FCC Updates on Retransmission Consent Process, Wi-Fi Tech Expansion, 65-MHz Spectrum Auction
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The Federal Communications Commission issued a few new regulatory updates following its March 2014 Open Commission Meeting held on Monday.
Improving Retransmission Consent Process:
*** The Federal Communications Commission today adopted a Report and Order that strengthens its rules governing retransmission consent negotiations. This Order will help curtail a practice that has put upward pressure on cable and Direct Broadcast Satellite programming costs as well as prices to consumers.
The Communications Act requires cable systems and other pay television services to obtain a broadcast television station’s retransmission consent before carrying the station’s signal. The Act also requires broadcasters and pay television service providers to negotiate retransmission consent agreements in good faith.
Today’s Order prohibits a television broadcast station ranked among the top four stations (as measured by audience share) from negotiating retransmission consent jointly with another top four station if the stations are not commonly owned and serve the same geographic market. Joint negotiation by these stations leads to higher retransmission consent fees because the practice reduces competition between the stations. Additionally, the threat of losing the programming of two or more top four stations at the same time gives the stations undue bargaining leverage in negotiations with Multichannel Video Program Distributors. To target collusive behavior effectively, the Order also defines joint negotiations. Congress passed retransmission consent legislation over 20 years ago. Since that time, there have been significant changes in the video marketplace. The FCC initiated this proceeding to respond to these changes and facilitate the fair and effective completion of retransmission consent negotiations to the ultimate benefit of consumers.
Action by the Commission March 31, 2014, by Order and Further Notice of Proposed Rulemaking (FCC 14-29). Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly with Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly issuing statements. Today’s action also includes adoption of a Further Notice of Proposed Rulemaking that asks whether to eliminate or modify the Commission’s network non-duplication and syndicated exclusivity rules. These rules help broadcast television stations to be the exclusive distributor of network or syndicated programming within a certain geographic area.
Availability of Spectrum for High-Speed, High- Capacity:
*** The Federal Communications Commission today provided for accelerated growth and expansion of new Wi-Fi technology that can offer faster speeds of one gigabit per second or more, increase overall capacity, and reduce congestion at Wi-Fi hot spots. The new rules will make 100 MHz of spectrum more accessible for use in homes and congested spaces like convention centers, parks, and airports and increase the potential for more unlicensed spectrum innovation.
The Commission adopted a Report and Order modifying the rules governing the operation of Unlicensed National Information Infrastructure (U-NII) devices operating in the 5 GHz band. By its action the Commission significantly increased the utility of the 100 megahertz of spectrum, and streamlined existing rules and equipment authorization procedures for devices throughout the 5 GHz band.
U-NII devices play an important role in meeting public demand for wireless broadband service. Currently U-NII devices operate in 555 megahertz of spectrum in the 5 GHz band, and are used for Wi-Fi and other high-speed wireless connections. These devices support a variety of applications including Wi-Fi hot spots and wireless home local area networks to connect smart phones, tablets and laptops to the Internet, broadband service to rural areas offered by Wireless Internet Service Providers and off-loading of traffic from commercial cellular wireless networks.
The rules adopted today remove the current restriction on indoor-only use and increase the permissible power which will provide more robust access in the 5.150-5.250 GHz band. This in turn will allow U-NII devices to better integrate with other unlicensed portions of the 5 GHz band to offer faster speeds and reduce congestion at crowded Wi-Fi hot spots such as airports and convention centers.
The Commission also modified certain technical rules to improve protection for incumbent systems by requiring manufacturers to secure their devices against illegal modification which could cause interference to incumbent users in the band.
Action by the Commission March 31, 2014 by First Report and Order (FCC 14-30). Chairman Wheeler, Commissioners, Clyburn, Rosenworcel, Pai, and O’Rielly with Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly issuing statements.
On Auctioning of 65-MHz of Spectrum for Mobile Broadband:
*** Today the Commission adopted a Report and Order that advances ongoing efforts to make more spectrum available for flexible use wireless services, including mobile broadband. The Report and Order represents significant progress in the Commission’s ongoing effort to make available and promote efficient use of spectrum, including through sharing.
Today’s action represents the largest amount of spectrum suitable for mobile broadband that the Commission has made available for auction since the 700 MHz band was auctioned in 2008. The action also builds upon the success of the recent H Block auction. Access to these bands will help wireless companies meet growing consumer demand for mobile data by enabling faster wireless speeds and more
capacity.
Specifically, the Report and Order sets flexible-use regulatory, licensing, and technical rules for 65 megahertz of spectrum in the AWS-3 band, which includes the 1695-1710 MHz, 1755-1780 MHz, and 2155-2180 MHz bands.
The Report and Order establishes a band plan that makes spectrum available in a mix of spectrum block and geographic license area sizes to meet the needs of large and small wireless providers. The Report and Order also establishes construction deadlines and other service rules, including a requirement that AWS-3 evices be interoperable within AWS-3 and AWS-1 frequencies.
The Report and Order is the result of years of work across multiple federal agencies and in coordination with industry stakeholders to make 40 megahertz (of the total 65 megahertz) of the AWS-3 spectrum available for commercial use. This spectrum will be available on a shared basis with federal incumbents in accordance with detailed plans for these agencies to relocate out of the frequencies or share within the frequencies.
Action by the Commission March 31, 2014, by Report and Order (FCC 14-31). Chairman Wheeler, Commissioners Clyburn and Rosenworcel, with Commissioners Pai and O’Rielly approving in part and concurring in part. Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly issuing statements.
Improving Retransmission Consent Process:
*** The Federal Communications Commission today adopted a Report and Order that strengthens its rules governing retransmission consent negotiations. This Order will help curtail a practice that has put upward pressure on cable and Direct Broadcast Satellite programming costs as well as prices to consumers.
The Communications Act requires cable systems and other pay television services to obtain a broadcast television station’s retransmission consent before carrying the station’s signal. The Act also requires broadcasters and pay television service providers to negotiate retransmission consent agreements in good faith.
Today’s Order prohibits a television broadcast station ranked among the top four stations (as measured by audience share) from negotiating retransmission consent jointly with another top four station if the stations are not commonly owned and serve the same geographic market. Joint negotiation by these stations leads to higher retransmission consent fees because the practice reduces competition between the stations. Additionally, the threat of losing the programming of two or more top four stations at the same time gives the stations undue bargaining leverage in negotiations with Multichannel Video Program Distributors. To target collusive behavior effectively, the Order also defines joint negotiations. Congress passed retransmission consent legislation over 20 years ago. Since that time, there have been significant changes in the video marketplace. The FCC initiated this proceeding to respond to these changes and facilitate the fair and effective completion of retransmission consent negotiations to the ultimate benefit of consumers.
Action by the Commission March 31, 2014, by Order and Further Notice of Proposed Rulemaking (FCC 14-29). Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly with Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly issuing statements. Today’s action also includes adoption of a Further Notice of Proposed Rulemaking that asks whether to eliminate or modify the Commission’s network non-duplication and syndicated exclusivity rules. These rules help broadcast television stations to be the exclusive distributor of network or syndicated programming within a certain geographic area.
Availability of Spectrum for High-Speed, High- Capacity:
*** The Federal Communications Commission today provided for accelerated growth and expansion of new Wi-Fi technology that can offer faster speeds of one gigabit per second or more, increase overall capacity, and reduce congestion at Wi-Fi hot spots. The new rules will make 100 MHz of spectrum more accessible for use in homes and congested spaces like convention centers, parks, and airports and increase the potential for more unlicensed spectrum innovation.
The Commission adopted a Report and Order modifying the rules governing the operation of Unlicensed National Information Infrastructure (U-NII) devices operating in the 5 GHz band. By its action the Commission significantly increased the utility of the 100 megahertz of spectrum, and streamlined existing rules and equipment authorization procedures for devices throughout the 5 GHz band.
U-NII devices play an important role in meeting public demand for wireless broadband service. Currently U-NII devices operate in 555 megahertz of spectrum in the 5 GHz band, and are used for Wi-Fi and other high-speed wireless connections. These devices support a variety of applications including Wi-Fi hot spots and wireless home local area networks to connect smart phones, tablets and laptops to the Internet, broadband service to rural areas offered by Wireless Internet Service Providers and off-loading of traffic from commercial cellular wireless networks.
The rules adopted today remove the current restriction on indoor-only use and increase the permissible power which will provide more robust access in the 5.150-5.250 GHz band. This in turn will allow U-NII devices to better integrate with other unlicensed portions of the 5 GHz band to offer faster speeds and reduce congestion at crowded Wi-Fi hot spots such as airports and convention centers.
The Commission also modified certain technical rules to improve protection for incumbent systems by requiring manufacturers to secure their devices against illegal modification which could cause interference to incumbent users in the band.
Action by the Commission March 31, 2014 by First Report and Order (FCC 14-30). Chairman Wheeler, Commissioners, Clyburn, Rosenworcel, Pai, and O’Rielly with Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly issuing statements.
On Auctioning of 65-MHz of Spectrum for Mobile Broadband:
*** Today the Commission adopted a Report and Order that advances ongoing efforts to make more spectrum available for flexible use wireless services, including mobile broadband. The Report and Order represents significant progress in the Commission’s ongoing effort to make available and promote efficient use of spectrum, including through sharing.
Today’s action represents the largest amount of spectrum suitable for mobile broadband that the Commission has made available for auction since the 700 MHz band was auctioned in 2008. The action also builds upon the success of the recent H Block auction. Access to these bands will help wireless companies meet growing consumer demand for mobile data by enabling faster wireless speeds and more
capacity.
Specifically, the Report and Order sets flexible-use regulatory, licensing, and technical rules for 65 megahertz of spectrum in the AWS-3 band, which includes the 1695-1710 MHz, 1755-1780 MHz, and 2155-2180 MHz bands.
The Report and Order establishes a band plan that makes spectrum available in a mix of spectrum block and geographic license area sizes to meet the needs of large and small wireless providers. The Report and Order also establishes construction deadlines and other service rules, including a requirement that AWS-3 evices be interoperable within AWS-3 and AWS-1 frequencies.
The Report and Order is the result of years of work across multiple federal agencies and in coordination with industry stakeholders to make 40 megahertz (of the total 65 megahertz) of the AWS-3 spectrum available for commercial use. This spectrum will be available on a shared basis with federal incumbents in accordance with detailed plans for these agencies to relocate out of the frequencies or share within the frequencies.
Action by the Commission March 31, 2014, by Report and Order (FCC 14-31). Chairman Wheeler, Commissioners Clyburn and Rosenworcel, with Commissioners Pai and O’Rielly approving in part and concurring in part. Chairman Wheeler, Commissioners Clyburn, Rosenworcel, Pai and O’Rielly issuing statements.
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