Recent filings from music licensing groups such as musicFIRST and SoundExchange attacking FCC relaxation of radio duplication rules (see 2102090063) “appear disingenuous,” NAB said in docket 19-310 Thursday. Those organizations say digital services have become more important than radio when arguing that Congress should enact performance fees, NAB said: “Be highly skeptical” of arguments from the groups that radio deregulation would harm music creators.

Despite a 30%-plus jump in video streaming in 2020 as consumers ratcheted up viewing during stay-at-home orders, there’s a large revenue opportunity in transactional video, Studio Distribution Services President Eddie Cunningham told a virtual Digital Entertainment Group Expo Wednesday. “Of course there’s room for physical still at the table,” said Cunningham, acknowledging that the segment won't drive growth for the entertainment industry over the next 10 years. Studios will follow the consumer and “get content out in front of eyeballs in terms of how consumers want to consume that,” said the executive. Attention to electronic sell-though, subscription VOD, ad-based VOD and premium VOD is understandable, given growth in streaming, and physical is a “huge, important part of the mix," he said. Physical video disc sales were $7 billion globally in 2020, Cunningham said. “It’s still going to be important to the industry for a long time.” The SDS 10-year joint venture was announced last year to distribute discs for new releases, library titles and TV shows, along with marketing initiatives, in the U.S. and Canada. The JV of Universal Pictures and Warner Media launches early next month.

The Commerce Department should expand export restrictions on China’s top chipmaker to prevent it from accessing more manufacturing equipment, wrote Sen. Marco Rubio, R-Fla., and Rep. Michael McCaul, R-Texas. Their letter last week to Commerce Secretary Gina Raimondo asked the agency to apply the foreign direct product rule to Semiconductor Manufacturing International Corp., which would restrict the company’s ability to import certain foreign-made semiconductor equipment with U.S. technology. SMIC would face similar restrictions imposed by the Bureau of Industry and Security on others on the entity list, including Huawei. The department and SMIC didn't comment Monday.

The FCC should eliminate “loopholes” that let broadcasters create duopolies, triopolies and quadropolies that would otherwise not be allowed under ownership rules, said the American Television Alliance in calls last week with aides to acting Chairwoman Jessica Rosenworcel and Commissioners Brendan Carr and Geoffrey Starks, per filings in docket 18-349. Studies by broadcasters such as Gray that show such consolidation leads to increased local news “seem contrary to our understanding of the marketplace,” ATVA said. Examine any increased costs associated with local news, “particularly if those costs caused MVPD households to drop their subscriptions or led MVPDs to cease carrying stations, and especially if such subscribers are in rural areas located outside of a station’s signal contour,” ATVA urged.

The Better Business Bureau's National Advertising Division recommended Comcast change a 5G commercial and related online disclosures. NAD said Thursday the caveat in the ad about limited availability of 5G service should have been more prominent and readable, and Comcast's Xfinity 5G homepage should disclose geographic limits on service availability. It said on other challenges by AT&T on other online disclosures about Comcast's Xfinity mobile service were sufficient. Comcast agreed to comply and indicated it previously voluntarily modified ads to more prominently disclose 5G availability limitations: Now that the service is available nationwide, disclosing that limited availability isn't needed.

Both sides “will likely appeal on many fronts” Tuesday's initial determination (login required) at the International Trade Commission that Samsung committed no Tariff Act Section 337 violations by importing smartphones alleged to have infringed four patents asserted by flexible electronics manufacturer Dynamics (see 2103160051), said Dynamics attorney Robert Morris of Eckert Seamans. “We agree that Administrative Law Judge Cameron Elliot "got so much right; but there are some technicalities that may have gotten lost in the shuffle and we are confident the Commission will address those in our favor,” said Morris Tuesday. Elliot’s decision becomes the determination of full ITC in 60 days unless at least one party files a petition for review. Though Elliot said Samsung “directly infringes” a dozen Dynamics claims among the four patents asserted, he also ruled many other patent claims were invalid, and said Dynamics failed to satisfy Section 337's U.S. domestic industry requirement in all but one of the patents. Samsung didn’t comment Wednesday.

Administrative Law Judge Cameron Elliot of the International Trade Commission found Samsung committed no Tariff Act Section 337 violations by importing smartphones alleged to have infringed four patents asserted by flexible electronics manufacturer Dynamics, said an initial determination notice (login required) he signed Tuesday in docket 337-TA-1170. Dynamics alleged in June 2019 that Samsung smartphones infringed its patents for cards with emulators that transmit information to magnetic strip readers. Neither Dynamics nor Samsung commented.

FCC Public Safety Bureau publication of a list Friday banning gear from Huawei, ZTE, Hytera Communications, Hangzhou Hikvision Digital Technology and Dahua Technology on national security grounds (see 2103120058) had “no factual basis and makes no sense,” said a Chinese Foreign Affairs Ministry spokesperson Monday. “To maintain its monopoly and hegemony in science and technology, the U.S. government abused the concept of national security and state power, and went all out to suppress Chinese hi-tech companies,” he said. “This negates the market economy principles the U.S. side has claimed to champion and reveals its hypocrisy in touting so-called fair competition.” He said the U.S. should “stop groundless suppression of Chinese companies and create an open, fair, just and non-discriminatory environment for Chinese companies operating and making investment in the U.S.”

The FCC Public Safety Bureau published a list Friday of communications equipment and services “deemed to pose an unacceptable risk to the national security” of the U.S., as directed by the Secure Networks Act. This equipment can’t be used in networks that receive USF funding. The list bans gear by Huawei, ZTE, Hytera Communications, Hangzhou Hikvision Digital Technology and Dahua Technology. “The inclusion of these entities on the Covered List extends both to subsidiaries and affiliates of these entities, as well as to ‘telecommunications or video surveillance services provided by such entities or using such equipment,’” the bureau said. The Chinese Embassy and ZTE didn’t comment; Huawei declined comment. The others couldn’t be reached.

There are ways other “than the hide-bound traditional way to release movies that could be done in a way that was beneficial for our studio partners and for AMC,” said CEO Adam Aron. On AT&T-owned Warner's release of titles to its company's streaming service, HBO Max, Aron said his theater company “put out a very clear statement that we were not willing to let Warner Bros. advantage its streaming service at AMC shareholders' expense." He noted AMC made a “landmark agreement” with Universal in April. The pact assures that “any changes in [Warner's] their strategy are being done in ways where AMC shareholders benefit as opposed to being penalized,” the CEO told a Q4 call Wednesday. The theater chain is “willing to engage with every major studio on the same topic,” he said, hoping studios can “adjust the business relationships" with AMC "such that they can support their streaming services and their theatrical releases -- and do so not at our expense.” Warner didn't comment Thursday. Some 40 major movie titles delayed from 2020 releases will hit AMC screens beginning in May, said Aron. “We are LaGuardia Airport, closed by a thunderstorm, with tons of planes circling overhead, all waiting to land and all needing to land,” he said, paraphrasing a metaphor he said studio executives shared.