Small and rural cable operators are shortchanged by broadcasters ...
Small and rural cable operators are shortchanged by broadcasters under FCC rules on retransmission consent, said a group representing the companies. The American Cable Assn. said it will unveil a report Mon. by researcher Gary Arlen that finds “broadcasters’…
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unrestrained market power, combined with the use of federal regulations and abusive contracting practices, results in higher cable costs.” Arlen declined to comment on the report until it’s released at a media briefing. Some cable operators share the group’s concerns. “We agree with them that it is a problem and it is a network problem,” said Alex Netchvolodoff, vp-public policy for Cox Enterprises. “The networks are abusing retransmission consent by tying the negotiation to the carriage,” he said. TV stations often seek carriage of affiliated networks in negotiations for carriage deals. Broadcasters were mum on the criticism. Officials at ABC, CBS, Fox, NBC and NAB didn’t comment. Retransmission consent will be taken up during the Senate Commerce Committee’s Jan. 31 hearing on video content, a committee spokesman said. The committee will examine access to programming, particularly sports packaged in a way that consumers can access only through certain providers. The America Channel is expected to testify at the hearing, he said. But Stevens won’t decide on a legislative direction until all telecom hearings are completed in mid-March.