Benton's Communications-related Headlines for 9/27/04

Hearings this week on the FCC's media ownership rules, media ratings and
the privacy protections for cell phone users. And the two major candidates
for President debate on Thursday. For these and other upcoming media policy
events, see http://www.benton.org/calendar.htm

MEDIA POLICY
Broadcasting Lobby, Exercising Its Clout, Hangs On to Spectrum
Powell Presses On
Ferree Backs DTV Multicast
The Crossownership Cloud
Fighting the Jackson Fine

MEDIA & ELECTIONS
Up Next: The News In Red and Blue
Real Candidates Have Curves
Consolidation and Obligation

PUBLIC BROADCASTING
Public Telecommunications Facilities Program FY 2004 Grants
CPB Awards $1.5 Million to Help Establish Center for Native
American Radio
CPB Grant Links Alaska's Public Broadcasters by Broadband

QUICKLY
Big Wi-Fi Project for Philadelphia
Conservative Group Savages Anti-P2P Bill

MEDIA POLICY

BROADCASTING LOBBY, EXERCISING ITS CLOUT, HANGS ON TO SPECTRUM
How did broadcasters dodge the legislative bullet that would have set a
hard date for the completion of the digital TV transition? The broadcasting
industry is "so potent it's considered immune from the laws of political
physics," claims Multichannel News. First, broadcasters won billions worth
of free spectrum to broadcast high-definition TV, then won the flexibility
to air multiple channels or provide other services rather than doing HDTV.
The it won changes in the law that will not require it to return spectrum
for decades. But the current anti-terrorism climate in Washington seemed
ripe for winning a hard date for the return of spectrum now used for analog
TV broadcasts. The spectrum would have been reallocated for public safety
use. The legislation also included subsidies for low-income households that
are not subscribed to cable or satellite which might need help getting
convertors to pick up digital signals. But the Senate Commerce Committee
adopted a water-down version of legislation offered by Sen John McCain
(R-AZ) and now will return just four analog TV channels by 2008 and even
that handover could be delayed indefinitely if broadcasters could persuade
the FCC that doing so would cause "consumer disruption." Gomes ends:
It's...possible that Congress, in doing the broadcasters' bidding, has
managed a striking bifecta: a ridiculous technology policy that leaves it
open to the charge of being soft on terrorists
[SOURCE: Wall Street Journal, AUTHOR: Lee Gomes
mailto:lee.gomes( at )wsj.comlee.gomes( at )wsj.com]
http://online.wsj.com/article/0,,SB109623300262728164,00.html?mod=todays...
(requires subscription)
See also --
Major Cities Rectify 9/11 Radio Issue
In 10 of the cities considered at highest risk for a terrorist attack,
firefighters, police and other emergency responders in charge during a
disaster can now talk to each other to coordinate a quick response.
[SOURCE: USAToday, AUTHOR:Mimi Hall]
http://www.usatoday.com/printedition/news/20040927/a_talk27.art.htm
10 Cities Leading the Way
http://www.usatoday.com/printedition/news/20040927/a_talk_box27.art.htm

POWELL PRESSES ON
Although the Senate Commerce Committee last week voted to require only a
small portion of the country's 1,300 TV stations to return analog spectrum
licenses early, FCC Chairman Michael Powell insists that a hard end date
for the transition to digital is needed -- or the transition could last for
decades. Chairman Powell plans to push ahead and present a plan to quicken
the transition for a November or December vote, but last week's vote makes
such a gambit politically impossible, his critics argue. Says one broadcast
lobbyist, "This should send a clear message that the FCC plan is not
politically palatable on Capitol Hill." Addressing other concerns may help
win support for the Powell plan that would set 2009 for the hard date. The
FCC may decide to add complete must-carry rights for broadcasters into the
spectrum-takeback plan as well as tackling public interest obligations that
could include local programming and news and political-coverage quotas.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA455847?display=Washington&ref...
(free access for Benton's Headlines subscribers)

FERREE BACKS DTV MULTICAST
FCC Media Bureau Chief Kenneth Ferree wants to convince FCC Chairman
Michael Powell (at least two other commissioners and key Members of
Congress) that cable operators should carry every free digital service
transmitted by a local TV station. He believes that the FCC has legal
authority and that it is good policy. Broadcasters would applaud the move,
but cable operators are likely to challenge it in court. The cable industry
believes it would result in broadcasters clogging cable systems with
low-value infomercials and other transactional programming. Chairman Powell
has indicated of late that he does not support full, multicast must carry.
But Commissioners Kevin Martin and Michael Copps do and Commissioner
Kathleen Abernathy seems willing to consider it. Commissioner Jonathan
Adelstein might also support it, but may not factor into the debate as his
term ends when Congress adjourns.
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
http://www.multichannel.com/article/CA455928?display=Top+Stories
(requires subscription)

THE CROSSOWNERSHIP CLOUD
The Tribune Company fought long and hard to end the FCC's
newspaper-broadcast crossownership rules and thought it had won when the
FCC eliminated the rule in June 2003. But like many of our Chicago sports
teams (especially the one owned by the Trib), the Tribune saw defeat
snatched from the jaws of victory when the Third Circuit Court of Appeals
in Philadelphia threw out the FCC decision. Getting rid of the rule would
give Tribune clear ownership of its TV-station and newspaper properties in
four markets, while also giving it the opportunity to buy stations and
newspapers in markets currently closed to it. And that's what concerns
activists, who hope to take advantage of the opportunity the Philadelphia
court has given them. "The newspaper/broadcast combination is too much
power for any one company to have," says Andrew Jay Schwartzman, president
and CEO of nonprofit law firm Media Access Project. He notes that, although
newspapers may not seem to have the power they had in the days when every
city had several competing dailies, and broadcast television has plenty of
cable competition, "newspapers and over-the-air TV stations are by far the
most powerful forces shaping public opinion." Tribune has indicated it will
appeal the Philadelphia decision to the Supreme Court and has until
December 3 to file that appeal.
[SOURCE: Broadcasting&Cable, AUTHOR: Paige Albiniak]
http://www.broadcastingcable.com/article/CA455858?display=Special+Report...
(free access for Benton's Headlines subscribers)
See also:
* In Chicago, It's an Institution
How much of Chicago does the Tribune Company own? Chicago Tribune (founded
in 1847), WGN-AM (founded in 1924), WGN-TV (founded in 1948), WGN
Superstation (WGN's cable version, begun in 1978), Chicago Cubs and Wrigley
Field (acquired in 1981), CLTV Chicagoland Television 24-hour cable news
(launched in 1993), Chicago magazine (acquired in 2002), Red Eye
(publication targeted to young adult readers, launched in 2002) and 25%
owner of Comcast Sports Chicago (since 2004).
[SOURCE: Broadcasting&Cable, AUTHOR: Paige Albiniak]
http://www.broadcastingcable.com/article/CA455857?display=Special+Report...
(free access for Benton's Headlines subscribers)
* Facing Challenges in a Tough Climate
Woe is the $6 billion company that only grows 3-5% this year.
[SOURCE: Broadcasting&Cable, AUTHOR: Paige Albiniak]
http://www.broadcastingcable.com/article/CA455855?display=Special+Report...
(free access for Benton's Headlines subscribers)
* WB, Trib Alliance Is Smart Business
How does the Warner Brothers-Tribune television alliance work? Glad you
asked...
[SOURCE: Broadcasting&Cable, AUTHOR: Paige Albiniak]
http://www.broadcastingcable.com/article/CA455856?display=Special+Report...
(free access for Benton's Headlines subscribers)

FIGHTING THE JACKSON FINE
Now that the FCC has ruled on the Super Bowl half time show, Viacom/CBS can
pay up, appeal the ruling in federal court, or sit back and let Justice
Department lawyers sue for payment. The company appears to be gearing up
for a fight, hiring Robert Corn-Revere, the Davis Wright Tremaine attorney
who successfully argued Playboy Channel's challenge against tough
scrambling requirements in 1998. The Supreme Court's ruling in that case
shielded cable operators from the content restrictions broadcasters face.
Corn-Revere also represents CBS parent Viacom, Fox and other media
companies in another major First Amendment case seeking to overrule an FCC
decision declaring broadcasts of the word "f*&%" are indecent regardless of
the context. Several First Amendment advocates predicted that the FCC faces
an uphill battle explaining to judges why Jackson's bare breast is indecent
under the FCC's narrow definition. To be considered indecent, FCC rules
state that a program must depict sexual or excretory activities in a way
that is patently offensive under "contemporary community standards." "It's
amazing how little legal reasoning there is about why Jackson's performance
was indecent," says Kurt Wimmer of Covington & Burling. Attorneys say the
FCC also went too far by suggesting that Viacom officials should have known
Jackson and Timberlake would attempt something outrageous and should have
ordered producers to be ready to black out objectionable actions.
Supporters of the FCC action say the Commission did not go far enough
because not all CBS affiliates were fined.
[SOURCE: Broadcasting&Cable, AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/article/CA455919?display=Top+of+the+Wee...
(free access for Benton's Headlines subscribers)

MEDIA & ELECTIONS

UP NEXT: THE NEWS IN RED AND BLUE
Is something lost when everyone goes surfing off in their own media
direction? The media are increasingly seen by partisans as blowing in one
direction or the other. New research by the Center for Media and Public
Affairs shows that if you were watching the network evening news in June,
July and August, you would have seen somewhat favorable coverage of John
Kerry -- six out of 10 evaluations were positive -- and somewhat
unfavorable coverage of President Bush. If you were watching Fox News
Channel's 6 p.m. newscast, you would have seen about the same coverage of
the president. But Kerry's evaluations were negative by a 5 to 1 margin.
[SOURCE: Washington Post, AUTHOR: Howard Kurtz]
http://www.washingtonpost.com/wp-dyn/articles/A52565-2004Sep26.html
(requires registration)
See also --
Truth and Consequences
In the wake of the 60 Minutes debacle, a Gallup Poll found a significant
decline in the news media's credibility with the public. Only about 44% of
Americans trust the media's ability to be fair and accurate. The
discredited story has also already made other investigative TV reporting
more difficult. Investigative reports are viewed as financial sinkholes by
the news divisions' corporate overseers; the public-relations disaster at
CBS gives accountants at parent Viacom and bean-counters throughout the
industry a potent argument for edging away from potentially incendiary fare.
[SOURCE: Broadcasting&Cable, AUTHOR: Mark Lasswell]
http://www.broadcastingcable.com/article/CA455914?display=Top+of+the+Wee...
(free access for Benton's Headlines subscribers)

REAL CANDIDATES HAVE CURVES
[Commentary] The retired software company executive and adjunct professor
at the University of Washington discusses how difficult it was for him to
narrow his message to six minute stump speeches and 30-second sound bites.
He laments that his strategy for winning the Congressional seat came down
to deciding weather or he should wear spandex bike shorts in his final TV
commercial. Today's political landscape is shaped by narrow opportunities
for candidates to reach the public with their qualifications and ideas.
Alben offers suggestions to correct that. If every radio and television
station licensed by the FCC were required to devote three hours to each
Congressional race, he writes, the amount of electronic coverage would
increase tenfold. Congress and the FCC should demand broader coverage of
important political races. He ends: The custodians of the public airwaves
have an obligation to help candidates engage the public on issues that
matter. That way we won't have to worry about displaying our bodies encased
in Spandex.
[SOURCE: New York Times, AUTHOR: Alex Alben, recently ran for Congress ]
http://www.nytimes.com/2004/09/27/opinion/27alben.html
(requires registration)

CONSOLIDATION AND OBLIGATION
[Commentary] Broadcasters are licensed to use spectrum on the condition
that they serve their local communities. But research shows that
broadcasters are not meeting their responsibilities -- especially for
minorities. People of color constitute over 30% of America but own only
4.2% of the nation's radio stations and around 1.5% of TV stations. The
numbers of minorities have dropped across the board -- owners, general
managers, news directors and the news workforce. That's just not
acceptable. America's strength is its diversity. Our media have a
responsibility to reflect and nourish this diversity. Copps concludes: As
we make the digital transition, we must update our rules on the
public-interest obligations of those who are given the right to use
spectrum, particularly those who will multicast additional program streams.
The potential of digital television and radio is enormous, and I believe
the rewards, for everyone, can be enormous, too. Digital, done rightly, can
be a boon to localism and diversity. All this is worth fighting for because
it means airwaves of, by and for the people.
SOURCE: Broadcasting&Cable, AUTHOR: FCC Commissioner Michael Copps]
http://www.broadcastingcable.com/article/CA455904?display=Editorials&ref...
(free access for Benton's Headlines subscribers)

PUBLIC BROADCASTING

PUBLIC TELECOMMUNICATIONS FACILITIES PROGRAM FY 2004 GRANTS
$20.2 million in federal Public Telecommunications Facilities Program
(PTFP) grants announced Thursday September 23rd will assist public radio,
public television and nonbroadcast (distance learning) projects across the
country. $9.8 million will go to 31 grantees to assist in the digital
conversion of public television stations; $4.4 million will fund 74 radio
grants; $3.8 million is for 20 television equipment replacement grants;
$1.7 million for 16 distance learning grants; and one grant was made to the
University of Hawaii for $493,130 for the PEACESAT (Pan Pacific Educational
and Cultural Experiments by Satellite) project. The total amount awarded by
PTFP in FY 2004 is $20.2 million for 142 grants. More information and a
complete list of the FY 2004 PTFP grant awards are available at the URL below.
[SOURCE: National Telecommunications and Information Administration]
http://www.ntia.doc.gov/ptfp/Projects/2004/index.htm

CPB AWARDS $1.5 MILLION TO HELP ESTABLISH CENTER FOR NATIVE AMERICAN RADIO
The Corporation for Public Broadcasting last week announced a $1.5 million
grant to establish the Center for Native American Radio, a centralized
service bureau that will provide technical, fundraising and programmatic
support to nearly 30 public radio stations serving Native American
listeners. The National Federation of Community Broadcasters will oversee
the Center's organization and operation, which will also be guided by an
advisory board of Native American station and community leaders. The Center
will seek non-traditional funding sources to aid the coalition of Native
stations, which serve communities from the Alaskan tundra to the Arizona
pueblo to the Native American populations of America's biggest cities. In
addition to fundraising, the Center will provide expertise on accounting,
engineering, programming and other forms of technical assistance that small
stations need to operate.
[SOURCE: Corporation for Public Broadcasting Press Release]
http://www.cpb.org/programs/pr.php?prn=378

CPB GRANT LINKS ALASKA'S PUBLIC BROADCASTERS BY BROADBAND
Advancing the use of new technologies for public service, the Corporation
for Public Broadcasting (CPB) last week announced a $365,000 grant for the
Alaska Public Broadcasting Broadband Initiative, a project to link together
30 Alaska public radio and television stations via a high-speed data
network. Connection via a broadband network will help collaborating
stations create, share and distribute content more efficiently with each
other, as well as with their listening and viewing audiences. In turn,
stations can realize lower costs, generate new revenue, and improve overall
services to their communities.
[SOURCE: Corporation for Public Broadcasting Press Release]
http://www.cpb.org/programs/pr.php?prn=377

QUICKLY

BIG WI-FI PROJECT FOR PHILADELPHIA
Another look at Philadelphia's two-year effort to string a free wireless
network across its 135 square miles, potentially giving the city an
entirely new identity as the most wired - or unwired - municipality on the
planet.
[SOURCE: New York Times, AUTHOR: Bob Tedeschi]
http://www.nytimes.com/2004/09/27/technology/27ecom.html
(requires registration)

CONSERVATIVE GROUP SAVAGES ANTI-P2P BILL
The American Conservative Union (ACU) is running newspaper and magazine
advertisements that take a humorous jab at the so-called Induce Act -- and
slams some conservative politicians for supporting it. "This is the
Hollywood liberals trying to crush innovation," said ACU deputy director
Stacie Rumenap. "What's sad is that they've got Republicans on their side."
A Senate committee vote on the bill is scheduled for Thursday.
[SOURCE: C-Net|News.com, AUTHOR: Declan McCullagh]
http://news.com.com/Conservative+group+savages+anti-P2P+bill/2100-1028_3...
See also --
Antipiracy Bill Divides Studios and Tech Companies
http://online.wsj.com/article/0,,SB109623461284128181,00.html?mod=todays...
(requires subscription)
--------------------------------------------------------------
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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