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XM Satellite Radio ’secretly acquired’ patent that would allow it...

XM Satellite Radio “secretly acquired” patent that would allow it to provide local radio programming through its terrestrial repeater network, NAB Pres. Edward Fritts charged in statement about NAB’s ex parte filing to FCC. Fritts said patent acquisition suggested…

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FCC either “dropped the ball” on handling of terrestrial repeater licensing or “XM believes it does not have to play by the rules.” He also cited what he called XM’s “lack of candor.” XM has promised FCC it wouldn’t relay local programming through its repeater network, NAB said, and local broadcasters have said repeatedly that it was critical that XM not be able to offer local programming, which would make it more competitive with local radio stations. Ex parte filing said XM received patent Feb. 12 “for a process specifically designed to use terrestrial repeaters to ‘provide geographically targeted broadcast data, such as weather, sports scores, advertisements and the like.'” NAB said: “To put it bluntly, while XM was telling the Commission that it had no plans to use repeaters other than to fill gaps, it was actively developing technology specifically intended to use repeaters to provide locally differentiated material.” Ex parte filing suggested that XM might try to avoid problems by including geographically targeted material in main satellite signal, with geographic triggers that would cause local repeaters to rebroadcast only local signals. “The Commission must assume that XM did not invest substantial resources to develop this technology without intending to use it,” NAB said. Group said patent made it even more important that FCC rules make it clear that same programming must be related by repeaters nationwide. XM officials didn’t immediately comment.