FTC officials took issue Tuesday with media descriptions of how the agency works. It had come under fire from some bloggers and industry executives for including in a discussion draft for a Tuesday workshop proposals to change copyright law and to tax some CE devices to help subsidize the ailing newspaper industry (CD June 10 p17). “The authors of those articles and blogs don’t know the agency, and they've misdescribed what the agency has done and what the workshop is about,” Commissioner Thomas Rosch said at a workshop about journalism’s future.
News Corp. is in talks with British Sky Broadcasting to acquire the 60.9 percent of BSkyB stock it doesn’t already own, the companies said Tuesday. News Corp. has already made two informal offers for the public shares, both of which were declined by BSkyB, they said. While the companies haven’t agreed on a price, they agreed to proceed with the regulatory process to “facilitate a proposed transaction,” said News Corp. BSkyB’s independent directors said it would back a higher offer. “It is the unanimous view from the independent directors that there is a significant gap between the proposal from News Corp. and the value of the company,” said BSkyB. The purchase likely will require regulatory approval from the European Union and other regulators, said News Corp.
Recent Supreme Court cases haven’t displaced antitrust law in telecom and other highly regulated industries, Verizon Senior Vice President John Thorne said at a hearing Tuesday of the House Judiciary Subcommittee on Courts and Competition Policy. But an FTC official and others urged Congress to use legislation to clarify the meaning of the high court’s 2003 Trinko and 2007 Credit Suisse decisions. Democratic and Republican subcommittee members said they were troubled by the rulings, but Republicans seemed hesitant to back legislative action. House Judiciary Committee Chairman John Conyers, D-Mich., told us a legislative fix is unlikely.
The CEA differed with some consumer electronics makers and cable operators on whether the FCC should exempt more subscription-video providers from CableCARD rules so they can use cheap HD set-top boxes that combine navigation and security features. Filings Monday on fixes to CableCARDs before the commission moves to a gateway device standard showed NCTA and members including Comcast, Cox Communications and Time Warner Cable support use of digital terminal adapters (DTA), as the regulator proposed in a rulemaking (CD April 22 p6). The CEA and Consumer Electronics Retailers Coalition (CERC) said DTAs undermine CableCARDs.
The FCC needs to weigh the potential effect on minority broadcasters if it proceeds with a proposal to urge broadcasters to sell off part of their spectrum for mobile broadband, FCC Commissioner Mignon Clyburn said Monday at the Rainbow PUSH Coalition meeting in Chicago on spectrum and the National Broadband Plan. She said the effect of the auction on broadcast diversity is one of a “number of potential landmines” for the auction proposal. Clyburn has voiced similar concerns before (CD March 17 p7).
Though little is known about key LTE patent holders and their asset values, companies like Ericsson and Nokia are already projecting how much essential intellectual property rights they will have for LTE. Meanwhile, the fate of Canadian vendor Nortel’s estimated large LTE patent assets is still pending, making the 4G patent ownership landscape even more unclear, experts said.
Draft public safety legislation by House Commerce Committee Chairman Henry Waxman, D-Calif., envisions $11 billion for the construction and operation of a nationwide, interoperable public safety network. A draft we obtained Monday would fund the network using proceeds from auctions of the 700 MHz D-block and other spectrum, with additional money from the U.S. Treasury. Public safety groups have opposed that approach, favoring legislation to directly allocate the D-Block to public safety (CD June 8 p1). The House Communications Subcommittee plans to discuss the bill at a hearing Thursday.
Before Cablevision’s acquisition of Bresnan Communications can proceed, approval from various local video franchising authorities in Montana, Utah, Wyoming and Colorado will be needed, industry attorneys said Monday. Cablevision agreed to buy the western cable operator for $1.4 billion and is putting less than $400 million in equity into the deal. The rest will be financed with debt, Cablevision said. The deal is structured in a way that its shareholders and bondholders won’t be on the hook for the debt should Bresnan’s operations falter, the buyer said.
CTIA said the FCC should “reject outright” Mobile Internet Content Coalition (MICC) arguments that net neutrality principles should be applied to SMS text messaging services and wireless carriers’ review of content providers’ marketing proposals. CTIA “misses the point” of the MICC arguments, Public Knowledge Legal Director Harold Feld told us Monday in response to the CTIA filing.
SANTA CLARA, Calif. -- Industry groups are forging ahead with self-regulation efforts for online behavioral ads, in line with signals from policymakers who have yet to set rules, executives said Monday. The initiatives have yielded principles and now comes the time for follow-through, they said at an International Association of Privacy Professionals conference. An effort by the Better Business Bureaus and large advertisers associations has chosen a vendor from six contenders to monitor compliance and flag possible violations, and will announce the selection this month, said Lee Peeler, CEO of the umbrella group, the National Advertising Review Council.