For upcoming media policy events, see http://www.benton.org/calendar.htm
WASHINGTON DECISIONS
Senate Approves Adelstein; Congress Passes SHVIA
Congress Blocks Taxes On Internet Connections
FCC GOP Seat Up for Grabs?
TELEVISION
'Private Ryan' and Public Censorship
Many Who Voted for 'Values' Still Like Their Television Sin
TV Shows Discover New Setting: Wal-Mart
Report on Cable A La Carte Pricing Model
Local Cable Wins War, Loses Election
QUICKLY: Radio One Gets Bigger; FCC Underwriting Rules Questioned; Software
Defined Radio;
Broadband from a Power Outlet; Supreme Court to Discuss Modem Case
WASHINGTON DECISIONS
SENATE APPROVES ADELSTEIN; CONGRESS PASSES SHVIA
Late Saturday evening, FCC Commissioner Jonathan S. Adelstein was approved
by the Senate for a new, full term at the Commission. The Satellite Home
Viewer Improvement Act (SHVIA) was passed by Congress as part of the
Omnibus Appropriations bill. The legislation will renew compulsory license
agreements for DBS providers and end EchoStar's two-dish business practice
in 18 months. SHVIA will create more opportunities for DBS providers to
deliver distant digital signals, while it will impose more conditions on
DBS to take local-to-local packages. The bill also creates some
restrictions on DBS delivery of distant digital signal delivery. Both
satellite industry and broadcast sources have said they got what they
wanted in the bill.
[SOURCE: Communications Daily, AUTHOR: Terry Lane]
(Not available online)
For more on SHVIA see
http://news.com.com/Congress+approves+satellite+transmission+bill/2100-1...
CONGRESS BLOCKS TAXES ON INTERNET CONNECTIONS
Congress on Friday blocked state and local governments from taxing
connections that link consumers to the Internet for the next three years.
The legislation extends a previous ban that expired in November 2003. It
applies to all types of Internet-access services from traditional dial-up
services to high-speed broadband lines from cable companies and Baby Bells.
The bill also blocks multiple state and local taxes from being imposed on
merchandise purchased over the Internet.
[SOURCE: Wall Street Journal]
http://online.wsj.com/article/0,,SB110088866979379431,00.html?mod=todays...
(requires subscription)
See also:
http://www.usatoday.com/printedition/money/20041122/int_news22_5b.art.htm
FCC GOP SEAT UP FOR GRABS?
Now that Commissioner Jonathan Adelstein will be back (see story above),
speculation has turned to Republican Kathleen Abernathy term at the FCC.
Her term ended in June, but she is entitled to remain on the Commission
through next year or until a replacement is confirmed. Although she hasn't
spoken publicly about the matter, it is widely believed that she is ready
to return to the private sector. Who could replace her? Rebecca Armendariz
Klein, the former chairwoman of the Texas Public Utility Commission (PUC);
Earl Comstock, who represents Earthlink and Yahoo for Washington law firm
Sher & Blackwell -- he is a former aide to Sen. Ted Stevens (R-Alaska), who
is the incoming chairman of the Commerce Committee; Michael Gallagher, head
of the National Telecommunications and Information Administration, or
Janice Obuchowski, a telecommunications consultant.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA482076.html?display=The+Beat&...
(free access for Benton's Headlines subscribers)
TELEVISION
'PRIVATE RYAN' AND PUBLIC CENSORSHIP
Under new FCC rules, context, quality and parental warnings repeated ad
nauseum no longer matter when considering indecency fines. When numerous
ABC affiliates refused to air Saving Private Ryan on Veterans Day, these
broadcasters vividly demonstrated that the chilling effect of the FCC's
newly expanded indecency regulations on appropriate, important and
educational speech on free over-the-air television is no scholarly
abstraction but is very real, costly and dangerous. The real Private Ryans
and his fellow veterans of World War II fought so that their children might
continue to enjoy the freedoms guaranteed by our Constitution. Today, those
children -- and the broadcasters who serve them -- must continue that fight.
[SOURCE: Broadcasting&Cable, AUTHOR: Jonathan Rintels & Peggy Charren,
Center for Creative Voices in Media]
http://www.broadcastingcable.com/article/CA482149?display=Opinion&referr...
(free access for Benton's Headlines subscribers)
MANY WHO VOTED FOR 'VALUES' STILL LIKE THEIR TELEVISION SIN
We embrace values in a President, but, perhaps, not in our living rooms. In
interviews, representatives of the four big broadcast networks as well as
Hollywood production studios said the nightly television ratings bore
little relation to the message apparently sent by a significant percentage
of voters. The choices of viewers, whether in Los Angeles or Salt Lake
City, New York or Birmingham, Ala., are remarkably similar. And that means
the election will have little impact on which shows they decide to put on
television, these executives say.
[SOURCE: New York Times, AUTHOR: Bill Carter]
http://www.nytimes.com/2004/11/22/business/media/22tube.html
(requires registration)
TV SHOWS DISCOVER NEW SETTING: WAL-MART
Wal-Mart is one of the biggest spenders on television, plunking down more
than $500 million on network TV last year and almost $340 million so far
this year, according to Nielsen Monitor-Plus. On Viacom's CBS alone, the
chain spent $40.4 million on commercials in the first seven months of this
year. And although other brands spend big money for product placement
within TV programs, Wal-Mart has seen rough treatment of late in
Viacom/CBS' "Without a Trace," Fox's "King of the Hill" and Viacom/Comedy
Central's "South Park." "From PBS to 'South Park' -- it just shows you how
much a part of the culture we are," says Mona Williams, vice president of
communications for Wal-Mart.
[SOURCE: Wall Street Journal, AUTHOR: Ann Zimmerman ann.zimmerman( at )wsj.com &
Joe Flint joe.flint( at )wsj.com]
http://online.wsj.com/article/0,,SB110107835818580311,00.html?mod=todays...
(requires subscription)
REPORT ON CABLE A LA CARTE PRICING MODEL
On Friday, the Media Bureau of the FCC released its report on the efficacy
of 'a la carte' pricing in the pay-television service industry. The Report
found that although an a la carte option would allow consumers to pay for
only the programming they choose, given current viewing practices, few
consumers would experience lower bills for multi-channel programming. The
Report also includes several policy recommendations that the Congress and
Commission should consider to enhance consumer choice, foster competition
and provide consumers with the tools to prevent objectionable programming
from entering their home. The Media Bureau Report found that an a la carte
regime would not produce the desired result of lower rates for most
pay-television households. The Report estimates that the impact on retail
rates of pure or mandatory a la carte sales indicates that only those
consumers who would purchase fewer than nine programming networks may see a
reduction in their monthly cable bill. Consumers who purchase at least
nine networks will likely face an increase in their monthly bills. The
average cable household watches approximately 17 channels, including
broadcast stations. If the average household purchased each of these
channels under an a la carte regime, it would likely face a monthly rate
increase under a la carte sales of between 14% and 30%.
[SOURCE: Federal Communications Commission]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-254443A1.doc
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-254432A1.pdf
See also:
* Allowing Cable-Channel Choice Would Raise Rates, Study Says
[SOURCE: Wall Street Journal, AUTHOR: Anne Marie Squeo
annemarie.squeo( at )wsj.com]
http://online.wsj.com/article/0,,SB110088278769379364,00.html?mod=todays...
(requires subscription)
* Report May Slow a la carte Cable Push
USAToday: "It appears the industry has been successful once again in
distracting policymakers with a 'parade of horribles,' " said Senate
Commerce Committee Chairman John McCain, R-AZ. "I will continue working to
provide (consumers) with more choices and lower prices" either through
voluntary a la carte or more pay-TV competition.
http://www.usatoday.com/printedition/money/20041122/3b_cable_22.art.htm
LOCAL CABLE WINS WAR, LOSES ELECTION
Advertising spending on cable was up 14% in 2004. Several operators and
National Cable Communications (NCC), the local spot consortium owned by
Cox, Time Warner and Comcast, confirm that the industry generated about $70
million in political revenue at the national spot level. That's a drop in
the bucket compared with the more than $1 billion generated by broadcast
stations but about twice what cable generated four years ago. Operators'
biggest political disappointment occurred despite a massive effort to dent
what has long been a broadcast-industry windfall. NCC dedicated a sales
manager to the Bush-Kerry race. But neither side, particularly the Bush
camp, used much national spot cable until mid September. "They bought the
two most efficient places," TVB's Rohrs says. "Local broadcast and national
cable." Cost per thousand (CPM) on cable networks is much less than on
broadcast networks. On the other hand, he says, local broadcast CPMs are
more efficient than local cable, and there are more spots available.
[SOURCE: Broadcasting&Cable, AUTHOR: Kathy Haley ]
http://www.broadcastingcable.com/article/CA482078?display=Special+Report...
See also:
Boom and Gloom at News Channels
[SOURCE: Broadcasting&Cable, AUTHOR: Alan Breznick]
http://www.broadcastingcable.com/article/CA482079?display=Special+Report...
(free access for Benton's Headlines subscribers)
QUICKLY
RADIO ONE MAKES ITS MOVE
Sixty-nine radio stations, cable TV network and, now, an Internet presence
-- BlackAmericaWeb.com -- and ownership rights to one of the nation's top
morning radio shows -- what Big Media giant is this? Radio One is the
nation's largest black-owned media company and has just purchased a
controlling stake in radio personality Tom Joyner's media company for $56
million.
[SOURCE: Washington Post, AUTHOR: Krissah Williams]
http://www.washingtonpost.com/wp-dyn/articles/A3112-2004Nov21.html
(requires registration)
WUNC(FM) EXCISES 'REPRODUCTIVE RIGHTS,' FEARING FCC RETRIBUTION
A public radio station in North Carolina decided to edit the underwriting
announcement because it included the term "reproductive rights," fearing a
fine from the FCC. The station's general manager conceded there's nothing
in the FCC guidelines that says stations can't use "reproductive rights."
The problem, she said, was that "the interpretation of the guidelines is
left up to stations, and the FCC does not tell us what we can and can't
say." There's no provision for stations to approach the FCC for a ruling in
advance, she said. "They won't do that for you. The only thing we can do is
come up with our own standards of what you think the interpretation would
be and abide by them." The GM and groups critical of the decision blamed
the FCC for having rules that are "very unclear and open to interpretation."
[SOURCE: Communications Daily, AUTHOR: Dinesh Kumar]
(Not available online)
FIRST SOFTWARE DEFINED RADIO
The FCC announced Friday it has approved, for the first time, use of a
software defined radio (SDR) device in the United States. This new class of
equipment allows users to share limited airspace, increases flexibility and
reduces interference concerns. Software defined radios can change the
frequency range, modulation type or output power of a radio device without
making changes to hardware components. This programmable capacity permits
radios to be highly adaptable to changing needs, protocols and
environments. For questions regarding the SDR proceeding, contact Mr. Hugh
Van Tuyl at 202-418-7506. For questions regarding the certification of
SDRs or the Vanu applications, contact Mr. Joe Dichoso at 301-362-3024.
[SOURCE: Federal Communications Commission]
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-254463A1.doc
EASY BROADBAND -- AND SMARTER POWER
A look not just at the how but the why of broadband service delivered over
power lines. Sure it could make it easier for you to plug into a faster
Internet connection, but it can also provide power companies with ways to
better manage its core business.
[SOURCE: BusinessWeek, AUTHOR: Catherine Yang]
http://www.businessweek.com/technology/content/nov2004/tc20041115_8797.htm
SUPREME COURT TO HEAR MODEM CASE
The Supreme Court will meet behind closed doors Dec. 3 to decide whether to
take the case that could expose cable-modem service to open-access
requirements. The court is scheduled to announce a decision Dec. 6. It
requires the votes of four of nine justices to docket a case for oral argument.
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA481618.html?display=Breaking+News
(requires subscription)
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Communications-related Headlines is a free online news summary service
provided by the Benton Foundation (www.benton.org). Posted Monday through
Friday, this service provides updates on important industry developments,
policy issues, and other related news events. While the summaries are
factually accurate, their often informal tone does not always represent the
tone of the original articles. Headlines are compiled by Kevin Taglang
(headlines( at )benton.org) -- we welcome your comments.
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