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FCC Approves Comcast/NBC Universal Merger

January 25, 2011 10:50 AM
On January 18, the Federal Communications Commission approved the proposed merger between Comcast and NBC Universal.  By a vote of 4-1, the Commission found that granting the companies’ application – subject to a number of conditions and “enforceable” commitments – was in the public interest.  Of particular importance to NATOA members, the Commission imposed as a condition Comcast’s public commitment to “refrain from migrating PEG channels to digital until the entire system is converted to digital or until “a community agrees.””  In addition, Comcast will be required to “maintain PEG channels on its digital starter tier (D0), or on an equivalent tier that reaches at least 85 percent of Comcast’s subscribers.”  Further, the Commission imposed the condition that “Comcast cannot discriminate against PEG with respect to the functionality, signal quality, and features from those of the broadcast stations that it carries.”  The Commission, however, pointed out that this condition does not “require Comcast to carry a PEG channel in a higher quality format than that of the channel delivered to it, only that it not degrade the quality. For example, Comcast is not required to carry a PEG channel in high definition where the PEG signal is delivered in standard or enhanced definition, no matter in what format it carries local broadcast signals.”

Unfortunately, the Commission declined “to adopt NATOA’s proposal that PEG programming currently being provided in a digital format be moved back to an analog format,” stating that such a requirement “would be disruptive to consumers and not in the public interest.”

In addition, to help spur broadband deployment and adoption, Comcast will make available to approximately 2.5 million low income households low priced, high-speed Internet service and low cost personal computers, netbooks, and other computer equipment.  Furthermore, Comcast will expand its existing broadband networks to an additional 400,000 homes and provide free video and high-speed Internet anchor institutions in underserved, low income areas.

To read the entire order, go to: http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-11-4A1.pdf