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Technology Stocks : Acrodyne (ACRO) is one of two pure plays in the TV

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To: ken whited who wrote (1297)2/4/2000 6:51:00 PM
From: Mr.G   of 1319
 
FCC News:
biz.yahoo.com

Friday February 4, 5:20 pm Eastern Time
U.S. FCC rejects reopening digital TV debate
WASHINGTON, Feb 4 (Reuters) - Federal regulators on Friday rejected a request from some television stations to reopen the debate over new digital broadcasting standards, fearing that such a move would further delay the transition to digital programming.

A group led by Sinclair Broadcast Group Inc. (NasdaqNM:SBGI - news) in October asked the Federal Communications Commission to reconsider its 1996 decision on digital TV standards, arguing that a different technology would provide better reception for TV viewers.

But in a letter released on Friday, the FCC said reopening the standards debate could cause consumers and TV stations ''to postpone purchasing DTV equipment and lead to significant delay in the implementation and provision of DTV services to the public.''

The FCC said Sinclair's evidence about reception problems was based on flaws in early models of TV receivers, not due to inherent flaws in the transmission standard. The agency said it would consider the issues raised by Sinclair as part of a broad review of the entire digital television transition later this year.

Using new digital technology to broadcast television shows allows far more information to be transmitted opening the door for high-definition, cinema-like programs. Or, some stations may choose to air as many as six ordinary-quality shows over the same airwaves that previously carried a single show.

The transition to digital is expected to take at least six more years, as stations and programmers must purchase all new equipment and consumers must buy sets capable of receiving DTV broadcasts.

Further complicating matters, few shows are currently broadcast in digital, digital-capable sets cost $5,000 or more and cable and VCR connections to such sets are still in flux.

Sinclair and others had complained that many consumers would be unable to receive over-the-air broadcasts using the transmission standard for airing digital shows, known as 8-VSB. They asked the FCC to consider using an alternate standard called COFDM.

A spokesman for Sinclair said the company would wait to make a statement after seeing details of the FCC's Friday order.

Consumer electronics manufacturers and other stations had opposed Sinclair's request.
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