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Competition and Copyright: Retransmission of Free-to-Air Television Signals by Pay TV Services

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Free-to-air television stations remain the most popular source of programming, even in pay TV households. Consumers value the bundling of pay TV channels with retransmitted free-to-air channels for a variety of reasons, in particular the improved signal quality provided in areas where off-air reception is less than ideal. Hence, the conditions under which pay TV services can retransmit free-to-air signals are of crucial importance. This paper compares US and Australian signal retransmission regulations and assesses their impact on competition between pay TV and free-to-air television and on actual or potential competition between pay TV media such as cable and satellite television. The analysis also touches on the competitive implications of common ownership of satellite and cable pay TV services. To place the signal retransmission issues in the proper context, the paper examines differences in the structure of free-to-air television distribution systems in Australia and the US. In particular, it contrasts the Australian tendency to distribute most programming and sell most advertising nationally with the more locally oriented network—affiliate system in the US. The paper considers the relative merits of compulsory licensing and full copyright protection for free-to-air television signals and examines mandatory signal carriage (‘must-carry’) regulations.

SKU: 0810-90288632118 Category: Tag:

Description

By JONATHAN D. LEVY

Free-to-air television stations remain the most popular source of programming, even in pay TV households. Consumers value the bundling of pay TV channels with retransmitted free-to-air channels for a variety of reasons, in particular the improved signal quality provided in areas where off-air reception is less than ideal. Hence, the conditions under which pay TV services can retransmit free-to-air signals are of crucial importance. This paper compares US and Australian signal retransmission regulations and assesses their impact on competition between pay TV and free-to-air television and on actual or potential competition between pay TV media such as cable and satellite television. The analysis also touches on the competitive implications of common ownership of satellite and cable pay TV services. To place the signal retransmission issues in the proper context, the paper examines differences in the structure of free-to-air television distribution systems in Australia and the US. In particular, it contrasts the Australian tendency to distribute most programming and sell most advertising nationally with the more locally oriented network—affiliate system in the US. The paper considers the relative merits of compulsory licensing and full copyright protection for free-to-air television signals and examines mandatory signal carriage (‘must-carry’) regulations.

page: 387 – 403
Prometheus: Critical Studies in Innovation
Volume 17, Issue 4

SKU: 0810-90288632118

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