by Ronn Torossian | September 8, 2013 12:01 am
The Faith and Family Broadcasting Coalition, a coalition of the nation’s leading religious television broadcasters, recently reiterated their opposition to the Obama Administration’s FCC using regulatory pressure to force cable companies to convert to a: pay-per-channel or “a la carte” business model. Such a forced change would: : have a devastating effect on religious broadcasters, such as CBN, TBN and: Inspiration Networks, which was founded by David Cerullo.
Press reports indicate that the Federal Communications Commission (FCC) Chairman intends to launch new regulations on the cable: industry designed to force cable companies to radically alter their: : business model form tiered bundles of channels to a pay-per-channel, or “a la carte” business model.
News accounts indicate that claims may be made that the: “70/70” threshold has been met from a 1984-era statute meant to prevent cable from gaining too much market power. The rule kicks in when cable systems with 36 or more channels are available to 70% of U.S. households and achieve a 70% penetration rate of those households. Such a finding would grant the FCC the power to further regulate cable and force the a la: carte business model.
Given the nature of today’s subscription video marketplace, which: includes Direct Broadcast Satellite, Verizon Communications’ FiOS TV and: : AT&T’s U-verse TV systems, and the entry of new fiber-optic Internet-based offerings and program streaming, relying on a 20-year-old program-diversity and rate regulation statute is out of place. Perhaps this is why some news reports state the FCC’s real intention in asserting the “70/70” regulatory: action is to pressure the cable industry to adopt a la carte regulations.
Ronn Torossian is the CEO of 5WPR, a leading PR firm and Author of “For Immediate Release”, a leading PR book.
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