“Unfortunate myths” are circulating about privacy concerns for ATSC 3.0, said NAB in a news release. The standard itself doesn't allow the collection of viewer data, but does have interactive services that can be accessed with a broadband connection, and that would allow targeted ads, said NAB. “This is nothing new.” Targeted advertisements would operate “just like other service providers you currently use (such as Google, Facebook, Netflix, Amazon, and virtually every website you visit, as well as cable and satellite TV providers),” the group said. Though the draft rules don’t contain privacy rules, the FTC rules governing privacy and consumer data will apply, the association said. Sinclair said viewer data would be "anonymized" (see 1711140046).
A draft FCC order on changes to rules for wireless infrastructure, slated for a vote by commissioners Thursday (see 1710260038), appears headed to a 5-0 vote, though parts were still in flux Wednesday, officials said. The biggest likely change is the elimination of the “same hole” requirement, which would have mandated that to get relief from historic preservation review requirements, a new utility pole had to be placed in the same hole as a pole it was replacing, officials said. Wireless facilities are commonly attached to utility poles.
The FCC is expected to eliminate or relax numerous media ownership rules Thursday on a party-line 3-2 vote, industry and agency officials told us. That's despite calls Wednesday by Democratic senators for the Inspector General (IG) to investigate Chairman Ajit Pai for a possible quid pro quo relationship with Sinclair Broadcast and for Pai to recuse himself from both the media ownership and ATSC 3.0 items (see 1711140053) since they would benefit Sinclair. The FCC’s impartiality in review of Sinclair buying Tribune “may be tainted,” said 12 senators, including Tom Udall, D-N.M., Elizabeth Warren, D-Mass., Maria Cantwell, D-Wash, Bernie Sanders, I-Vt., Richard Durbin, D-Ill., and Ed Markey, D-Mass.
Though consumer privacy advocates like Rep. Debbie Dingell, D-Mich., raised concerns last week about privacy implications of ATSC 3.0 audience measurement tools (see 1711080052), there’s little to fear because “data analytics” from 3.0 receivers will be “anonymized,” so as not to identify individual viewers, Mark Aitken, Sinclair vice president-advanced technology, told us. Chipset scarcity also will delay commercialization of 3.0 audience measurement tools for “some time,” said Aitken. FCC members are expected to OK 3.0's voluntary deployment Thursday in a 3-2 party-line vote (see 1711140053).
The FCC’s draft ATSC 3.0 order is expected to be approved 3-2 on a party-line vote, and the few changes since it was circulated last month will largely favor broadcasters, industry and eighth-floor officials told us. MVPD groups lobbied hard for changes to the 3.0 transition plan, but broadcast and pay-TV officials said the final version would include few changes favoring their positions. Sinclair executives, meanwhile, downplayed privacy concerns with 3.0 (see 1711140046).
House Commerce Committee ranking member Frank Pallone, D-N.J., and House Oversight Committee ranking member Elijah Cummings, D-Md., jointly called Monday for FCC Inspector General David Hunt to launch an investigation into the commission’s recent actions on media policy issues that the congressmen believe “improperly benefit” Sinclair and its proposed purchase of Tribune. Pallone and other congressional Democrats have repeatedly criticized the majority-Republican FCC and Chairman Ajit Pai for their actions to revamp media rules, including April restoration of the UHF discount (see 1707250059, 1708140058, 1709280056, 1710250050 and 1711070029). Commissioners are expected to vote Thursday on a draft order on media ownership reconsideration and authorization of ATSC 3.0 (see 1710250049 and 1711100003). Pai’s failure to “adequately respond” to Democrats’ inquiries on the FCC’s Sinclair-related actions, including requests for all correspondence between Pai’s office and Sinclair, “only increase our concerns,” Pallone and Cummings said in a letter to Hunt. Pai told Pallone and other top House Commerce Democrats in September the FCC didn’t give Sinclair/Tribune special treatment (see 1709190060). Pallone and Cummings said several media rules actions raise “serious concerns” about whether Pai is complying “with the FCC’s mandate to be independent,” including the pending November vote on media ownership reconsideration, the October vote to eliminate the main studio rule (see 1710240062) and July approval of Sinclair’s $240 million buy of TV stations from Bonten Media (see 1707050042). The IG’s investigation should examine whether FCC actions under Pai “show a pattern and practice of preferential treatment for Sinclair,” and whether interactions between Pai’s office, President Donald Trump’s administration and Sinclair “demonstrate inappropriate coordination,” Pallone and Cummings said. The investigation request “appears to be part of many Democrats’ attempt to target one particular company because of its perceived political views” given a 2004 bid by Pallone, House Communications Subcommittee ranking member Mike Doyle, D-Pa., and others demanding an FCC investigation ahead of Sinclair’s potential airing that year of the Stolen Honor documentary that criticized then-Democratic presidential nominee John Kerry’s Vietnam war record (see report in the Oct. 14, 2004, issue), a spokeswoman said. She said Pai is “sticking to his long-held views” on the need to revamp media ownership rules, and “given the strong case for modernizing these rules, it's not surprising that that those who disagree with him would prefer to do whatever they can to distract from the merits of his proposals.” Sinclair didn't comment.
ATSC 3.0 is something CTA has “worked on really hard with the broadcasters,” and any opposition to FCC commissioners’ expected vote this week authorizing voluntary deployment came “out of the blue,” President Gary Shapiro told a CES Unveiled New York news conference Thursday. This week, criticism of the draft continued, including from Commissioner Mignon Clyburn, as Chairman Ajit Pai defended moving 3.0 forward and an aide to Commissioner Jessica Rosenworcel stood by her boss' concerns.
NCTA expressed worries about the ATSC 3.0 transition and local TV ownership deregulation, meeting Monday with FCC staff, said an ex parte letter posted Thursday in docket 16-142. NCTA, referencing our Nov. 2 report (see 1711010054), expressed “concern” with statements by Sinclair CEO Chris Ripley on an earnings call last week that the company started the process of determining the value of the patent holdings it has in 3.0 technology.
The conflict over ATSC 3.0 rules continued Thursday. Democrats inside and outside the FCC slammed the plan, as one of the biggest groups in communications that says it represents the public interest bickered over conflicts of interest with the main broadcaster association. Commissioners may not all OK the move when they vote on it in a week.
The draft ATSC 3.0 order “continues a troubling pattern of indifference at the FCC towards consumer privacy,” said Rep. Debbie Dingell, D-Mich., in a letter to Chairman Ajit Pai. “Although privacy concerns were raised in the record, it was not addressed at all in the draft order released by the Commission,” she said. The word ‘privacy’ is not even mentioned a single time in the entire draft order.” The new standard could include targeted advertisements, which raises questions about how demographic data will be gathered, Dingell wrote. She asked Pai how the FCC would coordinate privacy protection for 3.0 users with the FTC, how the technology involved collects data, whether it will require consumer consent, and how that data will be protected from hacking. Dingell highlighted 3.0’s lack of backward compatibility: “We should be having a robust dialogue about the privacy implications of this new standard as well as ensuring we are doing everything possible for consumers in any transition.” Commissioner Mignon Clyburn tweeted that Dingell's letter raised "important questions" about the draft order. "Many questions remain unanswered as @FCC contemplates moving forward," Clyburn said. An FCC spokeswoman told us the agency has received the letter and is reviewing it.