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Shouldn't FCC Rules Over Indecency Just Grow Up? Reflections on Free Speech and Converging Media

WASHINGTON, November 4 – This article, “TV Has Grown Up. Shouldn’t FCC Rules?” first appeared in the Washington Post Outlook section on Sunday, May 16, 2004, or nearly four-and-a-half years ago. It remains more relevant today than ever: the Supreme Court is today considering Federal Communications Commission v. Fox Television Station, a case about whether the FCC acted properly in sanctioning Fox over the use of the words “fuck” and “shit” on broadcast television.

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Editor’s Note: This article of mine, “TV Has Grown Up. Shouldn’t FCC Rules?” first appeared in the Washington Post Outlook section on Sunday, May 16, 2004, or nearly four-and-a-half years ago. It remains more relevant today than ever: the Supreme Court is today considering Federal Communications Commission v. Fox Television Station, a case about whether the FCC acted properly in sanctioning Fox over the use of the words “fuck” and “shit” on broadcast television. (November 4, 2008)

We Americans have always been on intimate terms with our televisions. They sit in our living rooms. They keep us company. They show us family values, from “I Love Lucy” to “All in the Family” to “The Cosby Show.” So it seems only natural that if our TV friends misbehaved by speaking foul language or showing too much skin, they would be in trouble — perhaps even grounded — very quickly.

Television and radio have always occupied a unique space in the nation’s public conversation, and politicians going back to at least Franklin Roosevelt and his “fireside chats” have understood the power of the electronic soapbox. Part of its influence came from an inherent limitation: The finite number of broadcast frequencies. That led the government to create the Federal Communications Commission, which regulated who could and couldn’t use the airwaves. The FCC also developed rules on what broadcasters couldn’t say.

But now our televisions and radios have grown up, and they have gotten married to all sorts of other electronic devices and technologies. These marriages are producing multimedia offspring that bear little or no resemblance to the bulky boxes of yesterday. This “convergence” of various technologies, as this trend is known in the industry, renders obsolete many of the rules that have governed broadcasting for decades.

It no longer makes any sense to impose one set of rules on the “over-the-air” networks while cable, Internet, satellite and music providers can send — almost unimpeded — all sorts of programming directly to your living room, car, laptop and even your cell phone.

Consider these three scenarios:

• A couple in Los Angeles — I’ll call them the TechnoYuppies — bought a 50-inch wide-screen plasma Gateway Media Center in March, just in time to watch the blood-soaked fifth season premiere of HBO’s “The Sopranos” in high-definition color and surround sound. With their $6,999 television-computer video player hooked up to Time Warner’s digital cable system, the family can also order many cable programs on demand — something their 3-year-old daughter likes because she doesn’t need to wait for the next “Scooby-Doo” on Cartoon Network. Mr. TechnoYuppie is particularly fond of the Media Center because it will allow him to access the Internet with a remote control and download episodes of “Fawlty Towers” (soon to be available on BBC’s Web site), which he will then be able to watch over the high-speed cable modem.

• Surfer Dude, a college student, used to tune into shock jock Howard Stern on a local radio station owned by Clear Channel Communications Inc., but when the FCC went after Stern for “indecency” a few months ago Clear Channel dropped Stern from its broadcasting stations. Surfer Dude hopes Stern will syndicate his show to satellite radio, where Stern can shock to his heart’s content. (In anticipation of such a deal, Surfer Dude recently installed a $260 Kenwood digital radio in his car and subscribed to the new Sirius satellite service.) Meanwhile, he spends drive time listening to Eminem’s uncut rap tracks on his Apple iPod, which he plays over his car radio with a $69 wireless transmitter.

• Mr. and Mrs. Protective Parents try to keep the influence of the media from their four children, ages 5 to 13. Unlike most Americans, this high-tech couple knows how to use the “V-chip” now included in all new televisions, and blocks all programs rated TV-14 or TV-MA. The family decided to enter the digital age in April, buying the RCA digital versatile disc player from Wal-Mart with parental controls by ClearPlay. The software is smart enough to skip over scenes of nudity or profanity in box-office hits such as “Terminator 3.”

Readers who think that these situations seem futuristic should realize that nothing is made up here except for the people. This plethora of viewing and listening choices demonstrates that the current debate over broadcast indecency standards is woefully out of touch with the realities of the digital world as we now know it — not to mention the world that is just over the horizon.

The TechnoYuppies are like 88 percent of current Americans who get cable or direct broadcast satellite services for more channels — and better reception — than they would from a broadcast tower. But unlike the traditional television and radio signals that pass over certain broadcast frequencies, satellite and wireless are “free speech” airwaves — they aren’t subject to the indecency standards that the FCC cited in going after Stern.

This glaring inconsistency has some legislators in Washington scratching their heads and wondering: Why doesn’t everyone live by the same rules?

Some say that cable and satellite are different because consumers have to pay for them. But broadcast and pay channels sit side by side in the electronic programming guide. “The average consumer doesn’t distinguish over-the-air television from cable or satellite,” says Texas Republican Joe Barton, the new chairman of the House Energy and Commerce Committee. His vision? “If I can see it in my living room, and my grandson can click channels, the same rules of indecency apply.”

With the Senate about to debate a bill that would allow the FCC to boost its fines from $27,500 to $500,000, the answer to this question is vital and urgent. Whether you agree with Barton that all television and radio should be barred from transmitting what the government deems “indecent,” or whether you believe that all media should be free from such censorship, as I do, it seems clear that the current model has become unsustainable. That’s why the brief flash of Janet Jackson’s breast may be remembered decades from now not just as a silly show of bad taste, but as a defining moment in the country’s ongoing debate about free speech.

Congress began regulating broadcasters in 1927 on the grounds of scarcity. In return for free and exclusive use of a given wavelength, broadcasters agreed to serve the “public interest, convenience, and necessity” — or at least to do what Congress and the FCC ordered. One element of this agreement was a ban on obscene, indecent and profane language.

This scarcity theory has always lacked substance. Nobel Prize-winning economist Ronald Coase’s reputation is based, in part, on a notable paper he wrote in 1959 that criticized the rationale behind the FCC’s command and control regime of licensing broadcasters. “It is a commonplace of economics that almost all resources in the economic system (and not simply radio and television frequencies) are limited in amount and scarce, in that people would like to use more than exists,” Coase argued in his seminal essay.

But now technology has created new electromagnetic spectrum. Higher wavelengths than those used by traditional radio and television systems have been pressed into service for digital cellular telephones, wireless data connections, and satellite television and radios. The XM and Sirius satellite radio companies each offer hundreds of channels with less spectrum than all FM radio broadcasters combined. And cellular carriers now pack thousands of conversations on a channel that once served a single voice conversation.

Nonetheless, “scarcity” remains the foundation of a bifurcated jurisprudence. Newspapers, magazines, books and the Internet enjoy expansive First Amendment protections. Radio and broadcast television, defined as “public” properties, do not.

The Supreme Court accepted the scarcity theory in a 1943 case, when it upheld the FCC’s power to grant or deny privileges to electronic speakers. In 1969, the court went further, ruling in Red Lion v. FCC that scarcity required a Pennsylvania radio station to give free reply time to an author whose book was criticized over the air. Thus, the “fairness doctrine” was affirmed.

Then came the famous “seven dirty words” — comedian George Carlin’s 1973 satiric monologue about the seven words, as he put it, that “you couldn’t say on the public, ah, airwaves, um, the ones you definitely wouldn’t say, ever.” Except that the defiant and mischievous Carlin did say them on the radio — over and over and over again.

A father who heard the monologue in his car — with his young son along for the ride — complained to the FCC, which sanctioned the Pacifica station that carried Carlin’s monologue. In 1978, the Supreme Court said the monologue wasn’t obscene, but that it was “patently offensive.” The court ruled in FCC v. Pacifica that the pervasiveness of broadcasting, and its easy accessibility to children, justified the FCC’s authority to impose indecency limitations.

I don’t want my 4-year-old son to see crude or provocative shows when he turns on our television. I also don’t want him to see such material when he turns on our Internet-connected computer. Yet it would be impractical, as well as unconstitutional, for the government to set itself as the censor of cable, satellite and Internet content. It makes more much sense for consumers to determine what comes into their homes.

The technology exists for us to be masters of convergence — whether it’s a V-chip, or Internet and movie filters, or a blocking device that keeps out cable and satellite channels that we don’t want to see. And, of course, it doesn’t require technology to talk with our kids about viewing standards.

Within the next decade it will be impossible to distinguish between televisions and computers. More cable, satellite and high-speed broadband means that it is only a matter of time before all Americans get television over the Internet — wirelessly or through a pipe of fiber or copper. It’s time to recognize that Congress and the FCC can no longer be the nation’s “public interest” nanny. Instead of trying to preserve rules from a world that no longer exists, they would do better to encourage the development of tools that will let us regulate ourselves.

Breakfast Media LLC CEO Drew Clark has led the Broadband Breakfast community since 2008. An early proponent of better broadband, better lives, he initially founded the Broadband Census crowdsourcing campaign for broadband data. As Editor and Publisher, Clark presides over the leading media company advocating for higher-capacity internet everywhere through topical, timely and intelligent coverage. Clark also served as head of the Partnership for a Connected Illinois, a state broadband initiative.

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John English: Isolating Last-Mile Service Disruptions in Evolved Cable Networks

The adoption of new technologies presents operators with a plethora of new variables to manage on the user control plane.

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The author of this Expert Opinion is John English, Director of Service Provider Marketing and Business Development for Netscout

Cable operators are increasingly investing in next-generation network infrastructure, including upgrades to support distributed access architecture and fiber to the home.

By bringing this infrastructure closer to subscribers, cable operators are evolving their networks, adopting greater virtualization  and redistributing key elements toward the edges. They expect these changes to increase their network’s interoperability and, ultimately, improve the speed and uptime available to subscribers. In turn, cable operators expect these new capabilities will help redefine what services they can offer.

However, these new advanced networks are much more complex than previous generations. By virtualizing or cloudifying functions at the edge, operators risk losing the sort of visibility that is essential to rapidly pinpointing the source of service disruptions – and ensuring their networks are meeting desired performance thresholds for next-gen applications.

The challenge of complexity in virtualized networks

As cable networks evolve, so does their complexity. The adoption of technologies like virtualized Cable Modem Termination Systems (vCMTS) and distributed access architecture presents operators with a plethora of new variables to manage, particularly on the user control plane.

Always-on applications and those applications that are most sensitive to network performance changes, such as video games, AR/VR, and remotely-piloted drones, to name just a few examples, require continuous measurement and monitoring for reliability. But ensuring consistent quality of service under all conditions the network may face is no small feat.

To illustrate, let’s consider how cable operators will manage disruptions in a virtualized environment. When issues inevitably pop up, will they be able to isolate the problem virtually, or will they need to dispatch a technician to investigate? Additionally, once a technician is onsite, will they have advanced intelligence to determine if the source of the problem is hardware or software-related?

Or will they need to update or replace multiple systems (e.g., consumer premesis equipment, optical network terminals, router, modem, etc.) to try to resolve the problem? Finally, will they need to also investigate additional network termination points if that doesn’t do the trick?

Indeed, each time a truck or technician is dispatched represents a significant outpouring of resources, and adopting a trial-and-error, process-of-elimination approach to resolution is a costly means of restoring service that cable operators cannot afford at scale. Likewise, the customers that depend the most on constant network availability and performance for various uses, such as content distribution networks, transportation services, and industrial manufacturers, won’t tolerate significant disruptions for long.

Packet monitoring for rapid resolution of last-mile disruptions

In the evolving landscape of cable networks, where downtime can lead to customer dissatisfaction, churn, and revenue loss, rapid resolution of last-mile service disruptions is paramount. Cable operators need more advanced network telemetry to understand where – and why – disruptions are occurring. In short, evolved networks require evolved monitoring. This starts with deep packet inspection at scale.

Packets don’t lie, so they offer an excellent barometer into the health of both the control and user planes. Additionally, they can help determine last-mile & core latency per subscriber, as well as by dimension, so operators can test how different configurations affect performance.

Additionally, in the event of a major service disruption, packet monitoring at the edge enables operators to accurately measure how many subscribers are out of service – regardless of whatever hardware or software they’re using – and determine if there’s a common reason for mass outages to help technicians resolve any problems faster. Finally, proactive monitoring, especially when combined with artificial intelligence, empowers operators to detect and address potential issues before they impact subscribers.≠

All in all, cable operators are navigating a challenging yet exciting era of network evolution. The transition to advanced infrastructure and the demand for high-quality, low-latency services necessitate sophisticated monitoring and diagnostic tools. Deep packet inspection technology will continue to play a pivotal role in ensuring the smooth operation of evolved cable networks.

Additionally, in the quest to maintain the quality of service expected by subscribers, operators must abandon the costly process-of-elimination approach and adopt rapid resolution techniques. By doing so, they will not only reduce service disruption but also make more efficient use of resources, ultimately benefiting both their bottom line and the end user’s experience. Evolved cable networks require evolved strategies, and rapid issue isolation through advanced monitoring must be at the forefront of this transformation.

John English is Director of Service Provider Marketing and Business Development at Netscout’s Service Provider unit. He has an extensive background in telecom, including a decade at a major communications service provider and numerous OEMs and ecosystem partners. English is an expert on how communications service providers can successfully implement new technologies like 5G and virtualization/cloudification while continually assuring the performance of their networks and services. This piece is exclusive to Broadband Breakfast.

Broadband Breakfast accepts commentary from informed observers of the broadband scene. Please send pieces to commentary@breakfast.media. The views expressed in Expert Opinion pieces do not necessarily reflect the views of Broadband Breakfast and Breakfast Media LLC.

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Ted Hearn: Is a Ban on Cable and Satellite ‘Junk Fees’ Rate Regulation?

The Federal Communications Commission says no.

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The author of this Expert Opinion is Ted Hearn, editor of Policyband

The Federal Communications Commission could have a legal problem on its hands, but agency lawyers seem to have crafted what appears to be an acceptable workaround: Don’t call a ban on certain cable and satellite TV billing fees rate regulation – call it consumer protection.

At its Dec. 13 open meeting, FCC Chair Jessica Rosenworcel is planning to launch a rulemaking designed to bar cable and satellite TV providers from collecting early termination fees and billing cycle fees – even though the agency receives just hundreds of informal complaints about these fees annually. The U.S. has 53.3 million cable and satellite TV subscribers combined, down 15.7 million since January 2021.

Although the FCC says a ban on these fees has nothing to do with rate regulation, the agency is likely to face strong rebuttal on this point – if not from NCTAitv, the trade association for large cable TV operators, then at least from Charter Communications.  Charter invoked impermissible rate regulation in its court fight against a billing cycle fee ban adopted by the state of Maine in 2020 that remains in effect.

In seeking U.S. Supreme Court review of its loss below, Charter was emphatic that Maine’s billing cycle fee statute embraced prohibited price regulation by requiring partial-month refunds.

“Maine’s law … caps Charter’s rates during the final month of service and precludes Charter from charging either for the full month, or a daily rate higher than its standard monthly rate. That is rate regulation, pure and simple,” Charter said last year in a brief with the high court. The Supreme Court declined to take the case, handing victory to Maine.

An early termination fee is collected when a customer cancels service prior to the expiration of an existing service contract, which can run as long as 24 months. A billing cycle fee involves denial of pro rata refunds when customers cancel before the end of the month. Echoing President Biden, Rosenworcel blasted ETFs and BCFs as “junk fees” that penalize consumers and impede competition.

If all goes according to plan, the FCC will adopt new junk fees rules in 2024. The FCC has floated an exemption for small or rural cable TV operators, but it put the onus on these entities to justify any special treatment.

The FCC’s crackdown on ETFs and BCFs would run counter to the agency’s bipartisan light-touch approach to cable TV regulation that began more than two decades ago. By law, the FCC in 1999 had to cease regulating the price of cable’s expanded basic tier, a service level which typically includes ESPN, C-SPAN, CNBC, and Fox News. 

In 2015, the FCC stripped away the last layer of cable rate regulation. The agency, led at that time by Chairman Tom Wheeler, an Obama appointee, held that every cable operator in the country was subject to “effective competition.” That prevented local governments from continuing to regulate cable’s basic tier – the traditional home of local TV stations and public access channels. Rosenworcel, then an FCC Commissioner, voted against the Wheeler plan as going too far.

Rosenworcel is evidently not planning on letting the agency’s long legacy of cable deregulation to prevent her from pivoting in the opposite direction.

Sprinkled throughout the FCC’s junk fees ban proposal are references to recent court cases holding that BCFs are not rate regulation preempted by federal law, but rather consumer protection measures that states are permitted to adopt and enforce. The FCC said the logic used by the courts in upholding state BCFs applies just as well to a would-be ETF ban.

The FCC said its authority to ban ETFs and BCFs on cable is contained in the 1992 Cable Act, saying it provides for the agency to protect “consumers against … poor customer service” and “establish standards by which cable operators may fulfill their customer service requirements.”

Whether past FCC cable deregulation steps would prevent a junk fees ban, the FCC concluded: “The applicability of ETF and BCF regulations are not affected by the existence of effective competition in a community.”

DBS providers Dish and DirecTV will probably have an easier time than cable in getting a junk fees ban struck down in court.

Since their arrival in the mid-1990s, Dish and DirectTV have never been price regulated at the state or federal level or subject to any form of cable-like specific customer service obligations adopted by the FCC. 

Still, the FCC is confident regarding its power to act, asserting that it retains “exclusive jurisdiction to regulate the provision of direct-to-home satellite services” and authority to impose “public interest or other requirements for providing video programming” on DBS.

In a final rationale left undeveloped, the FCC said a junk fees ban exemption for Dish and DirecTV would be inappropriate because it would allow the DBS providers to gain “a competitive advantage over their competitors through the use of ETFs and BCFs.”

The FCC failed to explain how DBS reliance on junk fees deemed unlawful for cable could be an effective tool at keeping customers or attracting new ones while Dish and DirecTV bled nearly 700,000 subscribers in the most recent quarter.

Maybe FCC lawyers don’t have it all figured out after all.

Ted Hearn is the Editor of Policyband, a new website dedicated to comprehensive coverage of the broadband communications market. A former communications executive and reporter for newsletters and trade journals, Hearn has decades of experience with traditional video and broadband industry trends, regulatory developments, technology advancements, and market dynamics. This piece is exclusive to Broadband Breakfast.

Broadband Breakfast accepts commentary from informed observers of the broadband scene. Please send pieces to commentary@breakfast.media. The views expressed in Expert Opinion pieces do not necessarily reflect the views of Broadband Breakfast and Breakfast Media LLC.

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Kate Forscey: National Security and Global Success Depend Upon Prioritizing Telecom Funding

The Affordable Connectivity Program and the Rip-and-Replace program are both central funding needs for the industry.

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The author of this Expert Opinion is Kate Forscey, contributing fellow for the Digital Progress Institute

With the government now funded into the new year, it’s time for Congress to take another look at its broader priorities, especially when it comes to the race with China for dominance in next-generation technologies. Whether it’s AI or cloud computing or virtual reality, if the United States is to remain competitive, we need to make secure and effective communications a priority. This means finally connecting all Americans to high-speed broadband and ensuring that our connectivity cannot be undermined by foreign adversaries.

Two popular programs are central to this goal: the Affordable Connectivity Program and the Rip-and-Replace program. Both of these programs have tremendous bipartisan, bicameral support; but both have been underfunded and now risk dying on the vine. Congress has the opportunity to fully fund these programs if it has the will to do so.

Let’s break it down.

The Affordable Connectivity Program provides low-income American families and veterans with discounts on Internet service and connectivity equipment, including higher discounts for those living on Tribal lands. With affordable broadband, more Americans can get online and be a part of the digital economy.

The ACP has been wildly successful, connecting over 21 million households to essential broadband they could otherwise not afford. And it continues to garner widespread support, with the vast majority of voters (78%) calling for its extension, including 64% of Republicans, 70% of Independents, and 95% of Democrats.

Congress provided the ACP with $14.2 billion in 2021—but funding is now running low and is projected to be fully exhausted by spring 2024. Governors, lawmakers on both sides of the aisle, public interest groups, and Internet service providers are all raising the alarm about its imminent depletion. That’s why the Biden Administration in October called on Congress to replenish the program’s coffers with an additional $6 billion.

A good start, but not the whole story. Our foreign adversaries are well known for their espionage, and while a spy balloon might get the attention, a far more insidious problem lurks in our communications networks: equipment designed and produced by Chinese suppliers Huawei and ZTE. A bipartisan Congress passed the Secure and Trusted Networks Act to eradicate national security threats such as these, but sufficient funding for the Rip and Replace program has never materialized.

Again, the Biden Administration has stepped up and identified a need for $3.1 billion to fully fund the program as a “key national security priority” in its emergency supplemental funding request. It’s a narrative we can all get on-board with: that broadband falls under the umbrella of national security as a whole. American consumers and institutions both benefit from American-built networks and increased protection at home. But communications providers can’t live up to these needs on their own.

As it stands, the responsibility to get affordable, secure connectivity programs across the finish line rests with Congress. Even with a consensus of support for these two programs, the devil is in the details of how to make the price tags palatable to enough policymakers on Capitol Hill. The key is ensuring that any changes preserve the widespread efficacy of the program that has made it popular so far.

For example, Congress could cut the cost of the ACP by limiting the additional Tribal funding to rural Tribal lands. Any such change should be grounded in an evaluation of existing need in urban areas, but could be an opportunity to ensure funds are being directed to areas of greatest need. And Congress should consider indexing the ACP to inflation. The high inflation of recent years has wreaked havoc on the budgets of consumers—and inflation-proofing the program would ensure that broadband remains affordable for all Americans even should inflation come back.

As for Rip-and-Replace, those of us urging for more funds could concede putting safeguards in place to ensure the money is being used for its intended purpose – the kind of compromise needed to get such policies across the finish line

These are just some ideas as we head into the final funding fight. Not everyone is going to be on the same page on what is and isn’t working best, but shared success starts by recognizing that we all have the same endgame. Congress must ensure that adequate funding for the ACP and Rip and Replace program are included in any year-end spending package. We have an all-too-rare opportunity to win the race for high-tech dominance—we just need to provide the resources.

Kate Forscey is a contributing fellow for the Digital Progress Institute and principal and founder of KRF Strategies LLC. She has served as senior technology policy advisor for Congresswoman Anna G. Eshoo and policy counsel at Public Knowledge. This piece is exclusive to Broadband Breakfast.

Broadband Breakfast accepts commentary from informed observers of the broadband scene. Please send pieces to commentary@breakfast.media. The views expressed in Expert Opinion pieces do not necessarily reflect the views of Broadband Breakfast and Breakfast Media LLC.

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