Oral argument in Maine's appeal of a preliminary injunction request by Comcast and content companies challenging the state's a la carte cable TV law (see 2004300011) will be held remotely Sept. 16 due to the pandemic, the 1st U.S. Circuit Court of Appeals said Tuesday (in Pacer, docket 20-1104).
The sale of 49.99% of Altice's Lightpath fiber business to a Morgan Stanley investment fund is expected to conclude in Q4, the cable ISP said Tuesday evening. Altice said it will receive $2.3 billion in cash and will remain in control of the company. It said the investment will help pay for Lightpath growth and improved performance.
Comcast and Sinclair inked a multiyear content carriage agreement that includes continued retransmission consent of 78 Sinclair stations in 51 markets across Comcast’s cable TV footprint and continued distribution of the Tennis Channel, 18 Fox-branded regional sports networks and the Yes Network for Xfinity TV customers, they said Friday. The deal also gives Xfinity TV customers in the Chicago area access to the Marquee Sports Network regional sports network jointly owned by Sinclair and the Chicago Cubs, they said.
A LEC can be competition to cable's video service by offering a streaming video service, and the FCC's decision that the AT&T TV Now streaming service is effective competition in parts of Massachusetts and Hawaii clearly lines up with congressional intent in its effective competition test and it avoids the unfairness of asymmetrical regulations in LEC/cable operator competition. That's according to an NCTA amicus brief Wednesday (in Pacer, docket 19-2282) with the 1st U.S. Circuit Court of Appeals on behalf of respondent FCC and intervenor Charter Communications. The Massachusetts Department of Telecommunications and Cable is challenging the FCC's finding AT&T TV Now is effective competition to Charter cable service in Massachusetts and part of Hawaii (see 1912230063). Charter, in an intervenor brief (in Pacer), disputed MDTC arguments that AT&T TV Now fails the LEC test by not being offered directly to consumers since it comes over an intermediary broadband system, and called the FCC interpretation of the LEC test reasonable. MDTC didn't comment Thursday.
Maine's bid to have Charter's lawsuit challenging the state's law requiring prorated refunds when customers end service partway through a billing cycle (see 2006030036) could focus on whether a cable TV subscription is analogous to buying fruit at the store. State and Charter outside counsel and U.S. District Judge Jon Levy of Bangor all toyed with that analogy Tuesday during oral argument on Maine's motion to dismiss (docket 20-cv-00168). A decision is expected after Aug. 24 when briefing is to be finalized. Buying lemons and then returning some moldy ones for a refund doesn't change the rate the store charges, argued Maine Attorney General's Office lawyer Paul Suitter: Same holds true for a prorated refund, and thus Maine's law doesn't run afoul of Section 543 of the Cable Act, barring state or federal cable rate regulation. He said the state law doesn't affect ongoing rates consumers pay other than not charging consumers for service post-cancellation. He said even if the court finds there's ambiguous language in the state statute, Maine is entitled to a presumption against federal preemption. Pressed by Levy whether a cabler gets to define the quantity of service it provides, Suitter said a subscription is an ongoing relationship rather than buying a discrete piece of produce. But asked by Levy about a scenario where the Maine legislature requires cable operators to bill customers weekly rather than monthly, Suitter acknowledged that gets at rate structure issues. Since that's a different matter, Suitter told the judge, "Thankfully that's not the call you have to make." And even if it is rate regulation, Suitter said, once service has been canceled a cable company is no longer protected by Section 543. "There is some wordplay going on here," replied Charter counsel Matthew Hellman of Jenner & Block, because the issue is straightforward -- Charter sells subscriptions on a monthly basis, and requiring it to be sold on a daily basis is rate regulation. He said courts and the FCC have reached that conclusion repeatedly in different prorating contexts.
The Wireline Bureau seeks comment through Aug. 19, replies Sept. 3, on NCTA's petition for declaratory ruling (see 2007170023), said a public notice Monday in docket 17-84. The group asks the FCC to mandate pole owners share in the cost of pole replacements in unserved areas, give pole attachment complaints for unserved areas prioritized placement on its accelerated docket, and order pole owners complete replacement within a specified time.
Charter's ask to sunset data caps and interconnection conditions on its purchase of Time Warner Cable and Bright House Networks (see 2006180050) is getting support from business groups and state lawmakers, in FCC docket 16-197 filings Monday. Given the competitive video market, with internet-based platforms mushrooming, the need for the conditions on the purchases to protect that competition aren't necessary any longer, said the Massachusetts Taxpayers Foundation. Echoed the Wyoming Business Alliance, business growth and job creation have to be top priorities and it's "critical that we not do anything that might hamper that growth." Also filing support were Charlevoix Township, Michigan; California's Inland Empire Economic Partnership; the Association of California Cities-Orange County; and lawmakers in New York, Colorado and Texas (see here and here).
The FCC leased access rate formula order adopted last week (see 2007160045) is slightly more forceful in its language critical of the leased access rules regime, according to our side-by-side comparison of the draft and the approved order released Friday. The draft indicated in passive tense that "an argument exists" that video market changes have eroded the need for the leased access rules. The adopted order is more direct: "We agree ... that marketplace changes ... appear to have eroded the original justification for the leased access rules."
FCC failure to extend the comment cycle on Charter's request for a May sunset of conditions from its buy of Time Warner Cable and Bright House (see 2007090009) could prevent Entertainment Studios Networks from providing evidence of Charter’s “propensity to discriminate” on race, said ESN in a letter filed Friday in docket 16-197. ESN wants the comment deadline postponed until Aug. 18. ESN seconded Newsmax’s arguments that the original transaction order requires the August date. “ESN intends to file detailed information about Charter’s stated desire to make business decisions in discriminatory ways, not just based on economics, but on race and ethnicity.” The letter noted evidence raised in ESN's lawsuit against the cable provider of alleged statements from Charter personnel telling African American protesters to “get off welfare” and allegations Charter CEO Tom Rutledge “refused to engage with ESN’s African American CEO, Byron Allen, referring to Allen as 'Boy' and telling Allen that he needed to change his behavior.” If the FCC allows Charter to discriminate in interconnection agreements, “what would prevent Charter from exercising that discretion to the detriment of African-American, Latinx, Asian, or other minority-owned businesses,” ESN asked. “Decisions on which networks to carry are based on business considerations, such as cost, quality and uniqueness of content, and ongoing customer demand. Race played no role whatsoever in our programming decision regarding these networks and we will continue to vigorously defend against these false claims,” emailed a Charter spokesperson. "Charter offers programming services produced by minority-owned companies, including several owned by Byron Allen."
NBCUniversal's Peacock streaming service is available on Vizio's SmartCast TVs in free and premium ($4.99 monthly) versions, said the TV maker Wednesday. Viewers can upgrade Peacock Premium to ad-free for $5 more a month.