[opendtv] Re: Commissioner Copps on Internet openness

  • From: Craig Birkmaier <craig@xxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Thu, 18 Nov 2010 08:07:22 -0500

At 6:42 PM -0600 11/17/10, Manfredi, Albert E wrote:

"What happened was that in less than a generation, a media landscape that should have been moving toward more diversity, more localism and more competition was transformed into a market controlled by a handful of players, too often providing little more than infotainment, canned music and program homogenization. Newsrooms were shuttered, reporters were fired, and investigative journalism consigned to the endangered species list. The apologists told us this was the natural result of changes in technology and markets, and things would all work out fine in the world of new media if we just looked the other way a while longer. The facts told another story. The huge debts these mega-companies took on to curry favor with investors and hedge-fund operators overwhelmed broadcaster obligations to be good stewards of the people's airwaves. The public's right to know got lost in the frenzy of financial hyper-speculation."

An interesting analysis Bert.

I would point out that the landscape from which you were hoping to see a move toward more diversity was tightly controlled by three companies - an information oligopoly propped up by the U.S. government since the inception of radio broadcasting.

You seem to enjoy the parts of Tim Wu's book that warn us about potential new information monopolies like Google, Apple and Facebook, but ignore the fact that he builds his analysis on REAL information monopolies that have existed for nearly 100 years.

In fact there was a move toward diversity as the cable industry began to develop content outside the walls of the broadcast networks. Yes these companies used mega debt to get around the broadcast oligopoly, but we did see diversity for a short period.

Then what happened?

The broadcast oligopoly went running to their buddies in Washington saying that something needed to be done to protect the public from these new Robber Barrons. So Congress re-regulated the cable industry and handed the broadcasters the keys to the kingdom in the form of retransmission consent. With this powerful new tool the broadcast oligopoly claimed prime real estate in the basic cable tier, developed new non-broadcast networks, then went on a buying spree and gobbled up 90% of the content that is delivered via the MVPD walled garden today.

And now the politicians are quietly sitting on the sidelines as the broadcast oligopoly uses anti-competitive tactics to move their control over content to the Internet.

For some strange reason Bert still defends the broadcast oligopoly, but warns us to fear the new information monopolies like Google and Apple, that are trying to tear down the walls around the empire that the politicians have helped the media oligopoly to build.

Then, starngely enough, he makes a pitch for heavier regulation of the Internet, to avoid these problems encountered with TV and other media. But wait a minute, Commissioner. Hasn't FOTA TV always been regulated by the FCC? And since the answer is yes, have you not just told us that your regulation doesn't work to produce the results you seem to champion?

Nothing strange here Bert. The FCC has always been a pawn of the entrenched information monopolies. If they tried to stray from the party line the NAB and other lobbies would simply get Congress to pass new laws to bring them back in line.

It should come as no surprise that the FCC is backing the empire and encouraging people to subscribe to the MVPDs. This enriches the corporations they are supposed to be regulating, and helps accelerate the demise of broadcasting so that they can recover spectrum to sell to the other oligopolies that they regulate...

Perfecty predictable!

But I would not give much credit to any FCC commissioner. They just do what they are told.

Regards
Craig


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