FCC MEDIA BUREAU CALLS ECHOSTAR 2-DISH PLAN DISCRIMINATORY
EchoStar’s “2-dish” plan for meeting local-into-local broadcast carriage requirement violates FCC rules and Communications Act, Commission said Thurs. Agency ordered EchoStar to comply with single-dish requirement and give progress report within 30 days. Action was in response to petition by NAB and ALTV (CD Jan 25 p5). “We're gratified the FCC has recognized that EchoStar’s 2-dish scheme was an anticonsumer ploy to evade FCC rules and regulations,” NAB Pres. Edward Fritts said: “Local television viewers will be the beneficiaries of today’s action.” EchoStar and DirecTV didn’t immediately comment.
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EchoStar had proposed to carry local TV signals on separate satellite, requiring separate dish to receive signals. DBS operator had said 2-dish plan would make it easier to carry more local TV signals. However, broadcasters said that would relegate local TV signals to 2nd-class status.
Even if 2nd dish is available without charge, FCC Media Bureau said, requiring 2nd dish is discriminatory. It also noted that local channels weren’t listed on electronic program guide (EPG) unless 2nd dish was installed, and even then weren’t included on menu in same way as programs on first dish. Bureau also said subscribers might not be aware that: (1) They were missing channels on 2nd dish. (2) There would be significant time, trouble and inconvenience associated with installing 2nd dish. (3) Placement on 2nd dish would violate requirement for contiguous channel placement. (4) EchoStar had failed to adequately inform subscribers about 2nd dish.
Decision was “an important and necessary action to ensure that all broadcast stations are carried in a nondiscriminatory manner,” Media Bureau Chief Kenneth Ferree said. He said EchoStar plan would “make some stations unavailable to subscribers as a practical matter” and said he expected EchoStar to “quickly and completely comply with the letter and spirit of the [Satellite Home Viewer Improvement Act] as intended by Congress and upheld by the courts.”
Bureau suggested several ways for EchoStar to comply with rules, including: (1) Moving local TV stations onto main satellite, so 2nd dish wouldn’t be needed. (2) Notifying consumers clearly that they were not receiving all local stations without 2nd dish. (3) Installing 2nd dish automatically when first was ordered. (4) Presenting all stations together on EPG and any other menu.
EchoStar can apply for temporary waiver if it’s not able to comply immediately with rules for any local-into-local market, Media Bureau said. It said it would address specific issues in pending individual must-carry cases.