Tuesday, September 11, 2007

FCC Adopts Rules to Ensure Competition in Video Distribution Market

The FCC extended existing rules to ensure that competitive multichannel video programming distributors (MVPDs) continue to have access to essential programming. The Report & Order extends the ban of exclusive contracts between vertically integrated programmers and cable operators to October 5, 2012.

The FCC defines a vertically integrated programmer as one that is affiliated with a cable operator or other covered MVPD's. This ban had already been in place and was set to expire October 5, 2007.

The FCC noted that vertically integrated programmers still have the ability and the incentive to favor the operators with whom they are affiliated over other competitive providers. Ensuring that competitive MVPDs have access to cable affiliated programming remains necessary for viable competition in the video distribution market.


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