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Staff insights on broadcast issues

Here is thinking and in some cases where fault lines are as the 110th Congress looks ahead to a year of looking at broadcast and related issues. Neil Fried (R) noted that Republicans in the Energy and Commerce Committee are very concerned about the ill-fated telecom update of the 109th Congress, and forwarding the DTV transition. Johanna Shelton (D) applauded the idea behind a Republican proposal to distribute set-top boxes, but said its very low allocation of funds wasn't nearly enough.


Look for attempts to jump start consumer education programs, and to make sure retailers will be ready with the converter boxes when they're needed. XM/Sirius was to be part of the general inquiry into radio, but has been moved up in the schedule due to the pending merger.

The definition of the market is key - are the DARS services a market unto themselves or are they in competition with traditional broadcast, the Internet, iPods, etc.? Colin Crowell (D) noted that how this is decided for DARS could have an impact on how AM-FM radio is perceived.

On video franchising, Jay Cranford (R) noted that much of the bill put together by the 109th Congress had widespread bipartisan support. Shelton agreed, but said lack of build-out requirements was a major concern. It is also another area where definitions are a problem.

Telcos are getting statewide franchising, which potentially whittles down the number of franchising authorities from some 30K to 50, but Crowell noted that it still leaves a patchwork quilt of regulation that may eventually drive the process back to Capitol Hill.

Network neutrality will be a big issue, and for many Democrats was a poison pill in the 109th telecom bill attempts. It is much more likely to be a separate issue in the 110th. Crowell noted that broadcasters who want to repurpose content on the Internet will want network neutrality, modeled on the non-discriminatory system used for telephone calls, to protect their own use of the web.

Retransmission consent and must-carry are poised for a possible head-on collision, and Fried said that Joe Barton (R-TX) is acknowledging that the pairing is making such negotiations something other than a level-field market function. Nobody guessed where this was going, but it will be examined.

Crowell noted that in stand-offs like Sinclair/Mediacom, consumers end up being held hostage, indicating that the Democrats will have consumers rights in mind when they approach the topic.

Ownership will be a big issue, and we heard the words competition, localism and diversity enough during the discussion that we kept looking around for Democratic FCC Commissioner Michael Copps. He wasn't there, but he was certainly being channeled, by Crowell in particular.

Look for inquiries into broadcast violence. The FCC report on the topic is supposed to be just about ready (it's already about two years overdue) - and Senator Jay Rockefeller (D-WV) was said to have legislation on the topic well on the way to introduction.






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