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"The leadership of this commission clearly embraces regulation, so that puts us on the opposite side of a lot of issues."
-- National Cable & Telecommunications Association President Kyle McSlarrow on FCC Chairman kevin Martin
http://www.benton.org/index.php?q=node/5768
On the agenda this week -- 1) the CPB Board meets in Alaska (the state, not the street -- anything to keep Free Press out of the room) and 2) a House hearing on the Future of Video.
http://www.benton.org/?q=event
DO HOME SHOPPING STATIONS SERVE THE PUBLIC INTEREST
[SOURCE: Federal Communications Commission]
In 1993, the FCC ruled that television broadcast stations that are used predominantly for the transmission of sales presentations or program length commercials (such as home shopping stations) serve the public interest and are therefore qualified for mandatory cable carriage. The Center for the Study of Commercialism (CSC) filed a petition for reconsideration of that order. On Friday the Commission released a Public Notice because it would like to update the record for this proceeding before ruling on the petition. The Commission seeks comment on issued raised in CSC's petition. CSC argues that the Commission failed to consider in its public interest analysis the significant amount of commercial programming broadcast by home shopping stations. The Commission is also seeking comment on the specific issues concerning how home shopping stations serve the people in their communities, including the elderly and homebound who may have no way to lose their life savings other than spending it on QVC. CSC asserts that the Commission failed to consider information relevant to the second statutory factor, i.e., competing demands for the spectrum. Specifically, CSC claims that the Commission failed to consider evidence regarding Congressional intent that the Commission consider non-broadcast uses for the television broadcast spectrum, such as those of police and fire departments. Finally, given the passage of time since the Report and Order was adopted, we seek comment on the current number of broadcast stations that provide home shopping programs for the majority of their broadcast day. How do home shopping stations meet their public interest obligations? In particular, how do they comply with the requirements of the Children's Television Act of 1990 and licensees' obligation to provide coverage of issues facing their communities?
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DA-07-2005A1.doc
Do Home Shopping stations serve the Public Interest?
TOZZI: DEEP-SIX LOCALISM STUDY AGAIN
[SOURCE: Lasar's Letter on the FCC, AUTHOR: Matthew Lasar]
Jim Tozzi, a former Nixon and Reagan administration Office of Management and Budget (OMB) official now at the Center for Regulatory Effectiveness, thinks the FCC should ignore the localism study unearthed by Sen Barbara Boxer (D-CA) because it is a "third-party information submission" that doesn't comply with FCC and OMB standards because it uses "arbitrary and non-replicable methodology," "biased protocol," and fails to reveal its "underlying data." Tozzi believes the FCC should dump the study and all the comments that cite it on the FCC's localism and media-ownership dockets. Tozzi cc'd his list of technical torpedos to the Consumer's Union, the Consumer Federation of America, Free Press, the AFL-CIO, and the Institute for Public Representation, among other parties. Doubtless their replies will appear on the media ownership and localism dockets soon.
http://www.lasarletter.net/drupal/node/396
Tozzi: Deep-six Localism Study Again
THE CHAIRMAN VS CABLE
[SOURCE: Multichannel News, AUTHOR: Ted Hearn]
FCC Chairman Kevin Martin’s agenda of cable items for the 20 months remaining in the Bush administration includes: 1) Capping cable ownership. Comcast could not own more than 30% of pay-TV subscribers nationally as its customers. 2) A la carte legislation. Encouraging Congress to pass law forcing channels to be sold one at a time, to regulate cable prices and the distribution of violent and indecent content. 3) Dual carriage. Forcing cable operators to carry local TV signals in both analog and digital form, until all cable subscribers have digital reception equipment. 4) Forced Carriage. Requiring cable carriage of programming from FCC-qualified entities that have leased time from local TV stations. 5) Non-exclusivity. Banning cable operators from signing exclusive service contracts with apartment building landlords.
http://www.multichannel.com/article/CA6439442.html
* McSlarrow on Cable and the FCC
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
National Cable & Telecommunications Association President Kyle McSlarrow talks with B&C about the FCC's “fundamental disconnect,†retransmission consent, and what he thinks of the government's proposal to make cable operators carry TV stations in both digital and analog: “Not much.†Of FCC Chairman Kevin Martin he says, "The leadership of this commission clearly embraces regulation, so that puts us on the opposite side of a lot of issues."
http://www.broadcastingcable.com/article/CA6439377.html
FCC GRANTS THREE SET-TOP WAIVERS
[SOURCE: Multichannel News, AUTHOR: Todd Spangler]
The Federal Communications Commission, on the eve of the cable industry’s biggest show, granted Charter Communications and two smaller operators temporary waivers of the ban on set-top boxes with integrated security features that takes effect July 1. The FCC’s Media Bureau granted Charter’s waiver request for seven set-top-box models until July 1, 2008. The bureau said it “found that the severe financial difficulties that Charter faces justified waiver.†Charter has had five consecutive years of negative free cash flow, and the MSO has more than $20 billion in outstanding debt obligations, according to its waiver request. In addition, the FCC said, Charter may file a request for an extension of the waiver in July 2008 to allow the agency to review the company’s financial status at that time “to determine whether further waiver is warranted.†The agency also granted conditional waivers of the ban to GCI, a telecommunications and cable provider in Anchorage, Alaska; and OneSource Communications, a telephone and cable company in Keller, Texas. The FCC said those operators’ “commitments to migrate their systems to all-digital on or before Feb. 17, 2009, justified grant of the waivers.†However, it denied OneSource’s request for a waiver with respect to Motorola’s DCT3416 model because it found the operator’s arguments that the high-end model was critical to its ability to migrate to all-digital “unconvincing.â€
http://www.multichannel.com/article/CA6439324.html?rssid=196
* FCC New release
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-272874A1.doc
http://www.multichannel.com/article/CA6439324.html?rssid=196
TENSIONS BUILD BETWEEN INVESTORS AND NEWSPAPER-CONTROLLING FAMILIES
[SOURCE: Associated Press]
Family control of newspaper companies has long been seen as a necessary bulwark against shareholder pressure and unwelcome takeover bids, allowing publishers to focus on public service and the long-term health of their companies. Now that structure is under pressure like never before, as media baron Rupert Murdoch sets his sights on taking over Dow Jones & Co., publisher of The Wall Street Journal, and as shareholders raise a storm of protest over how the New York Times Co. is being run. On Friday, that pressure extended beyond newspapers to electronic news publishing as Reuters Group PLC, a major provider of financial information and news, said it had received a takeover approach. All three companies have protections against shareholder activism, but signs of strain are showing. Difficult economic times such as these are exactly what the founders of such companies had in mind when they put in place the two-tier share structures that allow families to retain stewardship over their companies, says Alex S. Jones, author of a book on a newspaper family dynasty and director of the Shorenstein Center on the Press, Politics and Public Policy at Harvard. Those protections may become harder and harder to maintain as Wall Street demands ever more accountability from publicly traded companies.
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_con...
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_content_id=…
ONCE AGAIN, MURDOCH'S SIREN SONG
[SOURCE: New York Times, AUTHOR: David Carr]
Now that some of the commotion has eased, it might be worth a few minutes to examine the Dow Jones proposal bearing in mind Rupert Murdoch’s unique business DNA. 1) First, the deal will be made at some point, regardless of what the Bancroft family said last week. Brute-force capital, like flood waters, always finds a way to break through. 2) Despite his allaying words to the contrary, Mr. Murdoch would operate The Journal, including its editorial operations, as he sees fit. As Mr. Murdoch himself has said throughout his relentlessly acquisitive career, he buys things to run things. 3) There is business synergy in the deal — between the News Corporation’s proposed Fox Business cable TV channel and The Journal, for example. But far more important is Mr. Murdoch’s own version of synergy, which puts business, media and government all in a single vertical. Owning The Journal would give him a powerful leverage in all three. 4) The price that Mr. Murdoch is offering — $60 a share — is a multiple of ego, not earnings. He may have some other super-secret plan to squeeze more value out of the company, but the deal would give him something that, for all of his stellar business achievements, he’s never achieved in this country: a seat at the gentlemen’s table.
http://www.nytimes.com/2007/05/07/business/media/07carr.html
* Ottaways Deplore Bid by Murdoch
Two members of the Ottaway family, a minority partner in Dow Jones & Company, released scathing statements yesterday saying that a takeover by Rupert Murdoch’s News Corporation would ruin Dow Jones and its crown jewel, The Wall Street Journal.
http://www.nytimes.com/2007/05/07/business/media/07ottaway.html
(requires registration)
* Statement: 'The media equivalent of a trophy wife'
http://online.wsj.com/article/0,,SB117847597734093670,00.html?mod=todays...
* The Wrong Man for Dow Jones (by Jim Ottaway Jr)
http://www.washingtonpost.com/wp-dyn/content/article/2007/05/06/AR200705...
* A London read on Murdoch's plan
The Dow Jones suitor's British properties show a 'populist' approach.
http://www.latimes.com/business/printedition/la-fi-rupertstimes7may07,1,...
TRIBUNE ACCEPTS THAT OF STAMFORD PAPER VIOLATED UNION CONTRACT
[SOURCE: Associated Press]
Tribune Co. has accepted an arbitrator's ruling that its sale of The Advocate of Stamford to Gannett Co. violated a provision of the union's contract that requires the newspaper's new owner to honor a labor contract with newsroom employees. It was not clear Friday whether the sale would go forward. "Gannett has told us directly they are not going to go through with this deal if it means taking the union contract," said Maida Rosenstein, president of Local 2110 of the United Automobile, Aerospace and Agricultural Implement Workers of America. But Gannett spokeswoman Tara Connell said Friday the two companies are still in discussions about the sale.
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_con...
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_content_id=…
CLEAR CHANNEL IS ASKED TO RECONSIDER OFFER
[SOURCE: Wall Street Journal, AUTHOR: Sarah McBride sarah.mcbride@wsj.com and Dennis K. Berman dennis.berman@wsj.com]
Shareholders lobbied Clear Channel over the weekend hoping to persuade its board to reconsider a sweetened, $19.35 billion privatization proposal it turned down Thursday. Led by Boston-based Highfields Capital Management, the investment group that spearheaded the new offer along with private-equity companies Bain Capital Partners LLC and Thomas H. Lee Partners LP, some shareholders contacted the company to ask them to put the proposal before shareholders for a vote, or at least take more time to consider it, according to investors.
http://online.wsj.com/article/SB117850348001594096.html?mod=todays_us_ma...
(requires subscription)
http://online.wsj.com/article/SB117850348001594096.html?mod=todays_us_marketplac…