Chairman Tom Wheeler likely will begin circulating a retransmission consent NPRM this week, as the Sept. 4 deadline set by Congress to launch it looms, New Street Research analyst Jonathan Chaplin emailed investors. The 2014 Satellite Television Extension and Localism Act Reauthorization Act, which became law Dec. 4, gave the FCC nine months to start a rulemaking "to review its totality of the circumstances test for good faith negotiations under clauses 12 (ii) and (iii) of section 325(b)(3)(C) of the Communications Act." An FCC spokesman Tuesday declined to comment on a time frame for an NPRM to be circulated but said the agency "will meet the statutory deadline." While the FCC has to begin the process by Sept. 4, "it did not set a date for completion," Chaplin said Monday, adding that if not tackled within the next 12 months, it may become an item for the next FCC to resolve. While Wheeler's draft likely will recommend dramatic changes in retrans rules, it probably will put limits on the broadcaster practice of requiring cable multichannel video programming distributors to guarantee that networks reach a certain percentage of customers -- a practice that has been criticized by a number of organizations and businesses already advocating for retrans consent rule changes (see 1508100030). The FCC also likely will look kindly on the idea of not allowing the blocking of Internet access to blocked programming during a retrans blackout when the programming is otherwise available, Chaplin said. The agency also might address the nonduplication rule and eliminate the requirement that MVPDs block duplicate carriage of the same program being carried on a nonlocal broadcast signal that is being imported, as that gives broadcasters "a regulatory, extra-contractual mechanism to exclude competing sources of network and syndicated programming on MVPD lineups," Chaplin said. All those changes would not "dramatically shift the leverage between broadcasters and MVPDs" while still giving some help to MVPDs, he said.
Univision and Common Sense Media are kicking off a campaign to highlight the importance of Internet connectivity to education, the broadcaster said in a news release Monday. Called ¡Avanzamos Connectados! (Connected, We Advance!), the campaign will use public service announcements, news segments and educational outreach to address “the homework gap” -- the disparity between schools that are connected to broadband and homes that are, Univision said. ¡Avanzamos Connectados! will focus on informing parents about the relationship between broadband access and education, provide guidelines for safe Internet use, and “connect Hispanics with local resources to get broadband access and computer hardware at the best value,” the release said. Along with the public service announcements and outreach, Univision and Common Sense will use phone banks, Facebook and Twitter town halls to speak with families about the program, the broadcaster said. Univision is also launching a text messaging platform and a new section of its mobile website that will help parents identify discounted broadband and computer services by ZIP code, and find local Internet training, it said. The Hispanic Heritage Foundation, Latinos in Tech Innovation and Social Media, League of United Latin American Citizens, National Hispanic Media Coalition and National PTA are also involved in the program, it said.
NAB opposes any commission action that would allow third parties to view “commercially sensitive, confidential information” involved in Charter Communications’ proposed buy of Time Warner Cable, association officials told aides to Commissioners Mignon Clyburn, Ajit Pai and Jessica Rosenworcel in phone calls and meetings Wednesday, said an ex parte filing in docket 15-149. “NAB does not object to Commission review of such material, but knows of no persuasive reason for third party access to such documents.” The FCC should move forward with its review of Charter/TWC and examine proposals concerning the review of video programming confidential information in a separate proceeding, NAB said. “Such a proceeding would be consistent with the Commission’s obligations under the Administrative Procedure Act.”
Broadcasters that don't make a contract proposal at least 90 days before expiration of an existing one; prevent a multichannel video programming distributor from divulging rates and terms of a contract proposal to the FCC or other government entity in connection with a legal or administrative hearing; or discriminate in price among MVPDs in a particular market without demonstrating legitimate economic benefit reasons to do so should be considered to be failing to negotiate in good faith, the Independent Telephone & Telecommunications Alliance said in an ex parte filing posted Monday in docket 10-71. With the FCC expected to commence a rulemaking on the circumstances test for good faith negotiations, ITTA representatives including President Genny Morelli met with Media Bureau staff Wednesday to discuss retransmission consent negotiation issues. Broadcasters have a variety of negotiating tools at their disposal, including blocking access to online content, ceding the right to negotiate to third parties, and program tying -- all of which should be considered violations of the duty to negotiate in good faith, ITTA said. If the FCC doesn't go so far as to prohibit program tying, it should look at tier placement and penetration requirements as indications of bad faith, ITTA said. Small and new-entrant MVPDs are particularly targeted by such broadcaster tactics as the manipulation of an initial contract offer to "a last-minute, 'take-it-or-leave-it' proposal"; nondisclosure provisions that block legal or regulatory remedies; and discriminatory pricing, ITTA said. "Without non-discriminatory access to programming content under reasonable terms and conditions, smaller and new entrant MVPDs face a competitive disadvantage that impedes their ability to compete and/or deters them from entering new video markets altogether."
Eligible Microsoft shareholders are able to nominate candidates for positions on the company's board due to a newly adopted corporate policy, the company said in a blog post Friday. The policy allows up to 20 shareholders -- having each held the stock for at least three years -- collectively holding at least 3 percent of the company's outstanding shares to nominate up to two individuals or 20 percent of the board for election, the software maker said. "This proxy access framework strikes the right balance for Microsoft by ensuring that board nominees are supported by long-term shareholders representing a significant, but attainable, proportion of outstanding shares."
The $1 billion CBS expects to make next year is part of "the greatest heist ever perpetuated on the American people," the American Television Alliance said Friday. ATVA pointed to comments earlier in the week by CBS CEO Leslie Moonves about revenue the company was making from retransmission and reverse compensation. Moonves told analysts during a conference call that the company expected to pass $1 billion in retrans and reverse compensation next year, a year ahead of schedule. That is "solid evidence" of "broken regulations that rig the game in favor of the big special interest at the expense of the American consumer," ATVA said. "Broadcasters are bilking billions from TV fans for broadcast signals that are 'free' over the air. What's worse is that Congress has failed to modernize the old, broken laws that permit the theft." CBS didn't comment Friday.
FCC Chairman Tom Wheeler hopes the draft protective order (see 1508040060)) on the release of video programming confidential information (VPCI) in Charter's proposed purchases of Bright House Networks and Time Warner Cable is “voted real fast,” he said in a news conference after Thursday's commission meeting. The shot clock for the deals can't start until the FCC has established the rules for VPCI, he said. Asked about when that clock would start, Wheeler said the media should ask “those who are voting on the protective order.” Commissioner Ajit Pai said in his own news conference after Wheeler's that the question of sharing VPCI should be separated from the transaction review and put out for public comment. His proposals along those lines to the chairman's office have received no response, Pai said. Commissioner Mike O'Rielly also said he disagrees with Wheeler's stance, and he hasn't voted on the protective order. FCC staffers weren't "sucking eggs" while waiting for the shot clock to start -- they're reviewing Charter information already submitted, Wheeler said.
Public figures with a verified Facebook account can share live video with fans through a new feature in the Facebook Mentions app, the company said in a news release Wednesday. The feature allows fans to comment on, like and share the live video and reveals when other public figures are watching, Facebook said. It said the video will be posted directly to the page of the public figure after the live broadcast has concluded.
PMCM TV's WJLP Middletown, New Jersey, isn't “poaching” other stations' brands in its quest to be assigned to virtual channel 3.10, PMCM said in a reply to oppositions to its application for review posted in FCC docket 14-150 Tuesday. "There was not a single complaint of confusion or inability to receive CBS or Meredith from any of the 20 million+ viewers in the New York" market after WJLP began using that channel, PMCM said. Instead, it is the Media Bureau’s assignment of WJLP to Channel 33 that has created problems, PMCM said. Reassigning WJLP to 33 also violated the Spectrum Act, PMCM said. The statute “expressly and absolutely bars the Commission from involuntarily reassigning a television licensee to another channel prior to the Incentive Auction,” PMCM said. Viacom also filed a reply in the docket, asking the FCC to clarify Cablevision's carriage requirements for WJLP under the station's unusual virtual channel assignment. Though an earlier PMCM filing characterized Viacom's filing as an appeal against PMCM (see 1507150024), Viacom said that's not the case.
Driven primarily by increased utility in law enforcement and agricultural applications, the global commercial drone market is expected to reach about $2 billion by 2022, said a report released Tuesday by Grand View Research. The firm said it expects drones to "revolutionize the retail sector" and "positively shape" market growth once regulatory clearance is authorized in the U.S. and other countries. High penetration of commercial drones is predicted for Europe, due to its regulatory scenario, which the report said is "more conducive to market growth as opposed to the U.S." The Federal Aviation Administration is considering rules that would further address the issue of commercial drone usage, and said Tuesday it has given out more than 1,000 Section 333 exemptions to its 2012 Modernization and Reform Act rules, allowing exemption holders to conduct commercial drone flights in non-restricted areas at or below 200 feet. Monday, commercial drone advocates, including Amazon, backed congressional involvement in the process of commercial drone approval (see 1508030069), while privacy advocates pushed for industry to accept drone privacy rules (see 1508030053). Grand View said North America generated more than 55 percent of 2014 global commercial drone revenue and that government drone applications, including law enforcement, infrastructure and research, contributed more than 40 percent of market revenue.