Courts Slam FCC For 30% Cable Cap

  • August 28, 2009
The U.S. Court of Appeals Friday threw out the FCC's cap on the number of cable subscribers one operator can serve, reports B&C, calling the agency "derelict" in not giving DBS its due as a legitimate competitor. Comcast argued that the 30% subscriber limit was arbitrary and capricious, and the court agreed. It said there was evidence of an increasingly competitive marketplace. New FCC chairman Julius Genachowski countered that the court decision would not be the final word on the cap.

"As part of the Cable Act, Congress required the commission to adopt horizontal ownership limits to enhance effective competition in the cable television marketplace," he said in a statement. "The FCC staff is currently reviewing the Court's decision with respect to the limit previously adopted and the commission will take this decision fully into account in future action to implement the law."

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1 comment about "Courts Slam FCC For 30% Cable Cap".
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  1. Howie Goldfarb from Blue Star Strategic Marketing, August 31, 2009 at 9:20 a.m.

    Cable options are thin. There should be more. We need a break through in TV via cellular since erecting towers is cheap compared to wiring up houses. Each market really should have at least 7-10 competitors.

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