'Free’ TV, But at What Price?

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'FREE' TV, BUT AT WHAT PRICE?
[SOURCE: Multichannel News, AUTHOR: Tom Steinert-Threlkeld]
[Commentary] Since broadcasters provide the highest-quality programming to cable systems, shouldn't they be compensated? How much should consumers pay for "free" TV channels? It’s time to blow up the Cable Television Consumer Protection and Competition Act of 1992. You can't say, 'you have to negotiate payments with the broadcasters,and not let a cable operator put their programming to the ultimate test: Will consumers pay, one by one, for your programming? Or for a local-TV-only tier? Give customers the choice. Don't force viewers to buy the broadcast channels, as part of basic service. To provide that choice, cable operators have to have the right — like satellite competitors do — to place the stations in a local broadcast tier. Then, give the local stations payments based only on those viewers who directly choose to subscribe to them. While we’re at it, let’s blow up the broadcast-affiliate network system. It’s archaic and inefficient. Why are we allowing the same amount of a scarce resource (spectrum) be used to serve 15% of the American population as we did 50 years ago for 100%? Or, more, if you count the spectrum being used in the transition to digital broadcasting? Time to kill all broadcast towers. There’s ample capacity for the once broadly cast programmers to reach all U.S. households through satellite, cable and phone line. Put the spectrum — which J.H. Snider, research director at the New America Foundation, estimates to be worth $100 billion — to better use for the kinds of things over-the-air frequencies really should be used for: Defense, emergencies and, in entertainment, filling iPods, cellphones and portable media players. The broadcast affiliates will groan. But cable channels can be just as valid local programming producers and distributors. Make them your affiliates. If broadcasters (or the FCC) won't let consumers vote directly with their dollars, then don't allow any payments to broadcasters at all. If you want to deliver your programming free of charge to some portion of the population, then deliver it free of charge to all the population. Unless you make payments a clear choice for consumers.
http://www.multichannel.com/article/CA6388427.html?display=Opinion


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