It may be time to examine eliminating anti-payola rules, said FCC Commissioner Mike O’Rielly in remarks Thursday, released Friday, before the Massachusetts Broadcasters Association, two months after announcing his investigation into the issue (see 1910100036). “It should not be lost on me or anyone else observing the industry that this is another area where the cutting edge high-technology companies operate without similar restrictions,” he said. O’Rielly said he's still seeking information from record companies about the practice. “If it’s true that the big labels have effectively rooted out this practice through implementing their own safeguards, then I’ll look forward to learning how those processes work,” he said. “There are some legitimate questions involving fairness, competitive effects, industry trends, and the like generated by accusations of payola,” O’Rielly said. “It is not necessarily a victimless crime.” O’Rielly also announced proposals he would like to see the FCC consider in its media modernization efforts, including giving stations an opportunity to supplement issues/program lists at license renewal, allowing Class A's to file such lists annually rather than quarterly, and creating overnight processing for “pro forma” broadcast transactions. “If a problem is identified, which is unlikely, opponents can always file a petition for reconsideration,” O’Rielly said. The FCC should also eliminate or relax the broadcast telephone conversation rule and do away with “Zombie Proceedings” that have been long stalled at the agency. Zombies that he said should be eliminated include some rules proposed under former FCC Chairman Tom Wheeler, such as revamped set-top box rules, classifying over-the-top platforms as MVPDs, and repealing network nonduplication and syndicated exclusivity programming rules. O’Rielly also said he expects the Senate to soon approve bigger punishments and more options for pirate radio enforcement, and he has started to see an increase in broadcast news and sports offerings as a result of the relaxed kidvid rules. “We were able to get to this point because everyone walked away from the bargaining table with a little less than they wanted but enough of what they fundamentally needed to make things work,” he said.
AT&T and its DirecTV reached a retransmission consent agreement with broadcaster Howard Stirk Holdings, wrote the telco, posted in docket 19-168 Wednesday. FCC staff ruled for AT&T last week (see 1911080036).
A day after Disney vaulted into streaming video including with kid-friendly content (see 1911130053), Netflix announced a multiyear deal with Nickelodeon to produce original animated feature films and TV series. Including Nickelodeon’s library of characters and new intellectual property, it expands their relationship, they said Wednesday. “Nickelodeon’s next step forward is to keep expanding beyond linear platforms, and our broader content partnership with Netflix is a key path toward that goal,” said Brian Robbins, Nickelodeon president.
Disney Plus reached 10 million sign-ups, said the company Wednesday, following the Tuesday launch (see 1911120048) of the $6.99 monthly service. Disney is offering a free seven-day trial; Verizon is offering a free year of service to its unlimited data customers. Disney said Wednesday it won't release further subscriber data outside of quarterly calls. Widespread reports documented glitches with the streaming service’s debut. The content provider acknowledged complications in a tweet, saying launch “exceeded our highest expectations. We are so pleased you’re excited to watch all your favorites and are working quickly to resolve any current issues. We appreciate your patience.” Vizio SmartCast customers were left out due to incompatibilities with Chromecast. A Vizio spokesperson emailed us Tuesday that the TV maker “is working diligently to implement the new version of Chromecast and will start rolling out the update to our SmartCast TVs as soon as possible.” He suggested a workaround for Vizio TV owners by using Apple’s AirPlay. A Disney spokesperson emailed that “Vizio is currently not running on Android TV and therefore will not receive Disney+ as part of our compatibility.” Her solution: “If you plug in a Chromecast device into the Vizio TV, the end-user will be able to access Disney+.” She said users also can plug in an Android TV device such as an Nvidia Shield, Mi Box or JBL Link Bar to get access. Disney's website said the streaming service is also available on Roku and Amazon Fire TV devices; LG and Samsung TVs; and PS4 and Xbox One game platforms.
AT&T and its DirecTV reached a retransmission consent agreement with KMTR TV, one of nine station groups against which the companies filed a good-faith negotiation complaint (see 1906190027), it said in a docket 19-168 posting Tuesday. The FCC Media Bureau last week sided with AT&T (see 1911080036).
MVPD concerns about carrying ATSC 3.0 programming are “premature and well within the capabilities of broadcasters and MVPD operators to resolve themselves,” said One Media Executive Vice President-Strategic and Legal Affairs Jerald Fritz in a meeting Wednesday with FCC Video Division Chief Barbara Kreisman and Media Bureau staff, said a filing posted Friday in docket 16-142. The threat of connectivity interruption is “not a reason to delay or compromise development of the service,” Fritz said. MVPD worries that a transition to 3.0 could involve high-cost equipment stem from “a fundamental misunderstanding of the patent monetization process,” the Sinclair affiliate said. “Royalties associated with ATSC 3.0-capable devices will likely be embedded in end-user device costs,” One Media said. “It is highly unlikely that MVPD operators will notice any significant changes to reception equipment costs related to ATSC 3.0 patents."
Roku shares plummeted 16 percent to close at $118.46 Thursday after the company reported its Q3 net loss widened 164 percent to $25.2 million. Roku finished the quarter with 32.3 million active accounts, a net addition of 1.7 million from Q2, when analysts had predicted 2.1 million net adds. Senior management nevertheless said Roku was well-positioned for the Apple TV Plus and Disney Plus streaming-service launches. The new services “are good for Roku in a bunch of ways,” said Roku CEO Anthony Wood on a call Wednesday with analysts. Besides driving “engagement” on the Roku platform, they’ll “increase the interest in viewership moving from traditional TV to streaming,” he said. “We think that, eventually, all TV is going to be streamed.” The rise of “all these new services will help encourage that transition,” he said. There's "lots of room to grow engagement" on the Roku platform, said Wood. "Our primary competitor is not other services," it's "linear TV," he said. "Most TV in the country is still regular linear TV and people are moving to streaming and cutting the cord and this will help drive that."
SiriusXM is offering auto repair shops that use Bolt On Technology’s digital communication software a program giving customers three months free of All Access service, said the companies Tuesday. Bolt On will provide participating shops point-of-sale materials for vehicle owners, along with a social media campaign promoting the link between driving and listening to music.
The FCC Public Safety Bureau will allow emergency alert system participants unable to update certificate information for their EAS devices for the Integrated Public Alert Warning System by the Friday expiration to continue operating their equipment through Jan. 7 without additional FCC authority, said a public notice Tuesday. Though a replacement certificate was issued Oct. 28, the Federal Emergency Management Agency "and EAS Participants are concerned that this may not provide sufficient time to update all EAS devices,” the PN said. EAS participants that can’t complete installation of the new certificate by Jan. 7 must request additional time, the PN said. The certificate issue doesn’t affect reception of alert messages using the legacy, daisy chain system, the PN said.
NCTA and an Indiana landowner are at odds over whether the cable group can chime in in a fight before the 7th U.S. Circuit Court of Appeals involving Charter Communications' running a fiber cable across the landowner's property (see 1910230016). NCTA said in opposition to the plaintiff-appellant's motion to reconsider (in Pacer, docket 19-2442) it's in a good position to explain the statutory framework involved and speak on how a restrictive interpretation would affect cable and broadband network expansion. It said a big part of why it and other trade groups exist is to advocate for members in court. Plaintiff-appellant Stephen West, in the motion (in Pacer) seeking reconsideration of the court allowing NCTA file an amicus brief, said it hadn't been shown Charter has inadequate legal counsel or that NCTA is providing any unique information or perspective, since its brief largely recapitulates Charter's arguments. In a separate reply brief (in Pacer) last week, West said the Cable Act doesn't give unchallengeable rights to commandeer the easement on his property because the easement wasn't formally dedicated for public use. Granting a power company rights nearly 80 years ago to traverse the property "does not magically convert an easement granting an electric company the right to run electrical wires across the Property into a ... public corridor for all utilities," he said.