Cable
NYT: Cable TV Lacks Competition, F.C.C. Notes
WP: Cable TV Firms Still Face Little Competition, F.C.C. Says
FCC: Fourth Annual Report on Competition in Video Markets
WSJ: Cable Operators Could Face Tough New Rules
Telecom AM: FCC Says Competition Not Developing Between Telcos, Cable
Comm Daily: Kennard Says Action On Cable Rate Regulation Is Needed
Before 1999 Sunset
Antitrust
NYT: U.S. and Microsoft Argue in Court Whether Judge Is Being Defied
WP: Judge Criticizes Key Arguments by Microsoft Lawyer
Television
NYT: Monday Football Stays on ABC; NBC Out of Game After 33 Years
WP: ABC Keeps Mondays In Record NFL Deals
Comm Daily: Mass Media
NYT: Study Finds a Decline In TV Network Violence
Comm Daily: Violence In TV Programs Continues Decline -- UCLA
Comm Daily: Kennard Suggests FCC 'Trust But Verify' Some Station
Filings
Jobs
WSJ: Netscape Expected to Cut 400 Workers As Growth Slows, Microsoft
Toughens
Telephone
Telecom AM: Legal Analysis Says Bells Can't Enter Long Distance
Immediately
Telecom AM: BellSouth Brings Constitutionality Case To Federal
Appeals Court
Comm Daily: St. Louis Appeals Court To Hear Access Charge Arguments,
2 Other
Cases
Comm Daily: Telephony
Privacy
WSJ: Don't Chat, Don't Tell? Navy Case Tests Privacy Limit
Politics
WSJ: Sticking Up For Free Speech
** Cable **
Title: Cable TV Lacks Competition, F.C.C. Notes
Source: New York Times (D6)
http://www.nytimes.com/yr/mo/day/news/financial/fcc-cable.html
Author: Seth Schiesel
Issue: Competition
Description: The Federal Communications Commission released a report
yesterday confirming that the information revolution has failed to create
substantial competition in the standard cable industry and as a result
consumers are paying higher rates. "Less than 15 months away from the sunset
of most cable rate regulation, it is clear that broad-based, widespread
competition to the cable industry has not developed and is not imminent,"
William Kennard, chairman of the FCC, said in a statement. "The loser is the
American public. They must pay higher cable prices yet have fewer
competitive choices." The report said that cable TV rates have increased by
8.5 percent over the past year, bringing the average monthly bill up to $28.83.
Title: Cable TV Firms Still Face Little Competition, F.C.C. Says
Source: Washington Post (D11)
http://www.washingtonpost.com/wp-srv/WPlate/1998-01/14/051l-011498-idx.html
Author: Paul Farhi
Issue: Competition
Description: According to a government study released yesterday, despite
federal regulation, cable TV companies still face little direct competition.
The Federal Communications Commission said that cable companies hold 87
percent of the market for subscription-based television services, down only
2 percent from last year. The rate of decline is about the same as when
Congress enacted the Telecommunications Act of 1996 in an effort to spur
competition. Meanwhile, cable rates have increased over the past year by 8.5
percent, compared with the general inflation rate of 1.7 percent. The report
led top federal regulators to renew calls for updated regulations.
Title: Fourth Annual Report on Competition in Video Markets
Source: FCC
http://www.fcc.gov/Bureaus/Cable/Reports/fcc97423.html
Issue: Cable/Competition
Description: The Commission has adopted its fourth annual report to Congress
on the status of competition in the markets for the delivery of video
programming. As of June 1997, cable operators served 87 percent of
households that receive multichannel video programming, down two percent
from September of 1996. While this represents a decrease, it shows the cable
industry continues to occupy the dominant position in the multichannel video
marketplace. It remains difficult to predict the extent to which competition
will constrain cable systems' position as the dominant multichannel video
provider in the future. [see news release
http://www.fcc.gov/Bureaus/Cable/News_Releases/1998/nrcb8001.html]
Title: Cable Operators Could Face Tough New Rules
Source: Wall Street Journal (A4)
http://wsj.com/
Author: Bryan Gruley
Issue: Competition
Description: Federal regulators warned that tough new rules may be in store
for cable companies that operate in markets where they have little or no
competition. Members of the FCC have stopped short of advocating a freeze on
cable rates. But the three Democrats among the five commissioners vowed to
look hard at writing rules that could force cable operators to offer more
programming choices, and to shift some of the burden for higher programming
costs to advertisers from subscribers. FCC Chairman Kennard said the FCC
will re-examine limits on the number of customers one cable company can serve.
Title: FCC Says Competition Not Developing Between Telcos, Cable
Source: Telecom AM---jan. 14, 1998
http://www.telecommunications.com/am/
Issue: Competition
Description: Although the Telecom Act loosened restriction on phone
companies' entering the cable business, such entry has been "uneven", the
FCC said. In its annual report, it said local carriers have provided
facilities-based competition in multiple dwelling units, but not in
neighboring areas. The expected convergence that would "permit use of the
same facilities for provision of the two types of service" has not occurred,
the Commission said. It said the one area in which cable operators "appear
poised to compete head-to-head" with telcos is providing Internet access.
Title: Kennard Says Action On Cable Rate Regulation Is Needed Before 1999
Sunset
Source: Communications Daily---jan. 14, 1998
Issue: Competition
Description: The latest FCC cable competition report is "red flare that the
competition that Congress envisioned is not imminent," FCC Chairman Kennard
told reporters. He stopped short of saying that the current March 31, 1999,
sunset for cable rate regulation should be extended, but said the FCC should
restudy its rate regulations, move quickly on horizontal ownership rules,
and urge Congress to ease limits on DBS.
** Antitrust **
Title: U.S. and Microsoft Argue in Court Whether Judge Is Being Defied
Source: New York Times (D1,D6)
http://www.nytimes.com/library/cyber/week/011498microsoft.html
Author: Stephen Labaton
Issue: Antitrust
Description: At yesterday's hearing, the Federal Government and Microsoft
clashed over whether Microsoft had failed to comply with the judge's order
to stop forcing makers of personal computers to install their Internet
browser as a condition of accepting its Windows 95 operating system. The
Justice Department claims that Microsoft flouted the judges order by
offering computer makers a set of three illogical options in order to insure
that the Internet Explorer icon remained on Windows desktops.
Title: Judge Criticizes Key Arguments by Microsoft Lawyer
Source: Washington Post (D1,D12)
http://www.washingtonpost.com/wp-srv/WPlate/1998-01/14/049l-011498-idx.html
Author: Rajiv Chandrasekaran
Issue: Antitrust
Description: A federal judge examining whether Microsoft violated a court
order sharply criticized key legal arguments raised by the software
corporations attorney, Richard Urowsky. U.S. District Judge Thomas Penfield
Jackson "repeatedly challenged Microsoft's focus on wording used by the
Justice Dept. in legal briefs asking that the company be held in contempt of
court." Jackson also repeatedly told Urowsky that the discussion should be
confined to the judge's order requiring the company to offer a version of
its Windows 95 operating system without an Internet browser. "Irrespective
of what the government said...it is my language, and my language alone,
which is at issue here," Jackson said. Later, when Urowsky complained that
the Justice Dept.'s current solution for separating Windows and the browser
differs from their statements in earlier legal papers, Jackson, paraphrasing
Ralph Waldo Emerson, replied, "It's been said that consistency is the
hobgoblin of little minds."
** Television **
Title: Monday Football Stays on ABC; NBC Out of Game After 33 Years
Source: New York Times (A1,D30)
http://www.nytimes.com/library/sports/football/011498fbn-nfl-tv.html
Author: Richard Sandomir
Issue: Television Economics
Description: The final word in the most expensive sports television
negotiations ever, is that ABC will keep "Monday Night Football" for $4.4
billion over eight years and ESPN secured exclusive NFL cable rights by
paying $4.8 billion for the entire Sunday night package. The financial
commitments by ABC and ESPN, both subsidiaries of the Walt Disney Company,
removed NBC from professional football after 33 seasons and ended an
eight-year arrangement under which ESPN shared Sunday night games with TNT.
The announcement came one day after CBS bought the American Conference games
and Fox kept its NFC rights. These agreements have brought the league's fees
over the next eight years to $17.6 billion, "which would rise to $18 billion
with 3 percent escalator clauses in the last three seasons." In the
four-year deals that ended this season the league received a total of $4.38
billion.
Title: ABC Keeps Mondays In Record NFL Deals
Source: Washington Post (A1,A10)
http://www.washingtonpost.com/wp-srv/WPlate/1998-01/14/193l-011498-idx.html
Author: Leonard Shapiro and Paul Farhi
Issue: Television Economics
Description: Last night, the National Football League announced an
eight-year $17.6 billion television deal with ABC, allowing the network to
retain the rights to "Monday Night Football," over a strong bid by NBC, and
that ESPN will now handle the entire package of Sunday night cable games,
eliminating Turner Broadcasting from the mix. Both ABC and ESPN are owned by
the Walt Disney Company. Due to this decision, this fall will mark the first
time in 28 years that NBC will not be airing NFL games.
Title: Mass Media
Source: Communications Daily
Issue: Television Economics
Description: CBS aced out NBC in the bid for the Sunday NFL package (AFC
games), to begin in 1998, by agreeing to pay $4 billion over the next 8
years. NBC rejected the NFL's offer to renew its contract at $500 million
per year, 2-1/2 times the current license fee. Fox will continue to carry
NFC games for $4.4 billion, up 39 percent from the current year. CBS last
broadcast the NFL in 1993, when Fox won the package.
Title: Study Finds a Decline In TV Network Violence
Source: New York Times (B7)
http://www.nytimes.com/yr/mo/day/news/arts/tv-violence.html
Author: Lawrie Mifflin
Issue: Television
Description: The third and final report of a study that began three years
ago in response to public anxiety about violence on television, has found a
steady decline in violent subject matter in all but one area. The report,
released yesterday, said the one area that has not shown a decrease is
"reality specials." These "shockumentaries" carry titles like "When Animals
Attack" and "World's Scariest Police Shootouts." But overall the study,
conducted by the Center for Communication Policy at the University of
California at Los Angeles, found that only two prime-time series in the
1996-97 season raised "frequent concerns" about the irresponsible or
excessive use of violence. The study was commissioned by ABC, CBS, NBC and
Fox in June 1994 after some prodding by Senator Paul Simon (D-IL).
Title: Violence In TV Programs Continues Decline -- UCLA
Source: Communications Daily---jan. 14, 1998
Issue: Television
Description: The 4 big TV networks received good grades in the latest study
of TV violence, as only 2 of 107 regularly scheduled series raised "frequent
concerns" about violence while 6 series raised "occasional concerns" in th
96-97 season. Jeffrey Cole, dir. of UCLA's Center for Communication Policy,
said, "Overall, the trend is toward less violence on network television."
UCLA studied more than 3,000 hours of programming, plus on-air promotions
and commercials. It differs from other violence studies in that it doesn't
simply count violent incidents but also analyzes the context of that
violence -- whether it's appropriate, shows consequences of violence and
necessary to tell the story or develop characters. Cole said, "Many
television dramas depict violence responsibly and effectively by
demonstrating consequences, developing characters and furthering plot lines."
Title: Kennard Suggests FCC 'Trust But Verify'' Some Station Filings
Source: Communications Daily---jan. 14, 1998
Issue: Television/Radio
Description: FCC Chairman Kennard suggested a move to a "trust but verify"
system for handling minor modifications to stations. He called the effort to
streamline processing "very near and dear to my heart" and said the biennial
review required by Congress means more can be done because of congressional
support. The FCC could operate more like the IRS, which allows taxpayers to
certify income and tax filings, with only spot checks to verify compliance,
Kennard suggested: "We don't necessarily have to check every application.
Why should our engineers check everything?" He said change could result in
"drastic improvement" in the application process.
** Jobs **
Title: Netscape Expected to Cut 400 Workers As Growth Slows, Microsoft Toughens
Source: Wall Street Journal (B4)
http://wsj.com/
Author: Kara Swisher
Issue: Jobs
Description: Netscape is expected to lay off about 400 permanent and
contract workers, as the fast-growing Internet-software company adjusts to
slowing growth and rising competition from Microsoft. The layoffs brings to
a halt a major expansion over the past several years and is the first time
that it has shrunk its staff. But because of an intense attack by Microsoft
in the Internet-software market, Netscape has seen substantial declines in
its market share for its well-known Navigator software.
** Telephone **
Title: Legal Analysis Says Bells Can't Enter Long Distance Immediately
Source: Telecom AM---jan. 14, 1998
http://www.telecommunications.com/am/
Issue: Long Distance
Description: Even if the decision of a Wichita Falls, Texas, judge ruling
Sections 271-275 of the Telecom Act unconstitutional is upheld, the Bell
companies affected will not be able to offer in-region long distance service
without FCC approval. The law firm Wilkie, Farr & Gallagher said Section
251(g) maintains all existing restrictions on carriers -- such as those
imposed by the Modified Final Judgment on the Bell companies -- until the
Commission removes them.
Title: BellSouth Brings Constitutionality Case To Federal Appeals Court
Source: Telecom AM---jan. 13, 1998
http://www.telecommunications.com/am/
Issue: Long Distance
Description: BellSouth appealed the FCC's rejection of its bid to enter the
long distance market in South Carolina, rasing the Bell company argument
that the Telecom Act's rules for entry are unconstitutional to federal
appeals court. While its filing with the U.S. Court of Appeals was expected,
its argument was not. In using that argument, BellSouth became the fourth
Bell company to challenge the constitutionality of the long distance
sections of the Act.
Title: St. Louis Appeals Court To Hear Access Charge Arguments, 2 Other Cases
Source: Communications Daily---jan. 14, 1998
Issue: Telephone Regulation
Description: Eighth U.S. Appeals Court, St. Louis, will hold triple-header
oral arguments when it hears debate on 3 FCC actions: 1) Passage of access
charge reform order, 2) use of pricing standard in Sec. 271 proceedings, and
3) decision that shared transport should be considered network element.
Title: Telephony
Source: Communications Daily---jan. 14, 1998
Issue: Telephone Regulation
Description: In the wake of the New Year's Eve decision, BellSouth became
the first RHC to rely on Bill of Attainder argument in appealing an FCC Sec.
271 decision. The company asked the U.S. Appeals Court to quickly overturn
the FCC order barring BellSouth from offering long distance service in South
Carolina. BellSouth said the Commission decision was unconstitutional for 2
reasons: 1) It's based on language in Telecom Act's Secs. 271-273, which
Wichita Falls court found to represent unconstitutional "Bill of Attainder"
because it singles out Bell companies for punishment, 2) FCC decision itself
violates Constitution's equal protection component because it singles out
Bells by name in imposing restrictions.
** Privacy **
Title: Don't Chat, Don't Tell? Navy Case Tests Privacy Limits
Source: Wall Street Journal (B1)
http://wsj.com/
Author: John Simons
Issue: Privacy
Description: A senior petty officer is about to be discharged from his post
after more than 17 years in the service, following an unusual dispute with
AOL. The charge: homosexuality. The officer, Timothy R. McVeigh (no
relation), admits to using the word "gay" to describe his marital status in
an electronic profile that he created on AOL, but says that he never thought
his name would be linked to that on-line identity. Tomorrow, McVeigh will
receive an honorable discharge for violating the military's "don't ask,
don't tell" policy on homosexuality. Mr. McVeigh's case has become a "cause
celebre" for advocates pushing for tougher legislation to guarantee on-line
privacy. Advocates believe the case could be a powerful lobbying tool
because it marks a rare example of an alleged violation of electronic
privacy leading to tangible injury. AOL denies any wrongdoing and says it
has launched an internal investigation. Ann Brackbill, a spokeswoman for
AOL, said, "We're still looking into it, but we're pretty certain our
policies were followed."
** Politics **
Title: Sticking Up For Free Speech
Source: Wall Street Journal (Op-eds, A18)
http://wsj.com/
Issue: Campaign Finance Reform
Description: It is no surprise that coverage of campaign finance reform is
so one-sided; we have compared the fanatical support for such legislation
around the Beltway to the earnestness of the Hale-Bopp cult. Inconvenient
dissents from campaign finance theology -- most of them delivered by the
courts -- are given short thrift. The latest exhibit: U.S. District Chief
Judge Lawrence Karlton, who overturned California's new campaign
contribution limits as unconstitutional. But Judge Karlton made it clear
that "because campaign contributions translate into a candidate's speech,
and are protected as associational rights, they may not be restricted to a
degree unnecessary to achieve the governmental purpose." This reinforces the
link the Supreme Court has found time and again between the propagation of a
candidate's views and free speech. The judge identified that link when he
found that the contribution limits would "make it impossible for the
ordinary candidate to mount an effective campaign for office. However,
certain candidates -- namely those with vast independent wealth -- would
have faced no restrictions on getting their message out.
*********
Webcast of PIAC meeting Friday, January 16 at
http://www.real.com/corporate/digitaltv.