[opendtv] Re: FCC Overstepped Authority on Digital TV

  • From: "Lindhoff, Andrew (PHPPO)" <AXL1@xxxxxxx>
  • To: <opendtv@xxxxxxxxxxxxx>
  • Date: Wed, 23 Feb 2005 13:45:17 -0500

Mark:

If you want to see the broadcast flag disappear completely from the face
of the earth, then I still say let the programming providers pay for the
COMPLETE cost of the circuit and/or software research and development
and the retail cost per consumer item manufactured regarding any
consumer item that requires the installation of either the hardware or
the software necessary to produce the broadcast flag's functionality.
No consumer should ever be required to pay for anything that directly
benefits a non paying third party to the worst interests of the consumer
themselves.  If Hollywood wants to pay the TOTAL bottom line costs for
the start-up and on-going utilization of the broadcast flag, then let
them pay for it in TOTEM...not me.

Drew Lindhoff.  =20

-----Original Message-----
From: opendtv-bounce@xxxxxxxxxxxxx [mailto:opendtv-bounce@xxxxxxxxxxxxx]
On Behalf Of Mark Aitken
Sent: Wednesday, February 23, 2005 10:08 AM
To: OpenDTV
Subject: [opendtv] FCC Overstepped Authority on Digital TV


     Reuters <http://olympics.reuters.com/home.jhtml>
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FCC Overstepped Authority on Digital TV
Tue Feb 22, 2005 03:07 PM ET

By Peter Kaplan

WASHINGTON (Reuters) - A U.S. appeals court on Tuesday said that=20
regulators had overstepped their authority by imposing a rule designed=20
to limit the copying of digital television programs.

"You crossed the line," Judge Harry Edwards told a lawyer for the=20
Federal Communications Commission during arguments before a three-judge=20
panel of the U.S. Court of Appeals for the D.C. Circuit.

"Selling televisions is not what the FCC is in the business of," Edwards

said, siding with critics who charge the rule dictates how computers and

other devices should work.

But it was unclear whether the judges would strike down the FCC's 2003=20
rule, since doubts were also raised about whether the American Library=20
Association and other opponents had legal standing to challenge the rule

in court.

After hearing arguments, the court usually takes several months to issue

a ruling.

The FCC rule aims to limit people from sending copies of digital=20
television programs over the Internet. The FCC has said copyright=20
protections are needed to help speed the adoption of digital television.

Under the FCC rule, programmers can attach a code, or flag, to digital=20
broadcasts that would, in most cases, bar consumers from sending=20
unauthorized copies of popular shows over the Web.

The rule requires manufacturers of television sets that receive digital=20
over-the-air broadcast signals to produce sets that can read the digital

code by July 1 of this year.

The rule has been criticized by some consumer groups, who say that it=20
could raise prices to consumers and that it sets a bad precedent by=20
allowing broadcasters to dictate how computers and other devices should=20
be built.

Edwards and one of the other two judges, David Sentelle, agreed with the

critics and told FCC lawyer Jacob Lewis that the law does not give the=20
agency specific authority to dictate how electronic devices must be
made.

"It's never been done before," Sentelle said, agreeing with Edwards that

the rule could set a precedent for a wide range of other new FCC=20
regulations.

But Sentelle also said he had serious doubts about whether the library=20
association and other critics had standing to sue.

Courts have long held that parties have standing only when they can show

that an agency ruling will cause them a unique, "particularized" harm,=20
Sentelle said.

"The harm to us is the harm to consumers," responded Pantelis=20
Michalopoulos, an attorney for the petitioners in the case. "Our members

are consumers."

Sentelle was unconvinced, saying it's not enough to argue that the rule=20
will raise the price of Internet content to consumers in general.

Neither Edwards nor the other judge on the panel, Judge Judith Rogers,=20
indicated whether they agreed with Sentelle on the issue of legal
standing.

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(c) Reuters 2005

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Regards,
Mark A. Aitken Director, Advanced Technology

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