the Order is published in the Federal Register.  Additionally, new licenses issued after the effective date of the final rules will only authorize C-V2X operations and not DSRC operations.

Communications Prioritization: The Commission concluded that preserving the three-tiered communications prioritization hierarchy currently in place under the DSRC rules will serve its goal of enhancing transportation and vehicular safety.  Accordingly, safety-of-life messages will continue to have highest priority, followed by public safety communications, and then non-priority communications that promote road safety and efficient road use.

Channel Bandwidth: The Commission will continue to provide three 10-megahertz channel bandwidths, which users will be allowed to combine into contiguous 20- or 30-megahertz channels to accommodate various ITS applications and services.

Communications Zones: The new C-V2X rules will not include “communications zones,” which the current rules require.  Communications zones are the service areas associated with an individual fixed roadside service unit (“RSU”) and must be as small as possible to maximize spectrum use.  However, the Commission concluded that communications zones were not necessary for C-V2X operations and thus the new rules will not require their use.

C-V2X Standards: The Commission declined to incorporate by reference any specific C-V2X standard into its rules and instead encouraged industry to develop a consensus on standards issued by the 3rd Generation Partnership Project, a group of telecommunications standard development organizations that has recently issued standards relevant to C-V2X technology.  However, the Order stated that the Commission expects the industry to ensure that all equipment is interoperable and backwards compatible to ensure safety.  The Commission expects manufacturers to comply with existing privacy and cybersecurity standards and best practices and to collaborate with the automotive industry to develop new guidance, standards, and best practices for privacy and cybersecurity.

Additional Matters: The Order includes specifications for various C-V2X technical requirements, including for power and antenna height limits for RSUs, power limits for C-V2X on-board units (“OBUs”), and out-of-band emissions limits for RSUs and OBUs.  The Commission declined to allocate additional spectrum for ITS purposes and stated that it will not compensate current DSRC users for transition costs.

The Order will become effective sixty days after the date of publication in the Federal Register.

Photo of Jennifer Johnson Jennifer Johnson

Jennifer Johnson is a partner specializing in communications, media and technology matters who serves as Co-Chair of Covington’s Technology Industry Group and its global and multi-disciplinary Artificial Intelligence (AI) and Internet of Things (IoT) Groups. She represents and advises technology companies, content distributors…

Jennifer Johnson is a partner specializing in communications, media and technology matters who serves as Co-Chair of Covington’s Technology Industry Group and its global and multi-disciplinary Artificial Intelligence (AI) and Internet of Things (IoT) Groups. She represents and advises technology companies, content distributors, television companies, trade associations, and other entities on a wide range of media and technology matters. Jennifer has three decades of experience advising clients in the communications, media and technology sectors, and has held leadership roles in these practices for more than twenty years. On technology issues, she collaborates with Covington’s global, multi-disciplinary team to assist companies navigating the complex statutory and regulatory constructs surrounding this evolving area, including product counseling and technology transactions related to connected and autonomous vehicles, internet connected devices, artificial intelligence, smart ecosystems, and other IoT products and services. Jennifer serves on the Board of Editors of The Journal of Robotics, Artificial Intelligence & Law.

Jennifer assists clients in developing and pursuing strategic business and policy objectives before the Federal Communications Commission (FCC) and Congress and through transactions and other business arrangements. She regularly advises clients on FCC regulatory matters and advocates frequently before the FCC. Jennifer has extensive experience negotiating content acquisition and distribution agreements for media and technology companies, including program distribution agreements, network affiliation and other program rights agreements, and agreements providing for the aggregation and distribution of content on over-the-top app-based platforms. She also assists investment clients in structuring, evaluating, and pursuing potential investments in media and technology companies.

Photo of Jocelyn Jezierny Jocelyn Jezierny

Jocelyn Jezierny is an associate in Covington’s Technology and Communications Regulation practice group, where she counsels clients on a broad range of matters in the technology, media, and communications industries.

In particular, Jocelyn advises clients on a wide range of issues before the…

Jocelyn Jezierny is an associate in Covington’s Technology and Communications Regulation practice group, where she counsels clients on a broad range of matters in the technology, media, and communications industries.

In particular, Jocelyn advises clients on a wide range of issues before the Federal Communications Commission (“FCC”) and state public utility commissions, including licensing matters, transaction approvals, and rulemaking proceedings. Jocelyn assists telecommunications and media clients in responding to investigations before both the FCC and the Federal Trade Commission (“FTC”) and in participating in proceedings before an Administrative Law Judge. Jocelyn has significant experience in matters involving foreign investment in FCC-regulated companies.

Jocelyn also advises on regulatory and legal considerations related to emerging technologies such as Artificial Intelligence (“AI”) and the Internet of Things (“IoT”).

Jocelyn maintains an active pro bono practice in which she advises on a variety of issues, including assisting U.S. military veterans in seeking upgrades to their medical benefits and advising small media organizations and independent journalists on a variety of legal and regulatory matters.

Prior to joining Covington, Jocelyn was an Attorney-Advisor in the FCC’s International Bureau (now the Office of International Affairs), where she worked on matters pertaining to the licensing of foreign-owned U.S. telecommunications services providers. Jocelyn has developed significant experience in working for and with federal agencies.

Photo of Conor Kane Conor Kane

Conor Kane advises clients on a broad range of privacy, artificial intelligence, telecommunications, and emerging technology matters. He assists clients with complying with state privacy laws, developing AI governance structures, and engaging with the Federal Communications Commission.

Before joining Covington, Conor worked in…

Conor Kane advises clients on a broad range of privacy, artificial intelligence, telecommunications, and emerging technology matters. He assists clients with complying with state privacy laws, developing AI governance structures, and engaging with the Federal Communications Commission.

Before joining Covington, Conor worked in digital advertising helping teams develop large consumer data collection and analytics platforms. He uses this experience to advise clients on matters related to digital advertising and advertising technology.