Fergie's Tech Blog

Big Surprise: Cable TV, AT&T at Odds Over Regulatory Bill in California

Jessie Seyfer writes in The Mercury News:

AT&T and cable companies operating in California squared off Monday in Sacramento over a proposed bill that would radically change how television is regulated in the state.

The proposal, by Assembly Speaker Fabian Núñez, D-Los Angeles, would do away with local franchise agreements, such as those that Bay Area cities strike with Comcast. The agreements ensure that local governments get a cut of the cable company's profits, that some channels are set aside for educational or public-access purposes and that local governments are apprised when the cable companies dig up the street.

Núñez echoed the bill's biggest supporter, AT&T, saying Monday that existing franchise laws are outdated, and that negotiating an agreement with the entire state would speed the rollout of new services to consumers. AT&T, which is just entering the TV market, says the bill would spare it the time and expense of negotiating individual deals with each community.

posted by Fergie @ 4/25/2006 06:10:00 AM