Regulatory

Orange still eyes U.K. IPTV launch

Tue, 15 Apr 2008 06:59:10 -0400

France Telecom's Orange will launch IPTV service in the U.K. sometime this year, according to comments from the company's CEO at last week's Mip TV trade show. Though Orange already has launched IPTV in at least four other countries, the latest statement is causing snickers among IPTV watchers because Orange long ago said it would offer IPTV in the U.K. last year. It blames regulators for the delay.

For more:
- see this post at IPTV Watch

Court approves new MDU rules

Tom Burton — Tue, 11 Mar 2008 07:59:40 -0400

An appeals court has rejected an attempt by the National Cable and Telecommunications Association to stop new rules that abolish exclusive service contracts between cable operators and owners of multiple-dwelling units (MDUs). After much lobbying from the telco industry, the Federal Communications Commission adopted the new MDU rules last fall, declaring it hoped to open the MDU sector up for competition.

By a 2-1 margin the U.S. Court of Appeals for the D.C. Circuit rejected the NCTA's attempt to have the new rules postponed. The rules now apply for new agreements but questions still remain over the legitimacy of the many MDU agreements in place before the new rules took force last week. The court has yet to give its opinion on these existing agreements. The NCTA says the FCC in 2003 unanimously approved exclusive contracts between cable operators and MDUs.

A decision to void these contracts would be a major fillip to Verizon and AT&T as they aggressively rollout their IPTV networks. Verizon has been due to announce the deployment of its FiOS network into New York city shortly. The FCC MDU ruling has been part of a concerted campaign by FCC chief Kevin Martin to challenge the dominance of the major cable companies, in particular Comcast. Martin claims the lack of competition has seen cable subscriptions rise by an average of 10 percent per annum over the last decade.

For more:
- Cable fights the FCC in the courts Article

Related articles:
Martin targets transparency Article
Comcast defends network management Article

NDS and EchoStar documents published

Tom Burton — Tue, 19 Feb 2008 06:59:20 -0500

Key documents in EchoStar's $1 billion action against News Corporation's NDS encryption business have been published revealing the nefarious world of pay-TV piracy. Charlie Ergen's EchoStar is claiming NDS played a significant role in the cracking and subsequent publication of its encryption codes for the smart cards that protect it from piracy. Smart-card piracy is estimated to cost the subscriber-television industry up to $5 billion a year

The matter is due to be heard in the U.S. District Court in California, April 8, and is likely to see explosive revelations about practices associated with the secure-access industry. NDS has spent the last year trying to stop EchoStar from using internal NDS emails it claims were stolen, taken from an ex-NDS employee's car in the U.K. The Australian Financial Review has published a long piece detailing the espionage, deceit, theft and double-dealing associated with the business of access technologies. Smart cards protect about $25 billion in subscriber revenues a year. Also published are the EchoStar affidavits which are, of course, highly contested by News Corp.

French pay-TV provider Canal Plus also sued NDS for $1 billion but withdrew when News Corp. acquired its business.

For more:
- The murky world of pay-TV pirates AFR article
- Key documents are on a site run by a shareholder

Related article:
Korea launches IPTV with NDS Report

Real estate lobby calls for U-verse fire probe

Tom Burton — Tue, 19 Feb 2008 06:59:10 -0500

A real estate lobby group has asked attorneys general from five states to investigate claims of fires from vaults associated with AT&T's U-verse IPTV service. The attorneys general are from states where the service has been deployed and follows reports last year of three fires allegedly caused by the batteries used in the vaults. In the third case it is alleged the explosion was so powerful the cabinet door, estimated to weigh 50 to 60 pounds, was blown off. AT&T at first said it was a one-off problem, but later agreed to replace all 17,000 batteries.

"These large U-Verse cabinets have been proven to be hazardous from their early rollout stages," said Maria Kong, President of The National Association of Real Estate Brokers. "We cannot afford to take chances when it comes to the livelihood of residents who live near these boxes, or their property." She said sales of homes near AT&T vaults "will show a dramatic drop-off until their security is ensured," and that drop off will imperil the livelihood of real estate professionals.

For more:
- States asked to probe AT&T U-Verse explosions Article

Related articles:
U-verse to replace 17,000 batteries Report
U-verse rolls into Chicago Report

AT&T U-verse rolls into Chicago

Tom Burton — Tue, 05 Feb 2008 06:59:10 -0500

AT&T remains committed to its aggressive IPTV roll out and this week comes to Chicago for its biggest ever deployment and remains on track to hit one million users by the end of the year. The launch of the U-verse TV service in parts of 175 suburbs is the largest single rollout in the history of the U-verse service, which currently has 230,000 users. U-verse is deliberately downplaying the marketing of the service as a check against raising consumer expectations and is expected to face stiff local competition from local provider Comcast. AT&T has a statewide cable TV franchise after the Illinois Legislature agreed to a wide franchise.

"We're doing a controlled rollout because we want to provide a good customer experience," said AT&T Illinois GM Steven Mitchell. Earlier technical and regulatory issues had stalled the rollout from late 2006. AT&T is required to respond to customer requests for service within seven days, or face penalties such as providing some free service to the customer. AT&T executives confirmed its Q4 conference call that it was targeting one million users by the end of 2008.

For more:
- AT&T will start offering TV service Article

Related articles:
AT&T rolls into Chicago Report
AT&T U-verse costing company more Report
AT&T offering U-verse Voice in Detroit Release
AT&T U-verse: 30M customer locations by 2010 Report

FCC's Martin looking lonely

Tue, 27 Nov 2007 06:59:40 -0500

Just two weeks after FCC chief Kevin Martin floated his re-regulation of big cable idea, he looks decidedly isolated with fellow commissioners and congressional members of both flavors seriously questioning the move. In Washington, the Cable lobby wasted little time pulling in favors owed and in the days ahead of Tuesday's meeting there has been report after report suggesting Martin is not going to be able to deliver his proposal.

An editorial Monday in the conservative Wall Street Journal featured a long piece denouncing both the methodology and intent of Martin's re-regulation proposal. It began: "With all due respect to Kevin Martin, we're beginning to wonder if the head of the Federal Communications Commission knows the first thing about the cable industry he regulates."

Even the broadcasters--traditionally not a close friend of the cable industry--offered their protest. Ahead of the meeting Martin was trying to salvage something of his plan and how it impacts on both current and new players in the broader video market place was unknown. But having fired both barrels and being forced to back off, Martin now risks joining his president in what could be a long and not productive run up to next year's election.

More Reports:
- FCC plays monopoly Wall Street Journal editorial
- FCC plan at Risk Wall Street Journal Report
- New York Times reports Martin is struggling to get the votes

Related articles:
- Kremlin media regulation Report
- FCC, cable TV debate '70/70' Report

Video market place evolves

Tue, 20 Nov 2007 06:59:55 -0500

Not a day goes by without an announcement of yet another start up in the internet video space. This week it is Sync TV, a spin off from consumer electronics company Pioneer, which is launching a beta download service. What makes it interesting is that with all the regulatory noise about bundled programming, users of Sync TV can subscribe a la carte for a variety of programs they want to watch. Each channel will run about $2 each per month, and currently there are four subscription channels available. Showtime is the foundation tenant and there is promise of more. The launch underlines the two universes that now exist--the heavily regulated telecoms and broadcasting sectors and the almost entirely unregulated internet channel. Guess where most of the innovation is? -Tom

Back in the Dark Ages

Tue, 20 Nov 2007 06:59:20 -0500

Down under the television networks are doing their level best to wind the clocks back. Australia's broadcasting incumbents have always wielded extraordinary political clout and after years of resisting having any electronic program guide they have finally succumbed to the real world and have agreed to offer one.

But it is not without conditions. Fearing viewers may do what they have done everywhere else in the world and use their recorders to skip the ads, the networks are threatening the consumer electronic companies with legal action if they sell machines which skip ads faster than X60

"Broadcasters are not authorizing the use of the programs listing data in PVRs where 'ad-skip' functionality goes beyond a maximum fast forward speed of x60; broadcasters reserve their rights with respect to those suppliers," Julie Flynn CEO of the broadcasters lobby wrote in a letter to the digital manufacturers association last week.

"In addition, the PVRs which display the EPG must employ adequate copy protection measures to prevent the redistribution of free to air content outside the home or on the internet. She said Broadcasters reserve their rights subject to the Commonwealth Copyright Act 1968, to take legal action at any time for copyright infringement where program listings are used in contravention of these terms.

Exactly what basis the action would be bought is dubious at best but the thought of the likes of Philips and Sony changing their machines just to suit the small Australian market is laughable if not a touch tragic for a country which usually boast how open it is to world trade.

More Reports:
- ITwire has the story

U-verse given the green light in Connecticut

Tue, 06 Nov 2007 06:59:50 -0500

AT&T has been granted a franchise for its IPTV U-verse service in Connecticut after a state court overturned a decision by the local utility regulator which required U-verse to have to get a franchise in each area in which it wanted to operate. The decision is an important precedent and clears the way for similar state-level clearance to facilitate the rapid roll out of the broadband infrastructure necessary to support IPTV and other high access services. AT&T becomes the first competitor to offer television services under a new state law designed to increase competition with the cable industry.

The decision was a blow for Comcast and Cablevision who now face an aggressive roll out of a high profile competitive service. AT&T was of course chuffed: "We are pleased that the DPUC has taken this step on behalf of Connecticut consumers who have long desired more choice in the video marketplace. Credit also goes to our state's legislators and Governor Rell, who passed a forward-thinking new law that encourages competition," AT&T Connecticut President Ramona Carolow said.

Also happy were the unions, with 1,300 workers idol since the mid-October decision that stopped the roll out. Union chief Bill Henderson, said the court made the right decision and union members, who have been working since Dec. 16, 2006 installing the service, can get back to creating a new fiber-optic system to serve customers.

For More:
- AT&T wins statewide Connecticut franchise Report
- DPUC Issues Certificate For U-Verse Report

Related Articles:
Connecticut franchise battle continues Report
U-verse avoids Connecticut regulators Report

Lawmakers target LimeWire and potential pirates

Tue, 31 Jul 2007 06:59:40 -0400

A bill referred to the House Judiciary Committee last week would fatten fines for copyright infringement, going so far as to include intent to distribute. H.R. 3155, introduced by Rep. Steve Chabot (R-Ohio), doubles many existing penalties and allows separate judgments for individual works. For example: a pirated copy of The Flaming Lips' "Yoshimi Battles the Pink Robots" could elicit 11 fines (one for each song) rather than a single penalty for the compilation.

Chabot's colleagues on the House Oversight Committee focused on "inadvertent" file sharing during a July 24 hearing. Committee Chairman Henry Waxman (D-Calif.) called the hearing because of security concerns over sensitive government documents being leaked via P2P networks.

Both the hearing and the IP infringement bill reveal a certain level of hostility toward Internet technology, but moreover, they illustrate just how difficult it is to regulate. The lesson of Napster remains lost on Capitol Hill. Just like Kazaa, LimeWire and Morpheus rose out of the ashes of Napster, so too will multiple technologies appear to replace any popular application choked by the legal system.

For more:
- Janko Roettgers offers a round-up here
- Waxman's statement is here
- Larry Greenemeier of Information Week covered the hearing here
- George Ou of ZDNet wondered what government employees were doing with P2P software on federal computers here
- The IP Criminal Enforcement Act is here
- Derek Slater of the Electronic Frontier Foundation objects to the bill here