That shouldn't be the end of the discussion, though. Why didn't the FCC grant Swarm a license in the first place? Basically, the FCC claims the right to take action to minimize the danger of orbital debris created by US-operated satellites. [1] According to the FCC, this jurisdiction is granted by the Communications Act of 1934. [2] But that requires a very broad interpretation of the law. If promoting "the larger and more effective use of radio in the public interest" lets the FCC make regulations about orbital debris, then surely it also applies to just about anything that has a radio.
I don't like what Swarm did here -- I think they are legitimately endangering other satellites -- but I don't like the precedent the FCC is setting either. This seems like a classic case of bureaucratic overreach to me.
Primary sources:
[0] Swarm's license application: https://apps.fcc.gov/oetcf/els/reports/442_Print.cfm?mode=cu...
[1] FCC experimental license rules, section 5.64: http://www.fr.com/files/Uploads/attachments/fcc/FCC_Part%205...
[2] "Mitigation of Orbital Debris", section (III)(A): https://apps.fcc.gov/edocs_public/attachmatch/FCC-04-130A1.p...