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IP: Darn editors


From: David Farber <dave () farber net>
Date: Tue, 18 Sep 2001 05:12:52 -0400


From: Dewayne Hendricks <dewayne () warpspeed com>
To: "Dewayne-Net Technology List" <dewayne-net () warpspeed com>

[Note: This item comes from reader Janos Gereben. I posted the original version of Janos's story to the list. I thought that my readers would enjoy this reminder that behind the stories that you read in the news stands a process that involves a number of players besides the original reporter or journalist. DLH]

At 12:44 -0700 9/17/01, Janos Gereben wrote:
From: "Janos Gereben" <janos451 () earthlink net>
Subject: Let's also bomb editors
Date: Mon, 17 Sep 2001 12:44:04 -0700
MIME-Version: 1.0

An idiotic 451 editor not only changed the meaning of my very simple
FCC story, but "languaged" it beyond endurance. Just for fun, look at
No. 2 (his) did with No. 1 (mine) -

2/Rewrite
San Francisco - The new, Republican-dominated Federal Communications
Commission opened up a long-anticipated review of regulations that
place limits on cross ownership of television stations and newspapers
in the same market, as well as regulations which limit how large cable
network operators can get. Most observers expect the FCC to relax
these regulations in light of recent court rulings, a move which could
give rise to further consolidation in the media industry.

The Commission gave notice last Thursday that Chairman Michael K.
Powell and the commissioners unanimously voted it will open up
proceedings in the face of a court ruling striking down the FCC's
attempt earlier this year to limit ownership. In March the Court of
Appeals raised the possibility of cable companies' free-speech rights
being violated if the FCC placed limits on what they can own; the
three-judge panel sent the proposed rules back to the Commission for
revisions or elimination. Because the rules were drafted when the
agency had a majority of Democrats, and now Powell and a Republican
majority were in charge, analysts expect the government to severely
curtail attempta to prevent big-corporation dominance of both content
and distribution pipelines.

The challenge came in form of initiating a proceeding to consider the
"proper horizontal and vertical ownership limits" for cable companies,
in an effort to develop "evidence to withstand judicial scrutiny." The
language is a direct response to the US Court of Appeals for the
District of Columbia Circuit, which denied FCC jurisdiction because it
found adequate support for prior limits. By initiating the proceeding,
the Commission has served notice that it will still attempt to
maintain jurisdiction in the murky - and highly significant - matter
of media concentration in the video programming market.

Once evidence is gathered and the FCC complies with the court mandate
for "evidence to withstand judicial scrutiny," a new attempt is
expected by the regulatory body to establish rules for a subscriber
cap or the "safe-harbor" approach by which the Commission could avoid
caps as long as a certain level of competition is achieved without
regulation.

The National Cable Television Association - led by such prominent
members as AOL Time Warner and AT&T - has lobbied against the
regulations, claiming that existing antitrust laws are better suited
to deal with anti-competitive behavior than new rules handed down and
enforced by the FCC. The regulations voided (for the time) by the
court prohibited individual companies from serving more than 30% of US
cable subscribers or controlling more than 40% of programming. Another
rule coming under scrutiny is one that bars companies from
distributing content from affiliated companies on more than 40% of
their first 75 channels. Additionally, many companies are looking to
own both newspapers and broadcast properties in the same market, a
practice which is currently banned but may be repealed. AOL Time
Warner and AT&T would be the most likely companies to be impacted by
changes in these rules, but Fox, ABC, CBS and NBC are also challenging
Commission rule-making because of the prohibition against any one
company owning stations reaching more than 35% of homes in the US.

If the rules are significantly relaxed, companies like AOL may seek to
expand their holdings even further. AOL has reportedly signaled an
interest earlier this month in buying AT&T Broadband, which is already
the largest cable operator in the US.

No. 1/mine

FCC persists in setting cable ownership limits

[An unexpected new move is seen as a Commission attempt to prevent
domination by AOL Time Warner, AT&T, and the TV networks.]

Against previous indications that the new, Republican-dominated
Federal Communications Commission may allow new monopolies to
consolidate their power in the content space, the commissioners last
week moved in the opposite direction over cable ownership.

In face of a court ruling striking down the FCC's attempt earlier this
year to limit ownership, the Commission gave notice last Thursday that
it will continue to seek ways to establish rules and claim
jurisdiction.

The challenge came in form of initiating a proceeding to consider the
"proper horizontal and vertical ownership limits" for cable companies,
in an effort to develop "evidence to withstand judicial scrutiny." The
language is a direct response to the US Court of Appeals for the
District of Columbia Circuit, which denied FCC jurisdiction because it
found adequate support for prior limits. By initiating the proceeding,
the Commission has served notice that it will attempt to regain
jurisdiction in the murky - and highly significant - matter of media
concentration in the video programming market.

Once evidence is gathered and the FCC complies with the court mandate
for "evidence to withstand judicial scrutiny," a new attempt is
expected by the regulatory body to establish rules for a subscriber
cap or the "safe-harbor" approach by which the Commission could avoid
caps as long as a certain level of competition is achieved without
regulation.

When in March the Court of Appeals raised the possibility of cable
companies' free-speech rights being violated if the FCC decides what
they can own, the three-judge panel sent the proposed rules back to
the Commission for revisions or elimination. Because the rules were
drafted when the agency had a majority of Democrats, and now Michael
K. Powell and a Republican majority were in charge, analysts expected
an end to the US attempt to prevent big-corporation dominance of both
content and distribution pipelines. Apparently, however, this is not
what happened.

The National Cable Television Association - led by such prominent
members as AOL Time Warner and AT&T - lobbies on behalf of the status
quo, claiming that existing antitrust laws are better suited to deal
with anti-competitive behavior than new rules handed down and enforced
by the FCC. The regulations voided (for the time) by the court
prohibited individual companies from serving more than 30% of US cable
subscribers or controlling more than 40% of programming. AOL Time
Warner and AT&T would be the most likely companies to be impacted by
those rules, but Fox, ABC, CBS and NBC are also challenging Commission
rule-making because of the prohibition against any one company owning
stations reaching more than 35% of homes in the US.

Public-interest groups, including the Media Access Project, say that
the FCC has an obligation to balance the free-speech rights of big
companies against concerns that too much media consolidation could
limit public access to information from diverse sources.




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