FCC looks into Chicago cable TV price increases


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Posted by chicagomedia.org on November 05, 2008 at 14:16:44:

FCC looks into cable TV price increases


Federal regulators are investigating whether cable companies are exploiting broadcast television's transition to digital by overcharging subscribers.

The agency wants to ensure the companies' customers are treated fairly, Federal Communications Commission Chairman Kevin Martin said.

"I'm certainly concerned with the increasing cable prices that consumers are facing," Martin said. "They are getting less and being charged the same or more."

The FCC on Thursday wrote to several cable operators, including Comcast Corp., Time Warner Cable Inc., Cox Communications Inc., Cablevision Systems Corp. and RCN Corp.

The agency's letter questioned the companies' practice of moving analog channels into digital tiers to free up bandwidth for other uses, such as high-definition channels. Analog customers will have to obtain a digital set-top box from the operator or buy the digital TV tier to watch those channels.

Most cable customers are analog customers, and those who do not wish to upgrade to digital cannot watch the channels that are moved to the digital tier.

Separately, the FCC approved a plan to open up unused, unlicensed portions of television airwaves known as "white spaces" to deliver wireless broadband service.

The vote is a major victory for public interest groups and big technology companies, including Google Inc. and Microsoft Corp. They say white spaces have the potential to bring broadband to rural America and other underserved parts of the country.

(Chicago Tribune)


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