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EXECUTIVE SESSION WITH JOSH SILVER

Subsidies, Not Consolidation, Will Save TV

TVNewsCheck, Feb 9 2010, 7:36 AM ET

In trying to bend laws and regulations their way, TV broadcasters and their Washington representatives often find themselves opposed by self-appointed advocates of the public interest who have very definite ideas of how broadcasting and other media should be handled by the government.

Among them is Free Press, an eight-year-old organization whose long list of benefactors suggests that it's here to stay — and be heard.

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As executive director, Josh Silver heads its staff of 30 and serves as principal spokesman.

In this interview with TVNewsCheck Editor Harry A. Jessell, Silver says he recognizes the trouble that broadcasting and newspaper publishing is in, but he doesn't see media consolidation as the way out. A better approach, he says, is direct government subsidies for noncommercial media and indirect subsidies for commercial media.

He also sides with those who believe that TV stations ought to give back some of their spectrum so that it can be put to better use for broadband access.

As for Comcast's proposed takeover of NBCU, he says, don't even think about it.

An edited transcript:

So what's your problem with Comcast-NBCU?

Comcast is the largest residential cable provider, and then you add to its arsenal one of the largest media-producing companies in the country. It's simply too much power in the hands of one company; too much power to manipulate content costs with other video distributers; and it's too much power in the hands of a company that is known as a price gouger.

Comcast has raised its rates by nearly 50% in some markets over the past five years and its customer service record is among the worst in the industry. They have a history of blocking television ads that are critical of their political allies. They are likely to put NBC content that you can currently watch on Hulu behind a pay wall.

They are the only company that's been officially sanctioned for illegally blocking Web traffic. They played dirty. They were caught red-handed paying for seat fillers at an FCC hearing up in Boston. They already make plenty of money. They don't need this deal to be successful. Finally, we're very worried that this deal would set off a wave of other mergers where we'll see other consolidation of ownership and power across the industry.

As you know, Comcast has a tremendous lobby and a lot of influence in Washington. Assuming you can't stop the deal, what conditions would you like to see put on it?

I don't want to go there because my job is to stop this deal. There is no version of this merger that is going to work for the U.S. public. We need to stop this deal. There's no other way to protect the public interest.

Let's talk about broadcasting. Some FCC policymakers and some in the wireless industry believe the FCC should take away all or some of the broadcast spectrum and make it available for wireless broadband access. What do you think?

We absolutely agree. We expect that in four to six years we're going to see more of the television spectrum freed up. We think that absolutely needs to be offered up, both for innovative products and to create a viable wireless ISP competitor.

You seem pretty certain that it's going to happen. The broadcasters are strongly resisting giving up any of their spectrum.

Yes, they're resisting it, but the tides are inevitable. We're going to see spectrum being reallocated. With digital convergence, television simply can't make a sufficient case for why they deserve to keep everything they have been sitting on for so many years.

In your National Broadband Plan filing, you say broadband should be considered "essential infrastructure." Why isn't broadcasting "essential infrastructure?"

Well, we believe we can have our cake and eat it too. We believe that television can have sufficient broadcast spectrum to do what they need to do digitally and relinquish the spectrum that they don't actually need. Secondly, let's be frank. Commercial television news and commercial radio news is becoming an oxymoron.

Now there are notable exceptions, but, for the most part, radio and television news is sports, weather, crime, celebrity. It's little-to-no investigative, hard-hitting, enterprise journalism. So let's not be delusional and pretend that the commercial sector is providing the information and the quality educational and cultural fare that this democracy requires.

They deserve to be able to do their business and there is a strong future for commercial media in this country, but we also have to look at the vital importance of the Web as a new delivery mechanism that could break open access and distribution, that can make every website a television or radio network. Also, we have to look at the value of noncommercial media, of public broadcasting, as an alternative to | More …

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Comments (23) - Post a comment

PhillyPhlash Nicknameposted 33 days, 10 hours, 58 minutes ago
Josh: You're right about Comcast, but totally misguided and naive about government subsidies, especially direct subsidies. To put it simply, he who pays the piper calls the tune. The best thing government can do is PREVENT media consolidation, joint operating agreements, etc., which reduce media competition and diversity of voices. We used to call guys like you the "goo-goos" -- the "good government" advocates who seek government "solutions" when the problem is a paucity of enterprise and creativity. Who was it who said recently in this space that he'd rather see an independent and financially struggling media than a financially healthy and subsidized media beholden to its financial benefactors? Naivete enables the totalitarians who use people like to you advance their agenda of control and subjugation of news and opinion outlets in America. Read this, Josh. Wake up and smell the police state you are enabling: http://nowpublic.com/world/gestapo-usa-govt-funded-vigilante-network-terrorizes-america
ZumaHans Nicknameposted 33 days, 10 hours, 34 minutes ago
Lets' get this straight: Philly and his NAB buddies say allowing people to decide what they watch, by using the public's scarce airwaves for broadband, would lead to a police state? And that giant companies should continue to hog the vast majority of the spectrum, because they needed it back in the 1950s but don't need it now? Wake up and smell reality, PhillyNABemployee: 90 percent of Americans do not use the airwaves for TV reception. TV broadcasting is a 1950 business model in a 1950 technology world. Take your Ayn Rand claptrap back to work, because the real danger to freedom in this country is the giant conglomerates that own it.
Rocker Nicknameposted 33 days, 9 hours, 41 minutes ago
"90 percent of Americans do not use the airwaves for TV reception". Demonstrably, empirically incorrect statement.
eagleeye1 Nicknameposted 33 days, 10 hours, 41 minutes ago
I get the sense here that this is just another non-contributing, or hard working person who is directly producing something. All talk and no action and looking for BIG government to know what is best for the public. Kind of wish we would stop giving platforms like this for people who basically observe and comment on things without contributing any sweat equity into life.
Mark Triplett posted 33 days, 10 hours, 31 minutes ago
The only thing that will truly save broadcast television and other news outlets is to create a product that the public will buy. The public is speaking now by not watching and not reading newspapers. Why should I, through my tax dollars, support something that I've already made a decision on. Mr. Silver is totally off base.
MoneyCruncher Nicknameposted 33 days, 9 hours, 51 minutes ago
Mark hit the nail on the head. Furthermore, the financial impact of the Supreme Court's decision to allow corporate political ads is a watershed event in terms of financial benefits to broadcasters.
GuyFawkes Nicknameposted 33 days, 10 hours, 28 minutes ago
"That's not how it works," Josh? So you're going to tell people who have been toiling in journalism (and democracy, for that matter) for decades "how it works"? I see you have ALL the answers. You knew everything about the pending financial meltdown and WMD in Iraq before anyone else (and BTW, I guess the NY Times never ever printed any cautionary viewpoints while these issues were being debated...)

How fortunate are we members of "the public" to have you fighting this much-needed crusade for our "interests." So good to see you know with precision and exactitude "what information... this democracy requires." So encouraging to see that yours are the only views that aren't "overly simplistic"(!)

Ever occur to you we members of the public might occasionally use the ballot box, the remote control and our freedom to choose whom we cut checks to (with the exception of electric utilities and taxes...) to protect our OWN interests?

You have "empirical evidence" that merged newsrooms result in layoffs? News Flash, Josh: Journalists are getting laid off right now, because there isn't enough ad revenue to support all the disparate owners out there. The best fighting chance journalists have to stay productively employed -- and to do good journlism, which "emprical evidence" proves in abundance is done in merged newsrooms -- is for journalistic organizations to run their operations as they see fit -- not with government interference (however benign the intent...)

Do you honestly think American citizens want their media to replicate the models of other countries? Whom exactly are you speaking for?

... And who exactly funds FreePress.org...?

You arrogant, happily ignorant little twit.
Commktr Nicknameposted 33 days, 10 hours, 16 minutes ago
A little bit of agree, and a whole lot of disagree with Josh's viewpoints. Yes, broadcast TV can probably give up a good part of it's spectrum. The digital conversion has become an anvil around the neck of broadcasters already struggling to pay for programming & find advertisers for their primary channels. Wudn't 'sposed to be that way - back in the '90s DTV looked like a broadcaster's bonanza. Now it's a burden. . But to conclude that public broadcasting a'la PBS would result in an electronic news product that would be attractive to the average news consumer (so that there'd be SOME audience), enterprising and independent of the will of it's funding source is antithetical to human nature. Public broadcasting "news coverage" is bland (not neutral, but bland) by choice. You don't want to tick-off the liberal politicians nor the conservative foundations that keep your paychecks coming. So you ride the middle, which is rarely where you'll find the truth.
PhillyPhlash Nicknameposted 33 days, 9 hours, 56 minutes ago
So true. Corporations also muzzle skeptical inquiry, especially about their own activities; but with a multiplicity of competing, financially independent media voices, the public has a better shot at getting closer to the truth than if government subsidizes newsgathering. I don't like the idea of Big Broadband/Cable, Big Broadcast, or Big Government. If "Free Press" wants to live up to its name, it should advocate for government policies that promote diversity and marketplace competition, instead of getting in line for another Big Government handout. Harry, please publish in this space the list of Free Press's backers; that would give readers a better idea of where Josh is coming from.
Rocker Nicknameposted 33 days, 9 hours, 38 minutes ago
Commktr: He didn't say it would be "attractive to the average news consumer" - he said it would be BETTER for them. Like broccoli.
Bonefish Nicknameposted 33 days, 10 hours, 10 minutes ago
Now I've heard it all!
Commktr Nicknameposted 33 days, 9 hours, 49 minutes ago
And one more thought, Josh. True, most local TV newscasts have devolved into local headline services wrapped around weather forecasts. But is relegating "investigative, hard-hitting, enterprise journalism" to local news websites (for whom an identifiable metric let alone business model have not been proven) or to blog sites (for whom an enforceable ethics model has not been even remotely established) an informational sacrifice we can afford to make? Of course there is the third option: letting the next generation of news consumers get their news from the source they do now: Comedy Central.
JamesV Nicknameposted 33 days, 9 hours, 48 minutes ago
All I can say reading the comments is that it appears most read the interview with Josh with their own blinders interpreting what he said. Many of the comments exaggerate or mischaracterize his main points and ideas. It's not even worth trying to explain as the commenters generally have their beliefs and assumptions (just as Josh does, and they are not going to convince him to change). The question is, who has done more research into what actually has happened over the years and what works and doesn't work in other countries? The commenters have their own personal experiences, plus whatever information they have gleaned from other sources, filtered through the ideological biases we all have. At least Josh's views are based more on some empirical research that his organization has done, not just of the U.S. system, but other systems around the world. I don't necessarily agree with everything he has said, but if anyone thinks the current state of the media when it comes to providing news and information to the public, and the direction of this country is in good hands right now, which are mostly corporate hands, it's further evidence in my mind of some of the reasons why the U.S. is on the decline.
GuyFawkes Nicknameposted 33 days, 9 hours, 34 minutes ago
The whole point, JamesV, is that Josh apparently has never really done the research. Otherwise he'd know that these overseas media concerns he cites as "profitable" examples have themselves benefited from ownership deregulations for which US media organizations have been pleading for decades. Also, I seriously doubt he's taken the time to kick the tires at a top local TV station to learn just how hard journalists work -- and yes, they do provide good investigative journalism (and for that matter, community service), despite his blithely sweeping assertions.

Hey, Free Press is based in DC -- maybe they should go visit WRC or WJLA and learn for themselves. Maybe he should acknowledge the fact that reporting on Toyota by ABC and its affiliates has caused a loss of precious Toyota ad dollars to these stations -- and yet these stations still report news to the consumers without fear or favor.

Josh, if you and your staff indeed have actually spent time with local TV broadcasters I'll happily stand corrected and look forward with interest to your findings. Let us know....
TRex Nicknameposted 33 days, 8 hours, 38 minutes ago
No stinking Gov't subsidies! Let chips fall where they may! Our creativity and free emterprise will lead to new businesses, new business models, different paradigms. Keep the charlatans and the intelligencia out!
RustbeltAlumnus2 Nicknameposted 33 days, 7 hours, 54 minutes ago
Government is broke, but, hey, let's designate another subsidy (read: tax) for dead media. Let 'em die. PBS has been obsolete for 25 years, thanks to cable channels dedicated to content that was absent before the 1980s.
PhillyPhlash Nicknameposted 33 days, 7 hours, 1 minute ago
PBS is available free over the air, to all, not just paying customers. But it should be able to subsist on donations without a government subsidy. As it is, government is subsidizing the sale of DVDs and CDs -- infomercials disguised as pledge drive beg-a-thons. If PBS gave America a serious all-news channel, there might be an argument for a public subsidy. The fact that it does not underscores the opposition to Josh Silver's "give 'em a handout" strategy.
therealdeal Nicknameposted 33 days, 7 hours, 30 minutes ago
This guy is an arrogant.....
PSIPthing Nicknameposted 33 days, 5 hours, 43 minutes ago
you're too kind to him.
Daniel Brown posted 33 days, 5 hours, 2 minutes ago
And then this turkey wants localism regulations imposed on broadcasters. Just what we need--more regulating. It has been argued that this would place an unwieldy burden on TV broadcasters, particularly in small markets, who are already weighed down with keeping track of and filing information required by the FCC. And their is no guarantee that such localism requirements would even fulfill their intended purpose. We are dealing with an administration that has TV broadcasters in its gun sights which has, in turn, engendered an overall hostile climate toward our industry from other groups.
Richard Graham posted 33 days, 4 hours, 9 minutes ago
Josh: Public broadcasting delivers very few viewers relatve to what they spend. You appear to be in the government can do things better camp....that is a sad and delusional place to be. Can you name anything the government runs well.
Gerald Jensen posted 33 days, 3 hours, 45 minutes ago
Government subsidies, IMHO, would bring us dangerously close to state-run media. Though I doubt that is what Mr. Silver is really advocating, the chilling effect would be there as surely as night follows day.
watchman Nicknameposted 33 days, 2 hours, 53 minutes ago
Fix it by making the cable providers unbundle their services....see how many cable channels would still stay in business. The advertising pie that has been cut too thin by cable stations that really could not stand alone if placed in the same stance as an over the air broadcaster would suddenly get more robust and the money would actually flow to those who provide the most localized service, the local broadcaster, instead of the billions of subscription fees that are collected by MSOs for unwatched and unwanted stations from most consumers.

And don't pas soff the idea that the broadband initiative is all about TV stations hogging spectrum from the "noble" broadband comapnies that simply want to extend the ability for more people to access information on the web. It's all about the money to the broadband folks and they really don't care who they step on to get it. There might be more information on the web, but has it been vetted properly, is ever really sourced correctly. There's a lot more opionion on the web, but more real information, does not seem so to me. It just arrives quicker, and I view it with a more skeptical eye every day.
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