[opendtv] Re: A MUST READ - Genachowski Hires A Broadcast TV Hitman

  • From: Craig Birkmaier <craig@xxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Thu, 17 Dec 2009 08:55:50 -0500

Thanks for posting these opinion pieces Mark!

I had read the Jessell editorial, and heard about the Benjamin essay, but had not read it.

It should come as no surprise that broadcasters have once again become the target of those who claim they can offer the public services that will be valued more highly. This was at the root of the DTV transition in the '80s and helped guide the poor decisions regarding the ATSC standard.

While Mark and others may not agree with the opinions expressed in the Benjamin essay, I would suggest that it is a rather good analysis of the issues that are on the table here. Clearly the strength of broadcasting has been based on its cozy relationship with the politicians. Benjamin is pragmatic about this reality, noting that it would take "an Act of Congress" to clear broadcasters from their valuable beachfront property. This is not a likely outcome.

I do not want to see TV broadcasting disappear from the American landscape, but I do want a broadcast system that the public will actually use, and I believe such a system can be created in a fraction of the spectrum now occupied by broadcasters. I also believe that broadcasters can play an important role in delivering popular bits to multicast audiences, leveraging the new back channels that will be created in spectrum recovered for broadband.

As for hastening the demise of broadcasting as we know it, there is a simple solution.

Eliminate retransmission consent. If broadcasters could survive for five decades based on the revenues they derived from advertising - and it is worth noting that broadcasters in the UK, New Zealand and Australia have figured out how to deliver a FOTA multichannel service - then why do they need subscriber fees?

If the service is free with an ATSC receiver, why should I pay a subscriber fee when the cable company gives up some of their bandwidth to deliver it to me?

The MVPDs are just a bit behind the curve, relative to broadcasters, in terms of their eventual extinction. Consumers are not just giving up on broadcasting, they are dropping MVPD subscription too. What we are watching as broadcasters step up their demands for retrans consent payments is simply the natural progression to maximize profits before consumers cut and run.

Regards
Craig



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