Release:Comcast Lobbies Mike Powell

[Dave Farber <dave () farber net>]

------ Forwarded Message
From: Jeff Chester <jeff () democraticmedia org>
Date: Fri, 1 Nov 2002 12:35:40 -0500
To: jchester () starpower net
Subject: Release:Comcast Lobbies Mike Powell

What Brian Roberts of Comcast Doesn't Want You to Know About the
Future of Cable and Internet Competition

Roberts Places Personal Call to FCC Chairman Michael Powell Urging
Contract with AOL be Off Limits for Public Review

November 1, 2002

Washington, D.C.: In what typifies the behind the scene insider
lobbying of special interest national politics, Brian
Roberts-incoming president of the nation's largest and most powerful
cable broadband company-made an extraordinary call to FCC Chair
Michael Powell on October 28. Roberts urged Powell to permit AT&T and
Comcast to keep its Interest Service Provider (ISP) agreement with
AOL Time Warner out of public review.
Link: http://www.democraticmedia.org/resources/filings/Comcast_call.pdf

Consumer, public interest groups, and competitors such as Earthlink
have actively urged the FCC to include the agreement as part of its
current review of the pending merger between Comcast and AT&T. CDD
and its allies believe that the contract is highly material to the
merger process and may reflect new concerns about competition and the
free flow of information on Comcast's broadband network, as well as
creating a dangerous precedent against openness and nondiscrimination
on the Internet as a whole. Trade press reports on the contract, for
example, suggest that AOL had to agree to not compete with Comcast in
a number of content markets, including video streaming. Such an
allegation, if true, would raise questions about the unfair use of
market power Comcast will have, once it completes its merger with
AT&T and becomes the nation's most powerful cable and broadband
Internet company. Link:
http://www.emonline.com/deals/091602dicolumn.html

Clearly seeking to keep the contract from public scrutiny, Roberts
made two arguments to Powell. He claimed that not only was the
agreement "highly proprietary," but that even if the contract was
filed under the Commission's protective disclosure policy, "there is
serious risk that its confidentiality could be compromised..."

"Mr. Roberts is about to assume the position of America's most
powerful media executive, responsible for supplying access to news
and information networks to citizens and consumers through both cable
TV and online. His unwillingness to engage in an open and forthcoming
matter about this crucial matter raises serious questions about
whether he and Comcast can be trusted with such a unique
responsibility," noted Jeff Chester, CDD's exective director. "Both
Steve Case and Richard Parsons should also be pressed to make this
contract public. Given AOLTW's poor track record in failing to
disclose to the SEC and others relevant information, they should be
more forthcoming," he noted.

For information on this issue, please contact Andy Schwartzman, Media
Access Project: 202-454-5681 or Jeffrey Chester, Center for Digital
Democracy: 202-452-9898.

Links:
* Comcast president Brian Roberts' call to FCC Chairman Michael
Powell -- 
http://www.democraticmedia.org/resources/filings/Comcast_call.pdf
* Comcast ex parte filing on meetings with FCC commissioners and
staff -- 
http://www.democraticmedia.org/resources/filings/Comcast_ex_parte.pdf
* Media Access Project response to Comcast statements --
http://www.democraticmedia.org/resources/filings/Map_exparte.pdf
* Earthlink response to Comcast statements --
http://www.democraticmedia.org/resources/filings/Earthlink_ex_parte.pd
f
* Electronic Media article describing potential conditions of
AOL/AT&T-Comcast ISP agreement --
http://www.emonline.com/deals/091602dicolumn.html


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