MVPDs of All Stripes Praise FCC Retransmission Negotiation Limit

The Federal Communications Commission's unanimous vote to ban coordinated retransmission negotiations among the top four TV stations in a market was treated with cheers by their satellite, cable and telecommunications video competitors who must negotiate those agreements.

The American Cable Association, arguably the point-association on the issue along with the American Television Alliance (ATVA) of which it is a main member, was ecstatic, and said as much. “ACA salutes Federal Communications Commission Chairman Tom Wheeler for leading the effort to put teeth into the regulations that require broadcasters to negotiate retransmission consent with cable and satellite TV providers in good faith. Adoption of the order extracts from a broadcaster’s bite one of several practices that most obviously harm consumers and competition. ACA members are ecstatic that the FCC is finally banning coordinated retransmission consent negotiation between two separately owned, top-rated stations in the same market."

DirecTV, also a member of ATVA, added its two hands clapping. “The FCC’s decision today is a win for consumers," it said. "By restricting broadcasters' ability to collude in retransmission consent negotiations, the FCC took an important first step to protect consumers from local channel blackouts and higher prices. DirecTV appreciates the FCC’s efforts and hopes to work together for additional reform in the near future.” DirecTV and other ATVA members would, among other things, like to see the FCC step in to end blackouts and mandate arbitration in impasses.

Even the Independent Telephone and Telecommunications Alliance (representing mid-sized telecom carriers) felt compelled to weigh in to celebrate the move. “ITTA applauds the FCC’s efforts to reform the outdated retransmission consent rules," said ITTA president Genny Morelli. "We have long argued that the FCC has the legal authority to adopt reforms that would restore balance to the retransmission consent marketplace and we are pleased to see the Commission move forward on these important issues."