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CBS and AT&T Reach Carriage Agreement, CBS Sports Net and Smithsonian Channel Part of Deal

Phillip Dampier August 8, 2019 AT&T, Consumer News, DirecTV, DirecTV Now, Online Video Comments Off on CBS and AT&T Reach Carriage Agreement, CBS Sports Net and Smithsonian Channel Part of Deal

CBS and AT&T have agreed to end the blackout of 26 CBS owned and operated TV stations in 17 markets including New York, Los Angeles, Chicago, Philadelphia, Dallas, San Francisco, Boston, Atlanta, Tampa, Seattle, Detroit, Minneapolis, Miami, Denver, Sacramento, Pittsburgh and Baltimore. CBS local stations in these areas will return to AT&T U-verse, DirecTV, and DirecTV Now lineups sometime today.

The renewed retransmission consent contract covers carriage of these stations and CBS-owned CBS Sports Network and Smithsonian Channel for the next several years and could broaden carriage of the two CBS cable networks to additional AT&T platforms in the coming months.

Terms of the agreement were not disclosed, but analysts suggest AT&T is now paying several dollars a month per subscriber for each over the air station. AT&T had earlier claimed CBS was being unreasonable in requesting a substantial hike in rates to continue carrying stations that viewers can get over the air for free.

AT&T is still engaged in weeks-long disputes with several Nexstar and Sinclair-managed local station, resulting in ongoing station blackouts in markets around the country.

FCC Moves to Make Cable TV Franchise Fee Rules More Cable Industry Friendly

Phillip Dampier August 7, 2019 Consumer News, Public Policy & Gov't, Reuters Comments Off on FCC Moves to Make Cable TV Franchise Fee Rules More Cable Industry Friendly

WASHINGTON, Aug 1 (Reuters) – The U.S. Federal Communications Commission (FCC) last week voted 3-2 to tighten rules governing the franchise fees paid by cable companies to local authorities, a move that cities warn could result in public access channels going off the air or in municipalities losing free service.

Congress previously capped the franchise fees that cable operators pay for using public property, among other factors, at 5% of gross revenue on cable bills. The FCC vote requires non-financial “in kind” contributions made by cable operators must be assigned a value and counted against the cap.

Those costs that now must be counted against the cap include contributions for public, educational, and government access channels, institutional networks and other services like free cable for municipal buildings.

FCC Chairman Ajit Pai said “every dollar paid in excessive fees is a dollar that by definition cannot and will not be invested in upgrading and expanding networks.”

Cable operators pay roughly $3 billion annually in franchise fees to state and local governments.

New York told the FCC all city fire stations get free cable and internet service from cable providers.

“There are no viable alternative services available to the city. The only potential long-term solution would be to build a parallel network which will take years and cost a massive amount of money,” the city said in a July 25 letter.

Milton, Massachusetts, which noted it uses an institutional network for police and school security cameras and municipal internet access, said it could lose government access channel programming.

Pai

The FCC also voted Thursday to bar municipalities from regulating or imposing fees on most non-cable services, including broadband Internet service.

NCTA – the Internet & Television Association representing major cable companies like Comcast Corp, Charter Communications Inc and Cox Communications Inc – said the vote “will help promote broadband investment, deployment, and innovation, to the benefit of all Americans.”

FCC Commissioner Geoffrey Starks said “free or discounted service to cash-strapped schools, provision of critical (institutional network service), discounts to vulnerable communities … are a small imposition given the value received by providers.”

He added it “risks causing grave harm to local communities.”

Republicans commissioners point out that cable companies have been forced to fund other events like ice cream socials or offer free service for government-owned golf courses.

Local communities including Atlanta, Boston, Dallas and Los Angeles told the FCC in a joint statement local governments will “be forced to make difficult decisions about reductions in service (i.e., coverage of governmental meetings, community media, and broadband to schools) or increases in local revenue sources.”

Reporting by David Shepardson; Editing by Bernadette Baum

Frontier’s Repeated 911 Outages Worry West Virginia’s Panhandle Communities

Ohio and Marshall counties are located in West Virginia’s Panhandle region, sandwiched between the states of Ohio and Pennsylvania.

Emergency services officials in West Virginia’s Panhandle region are “scared” about Frontier Communications’ ability to provide reliable access to 911 after four outages in three months, and they are reaching out to the Federal Communications Commission and Sen. Joe Manchin (D-W.V.) for help.

Public officials in Ohio and Marshall counties, sandwiched between the Ohio and Pennsylvania borders near Wheeling, are increasingly concerned Frontier may be no longer able to provide reliable basic service in the region.

“I’ve got to be honest with you. It scares the heck out of me,” Theresa Russell, Ohio County’s 911 director, told WTRF News. “I worry that after these types of incidents occur, I’m going to find out that somebody needed us and they had no way of getting through.”

Two recent outages occurred around midnight, one of which Frontier later said was a “planned outage.” But local officials claim Frontier never notified affected communities, preventing them from giving the public an alternate number to call in case of an emergency.

The other outages were unplanned, one impacting nine West Virginia counties that lasted well over an hour.

Frontier officials have increasingly responded to these outages by stressing the economic difficulties it faces serving remote areas in states where it is costly to provide service. In a statement, Frontier told the TV station that it “takes its commitment to serve West Virginians and support 911 services seriously.”

Frontier:

“Frontier provides service in the most rural areas of West Virginia where other providers choose not to invest to deliver service and where the challenges of remoteness are greatest. We work to promptly address service interruptions that occur from time-to-time because of severe weather events, vehicle accidents, third party construction damage to our facilities and other causes.

“We continue to evaluate and execute strategies to improve our service and ensure our customers have access to reliable and affordable service.”

WTRF-TV reports West Virginia’s Panhandle region is frightened about Frontier’s repeated 911 service outages. (1:36)

CBS and Viacom Move Closer to Multi-Billion Dollar Mega-Merger Under CBS Name

Phillip Dampier August 6, 2019 Competition, Consumer News, Online Video, Video Comments Off on CBS and Viacom Move Closer to Multi-Billion Dollar Mega-Merger Under CBS Name

CBS and Viacom are one important step closer to merging under the CBS name, creating one of the country’s largest programming and broadcasting powerhouses.

Last week, the two companies’ board of directors agreed on who would run the combined company that will be worth tens of billions of dollars.

Under the agreement, the top spot will go to current Viacom CEO Bob Bakish, according to a report in the Los Angeles Times. Bakish has been working with Viacom to transform its operations in a world increasingly dominated by cord-cutting and online streaming. Viacom had a reputation of being ruthless with its cable and satellite partners, demanding some of the industry’s highest rates for Viacom-owned cable channels, causing some cable operators to drop Viacom networks from their cable TV lineups.

It will not be the first time CBS and Viacom have been merged. Owner Sumner Redstone kept the two companies together until splitting them apart in 2006. Shortly after, Redstone’s declining health led to warring factions inside the two companies and several legal disputes with Sumner’s daughter Shari, who took over for her 96-year-old father. Former CBS CEO Les Moonves long opposed a merger between CBS and Viacom, but Moonves was forced out of CBS because of a burgeoning sexual harassment scandal. His replacement, acting CBS CEO Joseph Ianniello, is said to be sanguine about the merger deal, even though it would result in a demotion to managing CBS’ broadcast network, owned and operated TV stations, and Showtime.

The merged company would absorb Viacom into CBS, putting assets including Comedy Central, MTV, VH-1, Nickelodeon, BET, and Paramount Pictures under CBS ownership and control.

Three people close to the situation cautioned talks were still ongoing and not final.

Fox Business News reports the merger of CBS and Viacom may be imminent. Will they also acquire Discovery Networks? (4:53)

5G Hype: Current 5G Networks Are Fast, But Coverage Is Awful (And Phones Get Really Hot)

Verizon, AT&T, and T-Mobile’s 5G launches are blazing fast, when you can find a signal, but your phone will also get blazing hot while using it.

The Wall Street Journal embarked on testing current 5G launches in several American cities and found speeds on 5G nearing 1,800 Mbps in some places, but the millimeter-wave frequencies most carriers are using for mobile 5G don’t travel far and are subject to disappear just by walking down the street, around the corner, or indoors.

Some devices with 5G support are also suffering from heat issues, sometimes causing phones to heat up to over 105° and drop 5G service in favor of less battery-intense 4G LTE. Network engineers admit they bring coolers filled with ice to cool down overheating 5G phones.

Only Sprint’s mid-band 5G network in Chicago offered a much larger coverage area that still worked after walking indoors, and devices remained cool to the touch while using it. But Sprint’s 5G service sacrifices performance for coverage, often topping out at around 200-300 Mbps.

The Wall Street Journal found a reporter, a tent, and some new 5G devices and sent them out to test some of America’s new 5G services. (5:39)

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