TV stations are starting to see a gradual improvement in advertising, but the future remains uncertain, said broadcast executives and S&P Global Market Intelligence analyst Robin Flynn during a teleconferenced 2020 Kagan Media Summit Thursday. The second day of the COVID-19 version of the summit is set for June 25.
Commenters opposed to allowing TV broadcasters to use Longley-Rice studies of signal strength as a substitute for Nielsen data to qualify for “significantly viewed” status don’t appreciate how low the FCC’s bar for viewership is, said Gray Television in replies posted to docket 20-73 Tuesday. Commenters such as Nielsen argued signal strength isn’t a stand-in for information demonstrating actual viewership (see 2005150062). Gray said the agency’s viewership threshold for significantly viewed status is lower than the threshold to be considered financially viable. The FCC “can reasonably presume that, if Longley-Rice shows a station’s signal is available to at least 25% of the land area or population of a county, that station would satisfy the minimal viewership requirements,” Gray said. “A predictive model cannot tell anyone whether a station is viewed at all, let alone how much or how often it is viewed,” said Nielsen. “The premise underlying this Notice -- that Nielsen has made changes that make getting data on over-the-air viewing more difficult -- is mistaken.” NCTA and AT&T and Dish Network said there's no reason to change the status quo. Gray said broadcasters seeking significantly viewed status should be credited for translators, and low-power TV stations and Class A's should be able to qualify for inclusion on the significantly viewed list and receive network nonduplication and syndicated exclusivity protections.
The FCC issued the order wrapping up dangling aspects of ATSC 3.0 rules, as expected (see 2006050054). Stations with fewer than three potential simulcasting partners would be eligible to receive simulcast waivers, if they commit to taking reasonable efforts to provide ATSC 1.0 service during the transition. That could be by providing consumers with converters, but the order said the agency would consider other ideas. Waiver applications that include providing free converters to consumers will be looked upon “favorably,” the order said. The order doesn’t grant a blanket waiver to noncommercial educational or low-power TV stations, as some commenters sought. The order also doesn’t allow broadcasters to use vacant channels for the transition, and rejects reconsideration petitions of the 3.0 order from the American Television Alliance and NCTA. “If warranted by market conditions in the future, we may revisit the need for permitting broadcasters to use vacant channels as transition channels,” the order said. Commissioners Jessica Rosenworcel and Geoffrey Starks dissented in part, raising concerns about the costs passed on to consumers and the order’s lack of requirements that 3.0 patents be licensed on a reasonable and nondiscriminatory basis. That’s inconsistent with past policy, and in this case, “a single broadcaster holds the essential ATSC 3.0 patents and thus can set pricing and terms for any other broadcaster seeking to transition,” said Starks. Sinclair and affiliates are said to hold several 3.0 patents. “By failing to follow history here, FCC is conferring special status on those who hold key patents without requiring fair terms in exchange,” Rosenworcel said. Commissioner Mike O’Rielly voted to approve but said broadcasters should be able to self-certify they can’t find sharing partners. O’Rielly and both Democrats said they agreed with the decision to keep transitioning broadcasters off vacant channels. “This is clearly a premature matter that can be examined later, if absolutely necessary,” he said. The order said stations’ significantly viewed status doesn’t change while their 1.0 channel is being hosted by another broadcaster.
Microsoft, public interest groups and some broadcasters disagree with NAB, America’s Public Television Stations, larger broadcasters such as Meredith and Tegna, and both the BitPath (formerly SpectrumCo) and PearlTV ATSC 3.0 consortiums on whether proposed changes to the rules on TV distributed transmission systems would lead to stations with vastly expanded reach. “The intent of the proposed rule change is not to have broadcasters reach viewers beyond their authorized service area,” said Pearl TV in comments filed by Friday’s deadline in docket 20-74, urging the FCC to “stay focused.” The FCC shouldn’t be “spawning monstrous megastations that are largely divorced from any real connection to the ‘communities’ that they are licensed to serve,” said TV broadcaster PMCM.
News media freedom organizations asked local and state governments to curb attacks and arrests on journalists, which have reached an unprecedented height, those groups said. The challenges police face during the recent wave of protests “in no way justifies police violence toward the press and others who enact their protected rights to document and record these protests,” said a letter to the city of Philadelphia Friday from Free Press, public broadcaster WHYY, Common Cause and many press freedom and local news organizations. “This is not a question of a few isolated missteps,” said the Committee to Protect Journalists in a letter to U.S. mayors, governors and police chiefs Friday. “These reports have come from 53 different communities across 33 states.”
The FCC is expected to approve a draft declaratory ruling and NPRM on rules for ATSC 3.0 “broadcast internet” (see 2005180066) at Tuesday’s meeting with few changes. Commissioners already voted to approve a separate order that largely won't allow broadcasters to use vacant TV bands for the 3.0 transition but permits waivers of simulcast rules.
A petition asking the FCC to change the rules for the signals FM boosters are allowed to transmit to make geotargeted radio ads and content possible is widely supported and considered a likely candidate for eventual FCC approval, said broadcasters and their lawyers in recent interviews. Some big broadcasters have concerns, but that may not derail the whole proceeding, stakeholders said.
Salem Media Q1 sales decreased 3.7% to $58.3 million from the year-ago quarter, the radio broadcaster reported Monday evening. Salem estimated April revenue was down 24% and May down 23%, but numbers are edging up for June. In an investor call, CEO Edward Atsinger said revenue was “clearly impacted by financial fallout from COVID-19.” Salem has laid off 10% of employees, reduced base salary for every employee, suspended 401K matching, and asked for forbearance from lenders, Atsinger said. The stock closed down Tuesday 12%, below $1.
FCC commissioners and broadcasting and journalism organizations condemned attacks on broadcast reporters by protesters and police in a host of statements issued Monday and over the weekend. Numerous incidents involving police and protesters attacking or accosting journalists were recounted in news reports and on social media during the weekend of protests sparked by the May 25 death of George Floyd while being subdued by police.
Since it began holding commissioners’ gatherings via teleconference March 31, the FCC reduced news briefings it holds after monthly meetings. Eighth-floor officials suggested logistical and technical concerns could be factors. Republican commissioners have held all of the few post-meeting media briefings, while Democratic commissioners and bureaus held none. Chairman Ajit Pai held one.