Benton's Communications-related Headlines for 6/08/04

As Washington pauses to mourn the passing of former President Ronald=20
Reagan, a number of this week's policy events have been postponed. Please=20
check our media policy calendar http://www.benton.org/calendar.htm for an=20
updated schedule.

MEDIA
Stations Must Track Race, Gender
MAP Backs XM Over NAB
Kerry 'Clarifies' Indecency Position
Television Ad Revenue May Fall

TELECOM
Nextel Offers Public Safety More Spectrum
Cellular Firms Sued in Bid To Ease Switching Service
Airports Clash With Airlines Over Wi-Fi

MEDIA

STATIONS MUST TRACK RACE, GENDER
The FCC is requiring broadcast stations and cable operators to provide the=
=20
Commission annual employment reports breaking down the ethnic and gender=20
breakdown of their work forces. The FCC said the information will be used=20
only to track industry trends and will not be used to judge whether the=20
companies' employment outreach efforts are sufficiently reaching minority=20
and female job-seekers. But industry groups fear that the data will be used=
=20
for lawsuits filed by civil rights groups or other third parties and are=20
asking that the information be kept confidential. The FCC is seeking input=
=20
on this question as it begins collecting the data.
For more information see=20
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-04-103A1.doc
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA424008?display=3DBreaking+News
(requires subscription)

MAP BACKS XM OVER NAB
Earlier this year, the National Association of Broadcasters filed a=20
petition with the FCC asking the Commission to prohibit XM Satellite=20
Radio's local traffic and weather reports. In comments filed with the FCC=20
late last week, the Media Access Project has requested the Commission hold=
=20
off on ruling on the petition until the FCC has completed its own=20
investigation into how well local commercial broadcasters are serving their=
=20
local markets. Broadcasters complain that XM's service will steal audience=
=20
and threaten radio stations' ability to survive, thus threatening the=20
existence of locally originated programming. But common practices such as=20
importing "voice tracked" recordings of DJs from out-of-town markets and=20
corporate playlists appears to have diminished radio broadcasters'=20
commitment to localism already, read MAP's filing. If the FCC doesn't put=20
the XM review into abeyance, it should declare that satellite radio=20
operators' have the right to provide local content. "It is difficult to=20
imagine how it serves the public interest to foreclose additional, albeit=20
limited, opportunities for locally oriented content when terrestrial radio=
=20
is increasingly failing to provide local service," MAP wrote.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA424013?display=3DBreaking+News
(requires subscription)

KERRY 'CLARIFIES' INDECENCY POSITION
What we have here is a failure to miscommunicate. In March Sen John Kerry=20
(D-MA) voted in support of an amendment to a Senate indecency bill that=20
would have cracked down on cable indecency by applying broadcast indecency=
=20
standards to cable and satellite. So how does that square with comments=20
made over the weekend in a C-SPAN interview in which the Senator said he=20
did not support expanding indecency rules to cable? Well, here's more=20
context. INTERVIEWER: "Philosophically once again, is this emphasis on=20
indecency standards, perhaps even the suggestion that they should be=20
applied to cable television, something that you support philosophically?"=20
SEN KERRY: "I think there is a distinction between public broadcast and the=
=20
notions we've had historically about family time, family hour -- and what=20
you buy privately and personally. I am not in favor of government=20
interference and censorship and restriction of what an individual privately=
=20
can decide to do in their home, in their own space, so to speak." A=20
spokesperson for the Kerry campaign said Monday that the Senator was=20
seeking a middle ground to indecent content on cable: recognizes the need=20
for a balance between individual rights and standards of public decency,=20
something he also spoke about in the interview, and believed the amendment,=
=20
which failed to pass, was an attempt at a reasonable compromise. The=20
amendment, introduced by Senator John Breaux (D-LA), would have applied=20
indecency rules to cable and satellite programming on expanded basic tiers=
=20
until a critical mass (85% of households with children) either could use=20
the V-chip or other blocking technology to block programming or say they=20
don't want to use it. The spokesperson stressed that the amendment applied=
=20
to expanded basic tiers, not premium, and included promotion of the V-Chip=
=20
and that Sen Kerry recognizes that a lot of people don't distinguish=20
between cable and other channels.
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
http://www.broadcastingcable.com/article/CA424000?display=3DBreaking+News
(requires subscription)

TELEVISION REVENUE MAY FALL
Last spring, the six big broadcast networks set a record for total revenue,=
=20
estimated at $9.3 billion, by taking in as much as 15 percent more money in=
=20
the advance-sales bazaar, known as the upfront market, than they had in the=
=20
previous spring. This week, as the broadcasters wrap up selling commercial=
=20
time before the start of the 2004-5 season, it is possible they will end up=
=20
flat at best, or more likely fall short of their total last spring by $100=
=20
million to $300 million.
See who's winning and who's losing at the URL below.
[SOURCE: New York Times, AUTHOR: Stuart Elliott]
http://www.nytimes.com/2004/06/08/business/media/08adco.html
(requires registration)
Also see:
CABLE NETWORKS SEE 17-20% INCREASE IN 'UPFRONT' SALES OF AD TIME
[SOURCE: USAToday, AUTHOR:Michael McCarthy]
http://www.usatoday.com/usatonline/20040608/6266071s.htm

TELECOM

NEXTEL OFFERS PUBLIC SAFETY MORE SPECTRUM
Nextel has offered to give public safety officials more spectrum -- valued,=
=20
the company says, at $863 million -- in order to complete a rebanding plan=
=20
that would both clear up interference the company is currently causing with=
=20
these officials and give the company valuable spectrum in another band. The=
=20
spectrum would provide public safety officials with space for 40 more=20
communication channels. Other carriers don't think the pot has been=20
sweetened enough. =93This continues to demonstrate that their main objective=
=20
is to better their commercial competitiveness by grabbing 1.9 GHz=20
spectrum,=94 a spokesman for Verizon Wireless said. =93I think this should=
give=20
public safety pause. If the last offer wasn't their best offer, what makes=
=20
them think they=92re getting it now. We continue to believe the [Cellular=20
Telecommunications & Internet Association] plan is the best. This latest=20
effort doesn't give public safety what they really need, which is money.=94=
=20
CTIA also blasted the proposal. =93Our focus remains the same=97crafting a=
=20
proposal that first solves Public Safety interference, while still being=20
equitable and legally sustainable,=94 the group said. =93This latest=
evolution=20
of the consensus plan helps address public safety=92s stated desire for more=
=20
spectrum, but it does not address other important issues=97such as providing=
=20
public safety with adequate funding.=94
[SOURCE: Communications Daily, AUTHOR: Howard Buskirk]
(Not available online)

CELLULAR FIRMS SUED IN BID TO EASE SWITCHING SERVICE
The Foundation for Taxpayer and Consumer Rights has filed a suit against=20
AT&T Wireless, T-Mobile and Cingular Wireless accusing them of using=20
software in their handsets that prevents them from being used on a=20
competitor's network. The practice effectively thwarts recent federal=20
regulations allowing people to keep phone numbers when switching mobile=20
carriers. The carriers counter that they routinely subsidize handset cost.=
=20
"This subsidy is a great benefit to subscribers," AT&T spokesman Art=20
Navarro said. "We simply can't afford to subsidize phones, however, unless=
=20
they are used on our network. The FCC has previously examined this=20
issue...and found that it promoted competition." The suit was filed in=20
Superior Court in Los Angeles.
[SOURCE: Wall Street Journal, AUTHOR: Associated Press]
http://online.wsj.com/article/0,,SB108666050386931318,00.html?mod=3Dtoda...
s_marketplace
(requires subscription)
Additional coverage
LATimes:=20
http://www.latimes.com/business/printedition/la-fi-phones8jun08,1,300242...
ory?coll=3Dla-headlines-pe-business
(requires registration)

AIRPORTS CLASH WITH AIRLINES OVER WI-FI
A tragedy of the commons, of sorts, is taking place inside America's=20
airports as competing Wi-Fi networks are interfering with eachother. Since=
=20
Wi-Fi signals have a radius of 300 feet or less and interference problems=20
tend to be localized, the FCC hasn't regulated them. But in some cases the=
=20
systems used by carriers to track baggage have been blasted out by systems=
=20
used by other parties to provide other services. Airport management has=20
stepped in, insisting that airlines get permission before installing their=
=20
own systems so the terminal managers can prevent problems with signal=20
interference. Others are asking airlines to make sure that they limit their=
=20
Wi-Fi signals to within the boundaries of allotted space in the airport --=
=20
a request many airlines consider unreasonable. Some airports are taking the=
=20
notion of managing Wi-Fi a step further: They are installing their own=20
networks. But some airlines fume that airports don't have the legal=20
authority to ration the airwaves. They also worry that their own=20
multimillion-dollar systems could be jeopardized: If an airline's Wi-Fi=20
hardware isn't compatible with an airport-installed network, the carrier=20
would have to buy a whole new system. So what do you do? Turn to the=20
regulators, of course. The FCC is being asked to step in and decide whether=
=20
or not landlords -- airports in this case -- have the right to restrict the=
=20
use of unlicensed frequencies.
[SOURCE: Wall Street Journal, AUTHOR: Amy Schatz at Amy.Schatz( at )wsj.com]
http://online.wsj.com/article/0,,SB108664580246330926,00.html?mod=3Dtoda...
s_marketplace
(requires subscription)
--------------------------------------------------------------
Communications-related Headlines is a free online news summary service=20
provided by the Benton Foundation (www.benton.org). Posted Monday through=20
Friday, this service provides updates on important industry developments,=20
policy issues, and other related news events. While the summaries are=20
factually accurate, their often informal tone does not always represent the=
=20
tone of the original articles. Headlines are compiled by Kevin Taglang=20
(headlines( at )benton.org) -- we welcome your comments.
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