Rupert knows where I am... DECEMBER 15, 2009, 2:59 P.M. ET FCC to Propose Closing Loophole on Sports Programming By AMY SCHATZ WASHINGTON – Federal Communications Commission Chairman Julius Genachowski will propose prohibiting cable operators from withholding broadcasts of local sporting events from satellite TV providers and other rivals.
The FCC's Media Bureau plans to circulate an order to the other FCC commissioners Wednesday, an FCC official said. It would close the so- called "terrestrial loophole" that has been used by cable companies including Comcast Corp., Cox Communications Inc. and Cablevision Systems Corp. to withhold local sports channels from rivals. The move would be a significant victory for Dish Network Corp., DirecTV Group Inc., Verizon Communications Inc. and AT&T Inc., all of whom have had difficulties at one point trying to get the channels from a local cable provider. Cable operators are generally required by the FCC to offer access to program content they partially or wholly own to rivals at reasonable rates, but some have used a provision in the Cable Television Consumer Protection and Competition Act of 1992 to exclude local sports programming. The law allows cable companies to withhold content from rivals if it isn't transmitted by satellite. Satellite TV providers have been appealing to the FCC for help on the issue for several years, and phone companies have gotten involved as they have tried to roll out competitive TV services across the country. Last year, AT&T filed a complaint against Cox for denying it permission to show San Diego Padres games on its local U-Verse TV service. Verizon filed a similar complaint against Cablevision for denying it access to a high-definition feed of games at Madison Square Garden. FCC officials have considered the issue of closing the loophole for several years and began a proceeding on the issue two years ago, examining whether the agency had legal authority to do so. Separately, broadcasters and wireless carriers squared off at a congressional hearing on airwaves Tuesday over a recent Federal Communications Commission proposal to take back some TV airwaves and use them for wireless broadband service instead. "There's an urgent need to identify more spectrum that's available for wireless broadband and other advanced wireless services," said Steve Largent, chief executive officer of CTIA, the wireless association's trade group. "We simply can't wait to 2020 or beyond." "Broadcast television is the first wireless service to substantially reduce its [airwaves] use while increasing its services," countered Gordon Smith, a former Senator from Oregon who recently became chief of the National Association of Broadcasters, which is trying to derail efforts to take some TV airwaves away. Congress is considering legislation that would require the Federal Communications Commission and Commerce Department to conduct an inventory of how federal agencies and the private sector are using U.S. airwaves. That inventory report would help government officials identify unused airwaves which could be auctioned off to phone companies to offer more wireless broadband services. "Before we can start identifying bands of spectrum that might be made available for these new services, however, we need to understand how existing spectrum is allocated and utilized," said Rep. Henry Waxman (D., Calif.), chairman of the House Energy & Commerce Committee, at the hearing. FCC officials have already been looking for under-used airwaves as part of their writing of a National Broadband Plan, a blueprint for how the government can help improve the availability and affordability of high-speed Internet. "We're at an unprecedented period in increased in demand for spectrum," said Dale Hatfield, a wireless expert and professor at the University of Colorado at Boulder, during the hearing. Mr. Genachowski, the FCC chief, has previously called the looming spectrum crunch "a crisis" that the agency must confront. AT&T Inc., Verizon Communications Inc. and other large carriers say they will need more airwaves to keep up with consumer demand. Devices such as the Apple Inc. iPhone and other smart phones have increased wireless internet use dramatically over the past few years. FCC officials recently proposed taking back some airwaves that aren't being used by TV stations. That's prompted an outraged reaction from some broadcasters, who are loath to give up the airwaves. Many TV stations don't currently use all of their allocated airwaves but some are exploring the idea of offering more local digital channels, including mobile channels for cell phones and other wireless gadgets. "You will soon be able to receive broadcast TV on your cell phone. Your BlackBerry could be a TV. Your iPhone could be a TV," said Mr. Smith, during the hearing. "We're on the cusp of it." On Wednesday, FCC officials are expected to offer more details on proposals that will be included in the National Broadband Plan, which is due to Congress in February. The proposals are expected to revolve around overhauling a federal phone subsidy program, increasing online video competition and finding more airwaves for wireless broadband services. Write to Amy Schatz at [email protected] -- BOB -- TV or Not TV .... The Smartest (TV) People! You received this message because you are subscribed to the Google Groups "TV or Not TV" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [email protected] For more options, visit this group at http://groups.google.com/group/tvornottv?hl=en
