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FCC APPROVES UNIVISION SALE
[SOURCE: Broadcasting&Cable, AUTHOR: John Eggerton]
The FCC has approved the sale of Univision's TV stations to Broadcast Media Partners, an investor group led by TV kids programming veteran Haim Saban. As expected, Univision agreed to pay $24 million (the commission's largest fine ever, according to Commissioner Michael Copps) in a consent decree with the commission to settle outstanding complaints about violations of the FCC's kids programming rules. Licenses generally cannot be transferred while there are complaints pending against them. Commenting on the $24 million payment, FCC Chairman Kevin Martin said, "It reflects the seriousness with which the commission takes its public-interest obligations. These requirements are not optional, and we expect broadcasters to comply with them. With these commitments by Univision, I believe this transaction is in the public interest."
http://www.broadcastingcable.com/article/CA6428343.html?display=Breaking...
* FCC press release: http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-271810A1.doc
* Order: http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-07-24A1.doc
* Chairman Martin: http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-07-24A2.doc
* Commissioner Copps: "Today's item will most likely be remembered because it imposes a $24 million fine, far and away the Commission's largest ever. And indeed this amount is entirely appropriate; it makes clear that violating the Commission's media regulations cannot simply be dismissed as just another cost of doing business." But he continues to explain that the Order fails to address two critical aspects of the transaction: 1) the Commission has never formally decided whether Spanish-language programming constitutes a separate market segment that must be analyzed in isolation from English-speaking programming and 2) the transfer of 114 stations to five private equity firms.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-07-24A3.doc
* Commissioner Adelstein: "It is my hope and expectation that today's approval will mark the beginning of an enhanced commitment by Univision's new management to better serve the public interest and the needs of the Hispanic American community."
http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-07-24A4.doc
* Commissioner Tate: http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-07-24A5.doc
* Univision's new owners start with tough program
http://www.latimes.com/business/printedition/la-fi-univision28mar28,1,30...
http://www.broadcastingcable.com/article/CA6428343.html?display=Breaking%20News
TRIBUNE CLOSE TO ACCEPTING ZELL'S $8 BILLION OFFER
[SOURCE: Bloomberg.com, AUTHOR: Justin Baer and Leon Lazaroff]
Tribune Co., owner of the Los Angeles Times and Chicago Cubs, will probably accept real estate billionaire Sam Zell's $8 billion takeover offer by the end of the week, according to people familiar with the matter. An agreement is likely by Tribune's self-imposed deadline of March 31, said the people, who declined to be named because no decision has been made. Zell's offer of $33 a share is 6.8 percent above yesterday's close. Zell's offer was competing with the company's plan to reorganize, as well as less-attractive bids from the company's largest shareholder, the Chandler family, and California billionaires Ron Burkle and Eli Broad. The auction dragged on for six months amid waning interest from buyers and an 8.4 percent drop in the stock.
http://www.bloomberg.com/apps/news?pid=20601103&sid=ajSktN34d6.k&refer=us
http://www.bloomberg.com/apps/news?pid=20601103&sid=ajSktN34d6.k&refer=us
MARTIN: BROADBAND WIRELESS MUST BE ON 'SAME FOOTING'
[SOURCE: Multichannel News, AUTHOR: Todd Spangler]
Federal Communications Commission Chairman Kevin Martin, speaking at the CTIA Wireless 2007 conference in Orlando, said broadband-wireless services need to be "on the same footing" as wired high-speed-Internet services from cable and telephone companies. "It’s going to be important for consumers to develop that third broadband pipe as a competitor to DSL [digital subscriber line] and cable," he added. Chairman Martin pointed to the FCC’s ruling issued last week, which declared that wireless-broadband Internet-access service will be treated as an information service under the Communications Act of 1934. The ruling, released March 23, means broadband-wireless services will be regulated the same way cable’s high-speed services are, rather than as traditional telecommunications services. Chairman Martin said it was "critical" that broadband-wireless services receive "the same lighter regulatory treatment as other information services. It was important to put broadband wireless on the same footing as cable and DSL." That’s especially key, he added, as the FCC prepares for the auction later this year of a huge chunk of wireless spectrum, reclaimed from TV broadcasters as they move to government-mandated digital transmissions.
http://www.multichannel.com/article/CA6428126.html?display=Breaking+News
* FCC chief: Wireless key to universal access
Martin wants wireless Internet access to be included in efforts to ensure universal communications for all U.S. residents.
http://www.iphone2die4.com/post/1506/
http://www.multichannel.com/article/CA6428126.html?display=Breaking%20News
FCC SPLIT OVER TV VIOLENCE REPORT
[SOURCE: Technology Daily, AUTHOR: David Hatch]
An upcoming FCC report recommending steps that Congress can take to regulate television violence has sharply divided the agency's five members. Multiple sources said Chairman Kevin Martin and Commissioner Michael Copps, who are spearheading the crackdown on graphic scenes, had approved the latest version of the report. But Commissioner Robert McDowell and Commissioner Jonathan Adelstein are apprehensive about intervening in this area, and it is unclear whether they are onboard, sources said. Commissioner Deborah Taylor Tate is expected to approve the findings, although her office did not return telephone calls seeking comment. Further complicating matters, minority groups recently complained about language in the report endorsing per channel cable pricing, known as a la carte. The discord may explain why the document, requested by 39 House lawmakers in 2004 and the subject of speculation for weeks, is not ready - although some observers expect it soon.
http://www.njtelecomupdate.com/lenya/telco/live/tb-DRNO1175018645253.html
FCC Split Over TV Violence Report
FCC PROBE: NET NEUTRALITY GOOSE CHASE?
[SOURCE: BusinessWeek, AUTHOR: Catherine Holahan]
After months of vehement debate over the need—or lack thereof—for legislation to preserve competition on the Web, the Federal Communications Commission has decided to investigate whether broadband providers are doing anything to stifle it. As well intentioned as the fact-finding mission may be, the FCC isn't likely to turn up much, say both sides of the debate. Broadband providers have consistently stated that they do not give preferential treatment to some services, nor do they plan to block competing services. Comcast's Vice-President of External Affairs, Joseph Waz Jr., summed up the position at the Broadband Policy Summit in May, 2006, when he said calls for legislation barring preferential pricing were "a solution in search of a problem." Without Net Neutrality, advocates argue, a broadband provider will reserve fastest passage for its own services or those willing to pay a premium for such access, and relegating competing services or small Internet startups to relatively slow connections. The result would be to put those companies at a disadvantage, potentially stifling innovation
http://www.businessweek.com/technology/content/mar2007/tc20070327_164895...
See also...
* Why is FCC quiet on AT&T’s Call-Blocking?
Is AT&T’s decision to block some of its customers’ wireless calls a violation of the so-called net neutrality principles? If it is, the FCC isn't saying so yet, at least not publicly. While both sides of the “free-calling†debate expect the commission to weigh in at some point, neither has filed a formal statement there, which may in some part have to do with the FCC’s silence on the matter so far.
http://gigaom.com/2007/03/26/why-is-fcc-silent-on-atts-call-blocking/
FCC Probe: Net Neutrality Goose Chase?
A DIGITAL COPYRIGHT DEMO TURNS INTO A FAIR-USE VOLLEY [SOURCE: Wall Street Journal, AUTHOR: Peter Lattman peter.lattman@wsj.com]
In the continuing copyright kerfuffle around YouTube, one law professor bent on proving her point is taking on none other than the National Football League. Wendy Seltzer, a visiting professor at Brooklyn Law School, picked the NFL, a hyper-vigilant protector of intellectual property, to highlight what she sees as the clumsiness of the Digital Millennium Copyright Act's "notice-and-takedown" provisions. Google Inc., YouTube's owner, has argued that the DMCA immunizes YouTube from liability for its users' copyright infringement if it takes down video when notified of copyright claims. To make her case, Ms. Seltzer posted a video clip of an NFL game during which announcers read the NFL's copyright notice -- "Any rebroadcast, retransmission or other use of this telecast without express written consent..." What ensued was more akin to a tennis match than a football game. The NFL sent YouTube a takedown notice. YouTube removed the clip. Ms. Seltzer sent YouTube a counter-notice, asserting that the clip fell within the "fair use" provisions of the copyright law because she was using it for educational purposes. YouTube re-posted the clip. The NFL sent YouTube another takedown notice. YouTube again yanked the clip. Ms. Seltzer finds this "DMCA dance" absurd. "If...YouTube is threatened with takedown notices every time my speech includes fairly used copyrighted material," says Ms. Seltzer, "pretty soon I find my ability to engage in fair use shut down."
http://online.wsj.com/article/SB117505274825851496.html?mod=todays_us_ma...
(requires subscription)
http://online.wsj.com/article/SB117505274825851496.html?mod=todays_us_marketplac…
MLB: WE'LL MEET FACE-TO-FACE WITH CABLE
[SOURCE: Multichannel News, AUTHOR: Steve Donohue]
Under pressure from Sen. John Kerry (D-MA), Major League Baseball president and chief operating officer Bob DuPuy agreed to meet with In Demand Networks to discuss a possible deal that could provide the cable-backed program supplier with the league’s Extra Innings package. The chances of the league cutting a deal with cable operators before Monday -- opening day of the 2007 season -- are slim. But MLB and DirecTV are facing heat from regulators for their seven-year, $700 million deal that will restrict the league’s Extra Inning’s package to DirecTV customers.
http://www.multichannel.com/article/CA6428250.html?display=Breaking+News
http://www.multichannel.com/article/CA6428250.html?display=Breaking%20News
HOW RADIO LISTENERS WILL FARE IN A MERGER OF SIRIUS AND XM
[SOURCE: Wall Street Journal, AUTHOR: Lee Gomes]
[Commentary] Many consumer groups oppose the proposed merger of XM and Sirius, saying that in addition to the anticompetitive nature of any monopoly, this will be yet another instance of media consolidation. A few groups say it ought to be allowed, on the condition that the two agree in writing to certain restrictions, such as pricing and programming. Consumers themselves should be forgiven for being suspicious. The current merger request is the best evidence that a new "times have changed" rationale might be put forward three or five years hence, when the company wants to do something it was forced to promise never to do. But this argument is from the possessors of one of Washington's most potent lobbying forces. If any group is skilled in the ways of governmental largess, it's broadcasters. If you fret about diminished choices with a joined Sirius and XM, think for a second about commercial radio in the U.S. Its ownership is highly concentrated, its programming is most commonly described as "soulless" and it is missing most of the public-interest programming we used to take for granted. A radio station, after all, is but a state-approved monopoly on the public's airwaves. Remember when radio stations turned out news programs? It is said that one test of how much competition will exist after a merger is the extent to which a competitor squawks; the more complaining, the more there will be a thriving market. Judging by the decibels from the broadcasters, satellite and broadcast radio would soon be at each others' throats. What's not to like about that?
http://online.wsj.com/article/SB117504198011851139.html?mod=todays_us_ma...
(requires subscription)
* Bad reception for Sirius and XM
Shares of the two satellite radio firms have taken a hit since their merger plans were announced in February as Wall Street bets that a deal will not get approved.
http://money.cnn.com/2007/03/26/news/companies/sirius_xm/index.htm?postv...
http://online.wsj.com/article/SB117504198011851139.html?mod=todays_us_marketplac…
INTERNET VIDEO STILL FACES BIG REVENUE CHALLENGES
[SOURCE: Wall Street Journal, AUTHOR: Ellen Sheng ellen.sheng@dowjones.com]
Online video is getting a lot of hype these days, but it is not clear how companies will make money off such sites, a new study from Convergence Consulting finds. "As it was a decade ago, the Internet is once again being positioned as taking over the content universe ... but there are a number of cold, hard realities" that prevent broadcasters and cable networks from moving away from TV, the report states. One such reality is advertising. Online advertising rates can command high prices, but online viewership is still considerably smaller than TV. Broadcasters that put their TV shows online have seen about 5% of their TV base watching the online streams; cable networks such as MTV see about 15% of their audiences watching shows online. Given the audience size, there is no assurance of similar advertising returns from online video. The report from the Toronto-based research and consulting firm calculates that average U.S. households spend about 20 cents an hour to watch TV, but broadcasters would have to charge a lot per download in order to compensate for what they get in advertising revenue for an average TV episode. For cable networks, there is an added disincentive to move to online distribution because the networks get about half their revenue from carriage deals with cable and satellite companies. One exception -- where online distribution could work better -- is with movie studios. The report points out that selling movies online helps studios save on distribution costs of DVDs. Studios also aren't dependent on advertising the way TV broadcasters and cable networks are.
http://online.wsj.com/article/SB117505059839651390.html?mod=todays_us_ma...
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* The Battle for the North American Couch Potato: Bundling, Internet, TV, Telephone, April 2007 Edition
http://www.convergenceonline.com/reportA.html
http://online.wsj.com/article/SB117505059839651390.html?mod=todays_us_marketplac…
LIVE FROM STATION KFYI IN... WELL, THAT'S COMPLICATED
[SOURCE: New York Times, AUTHOR: Jennifer Steinhauer]
Nationally syndicated hosts, à la Howard Stern, have long upended the local radio geography with their generic commuter broadcasts. But a growing number of local radio hosts do their work miles from their broadcasting station, helped by advances in technology. “Remote broadcasting is far easier in 2007 with digital phone lines than it was years go,†said Michael Harrison, the publisher of Talkers magazine. He estimates that about 5 percent of talk show hosts do this. “It allows the radio station to get the best possible talent without having to move them to the city they are in.â€
http://www.nytimes.com/2007/03/28/us/28host.html
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Is Your Local radio Host Local?