March 2010

FCC Seeks Comment on Retransmission Rules

Fourteen entities filed a petition for rulemaking on March 9, 2010 requesting that the Federal Communications Commission amend and supplement its retransmission consent rules. The petition argues that the FCC's current retransmission consent rules do not account for changes in the video programming distribution market, and it proposes reforms including dispute resolution mechanisms and mandatory interim carriage.

The FCC is now inviting public comment on this petition.

Comments are due April 19, 2010 and Reply Comments are due May 4, 2010.

MB Docket No. 10-71

Contact: Diana Sokolow at (202) 418-0588.

Mabuhay Alliance first group to file petition to deny Comcast-NBC Universal Deal

The Comcast/NBCU merger has drawn its first petition to deny from self-described "Pan-Asian" group called the Mabuhay Alliance, which felt neglected by what they said was a lack of references to their constituency in the proposed deal's filing, including its public interest filing.

"The combined 749 page application and appendix contain no references to America's 15 million Asian Americans or any references as to their past treatment or future treatment by Comcast and NBCU," the group said in opposing the deal as currently constituted. But they suggested there was a way to make them happier. "As a condition for allowing this proceeding to continue," they said. "we formally request that the FCC order Comcast to revise its 145 page application and set forth specific and unique benefits this acquisition will have for 15 million Asian Americans, including those most ignored, such as Vietnamese Americans, Korean Americans, Filipino Americans, Samoans, Hmong, Thais, Cambodians and Indonesians."

Public Telecommunications Facilities Program: New Closing Date

The National Telecommunications and Information Administration will re-open the solicitation for Public Telecommunications Facilities Program (PTFP) applications until Thursday, April 22, 2010, to accommodate the increase in digital power levels of radio stations allowed by the Federal Communications Commission's January 29, 2010 Order.

Malone Sees Pay-TV Industry Consolidation as Fee Disputes Mount

Media billionaire John Malone said fee disputes between U.S. broadcasters and cable-television operators will force companies to combine to gain negotiating clout.

"The biggest distributors have some leverage in that negotiation because they can do damage," Malone, 69, said yesterday in an interview. "The smaller distributors are going to be pretty powerless to protect themselves from getting creamed, so it's going to lead to more consolidation." Cablevision could gain scale by merging with Time Warner Cable, bolstering its influence, said David Joyce, an analyst at Miller Tabak & Co. in New York. "If the Comcast-NBC deal can get done without the FCC or DOJ neutering any of the positives in that combination, then there's any host of other media merger combinations that could make sense," said Joyce. Philadelphia-based Comcast Corp., the biggest U.S. cable operator, agreed to take over broadcast and film company NBC Universal last year.

5 Reasons I'm Still Not Paying for a Music Subscription Service

[Commentary] Music is moving into the cloud, right? Access is replacing ownership of albums and song files, online streams are replacing desktop playback and mobile access is renewing interest in on-demand music subscriptions. Older services such as Rhapsody and Napster now appear prescient, though they never quite went mainstream, and newer ones such as Spotify and MOG are attracting big VC dollars. So why isn't Bonanos ready to pay for any of them?

1) There are still significant gaps in the catalog.

2) You still can't merge things you own with things you just want to stream.

3) Ownership of music still provides a smoother listening experience.

4) You can only share music with fellow subscribers.

5) You can still hear things that you don't already own without paying for them.

Cyberattack Prevents Transmission of Election Results in Colombia

A cyberattack prevented the online transmission of results from last weekend's congressional elections in Colombia , while final returns have still not been released three days after the balloting due to organizational problems. Ivan Ribon, director of the Arolen firm, responsible for communicating the elections results over the Internet, told RCN radio Wednesday that his company had been targeted by hackers. The cyberattack initially led to intermittent updating of the returns from Sunday's balloting and later caused a complete loss of service. Once "the channels for communicating the results were opened, we began to notice (an abnormal number of hits) on the Web site ... an extremely large-scale attack that lasted all (Sunday) night," he said. The executive added that the Attorney General's Office was alerted to the problem and that a formal complaint will be filed Wednesday.

Research Firm Predicts Federal Cyber-Security Market Surpassing $10.5 Billion by 2015

Market Research Media claims that rampant cyber-attacks and the White House's progressive stance on IT security research and development will grow cyber-security spending at a compound annual rate of about 6.2 percent in the next six years.

The share of cyber-security spending in total federal IT spending will grow from 10.5 percent in 2010 to 11.3 percent in 2015. The largest spenders in civilian agencies will be the departments of Health and Human Services, Homeland Security, Treasury, Transportation, Veterans Affairs and Justice. Total federal cyber-security spending from 2010 to 2015 is expected to reach $55 billion. The top categories for IT investment type are national security, mission area support, office automation and communications. Strong growth is expected in offensive cyber-warfare, and IP traffic surveillance and monitoring. A lack of qualified staff and agency turf wars may threaten deployment of IT solutions in the federal space. The company also reports that foreign adversaries see Americans' dependency on IT as an opportunity to find exploitable weaknesses. More detailed data on these findings can be found in a Market Research Media report on the data, which is available for nearly $4,000 for a single user license, and nearly $6,000 for a global user license.

For many, the local newspaper isn't dying - it's already dead

[Commentary] What will happen to a city when the last major newspaper dies? If you are white, and probably a male, you may not have noticed that we've been living in this doomsday scenario for years, if not decades. For African Americans, Native Americans, Asian, Latino... or gays... or under 25... or female... they know that their communities have been, and continue to be, routinely left out of their newspaper. They typically make the news for holidays, crime or food. For many of them, newspapers aren't dying... they're already dead.

To Make Sense of the State Department's Opinion Space, Think Robots. Yes, Robots.

Last week came word that the U.S. State Department was launching a project called Opinion Space, a participatory, online experiment in mapping global public opinion. It was intriguing, exciting, engaging. It was also, how shall we say, the slightest bit inscrutable. Just what is this thing, really? So I rang up Ken Goldberg and asked him. Goldberg is a robot builder, artist, and director of the University of California at Berkeley Center for New Media (BCNM), the State Department's partner in the Opinion Space experiment.

The REAL Reason NBC, FOX, And ABC Execs Want To Kill Hulu

Hulu's sales team is "actively subverting" the ad sales of its parent companies that are also trying to sell ads for their shows on Hulu, according to a source at one of the parent companies.

Hulu's ad sales team is "cutting rates," so its ad prices are cheaper. Hulu is also building different, more innovative, ad products than its parent companies like FOX, NBC, and ABC. Basically, Hulu is selling better ads at cheaper rates. It's "hollowing out ad sales" for the networks. The bigger companies are finding it harder to sell Hulu ads at higher rates. This news is significant because Hulu needs the long-term support of its parent companies to survive. If Hulu were to lose its exclusive access to FOX, NBC, and ABC TV shows, the whole operation would fall apart.