Anti-consolidation groups arguing against the 2014 quadrennial review and ownership reconsideration order (see 1812210070) lacked enough evidence to conclude the rule changes wouldn't significantly affect minority and female ownership and fail to account for the FCC's "reasonable judgment" that competitive changes and public policy considerations supported the moves. So argued the agency in a docket 17-1107 brief (in Pacer) posted Friday with the 3rd U.S. Circuit Court of Appeals. The agency said it kept its restriction on mergers among the top-four rated stations because the record showed that prohibition was still an appropriate way to preserve programming competition. It said there's no requirement it show every ownership rule independently "promotes every form of diversity" and regardless, it looked at alternatives to promoting minority or female ownership but concluded they posed First and Fifth amendment challenges. The ownership rules "desperately needed change" and petitioners don't establish a right to relief under the Administrative Procedures Act deferential standard of review since the the FCC met its legal obligation by looking at the rules in light of competition, industry intervenors said (in Pacer). They said the challenge of the FCC's radio station ownership incubator program, if successful, would reverse the agency's first meaningful attempt in a generation at boosting female and minority ownership. They said petitioners seek "wildly overbroad remedies" that would invalidate actions not being challenged. The intervenors are Nexstar, Fox, News Media Alliance, NAB, News Corp., Bonneville International, Sinclair and Connoisseur Media. Petitioner outside counsel emailed us it's reviewing industry and FCC briefs but "neither grapples with the fundamental failure of the FCC to consider the harm to ownership by women and people of color caused by media consolidation.”
With an FCC freeze lifted, some expect many requests for displacement relief from low-power TV stations. The Media Bureau ordered that effective April 18, the hiatus will be off, after it was "imposed to preserve channels for the window for LPTV/translator stations displaced by the Incentive Auction to file displacement applications. Applications are on a first-come, first-served basis, said the public notice in Wednesday's Daily Digest. "The freeze on the filing of applications for new LPTV/translator digital stations and major changes remains." Requests for digital companion channels also will be accepted. The LPTV Spectrum Rights Coalition expects 2,500-plus applications for relocation channels and a "wide variety of modifications," it emailed Thursday: "Full Employment For Consulting Engineers and Comm Counsel!" Fletcher Heald's Peter Tannenwald expects "many stations seeking to file" on the first day, he blogged Wednesday. The freeze dates to 2010, he wrote. "The lifting of the freeze is permanent, unlike a limited-time application 'window.'"
Comments on FCC-proposed changes to rules on low-power FM and noncommercial educational station applications (see 1901110033) are due May 20, replies June 18, said Wednesday's Federal Register.
Salem Media Group is acquiring PJ Media, Salem announced. PJ Media will become part of Salem’s Townhall Media, increasing the footprint to more than 15 million unique readers monthly, Salem said.
Broadcaster arguments radio competes with unregulated digital companies are “unconvincing,” said the Future of Music Coalition in a meeting March 12 with an aide to FCC Commissioner Geoffrey Starks, it filed, posted Monday in FCC quadrennial review docket 18-349. Lack of oversight over digital companies “is not a reason for FCC to be less than diligent in its approach to regulating radio,” FMC said. Consolidation in terrestrial radio exacerbates problems from consolidation in adjacent marketplaces, the group said. The coalition is interested in opening up “additional lines of communication between the FCC and the music community.”
The Media Bureau has issued a protective order for sensitive or proprietary information in filings related to Nexstar's buying Tribune (see 1901300054), said a public notice in Monday’s Daily Digest.
The Incentive Auction Task Force and FCC Media Bureau released their catalog of reimbursable expenses for low-power television stations, TV translators and FM stations as a public notice in Monday's Daily Digest. The repacking reimbursement program for those stations was approved Friday (see 1903150073), and the order's text also was released. The catalog was approved on delegated authority. It's a “nonexhaustive” list of equipment, services and prices the stations can use as a “reference guide” for requesting reimbursement for repacking expenses, the PN said. “To the extent that particular equipment or services are not explicitly listed in the Catalog, we note that the Reimbursement Form provides flexibility for users to claim reimbursement for such reasonably incurred expenses.” The catalog's final version incorporates requested increases to the price ranges for lease negotiations and accounts for filing fees associated with some LPTV and FM applications. It doesn’t include requested line items for helicopter expenses or project manager fees, but said stations that incur such costs can submit vendor quotes and may be reimbursed “if such expenses are found to be reasonably incurred.”
Demand for premium music subscriptions can support multiple modes of delivery, platforms and formats, Macquarie Capital's Amy Yong wrote investors. The firm's survey found 75 percent of consumers stream audio monthly, and 40 percent use two or more services monthly. Fifty-three percent pay for streaming music services, which the analyst views as room for growth. Forty-nine percent used Spotify, and 61 percent of those didn't use Apple or Amazon in the previous two months, Yong said Wednesday, “question[ing] Apple/Amazon’s appeal as alternatives to Spotify.” Though 45 percent of respondents use AM/FM most often in vehicles, other 30 percent of respondents listen to other services and 21 percent to SiriusXM. Seventy-five percent of respondents listened to a podcast in the past six months and a third said they listen at least monthly. Spotify has bought podcast producer Gimlet and publisher/analytics firm Anchor (see 1902060010), and it sees nonmusic content reaching 20 percent of total listening. Pandora launched podcasts in Q4.
The Parents Television Council is concerned its opposition to the FCC kidvid proposal could negatively influence commission handling of the proceeding on TV ratings, PTC President Tim Winter told Chairman Ajit Pai Chief of Staff Matthew Berry and Commissioner Jessica Rosenworcel in meetings March 4, it filed in docket 19-41. “Both expressed confidence that any of PTC’s previous statements or policy positions on Kid Vid would not influence the Commission’s review or its findings in this matter." The FCC’s congressionally ordered examination of TV ratings is seen as stemming from PTC’s advocacy against the current TV ratings system (see 1903010046). The group said it will produce new research data for the FCC report. Winter also met Commissioner Brendan Carr.
FCC commissioners unanimously approved an order streamlining the reauthorization process for satellite TV stations, an item that was on Friday’s FCC meeting agenda (see 1803220027). “Ultimately, this item will save significant resources for both affected broadcasters and the Commission,” said Commissioner Mike O’Rielly. Satellite TV stations are full-power broadcast TV stations that largely retransmit the content of a parent station, usually another full-power station owned by the same licensee. The order (here and here) allows applicants transferring a satellite TV station to do so without making extensive showings that the station should retain its satellite status, as long as they can certify there has been no other material change to the station’s situation. Under the previous rule, reauthorization was required, even though the requests were always approved, and the process was widely seen as a “rubber stamp,” attorneys told us. The media modernization item wasn't deemed controversial, and the streamlining provisions drew no opposition in the lead-up to the order. When the NPRM on the proposed order was voted, then-Commissioner Mignon Clyburn expressed concern that a satellite station changing parent stations should be considered a material change, but the final order doesn’t restrict the definition of a material change to specific situations. The “circumstances of each case” should guide the determination of whether a material change in the circumstances led to the original grant of satellite status, the order said.