[opendtv] A house divided?
- From: Craig Birkmaier <craig@xxxxxxxxx>
- To: OpenDTV Mail List <opendtv@xxxxxxxxxxxxx>
- Date: Wed, 21 Jul 2010 14:10:10 -0400
Looks like the NAB has been hearing from some of their members...
Apparently there must be a group that IS interested in taking the
money and giving back their spectrum. The rest just want the sweet
deal they have to continue.
A bill has been introduced in the Senate to allow the FCC to proceed
with auctions, giving some of the proceeds back to broadcasters who
vacate their spectrum. The bill also includes spectrum fees for those
who choose to continue using their spectrum. It appears that these
fees, and the possibility that the remaining stations might be forced
to operate at lower power levels, has the NAB tempering its position,
saying that the auctions would be OK in return for conditions that
would protect the remaining broadcasters. Separately, the NAB is
telling Congress that there is no need to modify the retransmission
consent rules.
What does all of this mean?
First, the broadcast networks will remain viable as long as they can
hold onto valuable content franchises like NFL Football and at least
a reasonable share of the prime time TV audience (25%?). Second the
real value of staying in the broadcast business lies in retrans
consent fees for the remaining stations. The second tier broadcasters
are likely to take the money and run.
Perhaps those who stay in the game will wait a few years, then join
Bert's team...
The only way to keep broadcasting viable will be to allow a national
oligopoly, run by the five conglomerates...
Regards
Craig
http://www.reuters.com/article/idUSN2026366120100720
U.S. broadcasters seek conditions on spectrum plan
Tue Jul 20, 2010 3:30pm EDT
* Broadcasters concerned about fees
* Senate bill would give FCC, Commerce Dept auction power
July 20 (Reuters) - U.S. broadcasters told the Obama administration
they might sign on to the government's voluntary program to
reallocate their highly-prized airwaves to wireless companies, as
long as certain conditions are met.
The National Association of Broadcasters sent a letter to the White
House on Monday to lay down conditions to protect broadcasters, in a
sign that progress is being made on a plan to refocus spectrum use.
Broadcasters, fearing the program could come with harsher
regulations, sought assurances that the government would not limit
their signal strength or slap them with more fees.
The Obama administration and the Federal Communications Commission
have urged broadcasters to voluntarily give up a swath of airwaves in
exchange for proceeds from auctions.
The program is aimed at helping wireless companies deal with a
looming spectrum crunch as more consumers turn to mobile devices to
surf the Web.
The spectrum reallocation plan is part of the FCC's larger National
Broadband Plan, which seeks to give more Americans access to
high-speed Internet and wireless services.
AT&T Inc, Verizon Wireless and T-Mobile, the U.S. unit of Deutsche
Telekom AG are among wireless companies seeking more spectrum.
Verizon Wireless is a venture between Verizon Communications Inc and
Vodafone Group Plc.
NAB represents 7,500 local radio and TV stations including the big
networks CBS Corp, Walt Disney Co's ABC, News Corp's Fox, and NBC,
which is majority-owned by General Electric Co.
"Our goal is simple: to work collaboratively on a two-track strategy
that accomplishes the administration's goals without compromising
America's robust and reliable digital television service that remains
free, local and ubiquitous," NAB President Gordon Smith wrote in a
letter to National Economic Council Director Larry Summers.
In the letter Smith said he wants to ensure that broadcasters not
interested in the voluntary program will not be subject to signal
strength limitations or onerous new taxes for using current spectrum.
He added that broadcasters should also have the ability to provide
viewers with mobile digital television programming.
The NAB letter comes as two senators introduced legislation that
would give the FCC and the Commerce Department the authority to
auction off spectrum and give some of the proceeds back to the
license holders.
The FCC needs Congress to give it new authority before it can move
forward with this type of auction.
In a move to prod broadcasters to relinquish some spectrum, the bill
also includes a provision that would allow the FCC to assess an
annual fee for spectrum holders.
The FCC regulates commercial spectrum and the Commerce Department
oversees spectrum used by government agencies. Both are examining how
spectrum is being utilized.
"We can and should know how our spectrum is being used and do more to
encourage more efficient and productive use," said Democratic Senator
John Kerry, who along with Republican Senator Olympia Snowe, offered
a spectrum reform bill.
There is no companion legislation in the House of Representatives.
(Reporting by John Poirier; Editing by Richard Chang)
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