FCC Pushes Digital TV Shift newsbytes.com
By Frank Ahrens, Washington Post WASHINGTON, D.C., U.S.A., 05 Apr 2002, 6:17 AM CST
Federal Communications Commission Chairman Michael K. Powell yesterday exerted new pressure on the television industry to speed the rollout of digital television, challenging it to meet a set of comprehensive deadlines.
In 1997, Congress mandated that most broadcasters convert to digital signals by 2006 and granted them an estimated $70 billion worth of new television spectrum to do so. But the promise of digital TV -- sharper pictures, better sound, more channels and interactive capability -- has been slow to materialize, with broadcasters and TV makers blaming each other for the sluggish pace of the changeover.
Broadcasters say manufacturers are dragging their feet in producing the TV sets consumers need to enjoy digital broadcasts, while television makers say broadcasters have yet to offer enough shows to make consumers want to buy digital sets. Also slowing the rollout is the fact that many cable and satellite television franchises are still upgrading their systems for digital content. Powell's proposals, the FCC said, are designed to put an end to the industry bickering by giving all participants goals to meet.
The chairman urged the four major networks -- ABC, CBS, NBC and Fox -- as well as the HBO and Showtime cable channels, to digitally broadcast at least half of their prime-time schedules for this fall's season. The chairman also asked network affiliate stations in the 100 largest U.S. cities to upgrade their equipment to receive and broadcast digital signals by Jan. 1, 2003.
Powell wants cable providers and satellite companies, such as Comcast, Echostar and DirecTV, to carry some digital programs by Jan. 1 at no additional cost to subscribers. Finally, Powell suggested rollout dates over the next four years for television manufacturers to step up production of sets that include digital tuners, as well as set-top boxes for older TVs that process the digital signal.
Digital broadcast signals paired with digital televisions would allow viewers to watch high-definition programs, see more channels and use their sets in interactive ways, such as clicking their remote control to buy products shown on the screen.
In addition to providing clearer, sharper pictures and sound, digital signals allow broadcasters to send multiple programs on the same channel. For example, during the recent NCAA men's basketball tournament, a CBS affiliate station in Indianapolis carried four games on one channel, allowing viewers to switch among games.
CBS sends out digital broadcasts of all of its prime-time comedies and dramas and several sporting events, such as the upcoming Master's golf tournament. ABC also broadcasts several shows digitally, while NBC and Fox do some.
Prices for high-definition digital television sets generally range from about $900 to $7,000. Set-top conversion boxes typically range from $700 to $1,000.
Powell's proposals are the most vigorous yet from a chairman of the FCC, which had been chided for not aggressively enforcing the rollout mandate. The proposals are the result of several months of meetings between industry representatives, lawmakers and the FCC's Digital Television Task Force, an intra-agency group set up this past October.
In 1997, the FCC ordered network affiliate stations in the country's 10 largest cities to begin broadcasting digitally over the next two years. The National Association of Broadcasters estimates it will cost the nation's 1,600 television stations $10 million each to convert to digital.
Along with the proposals, Powell wrote letters to Sen. Ernest F. Hollings (D-S.C.) and Rep. W.J. "Billy" Tauzin (R-La.), key figures in the mandated changeover. The plan "is intended to provide an immediate spur to the transition by giving consumers a reason to invest in digital technology today, while we continue to work on resolving the longer-term issues," Powell wrote.
Additionally, he wrote: "The plan is purely voluntary but, as you can see, contemplates that each relevant industry will play a significant role. I intend to seek commitments along these lines in the near future."
The FCC said the chairman does not have specific enforcement measures in mind if the participants do not meet his goals.
Martin Frank, executive vice president of CBS, applauded Powell's proposals, saying they hopefully will end the bickering that has delayed the conversion to digital TV.
"I give Powell a lot of credit for using the bully pulpit," Franks said. "There's been enough arguing about whose fault it is."
Robert Iger, president of Walt Disney Co., the parent company of ABC, said in a statement, " . . . the ABC television network hereby accepts your challenge to provide HDTV programming for at least 50 percent of our prime time schedule beginning with the 2002-2003 season."
Gene Kimmelman, senior director of Consumers Union, an advocacy group, expressed guarded optimism about the plan.
"The real question is whether any voluntary plan will lead to joint action across industry segments," he said. "Up until now, they've been playing chicken with each other."
Powell's plan drew a mixed review from the National Cable & Telecommunications Association, which said in a statement: "Chairman Powell has put forward some thought-provoking proposals, several of which the cable industry is already actively working to accomplish. Other of Chairman Powell's proposals warrant further study."
Reported by Washingtonpost.com, washingtonpost.com
06:17 CST (20020405/WIRES TELECOM, BUSINESS/) 2002 The Washington Post Company |