Matt Daneman

Discovery Communications told us it doesn't anticipate its planned $14.6 billion takeover of Scripps Networks Interactive will require FCC review. It didn't comment when asked for clarification Tuesday. Some had speculated SNI might turn in its FCC licenses or that any license transfers to Discovery would be routine and not necessitate opening a docket (see 1707310062).

Discovery Communications’ planned $14.6 billion takeover of Scripps Networks Interactive is largely expected to sail through regulatory reviews, experts told us. The deal might not need FCC review since SNI broadcast licenses could just be turned in and Discovery potentially could use its existing arrangement to transmit Scripps programming to MVPDs the way it does its own, said a communications lawyer with cable and content clients. Even if one or two need to be transferred, that often is done with a simple licensing application that doesn’t require the FCC open a docket, the lawyer said. Discovery said it didn't anticipate antitrust problems with its SNI bid but didn't comment on FCC review. Meanwhile, The Wall Street Journal reported SoftBank CEO Masayoshi Son was considering making a bid for Charter, to merge it with SoftBank subsidiary Sprint.

Any major change to retransmission consent rules isn't likely anytime soon, given FCC unwillingness to get involved and a lack of industry consensus that could motivate Congress, said panelists at a Digital Policy Institute webinar Thursday. The retrans regime "is a hot mess" lacking easy fixes, and could face congressional scrutiny once it gets through net neutrality and revisits the Satellite Television Extension and Localism Act Reauthorization, parts of which expire at the end of 2019, said Phoenix Center President Larry Spiwak.

Comcast and Charter Communications see "national level" wireless opportunities they wouldn't have alone as regional players, Charter CEO Tom Rutledge said in an earnings call Thursday. He said Charter's wireless partnership with Comcast (see 1705080046) comes as the two have the same Verizon mobile virtual network operator: "It makes sense for us ... to be efficient and to know how that MVNO works and to have a good relationship with Verizon."

Antitrust experts are at odds over how AT&T's proposed buy of Time Warner could shake out at DOJ's Antitrust Division, at least on conditions on approval, though OK is expected. There are questions about what kind of changes a Trump administration would represent in how Justice approaches antitrust (see 1611180043), but agency leadership appointees are consistent with what one would expect in a traditional Republican administration, likely indicating a traditional approach, said an antitrust lawyer. The Trump DOJ is likely traditionally Republican on antitrust -- more accommodating and permissive -- but "there will be the occasional lightning strike," said Brian Quinn, Boston College associate law professor, but "If there's going to be a lightning strike, [AT&T/TW] is going to be the deal." AT&T and DOJ didn't comment.

Earth station applicants should specify a requested antenna pointing range and show operations won't increase population coverage and so won't affect local upper microwave flexible use service licensees or impede future earth station applicants, SES, O3b, Inmarsat and Telesat said in comments posted Tuesday in FCC docket 17-172. Friday was the deadline for comments on implementing earth station siting methodologies in the 28 GHz and 37/39 GHz bands (see 1707240050). The satellite operators said applicants should be required to overlay the antenna contour with terrain data, such as from the U.S. Geological Survey. And they said the FCC should encourage earth station collocation by not factoring in the population covered by a new 28 GHz earth station when its interference zone falls within that of a grandfathered earth station. Boeing said power flux density contour and protection zone calculations should use existing propagation models from the ITU and 3rd Generation Partnership Project and be based on proposed earth station antenna models or data. The company said those contour and protection zone calculations should account for shielding or terrain features as part of the estimated interference levels. OneWeb said the FCC should let fixed satellite service earth station applicants use either the time-invariant gain or time-variant gain methods for assessing gain toward the horizon to allow non-geostationary orbit satellite constellations enough flexibility. The company said the agency shouldn't prescribe a single means of determining population percentages but allow earth station applicants to use any verified data source and accepted calculation method. ViaSat said the 0.1 percent population coverage limit should reflect antenna pointing only at the satellite points of communication in the earth station application, not all possible antenna pointing scenarios. It said applicants shouldn't be allowed to use worst-case modeling.

AT&T launched 5G service in Indianapolis and Austin, and expects to be in 20 markets by year's end, executives said on a Q2 earnings call Tuesday. It's testing LTE licensed assisted access -- combining licensed and unlicensed spectrum -- in San Francisco, where users are seeing 750 Mbps peak speeds -- and it will expand testing in San Francisco and into Indianapolis in coming weeks. It said it still expects to close on its Time Warner buy by year's end, and its integration team is close to done with its advertising and bundling plan. For the quarter, AT&T had consolidated revenue of $39.8 billion, and had 2.3 million wireless net adds in the U.S. and 8,000 total broadband net adds. It said it had total video subscription losses of 199,000, with growth at DirecTV Now offsetting some traditional TV subscriber declines. CEO Randall Stephenson said AT&T soon will unveil the names of additional states that agreed to opt in to FirstNet, beyond the five revealed so far. “The timeline has been set and the opt-in process is underway,” he said. States are eager to get started on construction of the network “and so are we,” he said. Stephenson said AT&T will look at all of its options as construction starts.

If the FCC pursues doing away with its administrative law judge role, it might be doing what a lot of agencies wish they could, said American University professor of practice in administrative law Jeffrey Lubbers. Such an idea was floated by Commissioner Mike O'Rielly at the agency's July meeting (see 1707130046) after commissioners 2-1 reversed the agency's ALJ on Game Show Network's programming discrimination complaint (see 1707130048). Over the past 15 years, ALJs in many places declined, probably due to agency policy decisions on what cases the agencies pursue and thus how many cases are generated needing adjudication under the Administrative Procedure Act, said Postal Service Chief ALJ James Gilbert, a member of the Federal Administrative Law Judges Conference (FALJC) executive committee. "I think it's more organic than a conscious ... or widespread effort to reduce the numbers."

Analysts are split on the likelihood of Discovery Communications joining with Scripps Networks. Credit Suisse analyst Omar Sheikh in a note to investors Wednesday called the reported deal talks unlikely to come to fruition since previous such talks probably died due to disagreements over price and structure, and those hurdles seemingly haven't changed. A combination would have more negotiating leverage with MVPDs and advertising agencies, he said. Citi's Jason Bazinet said the idea of Discovery/Scripps talks is "credible," adding the two likely will come to an agreement due to the pressures on the cable industry and to low valuations. He said a combined entity would have more leverage with emerging digital distribution platforms like Hulu, Sling, Vue and YouTube, and also make the launch of a non-sports bundle easier. Neither Scripps nor Discovery commented Wednesday. Scripps stock closed at $76.89, up 14.7 percent, while Discovery closed at $27.18, up 4.3 percent. Scripps also reportedly has held merger talks with Viacom. Viacom didn't comment.

Carrier identification compliance standards set to be implemented in September likely would have spelled the end of a number of small-satellite news gathering truck operations, SNG operators tell us as they cheer the draft order on August's commissioners' meeting agenda largely waiving that requirement. However, some in the SNG industry see the proposed permanent waiver as hurting. An FCC mandate prompting manufacturers to spend money creating offerings for customers, with that mandate then getting upended and manufacturers stuck without a market, "doesn't do anybody any good," Accelerated Media Technologies President Tom Jennings said.