Comcast's lobbying cost dropped in Q4 by more than $1 million. It spent $3.94 million, compared with the $5.03 million it spent a year ago, when Comcast was fighting to get an ultimately unsuccessful acquisition of Time Warner Cable approved by federal regulators and in the midst of satellite TV reauthorization on Capitol Hill. Charter Communications, meanwhile, is trying to get acquisitions of Bright House Networks and TWC approved now and is spending more. It clocked $1.16 million in Q4, well up from the $730,000 it spent in that time a year ago. USTelecom spent $1.73 million, roughly on par with the $1.75 million from last year. CTIA was another big spender, with $3.24 million on lobbying in Q4. Incompas spent $296,000 this Q4 versus $409,577 last. Lobbying disclosure forms were due Wednesday (see 1601200061).
Broadband customer churn data from when Netflix was being throttled in 2014 shows Charter Communications after buying Bright House Networks and Time Warner Cable "will be able to have its cake and eat it too: hurt competitors of its video business without hurting its broadband business," Dish Network said in its latest salvo of opposition to the proposed set of deals. In a filing Wednesday in docket 15-149, Dish -- which has staunchly opposed FCC approval of the deals -- submitted a heavily redacted Charter, BHN and TWC churn rate analysis by William Zarakas of economics consulting firm Brattle Group to argue the companies didn't suffer worse churn rates due to past throttling. "Even if we assume that most broadband customers understand the reason for a poor broadband experience -- a very large assumption -- switching is most often impossible because there is no reasonable broadband alternative in the marketplace," Dish said. It also repeated arguments it made in the past that post-merger Charter would have plenty of opportunity and motive to form a de facto duopoly with Comcast -- especially since major Charter shareholder John Malone "has been described as 'keen to see the industry consolidate, noting that cooperation would complement mergers.'" In a statement, Charter said, given Dish's "past history of manipulating government regulations to improve its business, it is not surprising [it] is opposing Charter’s pending transactions. Dish’s claims are without merit. The information on which Dish relies, as well as documents filed with the FCC that Dish ignores, demonstrates Charter’s recognition that [online video distributors, or] OVDs[,] are a complement to its growing broadband business. There is no better partner for OVDs than Charter; we provide fast broadband speeds at a better value, with no data caps, no usage based billing, no modem fees, and no annual contracts.” Charter also pointed to comments Tuesday by Netflix CEO Reed Hastings during the company's Q4 2015 earnings call (see 1601190069) in which he said Charter/TWC/BHN "would be a tremendous positive for the [over-the-top] industry because Charter has agreed to a multi-year strong net neutrality policy, something no one else has publicly agreed to. That means that we, Hulu, Amazon and others can compete on an open basis." Charter increasingly is responding to critics. In a blog post Tuesday, Charter said red flags raised by Incompas (see 1512070025) were "incorrect and illogical." The trade group "makes the classic merger analysis mistake of confusing harm to New Charter’s competitors with harm to competition," Charter said. "Aren’t lower prices good for consumers and competition? [Under Incompas' logic] mergers would be good if they result in higher prices because that would encourage investment by new entrants. That kind of spin does not pass the laugh test." Charter also said since TWC already buys programming for BHN, adding Charter to the buying group means an extra 4 million subscribers, or about 4 percent of the nation's multichannel video programming distributor marketplace -- "not an overwhelming increase by any measure," and smaller than Comcast or AT&T.
Broadband customer churn data from when Netflix was being throttled in 2014 shows Charter Communications after buying Bright House Networks and Time Warner Cable "will be able to have its cake and eat it too: hurt competitors of its video business without hurting its broadband business," Dish Network said in its latest salvo of opposition to the proposed set of deals. In a filing Wednesday in docket 15-149, Dish -- which has staunchly opposed FCC approval of the deals -- submitted a heavily redacted Charter, BHN and TWC churn rate analysis by William Zarakas of economics consulting firm Brattle Group to argue the companies didn't suffer worse churn rates due to past throttling. "Even if we assume that most broadband customers understand the reason for a poor broadband experience -- a very large assumption -- switching is most often impossible because there is no reasonable broadband alternative in the marketplace," Dish said. It also repeated arguments it made in the past that post-merger Charter would have plenty of opportunity and motive to form a de facto duopoly with Comcast -- especially since major Charter shareholder John Malone "has been described as 'keen to see the industry consolidate, noting that cooperation would complement mergers.'" In a statement, Charter said, given Dish's "past history of manipulating government regulations to improve its business, it is not surprising [it] is opposing Charter’s pending transactions. Dish’s claims are without merit. The information on which Dish relies, as well as documents filed with the FCC that Dish ignores, demonstrates Charter’s recognition that [online video distributors, or] OVDs[,] are a complement to its growing broadband business. There is no better partner for OVDs than Charter; we provide fast broadband speeds at a better value, with no data caps, no usage based billing, no modem fees, and no annual contracts.” Charter also pointed to comments Tuesday by Netflix CEO Reed Hastings during the company's Q4 2015 earnings call (see 1601190069) in which he said Charter/TWC/BHN "would be a tremendous positive for the [over-the-top] industry because Charter has agreed to a multi-year strong net neutrality policy, something no one else has publicly agreed to. That means that we, Hulu, Amazon and others can compete on an open basis." Charter increasingly is responding to critics. In a blog post Tuesday, Charter said red flags raised by Incompas (see 1512070025) were "incorrect and illogical." The trade group "makes the classic merger analysis mistake of confusing harm to New Charter’s competitors with harm to competition," Charter said. "Aren’t lower prices good for consumers and competition? [Under Incompas' logic] mergers would be good if they result in higher prices because that would encourage investment by new entrants. That kind of spin does not pass the laugh test." Charter also said since TWC already buys programming for BHN, adding Charter to the buying group means an extra 4 million subscribers, or about 4 percent of the nation's multichannel video programming distributor marketplace -- "not an overwhelming increase by any measure," and smaller than Comcast or AT&T.
Broadband customer churn data from when Netflix was being throttled in 2014 shows Charter Communications after buying Bright House Networks and Time Warner Cable "will be able to have its cake and eat it too: hurt competitors of its video business without hurting its broadband business," Dish Network said in its latest salvo of opposition to the proposed set of deals. In a filing Wednesday in docket 15-149, Dish -- which has staunchly opposed FCC approval of the deals -- submitted a heavily redacted Charter, BHN and TWC churn rate analysis by William Zarakas of economics consulting firm Brattle Group to argue the companies didn't suffer worse churn rates due to past throttling. "Even if we assume that most broadband customers understand the reason for a poor broadband experience -- a very large assumption -- switching is most often impossible because there is no reasonable broadband alternative in the marketplace," Dish said. It also repeated arguments it made in the past that post-merger Charter would have plenty of opportunity and motive to form a de facto duopoly with Comcast -- especially since major Charter shareholder John Malone "has been described as 'keen to see the industry consolidate, noting that cooperation would complement mergers.'" In a statement, Charter said, given Dish's "past history of manipulating government regulations to improve its business, it is not surprising [it] is opposing Charter’s pending transactions. Dish’s claims are without merit. The information on which Dish relies, as well as documents filed with the FCC that Dish ignores, demonstrates Charter’s recognition that [online video distributors, or] OVDs[,] are a complement to its growing broadband business. There is no better partner for OVDs than Charter; we provide fast broadband speeds at a better value, with no data caps, no usage based billing, no modem fees, and no annual contracts.” Charter also pointed to comments Tuesday by Netflix CEO Reed Hastings during the company's Q4 2015 earnings call (see 1601190069) in which he said Charter/TWC/BHN "would be a tremendous positive for the [over-the-top] industry because Charter has agreed to a multi-year strong net neutrality policy, something no one else has publicly agreed to. That means that we, Hulu, Amazon and others can compete on an open basis." Charter increasingly is responding to critics. In a blog post Tuesday, Charter said red flags raised by Incompas (see 1512070025) were "incorrect and illogical." The trade group "makes the classic merger analysis mistake of confusing harm to New Charter’s competitors with harm to competition," Charter said. "Aren’t lower prices good for consumers and competition? [Under Incompas' logic] mergers would be good if they result in higher prices because that would encourage investment by new entrants. That kind of spin does not pass the laugh test." Charter also said since TWC already buys programming for BHN, adding Charter to the buying group means an extra 4 million subscribers, or about 4 percent of the nation's multichannel video programming distributor marketplace -- "not an overwhelming increase by any measure," and smaller than Comcast or AT&T.
Multichannel video programming distributors may be at a disadvantage in the fight over possible changes to good-faith retransmission consent negotiation rules, former FCC official Adonis Hoffman told us Friday. "Because of their proximity to communities and the high-touch nature of television, I give the edge to broadcasters, who are hyper-local and have a high name-identification quotient. Plus, broadcasters have shown their ability to mobilize members of Congress who understand that all politics is local," Hoffman, who was chief of staff to Commissioner Mignon Clyburn, said in an email. In multiple filings posted Friday in docket 15-216, broadcasters and MVPDs and allies assailed each other's arguments about possible changes to the "totality of circumstances" test and defended their own turf. Thursday was the deadline for reply comments.
Large telcos said the FCC should close or delay a probe of their special access terms and conditions that the companies said were lawful. AT&T, CenturyLink, Frontier Communications and Verizon made lengthy filings in docket 15-247 defending their special access pricing practices, which often contain discounts in exchange for volume or term commitments. The Bells/ILECs were responding to a Wireline Bureau tariff investigation of their special access contracts (see 1510160060), which rivals allege are anticompetitive and “lock up” much demand for traditional business data services (see 1510080051). Competitors continued to criticize incumbent telco practices Monday.
CLECs and their allies are pressing the FCC not to give ILECs relief from duties to share newly deployed feeder conduits with local competitors at regulated rates. They said the competitors still need regulated access to such conduits to reach the buildings of business customers and USTelecom hadn't justified the relief in a forbearance petition. The commission is to vote Thursday on a draft order on the petition (see 1512100063), and agency officials have indicated the item would give incumbent telcos relief from some rules, including on wholesale access (see 1511240070 and 1511250047).
Trade groups representing tech companies upped pressure on House and Senate leadership Wednesday with a letter opposing inclusion of policy riders in the FY 2016 omnibus appropriations bill that would curb the FCC’s net neutrality order. “We are writing to urge you to refrain from including riders relating to net neutrality and the [FCC]’s Open Internet Order in the upcoming omnibus spending legislation,” said the letter, led by the Internet Freedom Business Alliance and signed by groups including Cogent Communications, the Computer and Communications Industry Association, Engine, Incompas, Level 3 and Tumblr. They blasted earlier House riders that would have stopped implementation of the order while litigation pends and forced posting of FCC items upon circulation. They argued for a different venue for consideration of the other rider’s topic. The one bicameral rider from earlier this year would prohibit FCC broadband rate regulation. “To be clear, we agree with the committees that retail ratesetting may be a harmful practice; however, the rate regulation riders that passed the committee process are drafted in a broad manner that could create unintended consequences for telecommunications policy by eliminating FCC safeguards for broadband markets, Internet entrepreneurs, app makers, and Internet users alike. (We note too that the FCC has forborne from ratesetting and tariffing provisions in the current rules),” the letter said. “To that end, we request the issue be addressed through regular order, a more thoughtful and pragmatic approach, rather than in the often chaotic appropriations process.” Government funding runs out Friday, and lawmakers are advancing a continuing resolution that would fund the government through Wednesday while they continue to negotiate the provisions of this omnibus spending bill. The Senate approved the short-term funding bill by voice vote Thursday. Senate Appropriations Committee ranking member Barbara Mikulski, D-Md., wants “a bipartisan, bicameral omnibus deal to keep our government open and off autopilot, without including poison pill riders or leaving any bills behind,” she said Thursday.
Trade groups representing tech companies upped pressure on House and Senate leadership Wednesday with a letter opposing inclusion of policy riders in the FY 2016 omnibus appropriations bill that would curb the FCC’s net neutrality order. “We are writing to urge you to refrain from including riders relating to net neutrality and the [FCC]’s Open Internet Order in the upcoming omnibus spending legislation,” said the letter, led by the Internet Freedom Business Alliance and signed by groups including Cogent Communications, the Computer and Communications Industry Association, Engine, Incompas, Level 3 and Tumblr. They blasted earlier House riders that would have stopped implementation of the order while litigation pends and forced posting of FCC items upon circulation. They argued for a different venue for consideration of the other rider’s topic. The one bicameral rider from earlier this year would prohibit FCC broadband rate regulation. “To be clear, we agree with the committees that retail ratesetting may be a harmful practice; however, the rate regulation riders that passed the committee process are drafted in a broad manner that could create unintended consequences for telecommunications policy by eliminating FCC safeguards for broadband markets, Internet entrepreneurs, app makers, and Internet users alike. (We note too that the FCC has forborne from ratesetting and tariffing provisions in the current rules),” the letter said. “To that end, we request the issue be addressed through regular order, a more thoughtful and pragmatic approach, rather than in the often chaotic appropriations process.” Government funding runs out Friday, and lawmakers are advancing a continuing resolution that would fund the government through Wednesday while they continue to negotiate the provisions of this omnibus spending bill. The Senate approved the short-term funding bill by voice vote Thursday. Senate Appropriations Committee ranking member Barbara Mikulski, D-Md., wants “a bipartisan, bicameral omnibus deal to keep our government open and off autopilot, without including poison pill riders or leaving any bills behind,” she said Thursday.
TracFone resisted AT&T Lifeline proposals for the FCC to overhaul the USF support program for low-income consumers. TracFone opposed AT&T suggestions that carriers be removed from all Lifeline enrollment functions and that eligibility be initially tied solely to the federal food stamps program, which TracFone said would have a “devastating impact on Lifeline availability.” The comments came in a response posted Tuesday to a Nov. 23 AT&T filing flowing from an NPRM (see 1506180029). Other parties filing recently in docket 11-42 included the Cherokee Nation, Incompas, Lifeline Connects Coalition and Smith Bagley, with many comments addressing proposed minimum service standards for Lifeline broadband/voice coverage.