News Archive
FCC Releases Details on DBS Digital Broadcast Carriage Order -- Posted by soullezz
on Saturday, March 29 2008
More than a week after actually approving the item, the Federal Communications Commission on Thursday came out with its formal order on carriage of digital broadcast signals via satellite TV. And the rules released Thursday didn't offer any surprises.
With the FCC mandate, satellite TV services will be required to carry digital-only stations on request in markets in which they are providing local TV service, and to deliver all high-def signals in a market if station signals are carried in HD. As expected, the rules will allow satellite TV platforms to phase in the local HD markets under a four-year process that begins after the nation's switch to digital TV, set for Feb. 17, 2009.
The order is the latest in a series of FCC efforts aimed at ensuring consumers receive local stations after the digital TV switch. Last fall, the commission adopted its dual-carriage order requiring cable operators to deliver both analog and digital broadcast signals to customers for three years after the transition.
FCC Chairman Kevin Martin said the satellite TV order provides for "regulatory parity" in the agency's policymaking. He added, "The commission remains committed to taking whatever actions are necessary to minimize the potential burden the digital transition could impose on consumers and maximize their ability to benefit from it."
Commissioners praised satellite TV for collaborating on a solution for carriage of digital broadcast signals. Commissioner Deborah Taylor Tate said the effort "is good example of utilizing common sense in order to reach a positive consumer result through a practical industry-driven solution."
However, one commissioner had concerns about the order. Michael Copps suggested there was "inaction" by the FCC to address ideas offered years ago by DISH Network and DIRECTV.
"Had we acted earlier, could DIRECTV and EchoStar have designed their satellites differently in order to permit full local HD carriage before 2013? We may never know," Copps said.
Satellite Happy with Carriage Rules -- Posted by soullezz
on Saturday, March 29 2008
The companies impacted by the Federal Communications Commission order governing delivery of local broadcast networks said they are happy with the final set of mandates.
Prior to adoption of the item by commissioners, DIRECTV and DISH Network approached FCC staff with suggestions that included carriage of local HD stations through a phased-in approach. Under mandates approved by the FCC, the companies got a four-year phased-in process.
DIRECTV applauded the FCC "for adopting a reasonable schedule for implementation of an HD carry one, carry all requirement." The company added, "The FCC strikes an appropriate balance to reach its public policy goals, while recognizing satellite's unique infrastructure and capacity challenges."
In a statement, DISH Network said because of differences in technology between cable and satellite, "the added burden of an HD obligation disproportionately impacts the DBS industry. By adopting a 2013 deadline, the FCC has ensured that a new regulatory obligation does not harm DBS efforts to provide a smooth digital transition to over 30 million satellite TV households in 2009," the company sai.
DISH pointed out that it already provides locals in 174 out of 210 markets. Most of the remaining local markets are missing one or more of the big four broadcast affiliates, "and broadcasters are opposed to granting satellite providers the right to bring in the missing stations, thus making service to additional local markets uneconomical," the company said.
DISH added that it looks forward to working with broadcasters and Congress "to address this issue, so that more Americans in rural areas can enjoy their local stations."
Eyes on FCC After DOJ Approves XM/Sirius Deal -- Posted by soullezz
on Tuesday, March 25 2008
Reactions were mixed after the Antitrust Division at the Justice Department closed its inquiry into the merger between XM and Sirius, a move that effectively gives the companies the department's OK to combine operations.
For their part, the companies issued a terse, one paragraph statement saying that the Justice Department "has concluded that the merger is not anti-competitive and it will allow the transaction to proceed." They mentioned that the Federal Communications Commission still needs to approve the deal, and that was where a lot of attention was focused after the DOJ decision was handed down late Monday.
Sen. Herb Kohl, chair of the Senate Judiciary Committee's antitrust subcommittee, urged the FCC to "find the merger contrary to the public interest and exercise its authority to block it." He also said the "elimination of competition between XM and Sirius is contrary to antitrust law and the interests of consumers."
Ed Markey, chair of the House Telecommunications Subcommittee, said, "If the Federal Communications Commission, after completing its analysis and consideration of the proposed merger, decides to approve it, I urge the FCC to appropriately condition any such approval to ensure consumer welfare with respect to long-term service plans and pricing as well as equipment compatibility and pricing.
"In addition, the commission should take action to ensure that the public interest values of diversity and localism are fulfilled with respect to satellite radio service in a manner consistent with congressional precedent, as Congress and the FCC did with respect to satellite television services."
Some industry observers said it's unlikely the FCC would issue a decision on the merger that contradicts the Justice Department conclusion. Most said the commission could require conditions for the pending combination of satellite radio companies, including a la carte programming choices for consumers, something the companies have said they would accept.
Gigi Sohn, president of advocacy group Public Knowledge, said the satellite radio transaction should be approved with conditions. Along with a la carte, Public Knowledge, which has been active at the FCC concerning the merger, said a combined satellite radio company should make 5 percent of its channel capacity available to non-commercial educational programmers and promise not to jump pricing for three years, among other proposals.
iBiquity Keeps Targeting Sat Radio Merger -- Posted by soullezz
on Monday, March 24 2008
iBiquity, the main proponent of HD Radio technology being utilized by traditional radio stations, has stepped up its targeting of the proposed XM/Sirius merger, saying the deal - if approved by regulators - could have "competitive implications" for its business.
iBiquity met with Federal Communications Commission staff last week about the merger. In a filing detailing its discussions at the agency, iBiquity said a combined XM/Sirius could be in a better position to hamper its ability to introduce HD Radio technology into the marketplace.
Specifically, the company said it has concerns about exclusive arrangements between the satellite radio services and their automobile manufacturer partners "that could serve as a barrier to iBiquity's ability to sell HD Radio receivers to end users." And a merged entity may have a stronger economic position and more cash to fund subsidies and incentives to partners to keep out competitors, iBiquity said in its filing.
"As the sole provider of satellite services, the merged entity will have greater leverage over retailers, car manufacturers and suppliers. This combined satellite monopoly would be in a better position to act anti-competitively to exclude HD Radio products," the company said in its filing.
XM and Sirius are waiting for a decision on their combination from the FCC. The deal also is before antitrust staff at the Justice Department.
End Near for XM/Sirius Merger Review? -- Posted by soullezz
on Monday, March 17 2008
Is the end near for the XM/Sirius merger review?
Federal Communications Commission Chairman Kevin Martin and company leaders recently expressed hope that any regulatory scrutiny of the proposed satellite radio combination would be wrapped up by the end of the month. Last week, there was more action at the FCC among all parties that have an interest in the deal, and that has apparently led to more staff activity on the transaction.
As Blair Levin of Stifel Nicolaus said, "We believe that we are close to the end … though we admit we have believed this before."
He added, "As has been true with so many times with this transaction, there are multiple ways to interpret the data points, but none, in our view, is conclusive as to the result or the timing."
Levin and Stifel Nicolaus said they don't think the FCC staff has yet coordinated with the Justice Department, which is handling the antitrust review of the deal, in terms of a final conclusion. "But we would not be surprised if the FCC has some inkling about the timing and is seeking to have a draft order ready to be sent to the commissioners shortly after the DOJ announces its decision," the analyst said.
Levin said the Justice Department "remains the big - and silent - hurdle in the XM/Sirius merger."
The companies first proposed combining operations in February 2007.
After Anomaly, Assessment Time for SES, EchoStar - DIRECTV 11 Update -- Posted by soullezz
on Monday, March 17 2008
The late Friday flight of the AMC-14 satellite didn't go well for launch services provider International Launch Services and its customer, SES AMERICOM.
ILS called a launch anomaly after the satellite failed to reach its planned orbit. While that wasn't good news for the direct parties involved, the situation could create challenges for EchoStar, which was set to lease capacity aboard the satellite for an expansion of HD services for DISH Network.
In a statement, the company said, "EchoStar is awaiting further data on the AMC-14 proton launch anomaly prior to assessing the potential effects on our plans for that satellite."
ILS said preliminary flight information indicated that the anomaly occurred during the second burn of the Breeze M upper stage. Because of that, the satellite failed to reach its planned orbit.
While the satellite is in a lower orbit, the spacecraft may not be a complete loss. News sources quoted Russian space officials who said the satellite could use its own propulsion system to reach the correct orbit. Still, that could compromise the bird's expected life in service.
ILS said a Russian State Commission has started the process of determining the reasons for the anomaly. ILS also said it will form its own Failure Review Oversight Board.
Meanwhile, Sea Launch is preparing for this afternoon's launch of the DIRECTV 11 satellite. As of press time late Sunday, Sea Launch said lift-off of the bird, which also will expand capacity for the satellite TV giant, is set for 3:49 p.m. Pacific Time.
Electronic gadgets latest sources of computer viruses -- Posted by soullezz
on Saturday, March 15 2008
(AP) -- From iPods to navigation systems, some of today's hottest gadgets are landing on store shelves with some unwanted extras from the factory: pre-installed viruses that steal passwords, open doors for hackers and make computers spew spam.
Computer users have been warned for years about virus threats from downloading Internet porn and opening suspicious e-mail attachments. Now they run the risk of picking up a digital infection just by plugging a new gizmo into their PCs.
Recent cases reviewed by The Associated Press include some of the most widely used tech devices: Apple iPods, digital picture frames sold by Target and Best Buy stores, and TomTom navigation gear.
In most cases, Chinese factories -- where many companies have turned to keep prices low -- are the source.
So far, the virus problem appears to come from lax quality control, perhaps a careless worker plugging an infected music player into a factory computer used for testing, rather than organized sabotage by hackers or the Chinese factories.
It's the digital equivalent of the recent series of tainted products traced to China, including toxic toothpaste, poisonous pet food and toy trains coated in lead paint.
But sloppiness is the simplest explanation, not the only one.
If a virus is introduced at an earlier stage of production, by a corrupt employee or a hacker when software is uploaded to the gadget, then the problems could be far more serious and widespread.
Knowing how many devices have been sold, or tracking the viruses with any precision, is impossible because of the secrecy kept by electronics makers and the companies they hire to build their products.
But given the nature of mass manufacturing, the numbers could be huge.
"It's like the old cockroach thing: You flip the lights on in the kitchen, and they run away," said Marcus Sachs, a former White House cybersecurity official who now runs the security research group SANS Internet Storm Center. "You think you've got just one cockroach? There's probably thousands more of those little boogers that you can't see."
Jerry Askew, a Los Angeles computer consultant, bought a Uniek digital picture frame to surprise his 81-year-old mother for her birthday. But when he added family photos, it tried to unload a few surprises of its own.
When he plugged the frame into his Windows PC, his antivirus program alerted him to a threat. The $50 frame, built in China and bought at Target, was infected with four viruses, including one that steals passwords.
"You expect quality control coming out of the manufacturers," said Askew, 42. "You don't expect that sort of thing to be on there."
Security experts say the malicious software is apparently being loaded at the final stage of production, when gadgets are pulled from the assembly line and plugged in to a computer to make sure everything works.
If the testing computer is infected -- say, by a worker who used it to charge his own infected iPod -- the digital germ can spread to anything else that gets plugged in.
The recent infections may be accidental, but security experts say they point out an avenue of attack that could be exploited by hackers.
"We'll probably see a steady increase over time," said Zulfikar Ramzan, a computer security researcher at Symantec Corp. "The hackers are still in a bit of a testing period; they're trying to figure out if it's really worth it."
Thousands of people whose antivirus software isn't up to date may have been infected without even knowing it, experts warn. And even protective software may not be enough.
In one case, digital frames sold at Sam's Club contained a previously unknown bug that not only steals online gaming passwords but disables antivirus software, according to security researchers at CA Inc.
"It's like if you pick up a gun you've never seen before. Before you pull the trigger, you'd probably check the chamber," said Joe Telafici, vice president of operations of McAfee Avert Labs, the security software maker's threat-research arm.
"It's an extreme analogy, but it's the right idea. It's best to spend the extra 30 seconds to be sure than be wrong," he added.
Consumers can protect themselves from most factory-loaded infections by running an antivirus program and keeping it up to date. The software checks for known viruses and suspicious behaviors that indicate an attack by malicious code, whether from a download or a gadget attached to the PC via USB cable.
The AP contacted some of the world's largest electronics manufacturers for details on how they guard against infections, among them Hon Hai Precision Industry Co., which is based in Taiwan and has an iPod factory in China; Singapore-based Flextronics International Ltd.; and Taiwan-based Quanta Computer Inc. and Asustek Computer Inc. All declined comment or did not respond.
The companies whose products were infected in cases reviewed by the AP refused to reveal details about the incidents. Of those that confirmed factory infections, all said they had corrected the problems and taken steps to prevent recurrences.
Apple disclosed the most information, saying that the virus that infected a small number of video iPods in 2006 came from a PC used to test compatibility with the gadget's software.
Best Buy, the biggest consumer electronics outlet in the U.S., said it pulled its affected China-made frames from the shelves and took "corrective action" against its vendor. But the company declined repeated requests to provide details.
Sam's Club and Target say they are investigating complaints but have not been able to verify that their frames were contaminated.
Legal experts say that manufacturing infections could become a big headache for retailers that sell infected devices and the companies that make them, if customers can demonstrate that they were harmed by the viruses.
"The photo situation is really a cautionary tale. They were just lucky that the virus that got installed happened to be one that didn't do a lot of damage," said Cindy Cohn, legal director for the Electronic Frontier Foundation. "But there's nothing about that situation that means next time, the virus won't be a more serious one."
Conditional Access Trial a Month Away -- Posted by soullezz
on Tuesday, March 11 2008
A number of eyes in the satellite TV and conditional access world are focusing on April 8. That's the day when a jury that will be seated by a California District Court will begin scrutinizing litigation between NDS Group, DISH Network and its conditional access partner NagraStar.
NDS Group, the TV technology unit of News Corp., faces a $1 billion claim concerning allegations that it leaked trade secrets of rivals and clients. According to press accounts of the lawsuit from Australia Financial Review, DISH Network and NagraStar, which supplies conditional access solutions to the DBS platform, have made claims that pirates gained information on signal security technology through leaks allegedly provided by competitors.
For its part, NDS has said the allegations are a baseless attempt to damage its business.
DISH Takes Aim at NAB's Locals Proposal -- Posted by soullezz
on Monday, March 10 2008
DISH Network took aim at the National Association of Broadcasters and its push to force DBS services to carry locals for all 210 DMAs, saying regulators should "not be duped by NAB's attempt to stonewall the process by engaging in a fishing expedition."
At issue is a proposal for DBS services to carry all local HD signals for markets they choose to offer local HD broadcast service. Both DISH Network and DIRECTV have offered to carry local HD signals for the markets they serve on a phased-in basis, hoping to cover any markets they serve with high-def stations within a four-year time period.
That apparently is not good enough for the broadcast lobby, which has asked the Federal Communications Commission to require DBS services to carry all locals from the nation's market areas.
Said DISH in response, "NAB can run its own calculation - just as Spanish-language programmers, consumer groups, rural telcos and others have done - to determine that EchoStar and DIRECTV cannot support an immediate HD must-carry mandate."
The company added, "What also is a matter of public record, however, is that the vast majority of television stations NAB claims to represent are in no position to broadcast in HD come February 2009. The 30 million U.S. households relying on DBS should not suffer just because NAB has not done its homework."
NPS to FCC: Figure Out Distant Nets Before DTV Switch -- Posted by soullezz
on Monday, March 10 2008
As the nation's transition to digital TV draws closer, another wrinkle has developed prior to the February 2009 switch: What about consumers who do not have access to any digital broadcast signals?
National Programming Service, the C-Band programming company that has been in business since 1985, raised that concern late last week. In a letter sent to the Federal Communications Commission Friday, NPS urged the agency to adopt rules that would provide consumers with the tools to determine - prior to the digital TV transition - how best to receive digital broadcast network signals.
"The urgency for simple and straightforward eligibility criteria to determine whether a household is unserved by digital signals is heightened by the rapidly approaching date for the digital transition," NPS said in its filing.
The company asked the FCC to take action to ensure that TV viewers who are unable to access off-air digital signals after the DTV conversion can obtain broadcast network signals through other means, including distant network signals.
NPS said there should be an accurate predictive model to determine digital signal availability. With the model, consumers who do not get an over-the-air signal could determine their eligibility for distant digital signals. Consumers also could use the model at a particular location to determine the type of off-air digital antenna needed to receive local digital signals, the company said.
In addition, NPS asked the commission to adopt a transitional mechanism that would establish a limited time period during which consumers who are unable to receive an off-air digital signal could qualify for distant digital signals without seeking a waiver from local broadcast stations.
In its filing, NPS said it serves more than 40,000 C-Band subscribers with programming services, including distant network signals for qualified customers. In 2006, NPS began providing distant network television service to DBS subscribers.
NPS to FCC: Figure Out Distant Nets Before DTV Switch -- Posted by soullezz
on Monday, March 10 2008
As the nation's transition to digital TV draws closer, another wrinkle has developed prior to the February 2009 switch: What about consumers who do not have access to any digital broadcast signals?
National Programming Service, the C-Band programming company that has been in business since 1985, raised that concern late last week.
NPS to FCC: Figure Out Distant Nets Before DTV Switch -- Posted by soullezz
on Monday, March 10 2008
As the nation's transition to digital TV draws closer, another wrinkle has developed prior to the February 2009 switch: What about consumers who do not have access to any digital broadcast signals?
National Programming Service, the C-Band programming company that has been in business since 1985, raised that concern late last week. In a letter sent to the Federal Communications Commission Friday, NPS urged the agency to adopt rules that would provide consumers with the tools to determine - prior to the digital TV transition - how best to receive digital broadcast network signals.
"The urgency for simple and straightforward eligibility criteria to determine whether a household is unserved by digital signals is heightened by the rapidly approaching date for the digital transition," NPS said in its filing.
The company asked the FCC to take action to ensure that TV viewers who are unable to access off-air digital signals after the DTV conversion can obtain broadcast network signals through other means, including distant network signals.
NPS said there should be an accurate predictive model to determine digital signal availability. With the model, consumers who do not get an over-the-air signal could determine their eligibility for distant digital signals. Consumers also could use the model at a particular location to determine the type of off-air digital antenna needed to receive local digital signals, the company said.
In addition, NPS asked the commission to adopt a transitional mechanism that would establish a limited time period during which consumers who are unable to receive an off-air digital signal could qualify for distant digital signals without seeking a waiver from local broadcast stations.
In its filing, NPS said it serves more than 40,000 C-Band subscribers with programming services, including distant network signals for qualified customers. In 2006, NPS began providing distant network television service to DBS subscribers.
Liberty Welcomes DIRECTV into Biz -- Posted by soullezz
on Sunday, March 2 2008
In a conference call with analysts Thursday, Liberty Media President and CEO Greg Maffei welcomed DIRECTV and its executives into the Liberty fold.
"We are thrilled to have Chase (Chase Carey, DIRECTV CEO) and the rest of DIRECTV joining the Liberty family," Maffei said.
And it appears the executives at Liberty Media remain impressed with the DBS platform. Citing the company's steady subscriber gains and aggressive programming and promotion initiatives, Maffei said, "We always believed that DIRECTV's management was on the right track."
On Thursday, Liberty Media acquired a 41 percent stake in DIRECTV in exchange for its 16 percent interest in News Corp.
Now that it holds the DIRECTV stake, the previously announced reclassification of Liberty Capital Tracking stock is set for completion within the next few days. Liberty said the new Liberty Entertainment tracking stock and reclassified Liberty Capital tracking stock will begin trading Tuesday.
The Liberty Entertainment Group tracking stock will contain the company's interests in DIRECTV, three regional sports networks, Starz Entertainment, FUN Technologies, GSN and WildBlue Communications.
The Liberty Entertainment Group also will contain $1 billion in cash and $551 million of publicly traded exchangeable debt.
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