TDS Telecom bought “substantially all of the assets” of Bend, Oregon, cable provider BendBroadband for $261 million, TDS said Tuesday in a news release (http://bit.ly/1tXTcCk). TDS Telecom is a subsidiary of Telephone and Data Systems, it said. BendBroadband reported annual revenue of $70 million in 2013, and the deal will add 300 employees to TDS, said the buyer, which had previously announced the deal and just completed the transaction.
Charter Communications officials met with members of the FCC task force overseeing Comcast’s proposed buy of Time Warner Cable Wednesday, said an ex parte filing posted Tuesday to docket 14-57 (http://bit.ly/1trkMsT). It said Charter officials discussed the FCC’s recent requests for information on the deal to Charter, which is getting some systems that Comcast/TWC are divesting (CD Aug 26 p1), and the Department of Justice’s investigation of the transaction. Charter “sought clarification and guidance on the scope of the FCC’s questions,” it said. Charter also submitted a copy of its organizational chart to the FCC as part of its response to the information request. The chart was kept confidential under a joint protection order.
The FCC should grant cable operators that use TiVo set-top boxes a waiver of the requirement that they must include “an industry-standard, interactive, and recordable home networking interface,” the company said in a waiver petition (http://bit.ly/1vJGlFR) posted Tuesday in docket 97-80. TiVo had successfully sought an extension for the deadline for set-tops to fulfill that requirement because the Digital Living Network Alliance had not released industry standards for the boxes on time (CD April 7 p16). “TiVo could not anticipate the precise outcomes of the DLNA process or the timing and content of published specifications, and had to develop its own home networking solution in order to maintain its role in providing innovative solutions to retail consumers,” TiVo’s petition said. If TiVo has to change its technology to fit the DLNA standard, it could “hinder TiVo’s ability to compete on both a retail and a wholesale level,” the company said. If the FCC takes the position that the home networking requirement was invalidated by the EchoStar decision in the U.S. Court of Appeals for the D.C. Circuit, TiVo said, its petition would be moot.
Time Warner Cable officials discussed the company’s responses to a recent FCC request for information (CD Aug 26 p1) and to the Department of Justice’s investigation into its planned buy by Comcast, with the FCC task force overseeing the deal. That came in a meeting Tuesday, said an ex parte filing posted Thursday in docket 14-57 (http://bit.ly/1lAbcBw). “We provided an update on the status of TWC’s production of documents to the Department of Justice in connection with its ongoing investigation of the Comcast-TWC transaction.” TWC also “sought guidance from Commission staff regarding potential limits on the scope of TWC’s responses to the commission’s requests,” the filing said.
A voluntary agreement (VA) by the pay-TV industry, makers of consumer electronics and energy conservation advocates on energy standards for set-top boxes (CD July 24/12 p12) has saved U.S. consumers around $168 million on energy bills and 842,000 metric tons of carbon dioxide, said NCTA in a blog post Thursday (http://bit.ly/1lyFTXV). The information on energy saved comes from an annual report (http://bit.ly/1tP3svy) on the VA by an independent administrator hired by the VA participants, said a CEA news release on the report. Under the VA, 85 percent of set-tops bought by pay-TV providers in 2013 met the EPA’s Energy Star 3.0 efficiency levels, using 14 percent less energy than previous models, NCTA said. The agreement has also led to software updates being deployed to enable light sleep for set-tops already in homes, an auto power-down feature in 90 percent of direct broadcast satellite boxes and energy efficiency information being posted by pay-TV providers for all new boxes, NCTA said. The more-efficient boxes “save consumers money on their electric bill, reduce pollution, and work even better than the old ones used to,” said Noah Horowitz, senior scientist at the Natural Resources Defense Council.
New York Gov. Andrew Cuomo said he directed the Department of Public Service (DPS) to investigate Time Warner Cable’s nationwide broadband outage as part of the Public Service Commission’s review of the company’s proposed takeover by Comcast (http://on.ny.gov/1phWobm). The outage, which affected 11.4 million TWC customers nationwide Wednesday, is a “stark reminder that our economy is increasingly dependent on a reliable broadband network,” said Cuomo, a Democrat, in a statement Wednesday. “That is one of the reasons why I pushed for a stronger standard of review for cable company mergers earlier this year.” New York raised its state regulatory review requirements to require cable merger applicants show that a deal would be in the public interest rather than require the state PSC to approve deals unless they could be harmful to the public interest (CD March 21 p15). Observers said subsequent DPS recommendations on the merger review indicate the PSC’s review will be more aggressive than other states’ reviews (CD Aug 14 p5). The DPS investigation will also review whether the outage affected TWC’s phone service in the state, Cuomo said. DPS will also include its analysis of the outage in its ongoing study of the telecom industry in the state, which is exploring changes in the telecom regulatory landscape, Cuomo said. A TWC spokesman said “we apologize for the early morning disruption in service and we intend to discuss any of the Governor’s concerns with him as well as the many consumer merits of our merger.” The FCC is reviewing Comcast/TWC. (See separate report above in this issue.)
Fletcher Heald law firm plans a free webinar on the must-carry and retransmission consent election process Sept. 9, at 2:30 p.m. EDT. Attorneys Paul Feldman and Dan Kirkpatrick will discuss rights of broadcast, cable and satellite TV operators, “including the upsides and the downsides of the available alternatives,” the firm said Tuesday in a blog post (http://bit.ly/1ARPzjA). They'll also explain what has changed since the last round of must carry/retransmission consent elections, potential pitfalls and hidden concerns regarding carriage, “and what the future of retrans may involve,” it said.
Charter Communications experienced a “widespread” outage of its Internet network Saturday, but service was restored Sunday, said a company spokesman. The cause of the outage is under investigation, he said. Media reports linked the outage to a possible attack on Charter’s Domain Name System (DNS) infrastructure. Charter hasn’t confirmed that its DNS infrastructure was compromised, said ICANN in a statement. “We don’t have information that the issue has gone beyond Charter.” Because the DNS has “notoriously had flaws,” it’s an “interesting target for an attacker that wants to attack infrastructure in the U.S.,” said Tyler Shields, senior mobile and application security analyst at market research firm Forrester, in an interview. Shields said it was too early to identify the nature of Charter’s Internet failure.
The Enforcement Bureau and Time Warner Cable entered a consent decree that requires TWC to pay a civil penalty of $1.1 million to resolve the investigation into whether it complied with FCC network outage reporting requirements. TWC admits to failing to timely file the required reports in violation of the rules, the bureau said Monday in an order (http://bit.ly/1pz8LiH). TWC also will implement a three-year plan to ensure future compliance with the FCC’s requirements, the bureau said. The cable company will work with the FCC to ensure that its outage reporting requirements are properly implemented and followed, a TWC spokesman said.
Comcast launched Xfinity On Campus, a service that lets college students watch live TV and on-demand content on IP-enabled devices while on campus. The service will be available this fall at Bridgewater College in Bridgewater, Virginia; Drexel University in Philadelphia; Emerson College in Boston; Lasell College in Newton, Massachusetts; and the University of Delaware, Comcast said Thursday in a news release (http://bit.ly/1AANHeM). The service is included in room and board expenses at on-campus housing, it said. Other schools will test the program this fall, it said. Xfinity On Campus offers about 80 live cable channels, Comcast said. Students also can access the service off campus using a university credential “to authenticate and access online programming that’s part of their subscription via TV Everywhere websites and apps such as WatchESPN and FXNOW,” it said.