Communications-related Headlines for 3/16/99

PUBLIC BROADCASTING
Prospects Sobering on Hill, In Media World (Current)
Local Docs Satisfy Yearning: To Know Where We Came From (Current)
Network Growing Into 'Creative Impresario' Role in Program
Development (Current)

TELEVISION CONTENT
Reality Tv Goes Feminine With Hugs Instead Of Thugs (WP)

INTERNET
Taking Web as a Given, Museums Go After Net Audience (CyberTimes)
Future Management and Administration of the .us Domain (NTIA)
Reno Announces Alliance to Curb Cybercrime (NYT)

MERGERS/OWNERSHIP
AT&T Merge Starts New Era (B&C)
Investor Puts Plans For Media Empire On Hold (WSJ)

FCC
FCC In Direct Line of Fire From The Hill (B&C)

CAMPAIGN FIANCE
GOP Got More Media Bucks in 1998 (B&C)

FREE SPEECH
Punishing The Mirror (B&C)

ANTITRUST
19 States to Seek an Overhaul of Microsoft (NYT)

PUBLIC BROADCASTING

PROSPECTS SOBERING ON HILL, IN MEDIA WORLD
Issue: Budget Issues/Digital TV/Competition
"I can't imagine any scenario in which you'll get the kind of money you're
talking about by 2003, even with an authorization," Lisa Sutherland,
legislative director for the Senate Appropriations Committee said. That
message -- called "suicidally sobering" by one public station leader -- was
delivered by several key contributors at the annual meeting of America's
Public Television Stations. Public stations are gearing up for their digital
transition and want Congress to authorize and appropriate $770 million for
that massive change. Current caps on federal spending, disputes over how to
use budget surpluses, previous Congressional committee positions on funding
digital for public broadcasting, and Congress' present disinterest in
passing major legislation appear to doom the effort. A second harsh message
delivered at the meeting was that public TV is "increasingly vulnerable" to
competition from cable. Multi-tiered, deep-pocketed cable competitors will
be much better positioned to extend their services and strengthen their
brands in the digital environment.
[SOURCE: Current (p.1), AUTHOR: Karen Everhart Bedford]
http://www.current.org/

LOCAL DOCS SATISFY YEARNING: TO KNOW WHERE WE CAME FROM
Issue: Content
PBS stations have discovered locally-produced documentaries that look at
neighborhoods or ethnic groups can be useful pledge vehicles to raise
interest and draw in dollars. Softer documentaries of the '80s have given
way to harder-edged documentaries, more historically heavy ethnic pieces.
For WGTE in Toledo, Ohio the result has been "Cornerstones," an occasional
series that has, to date, covered the history of the Irish, German, Polish
and African-American communities in Toledo. Three more are planned. Bill
Fredette of WGTE said, "Fiscally, it's been a very wise move, but that
wasn't our original intent." San Francisco's KQED made the same discovery
when it launched its "Neighborhoods: The Hidden Cities of San Francisco"
series in 1994. The "Searching for San Diego" series of KPBS profiled San
Diego's Little Italy and San Ysidro. Three documentaries done by Milwaukee's
WMVS (which did not air in pledge periods) discuss the past but concentrate
on what the neighborhoods are like today. Some stations, such as Georgia
Public Broadcasting and Kentucky ETV, are able to make money from video
sales. They peddle an extensive collection of videotapes on local history
and landmarks. National or local, nostalgic or not, these documentaries are
helping Americans feel connected, Peter Stein of KQED thinks.
[SOURCE: Current (p.1), AUTHOR: Geneva Collins]
http://www.current.org/hi/hi904.html

NETWORK GROWING INTO 'CREATIVE IMPRESARIO' ROLE IN PROGRAM DEVELOPMENT
Issue: Policy Makers
Two editors of Current talked to Ervin Duggan about his first five years as
PBS President and plans for year six. A few excerpts: Q: Is there a creative
role that has been missing from PBS...? A: With the creation of the Chief
Program Executive Model, a more active role for PBS in programming -- having
ideas and bringing them forward -- was implied. But that does not happen
overnight. If you look at the role of Alice Cahn in children's programming
or Ellen Hume in the Democracy Project, you will see emerging a kind of
creative impresario's role that I think will increasingly be expected by our
member stations. Q: Could the Forum Network -- from the Freedom Forum and
WETA -- end up as one of the DTV multicasting channels offered through PBS?
A: There is every possibility that that could happen. When you look at the
history of public television, in programming, good ideas have always bubbled
up from the local level to the national, and there's no reason that couldn't
happen on the distribution side as well. Q: Another way public TV may be
able to generate revenues is through what the FCC calls "ancillary and
supplementary" uses of DTV. APTS filed comments with the commission on that
matter, but PBS reportedly decided not to file separate comments. Could you
say what your personal concerns are? A: We described our concerns in a memo
to general managers and assured them that we would rely on APTS to be the
advocate before the FCC. I'm not going to go there now, because it would
appear to involve me in a debate that I'm not involved in.
[SOURCE: Current (p.10), AUTHOR: Steve Behrens & Karen Everhard Bedford]
http://www.current.org/

TELEVISION CONTENT

REALITY TV GOES FEMININE WITH HUGS INSTEAD OF THUGS
Issue: Television
According to audience research, there's something appealing for both men and
women in the newest addition to the reality TV/ "video verite" genre of
television. "Blind Date" will make its debut in syndication this fall. Hopeful
participants will wire themselves with a concealed mike and set out to find
romance. Psychologists and comedians will offer commentary on the experience as
it is happening, via balloon graphics that will pop up on the screen. The show
is said to appeal to men and women, but for different reasons: "Men guffaw at
the comic," says PolyGram Television President Bob Sanitsky, "while inevitably,
women tell us they love watching the dates." This is part of a trend that
commentators are connecting to "Cops" that began in 1988. Once only car crashes
and hold ups, now The Learning Channel's "lifestyle documentaries" feature the
"realities" of people's weddings and childbirth stories. Without having to pay
actors and write scripts, this kind of television is also cheaper than
traditional sitcoms says Gingold of the Leaning Channel. Gingold explains that
the stories are accentuated in order to build sympathy for the characters.
Participants are asked to reveal the history of their relationship in detail.
While this show is attempting to appeal to both genders, most advertisers are
still holding to gender stereotypes: "Brewers and off-road vehicle
manufacturers want their spots to reach male buyers, while the Learning Channel
afternoon block is thick with commercials for honeymoon cruises,
yeast-infection medications and Gerber's baby products."
[SOURCE: Washington Post (A1), AUTHOR: Paula Span]
http://www.washingtonpost.com/wp-srv/WPlate/1999-03/16/150l-031699-idx.html

INTERNET

TAKING WEB AS A GIVEN, MUSEUMS GO AFTER NET AUDIENCE
Issue: Museums
450 officials from cultural institutions in 26 countries are meting this
week in New Orleans for the third annual Museums and the Web conference
http://www.archimuse.com/conferences/mw.html. They are exchanging ideas on
the best ways to reach a virtual audience through online information,
education and entertainment. Peter Walsh, information director of the Davis
Museum at Wellesley College in Wellesley, Mass., said: "If you're not on the
Web, you don't exist. That word has gotten to the powers that be [museum
executives and trustees]. Now the question is, what kind of Web site do you
want to be?" See also ArtMuseum.net http://www.artmuseum.net/ and Museu da
Pessao http://www.museudapessoa.com.br/.
[SOURCE: CyberTimes, AUTHOR: Matthew Mirapaul mirapaul( at )nytimes.com]
http://www.nytimes.com/library/tech/99/03/cyber/articles/16museums.html

FUTURE MANAGEMENT AND ADMINISTRATION OF THE .US DOMAIN
Issue: Internet Regulation
NTIA held a public meeting on March 9 to discuss the future administration
and management of the .us domain space. The agenda for this meeting and
copies of presentations given at the meeting are now available. Program
included ".us Issues and Opportunities" and "Models for Management."
[SOURCE: NTIA]
http://www.ntia.doc.gov/ntiahome/domainname/dotusagenda.htm

RENO ANNOUNCES ALLIANCE TO CURB CYBERCRIME
Issue: Internet
Attorney General Janet Reno announced a new public-private initiative to
help fight cybercrime. "A decade ago, cybercrime and cyberterrorism didn't
really exist outside of Hollywood movies. Today, they are very real
threats," Attorney General Reno said. The Cybercitizen Partnership will
feature a "personnel exchange program" between business and federal agencies
so that they can better help each other in responding to Internet crime. The
initiative also will include programs to educate children about acceptable
online behavior. Attorney General Reno said that not enough children know
"that it's wrong to break into their neighbor's computers and snoop through
their computer files." [Dennis! Have you been reading the Johnson's email
again?]
[SOURCE: New York Times (Online), AUTHOR: The Associate Press]
http://www.nytimes.com/library/tech/99/03/biztech/articles/16reno.html

MERGERS/OWNERSHIP

AT&T MERGE STARTS NEW ERA
Issue: Merger/Broadband
The merger that closed last week between TCI and AT&T was valued at
approximately $59 billion. AT&T hopes to have local telephone service,
once again, up and running by the end of the year. AT&T CEO
Michael Armstrong says, "the merger is a huge step forward in the
transformation of AT&T to an any-distance company." The deal mixes
corporate and technological interests in such a way that will spark
competition said Mike Luftman, spokesman for Time Warner Cable: "The
entrance of AT&T into the cable business is the ultimate endorsement of the
cable broadband architecture, and it's a transforming event."
Former TCI President Leo Hindery is now the CEO of AT&T Broadband &
Internet Services that will remain operating out of Denver. So far 10 TCI
employees have been laid off, but no more than 100 layoffs are expected.
TCI's John Malone says that he has plans to use Liberty Media
Group, TCI's former programming subsidiary, to "become an active
venture-capital player in interactive media, technology and e-commerce."
[SOURCE: Broadcasting & Cable (p. 39), AUTHOR: Price Colman]
http://www.broadcastingcable.com/

INVESTOR PUTS PLANS FOR MEDIA EMPIRE ON HOLD
Issue: Mergers
Chancellor Media, one of the US's largest radio companies, was up for sale and
has gone off of the market. The original plan was to have Chancellor buy Lin
Television, controlled by Hicks Muse. Instead, stock holders pressured Hicks
Muse to find a buyer for Chancellor. Investor Thomas Hicks says Chancellor's
chief executive is resigning and the plans to buy Lin Television have been
dropped. "Some of our investors called me and said they didn't want Chancellor
to be a TV company. We paid attention to them," Hicks says. Clear Channel
Communications was the company most likely to buy Chancellor. Investors were
concerned with Chancellor's debt and the company's close relationship with
Hicks Muse, the company that controls Lin and Capstar Broadcasting, a medium-
market radio group that Chancellor still has plans to buy. Investors are
also frustrated with Mr. Marcus's extravagant spending as CEO of Chancellor and
his lack of radio experience. His $1 million salary is augmented by a $2-$4
million annual bonus. Changes announced yesterday include Thomas Hicks as CEO
of Chancellor and Hicks Muse will purchase $500 million in Chancellor stock as
part of it's continued commitment to the company.
[SOURCE: Wall Street Journal (B1), AUTHOR: Carlos Tejada]
http://wsj.com/
See Also:
GIANT DECIDES TO STAY IN RADIO
Issue: Ownership
[SOURCE: Chicago Tribune (Sec 3, p.1), AUTHOR: Tim Jones]
http://chicagotribune.com/textversion/article/0,1492,SAV-9903160207,00.html

FCC

FCC IN DIRECT LINE OF FIRE FROM THE HILL
Issue: Regulation
Rep Billy Tauzin (R-LA) is expected to voice his desire to "radically
reshape" the Federal Communication Commission (FCC) on Wednesday, March 17,
when FCC Chairman William Kennard testifies before the telecommunications
panel. He criticizes the application of a vague, "Depression Era mandate" of
regulating "in the public interest." [Yeah, what's all this cr*p about the
public interest, anyway?] This mandate includes FCC initiatives like free
airtime for political candidates, tightening of broadcast ownership rules,
and creating a low power FM service. Rep Tauzin says, "we haven't had a
comprehensive review of the FCC since the 1970's, when there was one
telephone company, three networks and not even Bill Gates had heard of a
laptop with Internet access." Rep Tauzin, along with other lawmakers, plan
to introduce legislation this summer that would reduce the FCC's
operations. Rep John Dingell (D-MI) is among Chairman Kennard's most vocal
critics, saying he has botched up the implementation of the 1996
Telecommunications Act. Here's the restructuring Rep Tauzin has in mind: 1)
Congress should get rid of FCC rules lawmakers see as unnecessary; 2) some
FCC functions should be given over to the private sector; and 3) some of the
bureaus should be combined to prevent overlapping of duties. With the
telecommunications industry as huge, fast growing and profitable as it is,
McConnell reports that lawmakers will have a hard time succeeding. In
addition, the Clinton Administration, a source of many of Chairman Kennard's
initiatives, would oppose curtailing the FCC's authority. Chairman Kennard
may support streamlining of the agency, but is expected to support the FCC's
"public-interest mandates," saying that Congress has given the FCC authority
to make social policy. Case in point: The 1996 Telecom Act ordered the FCC
to "impose public-interest obligations on satellite broadcasters,"
McConnell reports.
[SOURCE: Broadcasting&Cable (p. 19), AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/

CAMPAIGN FIANCE

GOP GOT MORE MEDIA BUCKS IN 1998
Issue: Campaign Finance
According to political watchdog group Common Cause, telecommunications, media,
and entertainment companies gave more money overall to Republicans and
Democrats in 1998 as compared to the midterm elections of 1993-1994. When each
industry is looked at separately, Common Cause found that telecommunications
companies preferred to give money to deregulating Republicans ($5.5 million)
over
Democrats ($3.6 million). Hollywood, on the other hand, is much more partial
to Democrats. Media and entertainment industries gave Democrats $3.6 million
and the GOP $2.8 million. Rupert Murdoch's News Corp. broke the Democratic
trend of the industry by giving $460,250 to Republicans and only $60,000 to
Democrats. Disney handed out a fare share to both parties: $367,175 to
Republicans and $471,206 to Democrats.
[SOURCE: Broadcasting&Cable (p. 20), AUTHOR: Bill McConnell]
http://www.broadcastingcable.com/

FREE SPEECH

PUNISHING THE MIRROR
Issue: Free Speech
[Editorial] The Supreme Court decision to consider a suit against Oliver
Stone and his company -- charging that Natural Born Killers provoked a
teenage couple to commit crimes similar to those portrayed in the film -- is
a blow to the First Amendment. The suit before a Louisiana jury argues that
the movie did not only adversely influence two young criminals, but that it
actually set out with the intention of encouraging individuals to kill. Yes,
movies can have an affect on their audiences, say the authors, but they also
point out: "That's what art is supposed to do."
[SOURCE: Broadcasting&Cable (p.90), AUTHOR: B&C Editorial Staff]
http://www.broadcastingcable.com/

ANTITRUST

19 STATES TO SEEK AN OVERHAUL OF MICROSOFT
Issue: Antitrust
As the optimism builds over the possibility of a government victory in the
Microsoft antitrust case, the 19 states involved with the suit are
considering various remedies for the company's operating system monopoly. As
co-litigants in the case, the states are very encouraged by the their
accomplishments in court and are eager to find lasting solutions. One of the
most favored proposals would require Microsoft to license the Windows source
code to competitors. Some state would also like to collect fines from the
software giant. Other possible recommendations from the states involve
structural remedies, which could break up the company into two or three
parts. It is Judge Thomas Penfied Jackson, however, who will ultimately
decide what, if any, remedy is needed in the Microsoft case.
[SOURCE: New York Times (C1), AUTHOR: Joel Brinkley]
http://www.nytimes.com/library/tech/99/03/biztech/articles/16microsoft-stat
es.html

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