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Cable Service Giants Unite Against FCC’s Set-Top Box Plan
Opponents of a Federal Communications Commission plan to reform the television set-top box market pushed back Tuesday on the idea that the agency could manage their arrangements with companies that host their programming.
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The FCC says the new rules mean more choices and will make it easier for TV lovers to search for and find video they want.
Its January proposal was fought by the TV and cable industries, criticized by the U.S. Copyright Office and dozens of lawmakers. But fearing a loss of control (and $21 billion in annual cable box rental fees) the cable industry launched an unprecedented lobbying campaign featuring an endless barrage of editorials attacking the plan for encouraging piracy and even being racist. If Wheeler wants the commission to vote on the issue this month, he’ll need to circulate his proposal to his fellow commissioners by Thursday. If you would like to discuss another topic, look for a relevant article. If approved, most cable customers could choose another device to watch cable within two years. But the CableCard proved to be unpopular with consumers and it largely flopped.
“ACA is very pleased to see the FCC remains firmly committed to establishing true regulatory fee parity between cable/IPTV providers and satellite TV’s DirecTV and Dish – respectively, the largest and fourth-largest multichannel video programming distributors (MVPDs)”, American Cable Association President and CEO Matthew M. Polka, says. The plan is also expected to create a licensing body to oversee the pay-TV apps, according to industry filings with the FCC.
The top US communications regulator plans on Thursday to unveil a revised plan to allow about 100 million pay TV subscribers to replace expensive set-top boxes with less-costly apps that provide access to television and video programs, two people briefed on the plan said.
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The filing is just the latest chapter in the latest months-long debate over FCC Chairman Tom Wheeler’s initial proposal, which would require video providers to open up their feeds to third-party manufacturers. The industry has clashed with regulators over everything from new privacy proposals and the expansion of broadband networks built and maintained by cities rather than private companies, to net neutrality, which mandates that internet service providers treat all traffic equally.