MVPD and telecom groups don’t agree with broadcasters on the practicality of revamping the FCC’s regulatory fee system, said reply comments filed in docket 22-301. NAB, a group of 57 smaller broadcasters and nearly all state broadcast associations filed replies in support of proposals from NAB and the Satellite Industry Association to rethink how the FCC parcels out the fees, but the Wireless ISP Association, NCTA and CTIA panned the idea. “The proposals of NAB and SIA are self-serving, impracticable, and would be unmanageable,” said NCTA.
If the FCC proceeds on a redefinition of MVPD to apply to some over-the-top services, it will need to address some critical implications of the proposal, including ensuring broadcast signals carried by virtual MVPDs are protected from piracy and distribution beyond a station's local market, NAB said Wednesday in docket 16-142. In two filings (here and here), it recapped meetings with aides to Commissioners Nathan Simington and Geoffrey Starks and Media Bureau Chief Holly Saurer. In the Simington and Media Bureau meetings, NAB also said there's "apparent fraud" in the ZoneCasting proceeding record and the vast majority of broadcasters oppose the petition because there's no evidence ZoneCasting doesn't cause interference. NAB also pushed for a decision on the ATSC 3.0 proceeding.
The FCC should consider developments in the streaming marketplace, investigate filings in the geotargeted radio proceeding and prioritize ATSC 3.0, NAB said in meetings with aides to Chairwoman Jessica Rosenworcel and Commissioner Brendan Carr last week, per an ex parte filing posted in docket 20-401 Tuesday. The FCC should gauge the evolution of the streaming market and “determine whether those events affect the Commission’s calculus in determining whether virtual MVPDs (vMVPDs) should be deemed to be MVPDs,” said NAB. Investigate the geotargeted radio filings “given the apparent fraud in the record,” a reference to multiple ex parte filings from broadcasters supporting Zonecasting that were later retracted, it said. “No licensee should be represented without its consent or without knowing that its representative has a direct financial interest in the outcome of the proceeding,” NAB said, asking the agency to remove those filings from the record and “swiftly take other appropriate action so as to not unfairly prejudice its deliberations.” Geotargeted radio company GeoBroadcast Solutions is using those filings “to manufacture a schism within the radio industry, claiming falsely that they demonstrate that larger broadcast groups are not on the same page with smaller ones,” NAB said. GBS didn’t comment. On 3.0. “a relatively straightforward proceeding to address the licensing of multicast streams hosted temporarily on other stations has been pending for approximately two years,” NAB said. “Expeditious resolution of this matter, as well as other pending issues, are critical to keeping the transition moving forward.”
Sinclair Broadcast signed a memo of understanding with Hyundai Mobis to develop and implement ATSC 3.0-enabled automotive business models in Korea and the U.S. The collaboration expands Sinclair’s coordination with the Korean market and the commitment to bring mobile services to the U.S., they said. Joint efforts will include geotargeting capabilities, enhanced GPS, software updates, in-vehicle entertainment, real-time emergency information and other public services, the companies said. Separately, Sinclair will demonstrate in the coming months an integrated automotive entertainment platform including music, talk radio and local television at a local Hyundai dealership in Baltimore, delivered through ATSC 3.0-enabled spectrum from local broadcast station WNUV-TV, it said.
Nexstar and E.W. Scripps had growing auto advertising in Q3, executives said on earnings calls Tuesday. Scripps reported Q3 revenue of $612 million, up 10% from the same quarter the prior year. Nexstar reported Q3 net revenue of $1.27 billion, a 9.7% improvement from Q3 2021. “This is the first quarter in years,” that auto ads have shown growth, said Scripps President-Local Media Brian Lawlor. “We’re starting to feel like the biggest pressure from supply chain is behind us." Nexstar CEO Perry Sook also said auto advertising has “returned to growth.” Sook said there's “pent-up demand” among car buyers, which could lead to “tailwinds” for Nexstar in 2023. Some broadcasters said last week auto manufacturers could face additional supply chain issues that might be reflected in ad purchases. Scripps CEO Adam Symson said the company has seen limited signs of “macroeconomic challenges” related to a downturn. National advertisers started to pull back "in anticipation of consumer weakness,” but local advertisers haven't, Sook said. Scripps, like several other broadcasters, reported fewer than expected political advertising dollars in Q3, partially because several candidates in Scripps markets who won primaries were popular with voters but not with advertisers such as political action committees, Scripps executives said. Nexstar met its political ad guidance, and Sook said Tuesday the company’s 2022 political ad dollars are close to beating the 2020 number, though that was a presidential election year. Sook also said Nexstar expects to announce a planned trial ATSC 3.0 project before Q1 2023.
Six Honolulu TV stations began broadcasting with NextGen TV, said Nexstar and BitPath Tuesday. KHII-TV, owned by Nexstar, converted to ATSC 3.0 transmissions and is broadcasting its own programming in NextGen TV, plus that of the other participating stations: KITV (ABC), KGMB (CBS), KHON-TV (Fox), KHNL (NBC) and KIKU (Independent), they said.
Seven TV stations in Kansas' Wichita-Hutchinson market began broadcasting with NextGen TV this week, they said Wednesday. KAKE Wichita (ABC), KWCH-DT Hutchinson (CBS), KSAS-TV Wichita (Fox), KSNW Wichita (NBC), KPTS Hutchinson (PBS), KSCW-DT Wichita (CW) and KMTW Hutchinson (DABL) launched following a decade of development and months of planning by the local stations, they said. KSCW-DT, owned by Gray Television, and KMTW, owned by Mercury Broadcasting, have converted to ATSC 3.0 transmissions and are broadcasting their own programming, plus that of the other participating stations.
As the broadcast industry moves toward widespread ATSC 3.0 deployment, broadcasters need to ensure consumers unable to afford new TV sets aren't left behind, FCC Commissioner Geoffrey Starks said Wednesday at the University of Pennsylvania Center for Technology, Innovation and Competition, per prepared remarks. "Are there low-cost converters or dongles that the consumer electronics industry can develop? Can they be distributed at community events that broadcasters frequently host or participate in?" he asked. The transition has gone on without the widespread government involvement that characterized the digital transition, "which is to be applauded," Starks said, but there might be a role for the FCC as it had in developing a congressionally mandated digital transition equipment subsidy program "or using our role as the regulator of television equipment." He said the collection of data about individual viewers that ATSC 3.0 would enable, while it's promising in the way it would better help broadcasters compete for advertising dollars, also raises privacy concerns. He said more clarity is needed about what data broadcasters plan to collect and how they will use it. Broadcasters just want "a level playing field" and privacy rules no different from other industries, said Pearl TV Managing Director Anne Schelle during a panel at the NAB Show in New York. ATSC 3.0 broadcasters will use tracking data to provide public services such as enhanced emergency information, said E.W. Scripps Vice President-Strategy and Business Development Kerry Oslund. "Some people who talk about that same data may also think about it from an advertising perspective," Oslund said. Scripps is built on "140 years of trust, and we're not going to throw it away by abusing that trust by reaching too far into the data quagmire," Oslund said.
Regulators and lawmakers need to create a more friendly regulatory environment for broadcasters if they want to preserve local journalism and continue living in a democracy, said Hearst Television President Jordan Wertlieb and E.W. Scripps CEO Adam Symson at NAB New York Wednesday. Panels at the event also touched on cybercrime, the advertising market and ATSC 3.0.
Pearl TV developed the FastTrack program to accelerate development and retail availability of low-cost upgrade accessory receivers for NextGen TV, it said at NAB Show New York Tuesday. The goal is to create a “diverse market of accessories” that will help bring NextGen TV features to 91% of households, Pearl TV said. Noting the ATSC standard “is not backward compatible,” Pearl TV Managing Director Anne Schelle said, “This program helps solve that." The streamlined process enabled by the FastTrack program will allow for lower accessory price points, “making it more affordable and easier" for consumers to experience NextGen TV "even without an enabled television,” Schelle said. Some viewers with TVs bought before 2020 “have yet to enjoy the rich features of the standard,” said Rob Folliard, senior vice president-government relations and distribution, Grey Television. "Device makers can now address this issue with full support and guidance to manufacture and market compatible products that consumers need and want to enjoy over-the-air television service for free,” Folliard said. The program supports manufacturers interested in making devices that support the full NextGen TV feature set, including enhanced video, audio and interactive features, Pearl said. Device requirements will be updated continuously to help manufacturers as NextGen TV evolves, it said. NextGen TV is broadcasting in more than 50 markets, reaching 55% of U.S. households. It's expected to reach 75% of households by the end of 2023; by 2024, Pearl expects over 75% of all TVs sold to be dual HDTV/NextGen TV models. Having an affordable alternative to buying a new NextGen TV receiver without a built-in display "is essential to meet the portion of the potential viewing audience that does not have television sets that support the standard," Pearl said.