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Against Monopoly

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Monopoly corrupts. Absolute monopoly corrupts absolutely.





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Cable and TV Networks Fee Fight Fallout--- Who Pays? The Public

Public Knowledge has a couple of pieces up on the fight between CBS and Time Warner Cable over TWC's payment for the right to rebroadcast broadcasts and then charge the public link here and link here. CBS has already been amply rewarded through advertising on its over the air broadcasts free use of the public airwaves. But in the current fight, it wants still more money. Congress set this up in 1992 legislation which allowed the networks to charge for retransmission permission of its broadcasts.

CBS has the right to charge for its retransmission consent but the law stipulates that the fees must be reasonable. However, left to themselves the parties have self-interest to decide what is reasonable. The 1992 law gives the FCC the power to intervene on what is reasonable link here but it has so far avoided taking a position.

CBS has now upped its pressure and limited its over-the-air broadcasts in some areas served by TWC. The public pays in lost services and will pay again with higher charges.


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